The seller of the goods offered the premium received. Motivation for retailers. Types of staff motivation
For sellers who have been working for a long time, I think it will be no secret that many self-respecting trade marks(or large players in the wholesale market) use one of the most effective ways to increase sales of their goods, namely PAYING sellers for each unit of goods sold in cash, prizes, etc. I have participated in many bonus programs for five years, in addition to material benefits, they also provide rich theoretical material to help sell their products. This method Employers vehemently oppose the promotion of TM, stating that sellers sell products of one TM to the detriment of another more profitable for the employer, it is difficult to argue with this statement, everyone has their own views ... But on my own I want to say that I personally strive for the client to return to shop again, and not to discourage this desire from him by a "paid sale" of some kind of G., but meanwhile, if the product is worthwhile and is not inferior to competitors and they also PAY extra for it, then why not :) Many sellers manage to earn more with bonuses what their employers pay them. So keep it up. The article is constantly updated, so I recommend subscribing to at the end of the article. To enable more colleagues to learn about bonus programs for sellers from equipment manufacturers -
Here is the list itself with comments.
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Also, in order to increase your material well-being, I strongly recommend that you familiarize yourself with real sellers , for those who can sell - all goods, commercial equipment, directors - to competitors, a cashier in a brothel ... ()
The modern market requires high competitiveness from any business. In order for things to move forward, it is important not only to monitor the preservation of the general vector of development, but also to pay attention to individual components of the mechanism of work. So, for trade enterprises of various sizes and directions (from a grocery store to chain hypermarkets), the motivation of sellers is important for.
What is motivation?
The volume of sales depends on many variables - the demand and availability of the product / service, the conditions for its provision, quality, advertising, and, last but not least, sellers. Unfortunately, the stereotypes of the past years are still strong in our minds, when the profession of a salesperson was not considered particularly prestigious. Many people find themselves "behind the counter" by accident and do not take their duties responsibly enough. Often these are students for whom sales are just a seasonal part-time job, or people who view sales as a temporary job. As a result, we get low level service: the process of buying and selling does not bring pleasure to either the seller or the buyer, and sales volumes are falling. Various motivational schemes help to solve this problem, allowing you to improve the employee's attitude to work and, as a result, increase his productivity, in this case, increase sales.
Motivation schemes allow you to increase employee productivity, in particular, increase sales.
In psychology, it is customary to distinguish between intrinsic and extrinsic motivation. In order to achieve meaningful results, a set of techniques should be used to increase both types of motivation. Intrinsic motivation is formed on the basis of the desire to get satisfaction from the process and result of activity, to receive social recognition, to grow professionally, to realize oneself. External motivation - the need to provide for oneself, family, the desire to increase income.
Forms of seller motivation
In relation to trade, these forms of motivation for sellers can be implemented in the form of material (including monetary) and non-material incentives for employees.
Intangible motivators include:
- Congratulations to employees on their birthday, collectively and on behalf of the company.
- Using the "Honor Board" for the most successful sellers (according to the results of the month, for example).
- Symbolic awards - medals, orders, cups, certificates for the best sellers.
- Praise (address and for branches) at corporate events.
- Feedback information blocks: if a violation is detected, you can publish instructions like “in case A, you should do this.”
- Specific conditions and stages of career advancement.
In general, such measures make it possible to demonstrate the employer's attention to the employee and improve the "climate" in the team. In addition, it does not require large material costs from the management.
If you decide to introduce a motivational system for salespeople, make sure that it is transparent and effective, otherwise it will not work. It is important to provide training for new employees: experienced sales mentors will feel their importance, new salespeople will quickly join the work process.
More effective motivators require investment, but many large retailers use them to increase employee loyalty to the company:
- Organization of catering at the expense of the company.
- Travel payment (travel for employees).
- Provision of overalls, uniforms (in many retail chains These are branded t-shirts and baseball caps).
- Medical insurance.
- Subscriptions to the gym, swimming pool, etc.
- Improving working conditions (starting with good office equipment and ending with the repair of trading floors).
- Organization of training.
- Providing "benefits" to certain groups of employees (for example, flexible working hours for students, shorter working hours for new mothers, etc.).
