From The Conversation · Daniel E. Chavez · · 1m 40s
When managers help close sales, customers actually like it
A massive study reveals the sweet spot for manager involvement in retail sales.
In brief
A massive study reveals the sweet spot for manager involvement in retail sales. Managers boost sales by 5-13% when they support salespeople from the sidelines rather than taking over, because customers see it as elevating the salesperson's status. Originally reported by The Conversation.
Managers helping sales staff actually works
A study of 5.5 million real sales interactions at a Fortune 500 company found that teams with manager support outperformed those without by 5% to 13%, generating an extra 13 million dollars in yearly revenue.
The back-seat approach wins
The biggest sales boost came when managers took a supportive role with new customers rather than leading the sale themselves. Customers viewed this secondary support positively.
Why customers respond to manager support
When managers step in as backup, customers perceive it as boosting the salesperson's status and credibility. This increased perception of the salesperson's standing made customers more open to buying.
Manager involvement is already common
Between 12% and 20% of sales managers help close sales regularly. In a survey of 85 business-to-consumer managers, they reported spending 41% of their time selling alongside staff.
There's a limit to manager involvement
Manager involvement helps sales up to about one in every three transactions. Beyond that point, store sales suffer, likely because managers neglect their other duties.
New hires benefit most from manager time
New salespeople who experience 10% more manager involvement in their first month are 8% less likely to quit by the third month than their counterparts.
Business-to-business sales remain unclear
The findings don't apply to B2B sales, where buyers and sellers are more informed and the process is more complex. Manager involvement may need different timing or approaches in those settings.
The headline
Managers boost sales by 5-13% when they support salespeople from the sidelines rather than taking over, because customers see it as elevating the salesperson's status.
