Here are some sobering stats from SellingPower.com’s whitepaper entitled: From Sales 1.0 to Sales 2.0.
- According to a recent study by James Oldroyd of the Kellogg School of Management, corporate hiring of outside sales reps has leveled off at 0.5 percent annual growth, while hiring of inside sales reps is growingat a lively 7.5 percent clip annually.
- By 2012, nearly 800,000 more companies will host inside sales teams and they’ll be using the telephone and the Internet to nurture, develop, and close sales opportunities.
- Even the remaining field sales teams won’t be spending as much time meeting F2F. Oldroyd’s study discovered that more than two-fifths of all activities conducted by customer-facing teams were actually handled over the phone.
- According to a recent Cahners survey, 58 percent of buyers report that sales reps are unable to answer their questions effectively. And 40 percent of sale professionals’ time is spent finding the information and knowledge required to do their jobs.
- According to industry research, more than 40 percent of sales representatives are under quota, while year-to-year revenues from existing customers are down sharply across a broad swath of industries.
- More than a quarter of all B2B sales cycles take seven months or more to close. That’s 25 percent longer than just six years ago.
- The number of deals that actually close is declining year over year, with nearly a third of all forecasted deals lost and nearly a fourth ending in no decision.
How correlated are these stats to the economic downturn and will they improve when the economy rebounds?
Do you think that Sales 2.0 processes and technology can improve your sales metrics or is it mostly hype?
Any thoughts out there?