«

»

Jan
30

Value Creation Series Question #4: If sales growth is the most important contributor to value for small and early stage technology companies, are CEO’s generally pleased with their company’s sales growth?

Share

Recent studies show that although sales productivity is the number-one business initiative on CEO’s agendas, the sales and marketing practices employed today by most organizations are too expensive, too unpredictable, and generally inefficient. These studies show that the percentage of companies achieving their annual revenue targets has declined steadily since 2005 across all industries, among companies of all sizes, and the average number of individual sales people who miss their annual quota is over 46 percent and growing. In fact, over the past 18 months Tafaro & Associates interviewed over 50 presidents and CEO’s of technology companies ranging in sales from $3 million to $25 million. Over 82 percent of the executives surveyed were dissatisfied with the performance of their sales and marketing organizations. These companies are typically operating on thin margins, and adequate cash flow is critical. If sales and marketing are not performing, everything slows down, and the business can be placed at risk.

Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

Copyright 2006-2011 - Tafaro & Associates, Inc., Morristown, NJ 07960 - All Rights Reserved