Sales Contests That Make Things Happen There are several purposes for holding sales contests:

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1 Sales Contests That Make Things Happen There are several purposes for holding sales contests: To improve overall performance To increase rate-of-sale To make people feel like winners To give recognition for above average performance To set performance standards To provide a context for performance improvement and training To develop team spirit To boost morale To make sales jobs more interesting and fun What makes a good sales contest? Timing Theme Showmanship Fairness Follow up Payoff What are the rewards? Cash Merchandise Travel Special privileges Sales contests should be designed to accomplish specific objectives over short periods. A contest should have only one, two, or at most three objectives. Here are examples of some objectives that sales contests might have: To obtain new customers To secure more volume To overcome seasonal sales slumps To move old or selected inventory To sell a higher percentage of new, used or certain inventory To sell accessories or add-ons To increase the use and quality of sales process presentations To secure a higher percentage of repeat and referral business To improve customer satisfaction

2 Following are some issues to keep in mind as you plan sales contests: Determine what you want the contest to accomplish. Set the ground rules. Set specific goals that can be measured weekly or monthly. Create a visible tracking tool to show the results. Incorporate an exciting theme. Consider making rewards gifts, rather than cash... Boost team members' motivation by getting their families involved. Here is a tool box of proven sales contests that work Fast Start Sales Consultants have a habit of letting down at certain periods throughout the month and we can use cash incentives to focus on moving units sales at a quicker than normal rate-of-sale. Let s say we want to sell 25 units in the first 5 days of the month. For each unit that is sold a cash bonus is paid when the row that that unit is sold in is complete. In other words after the 5 th unit is sold each person receives $10.00 in this example. Each person that has a unit in the first row receives the $10.00 in cash when the row is complete. When the second row is complete, the payouts are retro to the first unit, so each person that has any unit of the first 10 sold receives $20.00 in cash back to the first unit sold. This continues until the 5 days are over or the 25 units are sold. As you can see the first units are the highest units to payout if the objective is obtained (in this example the first row of units are worth $ each at objective) yet, the payouts for the later units is also higher that drives hitting the objective. If the objective is not met the higher payouts are not paid that make the contest nicely variable $10.00 $10.00 $10.00 $10.00 $10.00 Total $50.00 $20.00 $20.00 $20.00 $20.00 $20.00 Total $ $30.00 $30.00 $30.00 $30.00 $30.00 Total $ $35.00 $35.00 $35.00 $35.00 $35.00 Total $ $50.00 $50.00 $50.00 $50.00 $50.00 Total $ Total $

3 March Pot-O-Gold Aged Inventory Sales Contest Eligible Sales Consultants: All Ford, GM or East 10 th Sales Consultants Eligible Units: All Used Vehicles 45 days or older at day of delivery Contest Period: March 1 st thru Official March end of month For every used vehicle aged 45 days or older that is sold during the period, $5.00 for every day the vehicle has been in stock will be thrown into a pot. Must sell a minimum 2 aged vehicles to be eligible for % of pot The selling sales consultant will be credited with the number of days the vehicle is old for each vehicle they sell during the month. The total of these days for all the vehicles they sell represents total days credited for them. At the end of the month the total number of days credited to each salesperson will be divided into the total dollars in the pot and that sales consultant will be paid that percentage of the total pot. Top Gun Award Most total days sold for the month (45 day + units only) = $ Top Gun Award Most used units sold of any age = $500.0 Example: SC#1 sells 3 vehicles, 61 days old, 47 days old and 51 days old for a total of 159 days. At $5.00 per day old $795 will be added to the pot SC#2 sells 2 vehicles, 66 days old and 49 days old for a total of 115 days. At $5.00 per day old $575 will be added to the pot SC#3 sells 1 vehicle, 60 days old. At $5.00 per day old $60 will be added to the pot SC#4 sells 5 vehicles, 46 days old, 57 days old, 55 days old and 47 days old for a total of 205 days. At $5.00 per day old $1025 will be added to the pot SC#5 sells 2 vehicles, 49 days old and 56 days old for a total of 105 days. At $5.00 per day old $ will be added to the pot SC#6 sells 1 vehicle 66 days old. At $5.00 per day old $300 will be added to the pot. SC#7 sells 4 vehicles, 49 days old, 47 days old, 59 days old, and 58 days old for a total of 213 days. At $5.00 per day old $1065 will be added to the pot. SC#8 sells 2 vehicles 49 days old and 56 days old for a total of 105 days. At $5.00 per day old $525 will be added to the pot.