Financial incentives can also be implemented in different ways. The company can take on the following costs:
- Providing an interest-free loan for an employee.
- One-time payments (birth of a child, wedding, serious illness of an employee, illness of close relatives or their death).
- External training (for example, payment of 70% of the cost of training).
- Payment of vouchers for employees and their children.
- Help with the placement of children in schools and kindergartens.
- Provision of official transport.
- Payment for a mobile phone and the Internet, if they are used for work purposes (the last 2 points are especially relevant for sales representatives).
Some companies provide employees with small bonuses for leisure - bowling/billiards season tickets, discount coupons for a pizzeria, cinema and theater tickets.
The above methods of motivation are valid for all members of the team. Actually material encouragement is usually more individual in nature and should depend on the success of the seller. The most common financial motivation is a percentage of sales that is added to the basic salary. The system is good in that the upper limit of the seller's salary is not fixed, i.e. The higher the sales volume, the higher the seller's income.
You can develop a transparent system of bonuses for certain merits - meeting the minimum plan, overfulfilling the sales plan, selling a certain amount of a product of a particular brand, etc. Bonuses can be accrued individually or per branch. The premium doesn't have to be big, but enough to make sellers aspire to receive it. Some companies develop sophisticated internal rating systems that track salespeople's performance and pay out bonuses for specific periods of time.
The premium doesn't have to be big, but enough to make sellers aspire to receive it.
On the other hand, one should not forget about negative motivation: all corporate rules and service standards must be known to sellers and strictly observed. Otherwise, the employer has the right to “fine” violators, incl. financially. Periodic appraisals are also used: salespeople who confirm and increase their professionalism should be rewarded.
Forms of motivation for sales representatives
Motivation of sales representatives to increase sales in general is carried out in the same ways: if the employer takes care of the employee and gives him the opportunity to achieve his goals (increasing sales to increase personal income, career growth, etc.), the employee works with more efficiency.
Bonuses for sales representatives can be accrued for:
- (conclusion of new contracts for the supply of products).
- and an increase in purchases/sales with existing customers (compared to the previous quarter, for example).
- Percentage of sales of a certain type of product.
- Execution and re-execution, etc.
If the company is interested in reducing , it is worth introducing bonuses for long service in the form of a certain salary supplement: such motivation, on the one hand, encourages "old" sellers; on the other hand, it shows new additional development prospects.
Motivating sellers to increase sales today is one of the components of the success of the trading business. Therefore, if you decide to use one of the motivational schemes, carefully consider the needs and opportunities of the business, and the results of innovations will not keep you waiting. To optimize the task, you can involve specialists who will help you develop an original system that is ideal for your company.
Article from my free newsletterBusiness Consultant Tips (over 55,000 subscribers).***
This article was written for the magazine " Successful business"Based on the Motivating Employees chapter of my new book, How to Get Your Business in Order, which is currently being published.
Category "Problem"
Question author: Vera Sorokina, Head of Sales Department, Kopi Systems XXI century LLC
How to make a motivation system?
1. For a novice seller, so that he would put all his strength into finding new customers and creating a customer base
2. For an already experienced manager, so that he does not stop there, but at the same time that the employee actually earns this money. And most importantly, the employee should be interested in earning them.
***
Myths and truth about motivation
Today we will talk about motivation again: this is an eternal topic. I previously wrote about the basic principles of motivation (if you haven’t read it, I recommend doing it now). Let's talk about the specifics today.To begin with, I want to say that managers often associate the poor performance of staff with the motivation system. Many of my consulting orders start with this request.
However motivation is the tip of the iceberg. If you don’t have business processes in place, if you don’t recruit and train suitable employees, then motivation won’t help you.
Example. Recently, a good friend of mine (a businessman) asked for a meeting for an hour: "Can you help me with a motivation system for salespeople?" Unable to refuse my friend, I agreed. We sat for 5 hours, during which time we raised the issues of the company's goals and strategy, the markets in which it operates and its positioning, competitors, business processes, organizational structure, etc. How else? After all, we motivate not just abstract staff, but employees working in a particular company with all its specifics. And motivation is a consequence of all of the above.
