08 May Want to Increase Revenue? Hire Women!
As a sales consultant, my job is helping sales managers and VPs hire, train and coach their salespeople.
Often on the first day of a new assignment, managers ask me to advise them on the most important initiatives they should give immediate attention too.
When there are few women on the sales floor and leadership team, my response is instantly, “hire more women!”
Some sales leaders usually tell me they are trying but because their sales team is predominantly men, women are not interested in working for their company.
Others just give me an incredulous look. I get the impression that they may think, since I am a woman, I have an agenda.
But there is a strong business case for hiring more diverse teams.
Research actually show that a balanced (equal man to women) sales team makes a company more profitable.
Analysis conducted by Gartner found that while women are vastly underrepresented in the sales industry, companies that had high gender diversity more than doubled annual revenue.
A study out of Harvard confirms this, finding that teams with an equal number of women and men were more profitable than teams that were predominantly male.
But women don’t just help improve profits, Mckinsey found companies with a more balance sales team also have higher customer satisfaction!
Keep in mind, It’s not just about having women, it’s about having a balance of women and men.
Still not convinced? Let’s take a look at three more reasons why women will help you increase revenue.
3 Reasons You Should Hire More Women
1. High ROI
High achieving, quota crunching salespeople are often referred to as sales hunters. Every sales manager dreams of having a team full of sales hunters.
But hunter is usually associate with masculinity, which can cause women to be overlooked.
I’ve met many relentless, resilient and gritty women who exceed quota. Their approach may be less “hunter” like but they are equally effective and sometimes more so.
The data confirms my observations. According to Xactly Insights, men hit their quotas 67% of the time, compared to 70% for women.
Every hiring manager knows replacing talent is time consuming and expensive.
Also, women tend to stay in roles longer, which lowers churn and increases return on investment.
Plus, having women on board can improve the whole team. Women leaders tend to hire more diverse teams than men. Gender diversity leads to thinking outside the box, more creative rapport in meetings, and ultimately more innovative sales techniques.
2. Unique Negotiating Ability
There is a cliche that women are not as successful when negotiating as men, but that isn’t exactly true. Women tend to excel, even surpassing men, when negotiating on behalf of another person or entity. This means, you’re going to want a woman negotiating on behalf of your organization!
3. Deeper Customer Relationships
Studies show that women are more driven by relationships. They also tend to have better memory, especially the ability to match faces to names, which helps them excel in developing deeper relationships.
Losing clients is another way sales organizations can end up hemorrhaging money. Studies show women’s characteristically strong interpersonal skills make them more adept at resolving conflict helping you hold onto clients you might otherwise lose.
Don’t believe me? One study found when two men must reach a compromise, they struggle to do so. But once a woman is added to the equation “compromise is nearly guaranteed.”
My suggestion, building a more balanced sales team needs to start with SDRs.
Take a look at your sales development team, what percentage are women? SDRs are the future leadership of your sales organization. In the next post, we will take look at some of the biases that are getting in the way of you hiring women into your SDR team.