I work for a dealer group with over 800 employees in the large Metro area. Over the last six to eight months we had experienced less turn over, but because of our growth we are experiencing hard times hiring sales people. Have any of you experienced anything similar lately? Also we are toying with idea of hourly pay for sales people, what are your thoughts about that?

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Tony,

I just worked with a high line store under new management that had the same complaint. We did the following:

Changed the recruiting approach/message to applicants
Changed "ponds" if you will as far as where we promoted the job openings
Had a hard core to the point job description outlined to include EVERYTHING a sales professional is required to do (this eliminates or diminishes unmet expectations once on the job and therefore reducing turnover in the long run)
Made sure that our message as we were interviewing and screening was one that included longevity, commitment on the dealerships part (valuing employees)
And the most important part? when the new people were attracted to the job, successfully screened and identified as candidates the store wanted to hire- the "professional" real job offer experience started.
None of the ever so famous "start on Monday and ask for Joe"....offering little if any support.
People are afraid of working in our business- they do not have a clue the earning potential, as well as the security they can experience- this security has to come from management and how they manage as well as those NEVER changing payplans.
Our pay plan was simple- base pay of $800 per month plus commission over X units. (this store it was 6)
There was a strict policy in place requiring minimum standards in sales and CSI. Every 30 days the sales person is evaluated on these hard cold facts (simple performance review sheet- 1 pager) with a development plan if they are NOT reaching the goal. They have 90 days....but for those 90 days management is in tuned to what they are doing and providing them direction and the tools to hit it.
So far it has been successful where used. 85% retention rate- and these are mostly people who came from outside of the industry (another topic all together as well as strategy)
The key to drawing people to our profession, is to communicating, relating and professionally conducting ourselves- this in my opinion and experience not having this in place usually is a detrimental pitfall to hiring
new sales talent- and ultimately keeping them
The best dealers I work and train with all have a great pay plan and rules to go with it. The managers won't pencil a deal if the steps of the sale aren't done. Everyone is required to have an appointment a day, do mailers and have prospecting tools that they pay for. To a good sales rep this is pare of the job. To someone that makea ten bucks an hour it is work. Feed the big because fish they eat the little ones. By having rules and a the best pay plan you will get the best players in the game. Guaranteed. Take care Tony. Good question.

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