I've been in radio sales for almost 25 years. I don't know of any radio stations that EVER hired a sales rep and then handed over a healthy list?
Roddie,
I hope that more station owners and managers will weigh in on this and share their philosophy on account assignments. With so many different factors and scenarios to consider, it's hardly a one-size-fits-all question.
For example, is the station adding a new salesperson (i.e., opening a brand new position) or replacing one that left?
If the former, are current advertisers being well-served by existing salespeople? If so, it's unlikely that the station would want to risk disrupting established, productive relationships by reassigning existing accounts. What's left for the new hire is a collection such as you describe in your post, the "opportunity" list.
If the latter, the manager is forced to consider whether the accounts formerly handled by the ex-employee would be better served by being transferred to an experienced salesperson (if not the manager him/herself), or is the new hire able to assume responsibility for the account right away.
Most managers will tell you that the number of years someone has under his belt isn't as relevant as what was accomplished during those years. They're going to be looking at things like the individual's billing history, his account activity/growth/acquisition/turnover, and other performance indicators. That's the kind of information that can help the station owner or manager determine whether the prospective new hire is likely to prove a good investment for the station.
Most successful salespeople will not shy away from a commission-based position at a station that can demonstrate it to be a lucrative opportunity for a seasoned professional.
It takes time for a new hire (regardless of previous experience) to open relationships with new clients. This is often the biggest variable in the equation, both from the station's perspective and the salesperson's.
The station wants the new salesperson "earning his keep" as soon as possible and is disinclined to be subsidizing--I'm going to use an old-school term--a "desk jockey." (More on this in a moment.)
The salesperson can't afford to "starve the family" during the months it takes him to ramp up his sales to the point where he can comfortably work on a straight commission basis.
So, the gray area between these two positions is where the negotiating generally takes place, and because of all the variables, nothing is cut-and-dried. Both parties have to understand and balance, as best they can, the risk and opportunity involved.
RE: "desk jockey" - prior to 1994, the year the World Wide Web came into its own, apart from using the telephone to set appointments or conduct a "phone blitz" (telemarketing) campaign, time spent at the desk was related more to the administrative or service aspects of the job (e.g., writing copy, turning in orders, etc.) than to sales. Today it's a different story; not that in-person calls are any less important, but a salesperson has tools available that often make time spent at the desk much more productive for sales and conducive to better relationships with clients (who, after all, have businesses to run and perhaps don't really need to see our smiling faces as often as we believe to be the case).
Again, I hope others will take the time to share their thoughts on this. It's certainly worth discussing.
The last rep I hired I gave him a list with $9k of active accounts and a huge territory. For our market size that isn't a bad starting point (he pulled an increase the second month he was here).
Woody
This is Roddie again, Thank You very much. You have given my friend a lot to think about. She is also going to join Radio Sales Cafe, she was so impressed with the feedback.
The negotiations are still going on. So, without the inside resources of your station, how can you tell what the list no matter how big or small is worth. If the Sales Manager says I am giving you x accounts that used to be on the station. What would be good questions to ask at that point to determine the value of the old list?
Roddie
Roddie,
In this week's Monday Morning Memo, Roy H. "Goober" Williams recounts his early days as a radio advertising salesman and how he made it his business to learn about business problems and opportunities before ever attempting to offer to address them with radio advertising.
Taking her cue from Roy, your friend might do well to obtain the list of advertising prospect from the station (assuming they'll let her have a copy) and do her own analysis as to their potential as advertisers. I am of the opinion that their true potential as clients has less to do with their previous experience with the station than with their current competitive position in the market and the degree to which they're achieving their full potential.
You might also want to share these threads from earlier discussions here at RSC, as I believe they contain some relevant insights:
http://www.radiosalescafe.com/forum/topics/ten-myths-about-selling
http://www.radiosalescafe.com/forum/topics/friday-poll-targeting-the-best
In the end, there's no substitute for individual initiative on the part of the seller. A wise manager will remove roadblocks, provide necessary resources, and give the salesperson a genuine opportunity to succeed. What the salesperson does with that opportunity will determine his or her success.