In general, many leaders breed real shamanism around motivation. Create new schemes, regularly redesign them. Because they firmly believe that employees can find such a "magic button" that you just need to press so that people suddenly start working for three.
By the way, many will never start, no matter how you motivate them. And the right people do not need to be motivated. Jim Collins wrote a lot about this in his book Good to Great: I recommend it.
***
But, let's say everything is fine with you, and the only question is motivation. We will not touch the intangible side today, although it is extremely important.
First we will discuss how to build a financial scheme for an experienced seller, and then what to do with beginners.
Naturally, the seller must earn his money, and not just receive. A salesman with a big salary is nonsense, although I often come across the opinion that "nobody wants to work without big salaries." If this is the case for you, then you do not know how to competently hire staff, and indeed the prospects for your business are very sad.
We develop a scheme for remuneration of the seller
let's create a model, which will be used to calculate the variable part of the remuneration of your sellers, who is actively searching for and attracting wholesale clients. For other types of sales, it must be adapted.The result of our work will be flexible model, which you can customize depending on the current tasks of your company. Usually this is an Excel file that calculates the employee's salary for the period. This is also convenient because the seller then enters the initial figures into it himself, and you just have to make sure that his information is correct. This is a very big plus from the point of view of people - they see system transparency.
To begin with, let's define the ratio of the constant and variable parts seller's income. For example, let's take 30/70 in favor of a variable. For a seller, this is a reasonable ratio.
Then we define target income level. This is the money that he will receive if he reaches the target values for all indicators. Let it be 50,000 rubles (Moscow, autumn 2009, the dollar costs 31 rubles. Figures are conditional). Thus, his salary will be 15,000, and the variable part - 35,000. He will receive a salary in any case, while he works for us. This is for bread. But to earn "on oil", he will have to sweat. Naturally, according to the results of the period (usually a month), he can receive both more and less than this value.
Then let's determine what will be indicators for our seller. Of course, everything here depends on the strategic goals of the company and the tactics chosen for this period. From how business processes are built, and from the company's policy in the field of remuneration. Here typical indicators for this position:
1. Turnover. One of the most important indicators. It is important to clearly describe what we will credit the seller in his turnover. Because you can issue a lot of invoices - it's not a fact that customers will pay them later.
Many companies, when calculating the seller's remuneration, are limited to percentage of turnover. However, this not enough.
2. Profit (margin).
There is this anecdote:
A hare in the forest went into business: he buys a ruble for a ruble twenty. The whole forest is and t on the ears, queues are lining up. The lion, as the king of beasts, gives the task to the fox:
- You are the most cunning among us: figure out what Kosoy is doing there.
The fox goes to the hare and in the evening over a cup of tea asks the hare:
I heard that you are in business here. Tell me what and how? Is it profitable?
- You know, Redhead, I haven't counted the profit yet, but the turnover is crazy!
Jokes aside, but in many companies this is exactly what happens. Therefore, the margin is the most important indicator. Again, decide how to count it.
In many companies, this information is confidential. In this case, perhaps you will calculate the indicator not from the true margin, but from some fixed “average for the hospital” margin on your goods.
Margin can be calculated both in absolute terms and as a percentage.
However, turnover is also important. It shows the "scale" of the seller's work. Also, sometimes in some market segments it is normal for a company to “work to zero” for some time - for example, to squeeze out competitors. But you should decide this, not your sellers, as sometimes happens.
3. Number of new clients. Or keeping the old ones. Or the number of transactions. The meaning of these indicators is that financial indicators do not reflect all aspects of the seller's work. For example, he "sits" on old clients - both turnover and profit are not bad. However, new ones have not been attracted for a long time. And why is there a high qualification? Why pay money? For past accomplishments?
It is necessary to determine which of the indicators of this group is more relevant for you now, and, accordingly, how you will calculate it.
4. Accounts receivable. This indicator is important if you have it in principle possible. If you work on a 100% prepayment, then this is not relevant to you. If you enter this indicator, then decide how to calculate it: there are many nuances.
5. Satisfaction of internal (and possibly external) customers. It can be calculated as a percentage: for this, it is necessary to conduct appropriate surveys at a given frequency.
Generally indicators should not be too much: 3-7, but closer to 3 is better. Otherwise, it will not fit in a person’s head: “you will chase two hares ...”.
