READ THE FULL ARTICLE AT http://www.fourquadrant.com/go-to-market-strategy-the-cost-of-b2b-direct-selling/ The effectiveness of a companies go to market strategy will be directly correlated to a company’s success. Although the sales function is a critical component of the go to market strategy and the lifeblood of any business, most direct sales people spend precious little time actually selling, even though the annual cost of a direct sales representative is very high. Incremental changes in the amount of time a direct sales rep spends on core selling activities will have a positive impact on the business. One way to increase the direct selling time for sales reps is to first understand the problem and then craft a solution. Go to Market Strategy – The Math Behind Direct Selling The fully loaded cost of a direct sales rep selling B2B is approximately $380K per year or $1.9K per business day worked. Granted, the base and bonus will vary by company. However, a typical B2B sales rep with a sound track record is expensive. Below is a guideline of how to derive a meaningful number for a company’s specific situation: Base is assumed to be $125K – $150K annually Variable compensation at quota is approximately $150K annually Overhead (benefits, office, taxes, phone, etc.) is estimated at 20% of total on target earnings Travel and entertainment is estimated at $50K annually Tip, tax and out the door this total approximates $380K annually. In addition, this estimate does not take into account any equity awards, spot bonuses or car allowances. Download go to market planning templates at http://www.fourquadrant.com/products/

1. Read The Complete Blog Post
CLICK HERE
Go to Market Strategy – The Cost of
B2B Direct Selling

6. Next Steps
Read The Complete Blog Post
CLICK HERE