4 March Pot-O-Gold Aged Inventory Sales Contest (Continued) A total of $4870 will be available for bonus: SC#1 has 159 days credit SC#2 has 115 days credit SC#3 is not eligible SC#4 has 205 days credit SC#5 has 105 days credit SC#6 is not eligible SC#7 has 213 days credit SC#8 has 105 days credit Total days credit for all eligible players equals 902 days SC#1 = 902 divided by 159 equals 17.6% of pot. $4870 total pot x 17.6% = $ SC#2 = 902 divided by 115 equals 12.7% of pot. $4870 total pot x 12.7% = $ SC#3 = Is not eligible due to selling only 1 unit SC#4 = 902 divided by 205 equals 22.7% of pot. $4870 total pot x 22.7% = $ SC#5 = 902 divided by 105 equals 11.6% of pot. $4870 total pot x 11.6% = $ SC#6 = Is not eligible due to selling only 1 unit SC#7 = 902 divided by 213 equals 23.6% of pot. $4870 total pot x 23.6% = $ SC#8 = 902 divided by 105 equals 11.6% of pot. $4870 total pot x 11.6% = $564. So, public praise/recognition, empowerment, and continuous opportunities for growth and development mean more than anything to sales consultants Baseball Contest The name of this game is scoring runs the more runs scored, the more $ earned For each sale a hit is made and the hit will move the base runners along the bases. Different hit values are earned based on the type of vehicle sold. Each run up to 50 runs (regular season) will be worth $50.00 for each run scored The top 10 sales consultants (players) when 50 runs are scored will compete in The World Series which will pay $100 for each of the next 25 runs scored. The winning player (most runs scored in the World Series) will receive a gift certificate for $ to their favorite store or restaurant, the second place player will receive $ gift certificate and the third place player will receive a $ gift certificate. The MVP (most runs scored in regular season and World Series) will receive an additional $ The regular season cash awards will be paid when the first 50 runs are scored. These awards will be paid in cash with the taxes deducted at month-end washout. The World Series certificates and MVP award will be presented in the Saturday general sales meeting that precedes the end of the season.

5 Baseball Contest (Continued) Base Values Ford New Vehicle Lincoln, Mercury New Vehicle Used Vehicle less than 15 days in stock Used Vehicle greater days in stock Used Vehicle 31+ days in stock Single Double Double Triple Home Run Extra Bases Extended Service Contract Short term lease <36 months Repeat customer Single Double Single In the case of a tie, all ties will be broken using rock, scissors, paper to determining ultimate place. Take a Shot Contest In this contest the dealership purchases a freestanding basketball hoop and sets it up behind the dealership. For a set period of time every time a sales consultant sells a particular unit (old inventory, special selected units, etc.) the consultant gets an opportunity to make a free-throw to gain points that are used at the end of the contest to obtain prizes. In other words the sales consultant with the most points gets either X amount of dollars or 1 st choice of merchandise, the second most points gets second choice, etc. Here again, the number of units that must be sold prior to the contest paying out are determined ahead of time and are time period certain thereby increasing the need to produce with increased velocity. The sales consultant or team leader that ends up with the most points gets the basketball hoop and the basketball when the contest is completed. Other ideas that work Darts Put a bunch of balloons on a board with small pieces of paper inside that identify the cash or merchandise prize. For every unit the sales consultant sells that qualifies they get to throw a dart at the board and receive the prize that is inside 2 for 1 Distribute house deals by giving them when a sales consultant sells a selected unit. In other words the team leader announces that whoever sells the first used unit over 45 days will receive the house deal also.

