Training means revenue for brands.
In the next few articles we’ll expand on some of the topics we’ve touched on in previous posts. Today’s topic gets straight to the question that is on every brand’s mind when the topic of training comes up: The connection between training and revenue.
Most companies can agree that training is a worthwhile investment. The problem is getting agreement on whose budget should fund it and to what level training should be implemented. These problems arise from the belief that training is a one-and-done box to check. But it’s not. Training helps professionals become better communicators, more effective managers, or more profitable salespeople. Training ensures a return on time and financial investment as it links your people, your products, and your customers together.
Training is marketing. It is an extension of your brand. And it is proven to be critical to your success.
In a 2018 survey of Kitchen and Bath dealers, working with two major brands, Ten Pound Hammer found that 83% of dealer respondents said that improved training will make them more profitable. 78% believe it would help them sell more product. 87% say it would give them more confidence in a brand.
The survey rendered 350 responses from across the US of roughly 900 dealers, providing a 39% response rate. The higher than average level of participation and the extensive number of open-ended responses indicate that this is a topic about which custom kitchen and bath dealers feel strongly. And so should you. There is a clear connection between training and sales and profit. When training is done well, it connects the product to the team and the company to you and your brand.
Some brands are doing training. But are any of them doing it well? The answer is yes, but it seems that number is very few.
Only 20% of dealers said that most brands do a decent job with training.
Eighty percent of respondents indicated that they either get no training, or that the training they are provided with is worthless. Teasing apart these answers leads to the conclusion that dealers, overall, are tepid regarding training tools that brands offer them.
The only thing more expensive than training is not training.
When asked about the costs that occur with inadequate training, results clearly point to a cycle. Inadequate training leads to incorrect product ordering, causing installation issues, more service calls, and delays—leading next to poor customer satisfaction. The cycle ends in a death spiral of lack of referrals. But there is additional fallout: Many dealers note that a lack of training means they miss upselling opportunities, leaving potential sales—and revenue— untapped.
So, no training creates revenue loss. Bad training leads to a death spiral of issues. What could a solid, clear training program do for your company and your next product launch? That’s where we come in. Ten Pound Hammer has created content and programs for clients across a range of industries.
Click here to request a copy of our white paper on the relationship between sales and training.