Beginning with Part One we’ve looked at why commission sales are good for good salespeople, why they are good for the company, and why it’s good business for a commission salesperson to be honest (thus – and most importantly – why it is good for the consumer).

Now let’s look at what John David Mann and I believe is the determining factor in terms of what makes a great salesperson great and why that person will thrive in commission sales.

Here’s a surprise: It has little to do with belief in the product, product knowledge or selling skills. Please don’t misunderstand! All three are vitally important and a must for anyone to be successful. They are simply not the difference-makers. After all, we all know many average salespeople who possess all three of the above yet are still not financially successful.

I thought of this as a fitting close for our four-part series after I received an email from someone who said that a person might sell on commission because they have a money need. Well, we “all” have a money need to some degree or another, as money is the currency of exchange through which we both add and receive desired value. But our need is not only not the difference-maker but just the opposite. In fact, the more we focus on our needs the least successful we will most likely be.

The key  is making sure you put the needs of the customer before your money needs. That way you’ll focus more on the customer (and on creating value for them), and the money will follow. Remember, “money is an echo of value. It’s the thunder to value’s lightening.” (From Go-Givers Sell More).

Focus on the money – or commission – and you’ll typically provide less value, thus make less money. Focus on the customer and you’ll end up providing so much value that you’ll make a lot more money.

Yes, the key is your point of focus. Spectacularly successful commission-based salespeople are laser-focused on serving the needs of their customer.

Place your focus on the customer…and not the money…and you’ll make a lot more money.

Ahh, another paradox of life. Don’t ya’ love it!

In Part One we saw that commission sales is better for the salesperson (who produces) and in Part Two we learned it is better for the company. But, what about the fact that commission sales will cause some salespeople to try and make the sale dishonestly in their quest for the all-mighty dollar?

The problem comes when there is a character flaw in the salesperson. In this case, what they are doing does not in fact serve the person to whom they are selling.

Fortunately, there are two reasons why it is in the best interest of the salesperson to be scrupulously and fanatically honest when selling:

1. It’s the right way to be (duh) . But, of course, we can’t be so naive as to go with that as the only reason since – let’s face it – not every salesperson is interested in that reason. But that’s okay. Here’s why:

2. It’ s more profitable both short-term and long-term. Who gets more referrals, the dishonest salesperson or the honest one? The one who provides extreme value compared to the price or the one who does not? And, even immediately, unless someone is simply a really proficient con-artist (and there are indeed those in the world) knowing how to play upon the greed of the “I deserve something for nothing consumer” (and there are indeed those in the world), it’s difficult to pull off that kind of crud.

Years ago I met a business owner who was described both by others and even himself as being somewhat heartless and uncaring. Yet, his company’s level of service was above and beyond; flawless. His money-back guarantees were the best; he questioned no one who wanted a return or complained (even incorrectly) about  a problem with the product and he and his staff did whatever they could to please. Why? “It’s good for business” he told me.

So, putting great intent (which is even more powerful) aside, in commission sales – which is what you are in whether you own the business or simply have the title of salesperson – it pays much more to be good and to do good…for the customer.

We’ll wrap up our series in Part 4 with a final thought. Perhaps it’s the secret regarding why some people wildly succeed in commission sales and why others don’t. And, it has nothing to do with ability which, while very necessary, is not the determining factor.

What do you think it is?

In Part One we saw that one of the nicest aspects of commission sales is that it rewards for production and for adding value to the lives of others. As John David Mann and I site as the Law of Compensation in our book, The Go-Giver, “Your income is determined by how many people you serve, and how well you serve them.”

And, of course, this also benefits the company, which benefits when producers know they will make more money when they produce and less money when they don’t produce. And, this helps the company to stay in business, employ more people who can buy from other companies, helping those companies stay in business, etc., etc. (yes, “trickle down” actually does work despite how often some like to mock it — but remember, we’re talking “true” trickle-down, not politically-based favors to certain industries.)

So, yes, commission rewards for making sales.

“But Bob” the person asks, “doesn’t that motivate a salesperson to be dishonest; to say anything it takes to ‘make the sale’?”

We’ll look at that question in Part Three.

I’m often asked my opinion regarding commission sales. Is it good? Is it bad?

Well, knowing me as you do, you’ve probably already figured that I’m most likely to say that “in and of itself, it isn’t good or bad; it just is.” And, I’d then follow that by saying it is the salesperson himself or herself who makes it good or bad.

However, I’m going to go a step further and say that, in and of itself, commission sales is good. Very good!

Why? Three reasons.

First, because people should be financially rewarded to the degree that they produce by serving others (in this case, via helping fulfill the person’s want/need in terms of their product or service they sell). Actually, if you are in business, you are in commission sales. When your product sells, you make money. When it doesn’t you don’t.

Also (and this would be a continuation of the above) there is an…indecency, if I may, in punishing the producer for producing while rewarding the non-producer for not producing. And, remember, “behavior that gets rewarded, gets repeated.”

Which brings up the second reason, and we’ll discuss that in Part 2.

We’ve all heard how important building or creating rapport is to the sales process. And, indeed it is.

But, what is rapport, what is it’s purpose, and how exactly do you build it? In this week’s Endless Referrals Video Brief, that’s exactly what we’ll discuss.

Now, be sure and act upon the Action Idea.  The more prepared you are the more comfortable you’re going to be, thus the easier it will be to focus on the other person. And, that makes creating rapport a whole lot easier.

And, of course…make it a GREAT Endless Referrals Week!