Effects of Digital Transformation in Datacentres
20 Dec, 2024
Hiring salespeople has long been one of the most challenging aspects of building a successful business.
Hiring someone who can “plug and play”, “hit the ground running” and/or any other idiom you can think of for a ‘ready-made fit’ often seems like the sensible thing to do. Hiring someone from a competitor basically guarantees success, right?
Anyone who’s done any sales hiring knows the reality, when even someone with a stellar track record can struggle to adapt to a new company culture or a different product or service. The truth is that the perceived safety of hiring for a supposed "ready-made fit" is risky because it assumes past success will seamlessly translate to new contexts.
This guide is about trying something different: betting on the growth curve, rather than numbers from the past.
Step 1: Understand Why Hiring Salespeople is so Difficult
Salespeople are good at selling (one hopes), and in an interview setting, almost everyone will appear polished, confident, and articulate - traits that will make them seem like great hires. However, these traits don’t always translate into high performance in the actual role. This mismatch happens because selling oneself in an interview is very different from sustaining successful sales relationships, managing a pipeline, and hitting quotas. The skills that make salespeople seem impressive during the hiring process are rarely sufficient to succeed in a sales environment.
Step 2: Stop thinking about "Hit the Ground Running"
Sales teams everywhere are under constant pressure to perform. Sales quotas are tied to revenue targets and, it’s understandable that leadership teams want a salesperson who can start contributing as soon as possible. The allure of someone who can "hit the ground running" often comes from the belief that they will quickly impact the bottom line - leading to faster results and less need for onboarding and training. This mentality, while logical, often leads to missed opportunities for greater success down the line.
Hiring someone who can "hit the ground running" is easier to justify to budget holders and stakeholders because it promises immediate returns. Training programs can be expensive, and it takes time for new hires to become effective. From a budgeting perspective, experienced salespeople seem like a lower-risk investment - they’ve proven they can do the job elsewhere, perhaps even a direct competitor and on paper, they might seem like a shortcut to hitting revenue goals. However, this approach will often lead to only short-lived success, usually followed by disengagement and then turnover.
Hiring for potential, while initially more challenging, almost always leads to greater success in the long term. By bringing in individuals who may need more initial support but are motivated to learn and grow, you’re much more likely to build a resilient and loyal salesforce.
Step 3: Embrace the Long-Term Benefits of Hiring for Potential
The long-term value of hiring for potential cannot be overstated. Salespeople hired for their future potential rather than immediate performance are going to feel invested in, motivated to learn, and ultimately more loyal to your business. They recognise the effort the company has put into their development and are often more inclined to repay that investment by staying longer and working harder.
While hiring experienced individuals might yield short-term gains, salespeople who are onboarded with an emphasis on growth are typically more adaptable, open to new approaches, and better able to align with the company's evolving needs. They have an openness that comes from understanding that learning is a continuous process.
Step 4: Assess the Potential, Not Just Past Performance
Assessing for potential requires a different mindset during the interview process. Instead of simply looking at past sales numbers, leaders need to evaluate attributes that aren’t always easy to quantify. Qualities such as curiosity, resilience, and adaptability are critical indicators of future success but are not always reflected in a CV.
To properly assess potential, ask questions that delve into how candidates approach challenges, how they adapt to changes, and their willingness to learn. Questions like "Can you tell me about a time you had to learn something completely new to solve a problem?" or "How do you approach a situation when you don’t know the answer?" are much more indicative of how a candidate will perform in the long run than simply asking about their sales figures.
Past performance is not always a reliable predictor of future success, especially when the context changes. Hiring based on potential means finding those who have shown the capability to grow and succeed in different, often challenging circumstances. It’s about betting on the growth curve, not just the numbers from the past.
Step 5: Implement a Structured Training and Onboarding Program
The key to making "hiring for potential" work is an effective training and onboarding process. Without a solid structure to guide new hires, the investment in potential could be wasted. Onboarding programs should be comprehensive, covering not just product knowledge but also company culture, sales techniques, and the specific methodologies your company follows.
Effective onboarding provides new hires with mentors who can guide them and help them understand the nuances of the sales process. Clear goals should be set with realistic expectations, allowing the new hire to integrate into the sales team without the overwhelming pressure to perform immediately.