Now we can ask weight coefficients indicators. This is not required, but allows you to specify which indicator is more important to you now: ratios can be changed from time to time. For example, when you need to drastically expand your customer base, you increase the weight of "number of new customers". Let's say like this:
Accounts receivable can be taken into account in different ways. For example, if we decide that we strive for zero customer debt, then it turns out that if there are no debts, our seller does not receive anything for this indicator. If there is a debt, but it is deprecated by a certain amount related to the amount of client debt.
In total, it turns out that if an employee fulfills all our standards, he will receive for each indicator next amount:
We move on. Now we need define standards, or target (planned) values for each indicator. This is very important: if you don’t do this, then you don’t actually manage your employees, you don’t set the bar for them to strive for. In addition, sales planning gives you business predictability.
In one large food holding, annual planning regularly overestimates the sales plan. In fact, it is not real numbers that are written into it, but the "Wishlist" of shareholders. Since sales are at the head of all processes: procurement of raw materials, production, logistics, etc., all work then goes awry. Every year, plans have to be adjusted quarterly downwards. Millions of euros are frozen into stocks, and thousands of man-hours of the holding's employees are wasted on obviously "crooked" planning and error correction.
Important question - how to define indicators. Many do it "from the bulldozer." Some - based on the results of the past months, sometimes very weak. Sometimes they bully them so that employees soon stop striving for them: why, if it doesn’t work out anyway?
Target value should be real for all normal employees, but requiring exertion. This is most accurately reflected in the English word "challenge", i.e. call. To accurately determine this level, it is helpful to have the system run at full capacity before implementing a new system. For example, hold a competition with attractive prizes for people. And these results plus 10-30 percent should be included in the plan.
Let's say in our case the targets are:
| Index | His weight | Planned |
|
| Turnover | RUB 12,000,000 |
||
| Margin | RUB 2,400,000 |
||
| Number of new clients | |||
| Accounts receivable | |||
| Total | 35 000 rubles |
In general, the model is ready, and now it is already possible to preliminarily calculate salary our seller for a certain conditional month. Let's introduce 3 new columns: fact and percent plan implementation
, and income by indicator:
| Index | His weight | Target earnings for this indicator | Planned value | actual value | Percentage of plan completion, | Actual earnings by indicator |
| Turnover | RUB 12,000,000 | RUB 1,340,000 | ||||
| Margin | RUB 2,400,000 | RUB 1,550,000 | ||||
| Number of new clients | ||||||
| Accounts receivable | ||||||
| Satisfaction of internal customers | ||||||
| Total | 35 000 rubles | 32,360.42 rubles |
Was this seller good? On the one hand, he overfulfilled the plan in terms of turnover and new customers. But on the other hand, the margin plan was greatly underfulfilled. That is the company received less than 850,000 rubles of profit("dirty") if you compare the actual value with the planned one. If we take into account that the seller exceeded the planned turnover, then the margin should have been even greater. It turns out that all the "gears" of the company were spinning - goods were purchased, stored, transported to customers, etc. - and all this why? If no profit, then what's the point do all this?
This is very typical situation. And worst of all, many business owners and managers do not notice it. Like that hare;) They work "to zero", and then they wonder where the money is. And we have not yet taken into account the fixed costs of the company.
This is where it starts fine-tuning the model. For example, you can set the following options:
- Thresholds for metrics. For example, if you fulfilled the plan for turnover or margin by 85% or 115%, you got your money for this indicator. But if it's less than 70% - I'm sorry, I didn't get it for this line nothing. Moreover, if this "nothing" lasts, for example, 3 months, this is a reason for dismissal of an employee(first - 2 warnings). In the situation described above, it is reasonable not to pay for margin (naturally, this should be written in the motivation system and be known to employees in advance). Moreover, the manager needs to talk with the employee: explain to him what to work with small profit it makes no sense. But even better if price policy your company will not allow the employee the opportunity to give such discounts.
