What is Commission of Retail Sales? Get Your Stolen Value
One of my colleagues has been stealing all the sales from me by quickly and rudely approaching customers before I can. It’s not just that he makes a nuisance out of himself, but also refuses to listen when we talk about it.
I need to know what I should do and say in order to ensure that this customer is happy with my product.
In a perfect retail environment, sales staff are trained to work together as a team and share tips on how to increase their retail store’s bottom line.
I found that when I switched to a commission-based system, it created an environment where everyone was in competition with each other. The upside is that the employees are motivated by their performance and rewarded for exceeding expectations.
I was able to work in that system for many years, and it worked well.
This is not a bad thing because it’s almost guaranteed that no one will be trying to exceed sales goals. In fact, there are very few people who would go above and beyond their quota just for the sake of being great.
For those of you who don’t know, commission sales are when a retail employee gets extra money for meeting goals or exceeding quotas. Commission pay can be weekly or monthly.
The problem with an incentive system is that it can create a culture of competition. Click To Tweet
The manager will be dragged into those sales conversations and could lose customers because the employees are trying to take them from you.
There was a time when I had this great salesperson on the floor who knew exactly what he needed to do. He would keep an eye out for people that looked like they were about to buy something and then pounce, but it turned out not everyone is motivated by greed.
Our sales manager would often take care of the client because he was so good at his job. He made it look easy and we all knew that there were only certain things a salesperson could be responsible for.
You need to create a team environment where people can get along and work together. Here are some tips for you on how to do that.
If you’re the one who always gets mad when your customer goes to a competitor, here are some steps that will help keep them from going elsewhere.
Get Right Your Store’s Policy
Now, before we get into what you can do to make sure your retail store’s visitors know they are in the right place and not an intruder or a potential robber, let’s discuss policies and retail sales training.
Some retail stores will allow anyone to approach a customer and ask them for help, regardless of who greeted the person. You should find out if this is allowed at your retail store.
I can’t answer this question without knowing more about your situation. If you can, try and get some information from them about how they might resolve this problem before asking for their help.
Know that even if your co-worker isn’t playing by the same rules, she’s still likely to be bringing in sales and profits.
This is because a high sales volume can cover up so many things.
Check Your Competition
You have already asked your co-worker to stop and he has ignored you. In order to get clarity on what is happening, figure out the actions that are taking place as well as those in which you aren’t doing anything. The next time you work together, observe him.
A lot of the time, it just takes watching someone else to notice that you are doing something wrong. You can learn from them and improve your timing or come up with a better follow-up technique if they’ve got one.
If you want to lock down a customer, be sure that they know who owns them. After your greeting, give the customer one of your cards and tell him or her to call when ready for purchase.
You could also take a picture of the customer to document their purchase.
I’ve always wanted to put a sticker on the customer that says “I Belong To Your Name.”
If you think these scenarios are ridiculous, it’s because they should be. I’ve seen variations of this type before and know that many people have too – like car dealers.
If you want to solve any sales problem, the best thing is always to go back and try to figure out what it was that went wrong in your own performance.
Don’t be a stranger to your customers. Make sure you’re following up in the right time frame, establishing rapport with them from the very beginning, and making an impression when they first interact with you.
I used to think that just because I said “good morning” meant the customer was mine. It turns out, that you have to earn their trust and loyalty.
I know firsthand that it can be stressful when you have a co-worker who steals your sales. If only we all got along and supported each other.
If you want to be a successful salesperson, then forget about your co-workers and focus on yourself. Click To Tweet
Great salespeople know that the best way to learn is by studying themselves and their customers.
If you are the retail manager, here’s a list of ground rules to avoid being in the middle of salespeople’s arguments.
- Consider a system where everyone can greet one customer and then be assigned to the bottom of the line, regardless if they sell that person or not.
- The moment a customer walks out the door, you can never count on them coming back.
- I am done with business cards. I used to give them out as a way of getting people interested in my company, but it turns out that they are not enough.
- If you want to cut in on a sale, make sure the other person gives their consent first.
- If you mention the sale and who is earning what in front of a customer, both parties lose credit.
Customers don’t always want to talk with the original salesperson. You should give them a second chance rather than force people to speak with someone new every time, even if it’s only for your business.
I found that the best way to keep a sale going is by making eye contact and greeting them in an amicable manner. I usually take this opportunity to look for their color of eyes.
The success of your sales team will depend on how well you can illustrate what is being sold to them. A simple analogy, for example, would be showing someone that the vacuum cleaner might work in a similar way as an air conditioner or refrigerator.
It’s pretty simple to figure out what kind of commission structure you want for your retail salespeople. The first thing is figuring out the difference between a commissioned and non-commissioned employee.
When it comes to sales training, there are a lot of questions that need answering. We will now go over the most important things.
When it comes to motivating employees, many employers are stuck on the idea that a good salary and lucrative commissions will do. The truth is there’s more than one way to get your staff motivated.