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Demand is up - So Why Are Your Sales Stalling?

Today we're seeing a glaring paradox within the Staffing Industry:  Demand is surging, but revenue is flatlining and profits are declining.

According to a recent report from Staffing Industry Analysts (SIA), Year-Over-Year demand is up nearly 20% from last year, yet actual closed deals are stagnant at only 5%.   

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As a Fractional CRO, I step in to scaling companies every day helping them break this cycle by focusing on:

1.  Diagnosing Broken & Stalled Revenue Systems
2.  Reviving Stalled Growth & Pipeline Conversion
3. Turning Inefficient Sales Cycles into Predictable      Revenue Engines


If you are experiencing any of the issues listed below, perhaps now is a good time for us to talk.

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The Illusion of Activity

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When companies experience a growth plateau, the default reaction is usually to push for more:  More calls, more emails, more meetings, more submittals...more volume.  But buyers are becoming highly risk-averse and, while flooded with quantity, they are starving for quality!

Doing more of the same thing is unlikely to get any sustainable results - except high turnover.

Activity leads to results - but only if it's the right activity!  Are you measuring the right metrics?

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Underperforming Sales Teams

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A recent study showed that 48% of all B2B sales people are not performing to quota at any given time.   5 years after COVID, 77% of sales people still prefer video meetings over in person meetings and 8 out of 10  prefer  email as their primary mode of communication over phone calls.  Staffing is a relationship business but many are treating it like a transactional comoditized 

The truth is people DON'T buy from people they like -  They buy from people they TRUST.  And you can't build trust over Zoom!

Accountability Challenges

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Stalled revenue.   Underperforming Sales.  High Turnover.  

All of these can point to one area:   Accountability. 

Many of today's leaders, from line managers to Executives, struggle with accountability.  Either it's too lenient (resulting in too many underperforming employees), too draconian resulting in high turnover and poor morale, or too inconsistent which can destroy trust and culture.     

The good news is consistent, empathetic, yet, firm accountability can be taught and coached leading to strong cultures, reduced turnover and high-performing teams.  

  

Stalled Revenue Growth

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Statistics show that less than 2% of staffing firms ever achieve the $100M revenue level.   According to SIA's most recent Fastest Growing Staffing Firms list, only 43 out of 145 staffing firms to be listed were involved in IT Staffing and more than half (56%) had revenues under $100M.

In today's market, if your annual revenues are less than $50M and you are not seeing at least 10% growth per year, your revenue system may be stalled or broken.  

Increasing Sales Turnover

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53% of all CEOs indicate that hiring and retaining good talent is their #1 concern - and it has been the number 1 for over 10 years.   And, yet, the average turnover for sales people in the IT Staffing world is just under 30%.   High turnover hits every aspect of your business from culture to employee moral, from hiring ability thanks to Glass Door, from client perception due to a revolving door of faces and ultimately to lost revenue and increased costs due to hiring, training and replacing talent.  

We can help you stop the revolving door of sales turnover.  

Unpredictable & Unreliable Forecasts

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One of the major reasons most companies fail to reach the $100M milestone, is due to the inability to accurately predict sales growth and, more importantly, profit growth.   It's challenging and stressful to invest for future growth if you are unsure of your trajectory - due, in large part, to inaccurate and unpredictable sales forecasts.   Like many things in our industry, accurate forecasting is a proven mathematical formula - provided you are inputting the right metrics and have reliable field management of your sales teams.  We can show you how to implement these changes to see real, predictable results.  

 Larry Thompson - Fractional CRO

Over the past 25 years I've seen an incredible evolution take place in the Staffing industry from my early days as a top sales person to, more recently as, a highly successful Sr. VP of Sales & Operations of a $1.2B global enterprise.  

My particular expertise lies in quick and thorough analysis of broken or stalled revenue systems, harmful cultures, and high turnover environments,  and successfully turning them into high-performing sales engines, with record high retention and cultures that are the envy of other companies! 

For more information about my background check my LinkedIn  page.

 

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