- Increasing and decreasing coefficients (multipliers). Naturally we want stimulate employee to work better. The above system already allows you to do this. However, its impact can be further enhanced. For example, if you made 90-110% of the turnover plan - get your fee for this indicator in full. Fulfilled the plan by 70-90% - the fee for the indicator is multiplied by 0.5. From 110 to 150% of the plan - 1.5. From 150 to 200% - coefficient 2. To have something to strive for. After all, such an increase in sales is very beneficial for the company. But imagine that the employee completed 350% of the plan. Extremely rare, but it does happen. Here we remember that business is primarily a "machine" to create profits for its owner. We consider that the employee was just lucky, and lower the coefficient to 1. This practice is used in many companies. The seller will still get a lot, but not fabulously.
- Penalty scores. For example, the same accounts receivable. We can calculate how many percent of the turnover of this seller was the receivables of his customers. And to assign a certain penalty for each percentage: perhaps with a progressive scale. However, it is better not to get carried away with fines.
Before implementing the model in practice, it is necessary to conduct it extreme value testing. That is, enter it in Excel and “drive” at different levels of indicators. Accordingly, make the necessary adjustments.
Paying newbies
In many positions they need time to adapt. Therefore, for the first time they are made more sparing payment system.It is desirable to develop scale of changing conditions for the first 3-6 months of work of the employee. The difference in terms is determined by the specifics of your business: the complexity of the product, the length of the sales cycle, etc.
So, for example, for the first month, you can make a higher salary, and do not set requirements for indicators. For the second month, keep the salary, but already with the condition of fulfilling a certain plan, albeit a small one. And you decide which indicators to include in this "training" sales plan.
For example, finding new clients, as mentioned in the reader's question.
And so on from month to month. Gradually you transfer an employee on the general terms of payment. And for especially talented people, it can happen faster. And for someone, alas, never: they will not pass probation.
Naturally, during the period of adaptation of beginners, it is necessary actively teach. Otherwise, the dropout rate will be very high, which is disadvantageous for you.
Implementation of a new motivation system
Implementing something new is never easy. But this is especially true for such a lively topic as the motivation system. Therefore there is a number of subtleties.It is necessary to implement gradually. That is, at first you work out the system in detail, without really advertising it in the team. Otherwise there will be a lot of rumors. You can tell the basic principles of the future system as positively as possible so that you mentally get used to it. For example, "in the new system, payment will depend on the results of your work."
When the system is ready and tested by you, you present it to people. At the same time, it is desirable to show with calculated examples that with good results, everyone can earn a little more than before. And if it's bad - sorry.
After the presentation, make time for answers to questions employees. Be prepared for the discontent of the weakest, not confident in their abilities. Be correct, but persistent: do not let employees push you.
Begins " field testing”, which usually lasts one month. It is also necessary for the staff to get used to the new system. People receive money as before, but at the same time they calculate their salary according to the new model. At the end of the month, you summarize and, if necessary, correct the model.
During this time, some employees may decide leave the company. And this is good: after all, we want to create a team of professionals, and not feed freeloaders!
| Practical task
Create a wage model
for sellers of your company. Of course, for this you need to understand the business processes that they work on. Also open your company's sales plan for the current year: *** Tell the author your admiration, doubt and criticism you can write to: [email protected]. Good luck! |
Everyone at least once had to deal with inadequate service. And if you do not take into account some individual quibbles, you can highlight a number of aspects that are extremely annoying to buyers. In order not to be unfounded, when compiling the list, we interviewed the employees of the Pilot group of companies - and this, if rounded down, is 400 people. And we found out that respondents are most annoyed when contacting sellers:
- imposing a consultation (30.75%);
- lack of initiative (24.5%);
- lack of sellers on the trading floor (19%);
- ignorance of the assortment (12%);
- ignorance of product characteristics (5%);
- slow service (3.25%);
- rudeness (3%);
- non-compliance with sales scenarios (1.75%);
- inability to communicate (0.75%).
Of course, rude and incapable of communication sellers, in principle, should not have been hired. But other employees could come to work in the store with burning eyes, but then lost their excitement either due to a lack of motivation, or because of its incorrect construction.
In both cases, the approach needs to be urgently changed, because an unmotivated seller deals a double blow to the retailer's business: loss of sales and loyalty. That is, the store does not receive money for the sale in the present, and in the future a disappointed client will not return to the brand himself, and even dissuade his surroundings from this.
