Client Case Study

Customer Potential, Sales Staffing & Deployment

Objectives/Challenges:
Management at Tiger Corporation was faced with a large dilemma. Their sales were not growing in a growing industry. They were convinced a significant part of this problem was their salespeople were not focusing on the right opportunities and were spending too much time on customers who had either reached their full potential or were within the salespeople’s “comfort zones”. They also suspected that their current alignment would not allow their company to grow as some salespeople were assigned territories that had too much potential for one person to handle. Additionally they thought some salespeople were in areas that had minimal potential and could possibly be serviced by an inside salesperson.

Our Approach/Strategy:
Tiger Corporation asked Young & Associates to look at the customer potential of their company and to re-align the territories with the potential. Young & Associates’ first step was to run a regression analysis of metrics that correlated with the purchases of Tiger Corporation. After finding the variables that were predictors of potential, Young & Associates then used them to create a “BPI” (Buying Power Index) by zip code location. Tiger Corporation now knew which zip codes had the highest potential for their company. After rolling the zip codes up to a national level, Tiger Corporation now had an idea of where the potential lie. Then, using an optimization mapping software, Young & Associates was able to align new territories to the potential, ensuring higher sales effectiveness.

Results:
Tiger Corporation now has territories that are balanced by workload and potential and makes more effective use of the sales resources that are currently in place. The new alignment allows salespeople to achieve greater sales effectiveness and grow at rates faster than the industry. One year later the company was recognized by one of the country’s leading business magazines as having outpaced and outsmarted their leading competitor.