6 Other ideas that work (Continued) Magic Selling Donuts On a Saturday bring in a box of premium donuts and indicate to the sales consultants that the donuts are magic. They contain power to sell vehicles. Tape a $ bill to the lid of the donuts and announce that the first person that sells a particular unit (overage unit, selected new class of unit) will not only get the magic but also the $ Personal World Record Each and every month that a sales consultant reaches their monthly personal best unit sales they receive a $ bonus. This promotes each sales consultant reaching for their personal best each and every month. Celebrating this accomplishment in the first general sales meeting in front of their peers has incredible value Check for the Spousal Unit Send an unsigned check to the spousal unit of each sales consultant. Indicate that their husband/wife has set a goal for X amount of sales for the month. Indicate that when their husband/wife reaches their objective they can bring the check in and you will sign it. You can carry this over until the X amount of units is reached if you want. Cash-in-Hand After their personal goals for the month are announced, give each sales consultant X amount of $ in cash. Indicate that you will let them keep the cash if they reach their goals. If they don t they have to give it back. "Margarita Award" Have a weekly award for the toughest customer of the week. Allow sales consultants to get up in front of the other consultants and describe the toughest customer they had for the week and how they sold them. After all participants have finished have all consultants vote, determine a winner, and reward them with a gift certificate for dinner and margaritas at a nice restaurant. 20 Questions On a Friday afternoon give 20 $5.00 bills to a selected sales consultant. Identify a particular new vehicle model and tell the consultant to study the product knowledge of this model. Let all the other consultants also know what the model is also so they can also study it. On Saturday morning have the consultant and the vehicle on the show floor. Allow the other consultants to ask a product knowledge question and if the selected consultant can answer the question he gets to keep the $5.00, if not they have to give the $5.00 to the questioner. This is a fun way for all to learn product knowledge The $20.00 Question This is a variation of above where the selected consultant gets 5 $20.00 bills and gives a clue about a certain used car on the lot. He chooses a consultant and if that consultant can identify which used car he is talking about, he gets the $20.00, if not the selected consultant gets to keep it. Word track of the day Identify a selected word track at the beginning of the day or week and when the team leader asks the consultant to repeat the Wordtrack and they do it perfectly they receive an on-the-spot reward of X, either cash or prize. This also forces the team leader to know the word track perfectly

7 Additional Possibilities Personalized "Thank You" or "Great Job" letters/cards. Sounds kind of basic, but you'd be surprised how few team leaders take the time to formally thank or show appreciation to sales consultants, or how many do so in such a generic way that it strips any value from the gesture. "One size fits all" doesn't go over well when recognizing employees. Rather than giving consultants a pre-fabricated "thank you" or "great job" form letter, leading team leaders write letters or cards to consultants who have gone above and beyond - and are explicit as to why the consultant is receiving such recognition. Special training and development opportunities based on accomplishment. This is providing a reward of further training or development to the consultant for great performance. Opportunity to assist in training and to share knowledge/experience with other consultants Utilize your top consultants to get involved in the training and development of the other consultants. To many consultants this is a great reward. Other opportunities to recognize - Rookies of the year Highest productivity for sales consultant The (name of the dealer) Award, given to the sales consultant with the highest CSI that has sold a minimum qualifying number of units Bronze, Silver and Gold productivity awards based on finite standards of production in both units sold Team Twenty membership for those sales consultant that have sold at least twenty vehicles in at least one given month Outstanding Team Member where a statue is passed from desk to desk on a monthly basis. It is similar to a typical Salesperson of the Month Award and includes preferential parking. Dining with the Boss, where the top three sales consultants from the previous month are taken to lunch by the dealer principal, GM or GSM the first working day of the current month. This practice is never postponed or cancelled for any reason. The store recognizes employees in their 10th year of employment with a special dinner (and roasting ) attended by all the employees. The honored employees also are given an expensive wrist watch as a gift In recognition of employee tenure, 10 year employees are awarded an all expenses paid trip to their choice of several available destinations.