Technology and motivation
Whatever motivation system the retailer builds, its control is necessary. Otherwise, how to understand whether it works or not? But, as they say, one stick without a carrot does not work. Therefore, in addition to total control, it is necessary to help sellers competently fulfill their duties. In both cases, modern technologies are applicable.
We divide the most popular customer complaints into three groups:
- pre-sales communication;
- seller awareness;
- purchase processing.
- Pre-Sales Communication includes three annoying factors: the imposition of advice, the lack of initiative, or the seller on the trading floor. If only a well-designed sales scenario will help to fight the first, then technology can be involved in solving the second and third. Namely, the cash register. Our "Profi-T" is able to record purchases made by a store employee in order to calculate his KPI. When scanning the personal code of the seller in the commodity part of the check, the barcode of the goods is tied to a specific consultant. Subsequently, the cash register program can generate a report for the period of interest - cash register shift, week, month, year - which will reflect the number of sales made either by all sellers or by a certain employee. Thus, it is possible to determine both the most effective and the most ineffective sales consultants.
- Seller awareness. Ignorance of the range or characteristics of the goods is a huge omission for the seller. The buyer who turned to him for advice will immediately understand that the interlocutor is “floating” in the question, and this will cause a negative reaction and loss of brand loyalty. You can require employees to learn by heart all the products and their characteristics. However, if we are talking about a large store with a huge assortment, this can be difficult. Therefore, it would not hurt to help employees and give them a cheat sheet. She performs beautifully in her role. It will allow you to quickly clarify the location of the product on the trading floor, its characteristics, balances (both in one outlet and in other stores of the network), alternatives - for example, the same thing, but in a different size or color scheme. Moreover, the seller, armed with a mobile cash register, can make purchases by bank transfer during "peak hours", thereby unloading the cash register. And its advanced look inspires more trust and loyalty among store customers. By the way, the need for a mobile checkout is also noted by the employees of retail outlets. According to a Zebra Technologies study, two-thirds (66%) of sales assistants surveyed believe that if they had tablet computers, they could improve the customer experience and enhance their shopping experience.
- Making a purchase. Many customers are annoyed by slow service. Especially if they see that at other checkouts, sellers cope faster, but they got the sloth Blitz from the cartoon "Zootopia". The speed of service may depend on the functionality of the cash register program and the personal characteristics of the seller. If all the cashiers make purchases for a long time, then there are problems in the interface of the cash register program - it is simply inconvenient. But if we are talking about only one employee, it is worth finding out what the problem is. Firstly, its effectiveness can be checked using the reports of the cash program. Secondly, the software allows you to observe in real time how the seller works. After all, modern front-office systems, when closing a check at the POS-terminal, transmit information to the cash server, where data for the shift is accumulated. Another option to control the work of the employee who raised questions is to use the capabilities of the video control system for cash transactions. It combines the functions of video recording and surveillance with the control of cash events: that is, the recording of the actions of the cashier and the data of the receipt tape are synchronized in time. This allows you to get information about the events that occurred on the POS-terminal, but were not reflected in the check (opening a cash drawer, attempts by the cashier to perform unauthorized actions).
Retailer experience
Retailers are well aware of the need to motivate sellers to work competently with buyers.
Large federal networks have recently refused to advise buyers. But we took a different path. Trade House Antoshka does not employ goods carriers, but qualified salespeople who can tell about each unit of the presented range, demonstrate it, compare it with other models, and advise the most suitable one for the client. This approach is very relevant, because young mothers come to us who have no experience yet and they need help choosing a good product, and not wasting money.
networks "TD Antoshka"
According to him, an internal motivation system has been introduced in the network, and mystery shoppers regularly check the knowledge of sellers.
Also, we always take into account customer reviews both in the "Book of reviews and suggestions" and on the Internet. Therefore, each of our employees is interested in serving the visitor with the highest quality.
Valentin Kovalyov, Head of Trade House Antoshka
The network of hobby hypermarkets "Leonardo" invites already motivated salespeople to work.
