Companies are getting giddy and want to hire right now, therefore demand for sales representatives should spike for at least 6 months. This is fine as long as the firm hires the right sales person.
Though, prices or compensation demands are going to rise to the numbers quoted below. I don't see them going over, but again, I predict a boom in sales needs the first 180 days of 2011.
As of November and December 2010, our firm has seen a significant increase in employee demand within the sales arena. Our company now has to turn down new clients.
Thus, basic economic principals have been put in place and this demand drives up the prices for both recruiting sales professionals and sales managers in nearly every industry.
With the aforementioned changes, a lot of employers are asking themselves as who costs what? What kind of talent and experience can you now get while still remaining in budget?
To assist you in your hiring, below are some numbers and predictions along accompanied by different hiring scenarios that can fluctuate the necessary budgeted amount a company needs budget for an effective sales professional.
This document is to assist you budget for what you are likely to spend for various sales professionals and sales managers over the coming year.
What Levels Are Hiring?
At the end of this year, our company saw a shift from heavy on sales managers since June to companies hiring multiple mid and junior level sales representatives in bulk. We have staffed about 9 sales professionals within the last 5 to 6 weeks.
We are getting calls from clients who are telling us that they are hiring two candidates instead of one. Aside from helping an old client out quickly for a base just shy of $40,000 these jobs had a base salary of $42,000 to $55,000.
The list of clients that we are currently working with are all looking for something similar aside from one who is looking for a sales director in Chicago. Otherwise, we won't have any more job openings until we can complete the projects we are doing.
What Are the Going Rates to Hire a Competent Sales Representative in New York City?
$42,000 - 2 years or less sales experience
$45,000 - $60,000 up to 7 years experience - general sales, does not need to have an expertise. Though, the sales representative must gain one to get to the next tier.
$60,000 - $90,000 could be 5 or more years, but the person must have a niche expertise and book of contacts. If not, there is no real ROI for the company to hire them and that sales representative falls back a category until they do in some area.
$100,000 - $120,000 beginner manager. May have 3 - 8 years successfully managing a team within that industry and must be able to sell as well.
$120,000 up to $170,000 will be the going rate for a top producing sales manager in 2011. That is, if the sales manager comes with the right background. The highest we saw in mid 2010 was $150,000 for a sales manager. That was only once, the rest were around the $110,000 - $120,000 mark.
Demand for someone solid with this broad background is going to increase significantly. We have a client who is in Chicago and is now is going to go up to $150,000 for a sales director if necessary.
Does the Sales Representative Have More Wiggle Room with Negotiation?
They do, but good companies are smart and are only paying within the above salary ranges. Therefore, if a good sales representative goes beyond these thresholds, they are apt to not get the offer.
However, there is a direct correlation between the more senior sales professional and their ability to wiggle into extra salary thresholds. Though the above prices should be more than sufficient for this year in the major metropolitan markets.
Ken Sundheim is the President and Founder of KAS Placement executive recruiting and sales and marketing staffing agency specializing in helping both U. S. and International mid to large size firms Staffing Agencies, Sales Recruiters DC Headhunters form sales teams from hiring the executive level sales manager to helping recent college graduates transition to a business development role. KAS also works in the San Francisco Sales Headhunters Houston and Dallas Recruitment