Are your “hunter” sales reps generating the amount of “new business” you expect?

This particular post is directed at Owners of Reprographics companies and Sales Managers (or Sales VP’s) of Reprographics companies.

According to the results of the Survey I recently conducted, Shaun Meany’s blog, “Point of View”, is well visited by people who also visit “Reprographics 101”. (“Point of View ranked second, tied with ARC’s web-site.) (As I’m sure everyone who reads this blog knows, Shaun is the President The PEiR Group. Shaun is a veteran reprographer.)

Two weeks ago, Shaun did a post that consisted of a couple of statements, “Say something. We want to know what you think about the reprographics industry.”

So far, no one has responded to Shaun’s post. Apathy?

I only point that out because I’m now going to explain a scenario and ask one question. But, based on the response that Shaun got (or, I guess I should say, lack of response that Shaun got), I’m going to assume that no one will respond to the one question I’m going to ask. But, I’m going to ask it anyway.

My question pertains to “productivity of a sales rep.” Let me first explain what I mean by that and then ask the question: If you hire (or have) a “hunter” type sales rep and if his/her main priority is to generate business from “new” customers [you’ve explained to your sales rep that you expect him/her to spend at least 85% of his/her time signing up “new” customers (and, of course, that activity requires and includes - prospecting, cold calling, setting up appointments, making in-person sales calls, presenting your company’s products and services, asking questions, generating proposals, submitting proposals, asking for the business and, yes, closing deals and generating new revenues)], how much “new business” do you expect that sales rep to generate each year? (i.e., “annual” new business sales?)

(Note: do not include “penetration sales” to customers who were already existing customers.)

What would be your answer to that question? $1,000,000 in new business per year? $500,000 in new business per year? $250,000 in new business per year? What’s the number that would “meet” your expectation for a good hunter sales rep?

And, okay, there’s a second question I'd like to ask. At what level of “new business” sales achievement would you consider your sales rep to be not worthy of continuing employment with your company?

Very recently, one of my reprographics industry friends said that, “a) I expect a hunter sales rep to generate at least $250,000 in “new” business from “new” customers, each year, and b) if a hunter sales rep does not generate at least $150,000 in “new business” each year, then he/she isn’t cutting it and won’t be allowed to stay on our team.”

Well, that was my friend’s response. What’s your response, what are your two numbers?