Is the “Carrot & Stick” Destroying Your Sales Culture?

Jay Mays
6 min readOct 25, 2016

There’s a war going on. An ongoing struggle that turns sales teams into troops and CEOs into Generals barking orders to “Close the deal, no matter what the cost.”

Too often we’re treating conference rooms like war rooms and sending our teams into trenches to execute strategic plans of attack.

But if sales is war, then who is the enemy? Make damn sure it’s not your customers.

Authenticity Breeds Trust

Today’s customers are far savvier than they’ve ever been before. Empowered by social networks, their voices are louder. Couple this newfound confidence with the availability of vast amounts of information online and it’s plain to see that the balance of power has been forever tipped away from your sales team.

So how do we take our customers out of the crosshairs and put them at the center of a much healthier relationship? By building trust.

Authenticity throughout the sales process is essential. It’s the most direct path to trust, and trust drives business.

“Trust begins to emerge when we have a sense that another person or organization is driven by things other than their own self-gain.” — Simon Sinek, Speaker and Best-Selling Author

Nobel Prize winning Israeli-American psychologist Daniel Kahneman found that people would rather do business with a person they like and trust rather than someone they don’t, even if that that person is offering a better product at a lower price.

Building trust takes time. You can’t hurry a relationship. The only way to do it is by providing value during every interaction. A salesperson builds his or her reputation as a trusted advisor by always asking, “How can I help you succeed?”

“Trusted advisors help their clients wherever and however they can. They don’t limit the value they create to what they sell.” — Anthony Iannarino, Sales Leader and Author of “The Only Sales Guide You’ll Ever Need”

Have you ever had a salesman tell you not to buy from him and recommended you to his competition — not because he didn’t want the sale, but because it was the right thing to do? How did this vulnerability make you feel about the salesman and his organization?

Does your sales culture enable this type of authenticity?

The Onus of Creating the Right Culture Lies with You — the CEO

Can you define your sales culture? Is it built on trust?

You’ve worked hard to build your brand, a brand that your salespeople now represent every day. In many cases, they are the first human interaction customers have with your organization.

Would you personally buy from your salespeople? Don’t underestimate the impact your sales team has on your brand.

Take Wells Fargo for example. A seemingly invincible brand destroyed by a bankrupt sales culture. The scandal culminated in not only John Stumpf’s resignation as the CEO of Wells Fargo but also his termination from the board of directors at both Chevron and Target.

Change Their Motivation To Change Your Culture

Your sales culture is nothing more than a collection of habits. Your motivators are what influence these habits.

Create a culture where there’s no downside to having authentic conversations by changing the motivation. Remove individual sales commissions and quotas to serve the best interest of your brand and your customers.

I’m not talking about letting your sales team skirt accountability. And I’m not talking about paying your team less than they’re worth. Pay your salespeople fairly and take the money issue off the table.

I know what you’re thinking, “But my best salespeople will quit and my sales team won’t be motivated.”

Yes, some salespeople will be averse to change. Fear of change is natural. But are the folks you’re afraid to lose in the short term really your team players?

If you need a carrot and a stick to motivate your salespeople, you hired the wrong team. In fact, studies show if/then rewards destroy creativity and, in many cases, financial incentives lead to poorer performance. According to Daniel Pink, best selling author and speaker, there is a mismatch between what science knows and what business does.

Foster Teamwork to Grow Revenue

If you want your organization to work together as a team, incentivize them as a team.

In a team sale, where multiple resources play different but vital roles in closing new business, everyone deserves to be rewarded.

Instead of individual commissions and quotas, create a team compensation plan around a team goal. With this approach, money can be a valuable lever for jumpstarting organizational alignment.

Internal alignment is paramount to the success of any organization. And, if your objective is to scale revenue, department activities can’t be siloed. Teams need to be able to work together and communicate openly. There is unlimited potential in successfully aligned teams combined with the right motivators. When everyone has a stake in the sale, everyone is motivated to do his or her best work.

“Tightly coupled Marketing and Sales functions have higher lead acceptance, conversion and close rates. Less friction = more revenue. It’s that simple.” — Jill Rowley, #SocialSelling

The real question is, “Does your team have the chemistry to self-direct and work together to achieve a singular goal?”

Benefits of an Authentic Culture

If you did away with individual commissions and quotas and instead created a team revenue goal and bonus structure for achieving that goal, what would the long-term benefits be?

  • Would you be certain your team was acting in the best interest of your brand, playing the long game and building trust, instead of smash-and-grab sales to get paid?
  • Would you be certain your team was acting in the best interest of potential customers and not slamming deals through that create a churn risk?
  • Would you have better visibility into the quality of leads because your team isn’t afraid to qualify out customers who aren’t a good fit?
  • Would it foster teamwork, communication and the sharing of best practices across your organization?
  • Would there be less tension and more camaraderie between your marketing, sales and execution teams?

Name Your Enemy

Your enemy is the business problem you’re solving, not your customers. Rather than preparing your team for battle, focus on bringing them into alignment around a common, positive goal.

By replacing individual commissions and quotas with a team goal and bonus structure, CEOs enable authenticity, build trust and foster teamwork. With a top-down focus on culture, the right team will fall into place and your brand will ultimately benefit.

Solve the puzzle of motivation and your sales team will be better equipped to help customers succeed, grow revenue and maybe even change the world.

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I’d like to hear your thoughts and stories about sales culture. Email me at jay@mozmanconsulting.com or let’s connect on Twitter @jaysmays.

As Managing Partner at Mozman Consulting, I help growth-stage B2B companies sell value to scale revenue. www.MozmanConsulting.com.

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Jay Mays

Sales Consultant @_Mozman & Managing Partner @ Pitch Lab, helping you be a more confident, engaging presenter! www.PitchLab.io