In most cases, people who are enthusiastic and in love with some kind of creativity come to work with us. Many already have hobbies that coincide with our product lines: scrapbooking, embroidery, jewelry making, modeling, watercolor, batik. Therefore, we consider that one of our most important advantages is that already at the very beginning of the labor path we get an employee loyal to the company.
Leonardo conducts systematic work with employees, which includes five-minute sessions with presentations of a new product, webinars talking about new creative techniques, and classic training seminars. Moreover, events in the network are carried out in the form of a game using the appropriate product, resulting in qualified employees who are passionate about creativity and have practical skills in some kind of needlework. This helps to find a common language with buyers.
To assess the dynamics of customer satisfaction, the network regularly conducts audience research.
We also evaluate the response to the offer to participate in our events and the conversion of participants into buyers.
Elena Filonova, General Director of the Leonardo Hobby Hypermarket Chain
A motivated salesperson is the key to a successful store. Properly working with customers, he is able to increase both the average bill and customer loyalty to the brand. And this, in turn, guarantees their repeated visits.
What questions will you find answered in this article:
- How Alfavit stores motivate staff with ratings
- Adrenaline instead of money: the experience of the Enter chain of stores
- For what achievements the seller of the youth clothing store "Provocation" can become a director
According to a study by HeadHunter, a retailer in Moscow can earn about 51,000 rubles. per month, in Omsk - no more than 22 thousand rubles; in other Russian cities with a population of over a million, sellers' income falls between these figures.
Seller motivation system retail store most often based on game techniques. According to Anchor Business Solutions, a system of competition between stores, departments and employees is widespread in retail. The key parameter here is sales volume. In some cases, employees receive an additional bonus or the company encourages them to go to a bar, bowling or billiard room. Among the retailers involved in the sale of sporting goods, corporate competitions in football, running, swimming with the participation of teams formed from employees of stores or departments are common. This year, some companies rewarded the winners of such competitions with a trip to the London Olympics.
In this article, you will find out what other measures encourage retailers to perform better (see also: Daily bonuses significantly increase sales).
Daily bonuses significantly increase sales
Complex motivation systems with numerous KPIs for retail staff are not always suitable. After a while, sellers no longer understand how much they will receive at the end of the month, and this discourages them. The effect is given by simple promotions with a quick reward.
For example, in the Obuv Rossii chain of stores, the Super Result campaign was held several times. Its essence is that even with a slight overfulfillment of the sales plan, all store employees receive a bonus at the end of the day (in winter they paid 200 rubles each - a little, but the effect was tangible). When the campaign had just started, some stores worked until 10 pm - they tried to get the amount to the planned one. There were also funny cases. One of the stores lacked quite a bit before overfilling. In the evening, a customer came, chose shoes, but she did not have the required amount with her. She says: "I'll come tomorrow." No, the salesmen walked her home, she took the money, bought the shoes, and then they walked her back. The plan was overfulfilled, the bonuses were immediately received. Such a service cannot be achieved by any training and instructions. But this technique also has a minus: from the point of view of financial statements, it is difficult to make daily payments, in addition, the staff gets used to it after a while and it is necessary to come up with new promotions.
Practice experience: Julia Lipatova- Director retail network shoe company Alfavit, Zheleznodorozhny (Moscow region)
Online rankings make sellers perform better
Our salespeople can earn a monthly bonus equal to 2.5 times their salary. It consists of three parts: cash incentives for the best employees, a bonus for personal sales results and a bonus for store achievements. I'll tell you more about them.
Award for high personal rating of an employee. We decided to automate the assessment of how efficient the staff is. By 2004, the IT department installed computers with a scanner in the salesrooms to search the warehouse for the right shoe sizes using a barcode. Then we thought that employees, even those who work in different stores, can compete with each other by monitoring the results in real time. In 2007, we implemented this idea with the help of a corporate website, where the rating of the best sellers of the entire network is updated online. No investments other than salaries for full-time 1C and web programmers were required.
At the end of each day, we select the 17 best sellers in our network, who receive a bonus in the amount of a certain percentage of the cost of the goods they sold. This percentage varies depending on the season and the value of the pair sold. In winter, goods are more expensive - the percentage is lower, in summer it is cheaper - the percentage is higher. On average, the bonus is 0.5% of an employee's personal income per day, and at the end of the month - up to half of his salary (see also: Criteria for ranking the best sellers).
