Define "high turnover." Sales has a higher turnover rate than most industries, and there's a big difference between a mass exodus every six months vs a few people leaving every year.
QueenofKings
WR Officer
1
Sales Account Manager
Agree with funcoupons... Also important to understand what's behind the turnover... commission structure sucks? Easy to PIP out? toxic environment?
billboski
Contributor
2
Strategic SDR
good commission structure, which is why we get some great talent, but it seems that the company excuse is "growing pains" that could otherwise be worded as just a mess of an organization. Lots of top leadership that helped grow the org to where it is today have left, so new people like me are concerned
carmensandiego
0
AE
are they transparent about who/what the pains are and what they're doing to fix it?
billboski
Contributor
0
Strategic SDR
it gets heavily sugar-coated, so no
Variance
Executive
1
Major Accounts Account Executive
This sounds exactly like a start up company I worked for in that they lured top talent in with lucrative commission structure, fancy tools you wouldn't expect them to have, etc.
Within the first two weeks on the job I had three different BDRs assigned to me because they all kept quitting due to poor management. The same applied with the AE team in that they fired one the day after she completed her two week onboarding.
Long story short some turnover is expected in sales but if it is a revolving door then I put the blame on the company, not the reps.
Lumbergh
Politicker
0
Sr Account Exec
Yeah but what about attainability? You can have a $1MM OTE but if it's not remotely realistic it's living in candyland regardless. OTE on paper often has no remote bearing on the reality on the ground
DaveFromCollege
Notorious Answer
3
Account Executive
This coupled with your other post about ADRs not going to be considered for Pres Club kinda gives me a picture as to what sort of leadership you are dealing with...
billboski
Contributor
1
Strategic SDR
right?? the people on my level and immediate manager are great people and the main aspect I genuinely enjoy about my org, but I know that can't be what ties me to staying.
MSPSales
Politicker
1
Partner Development Manager
High turnover is always a bad sign to me. Even with a high commission structure this is red flag. It means that the company is firing AES due to performance. Which usually means the product is too difficult/not complete or sales quotas are unattainable. Or AES aren’t sticking around because they aren’t supported/a toxic environment.
run away while you still have a chance!
billboski
Contributor
0
Strategic SDR
can't say AE's are being fired as much as they are leaving on their own accord - I'm not sure which one is worse
GlenRoss
Politicker
1
Account Executive
I’d say it depends on the reason for the turnover. If the AEs that are turning over don’t see space for upward movement, it could be good to stick around as spots could open up and you could be next up. If it’s due to missing quota etc then bad sign
billboski
Contributor
0
Strategic SDR
I know the quota is tough but I don’t think that’s the main reason. After the AE role, there’s not much available above it. Guess it just depends on what I’m looking to do, be a seller forever or develop into a management role. Both seem to have their own perks
bigtuna
Good Citizen
1
Enterprise Account Executive
High turn over is pretty common amongst startups, pre-IPO's, and definitely recent IPO companies. Not sure where your company sits, but lots of time leadership can attract great talent - then 12-15 months in the AE's realize the company hasn't delivered, so instead of adapting and help shape the company - they leave.
I think the current AE tenure in software sales is like 18 months (or around that?). I'd say stick it out especially if you are in an ADR role and hope to get into an IC role. Once you show that career progression, you'll be able to pick whatever company you want to sell at next.
ScoopinButter
0
Enterprise AE
Look to 1: Product Quality/inferiority and PMF 2. Commitment to client success. If one or the other is weak, it makes an AE job very much more difficult.
Of course "Product Market Fit". Does the product fill a need? What is it's value prop. Does the pain point of their ICP's (ideal client profile) align with the solution or service the product was designed to fulfill?
In simplest terms, no one needs a square peg for a round hole, regardless of the quality of the square peg....
Hope this helps.
billboski
Contributor
0
Strategic SDR
preciate it! we actually do really well at both of those, which is why I'm so confused at the high turnover rates.
Yesticles
0
Principal Recruiter
If it's significantly different than the industry turnover rates, get out.
If the industry has high turnover, they probably hire a lot of entry level sales folks, and most entry level sales people don't make it.
In that case, if you're good, go for it.
sAssMan
Fire Starter
0
Enterprise Account Executive
High turnover = no bueno
Difficult to pinpoint the reason as there can be a ton...management style, comp structure, lack of product innovation, etc.
There are plenty of companies out there that have an extremely frictionless buying process and just need bodies to route PO’s to Finance.
With all that said...don’t be afraid to call it out in the interview process. Try and get a sense if leadership has identified it as something they are working on or if they just sweep it under the rug...
billboski
Contributor
0
Strategic SDR
definitely will be something brought up in an interview if haven't already talked myself out of it.
Also, you should win best name!
MichaelScottDunderMifflin
Contributor
0
Account Executive
High turnover is never a good thing: How is the management?
SalesPharaoh
Big Shot
0
Senior Account Executive
For me a high turnover is worrying either bad sign, whether Quota is aggressive or culture don't risk your time there.
25 comments