Providing consistent feedback, celebrating small wins, and making training an ongoing effort are crucial to nurturing new talent. This kind of environment not only makes new salespeople more effective but also increases their overall job satisfaction.
Step 6: Recognise the Challenges of This Approach and Plan Accordingly
It’s important to acknowledge that hiring for potential isn’t without its challenges. It requires a longer-term vision and commitment to training and development, which can be difficult to maintain when there is immediate pressure to drive revenue.
Stakeholders who are risk-averse may question this strategy. Therefore, planning is essential - blending new hires with growth potential, with experienced salespeople who can handle immediate challenges creates a balanced team. You can manage short-term needs while building a solid foundation for future growth.
Step 7: Blend Your Sales Team for Balance
To create a balanced team, mix seasoned professionals who can generate wins with new hires with strong potential. This approach not only ensures you’re still meeting revenue goals in the short term but also helps new hires learn from experienced mentors. The more experienced hires provide the impact you need, while the potential hires gradually ramp up and bring fresh perspectives to the team.
Experienced salespeople can be valuable mentors, offering insights into industry specifics, client relationships, and effective sales practices. They’ll also benefit from the feeling of being valued; perhaps those that aren’t ready for a formal leadership role given the increased responsibility of mentoring. In turn, new hires with high potential bring enthusiasm, curiosity, and a willingness to embrace innovative approaches. This diversity of perspectives ultimately strengthens the entire sales team.
Step 8: Look for the Right Traits When Hiring for Potential
The key to successfully hiring for potential lies in identifying the right traits during the hiring process. Look for qualities like:
Curiosity: Curiosity is a hallmark of great salespeople. Those who are genuinely interested in learning about the product, the industry, and the clients will be better equipped to find creative solutions to customers' problems.
Adaptability: In an ever-changing market, adaptability is crucial. Candidates who can adapt quickly to new environments or changes in strategy are better equipped to thrive in sales roles.
Problem-Solving Ability: Effective salespeople don’t just pitch products; they solve problems. Look for candidates who can demonstrate their problem-solving skills, even if those experiences aren’t directly related to sales.
Resilience: Sales can be a tough field with frequent rejection. Resilient candidates who can bounce back from setbacks without losing motivation are more likely to be successful in the long term.
Behavioural interview questions are a great way to assess these traits. Ask candidates to describe situations where they had to learn something new, overcome obstacles, or navigate through changes. Pay close attention to how they approach these scenario - look for evidence of a growth mindset and a proactive attitude.
Step 9: Overcome Stakeholder Scepticism with Data and Case Studies
Hiring for potential is often a harder sell to budget holders and stakeholders because the return on investment isn’t immediate. To overcome this scepticism, use data to demonstrate the long-term value:
Lower turnover rates: Employees who receive training and development opportunities tend to stay with their companies longer.
Higher engagement: Salespeople who feel invested in and supported are more engaged, which directly impacts their productivity.
Real-Life Success Stories: Sharing examples of companies that have adopted a hiring-for-potential approach and seen success can be incredibly persuasive. These case studies can highlight not just increased productivity but also improved team culture and lower hiring costs over time. Please reach out to me for any of the above.
By making the case with both qualitative and quantitative data, it becomes easier to justify the upfront investment to stakeholders.
Step 10: Foster a Culture of Growth and Development
For a hiring-for-potential strategy to succeed, companies need to foster a culture that prioritises growth and development. This means providing ongoing training opportunities, recognising improvement, and offering clear career progression paths. Salespeople need to see that the company is committed to their development beyond just hitting immediate quotas.
Managers play a crucial role in this culture. They need to act as coaches, not just overseers. A supportive environment where mistakes are seen as opportunities for learning, rather than failures, encourages salespeople to take calculated risks and innovate. This kind of culture helps in retaining talent, ensuring that the initial investment in hiring and training delivers returns over the long term.
By Ian Bailey, VP at Harrington Starr
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Harrington Starr is a leading FinTech recruitment specialist, connecting top talent with innovative businesses across the global financial technology landscape. With expertise in sales hiring, marketing recruitment, technology, and quant recruitment, we help businesses build high-performing teams that drive growth and success. Whether you’re looking to enhance your hiring strategy or explore exciting opportunities in FinTech, visit Harrington Starr.