Bonus for the sale of a certain product (personal achievement). We have long understood that the efficiency marketing activities depends on how the seller will show himself: whether he will tell the buyer about special promotions, whether he will do it enthusiastically or coolly. To set it up for the sale of priority goods (for example, products of a certain group, brand or product that is time to sell), we assigned a bonus - a fixed amount for each pair of such shoes sold (depending on the group of goods, this amount ranges from 5 to 15 rubles. ). There is also a threshold: as a rule, a bonus is awarded only if at least 100 pairs of priority shoes are sold. These fixed bonuses are automatically added to the seller's total monthly bonus and can double the salary.
Criteria for ranking top sellers
The rating of the current day includes only those sellers who are at the workplace (the time tracking program automatically records when they arrived at work). Suppose there was a large influx of buyers in the morning, and two sellers (X and Y) worked with the same intensity, selling 15 pairs each. Accordingly, by 16:00 they had an equal coefficient of efficiency and they took one place in the rating. However, Seller X had to go home early, while Seller Y finished the job before the end of the day. If no pairs have been bought from him since then, then the sales of X and Y have remained at the same level. But seller Y continued to serve customers, and his working day turned out to be four hours longer. It would be unfair to split the bonus between X and Y equally. In this case, the more hours the seller has worked, the higher the coefficient of his efficiency. This rule forces employees not to be late and, if possible, not to ask for time off. If the seller wants to leave earlier, then he tries to work harder than others.
Another example. Imagine that an employee came to work on time (that is, he was automatically included in the rating), but after two hours he took time off to go home for health reasons. Nevertheless, he managed to sell a few pairs. So that his results in the evening are not compared with the results of those who worked longer, and he would not become undeservedly worse, the system automatically excludes him from the rating if he worked less than half the working day.
Practice experience: Sergei Rumyantsev –
General director and co-owner of the Enter chain of stores, Moscow
For our salespeople, adventure is as much of an incentive as money.
Our company came up with a corporate motivational game "OlympiaDA!". Its goal is to captivate employees so that they share its ideas with the company and work becomes for them not just another place of work, but something more interesting. The game elements of this system allow not only to add drive to routine tasks, but also to recognize the small deeds of employees. For example, it was necessary to urgently make a promo video, and the staff photographer spent his personal time on it - it makes no sense to pay a monetary reward for this, and not to notice it is wrong. The system is based on the ratings of all employees, which are displayed in their personal profiles on the YakomanDA intracorporate portal.
Generalist consultants in stores compete with each other in several categories.
1. "KPI of the department" - a team performance indicator of the store.
2. Criterion "The Fifth Element" - this category includes indicators that are important for the company right now. Today, for example, it is the growth of trade, but in the next quarter, other tasks may become priorities.
3. Innovativeness: we collect interesting proposals from all employees, and if the idea is adopted, then its author receives points in the OlympiaDA! system.
4. Involvement in corporate life: this includes a number of categories with a small share, guided by which we determine how much a person is “ours” or whether he “just goes to work”. For example, whether an employee takes part in corporate events, discusses the life of the company on the corporate portal.
At the end of the quarter, the leaders with the most points are selected. The last time we marked 30 employees, but as the number of staff grows, the quota will increase. We deliberately refused prizes like a phone, TV, iPad - we give experiences because they cannot be lost, broken or exchanged. The group of winners travels to some exotic place where everyone participates, such as in a jeep race, horseback riding on a mountainside, rafting, or flying in a small plane to some island. All this is accompanied by an interesting game dedicated to corporate values. The winners return to work after three days of adventure, tired but happy, with the thought "it's good that it's finally over, but it's great that it was with us."
I note that the introduction of game elements (gamification) into the workflow is a new trend in business. I am sure that in five years gamification specialists will be in demand no less than social media managers today. What is this profession? The gamifier turns routine workflows into a game. In addition, his duties may include adding elements of the game to customer relationships. So far, there are very few such specialists, and their salaries can reach 80-120 thousand rubles. per month.
Practice experience: Hasmik Gevorgyan- General Director and co-owner of the Provocatsia chain of stores, Moscow
