How Much Does it Cost to Replace a Sales Rep? $114,957! [Infographic]

You know your sales hiring is broken but you just don’t have the time or energy to do something about it right now.

Besides, how bad can it really be?

Let’s take a look at the data summarized in our new infographic How Much Does It Cost To Replace A Sales Rep below:

How Much Does It Cost To Replace A Sales Rep - Ideal Candidate

Costs of a bad sales hiring system

Average cost of replacing a sales rep

 $114,957

  • Separation costs
  • Replacement costs (e.g., lost time in territory)
  • Training costs
  • Acquisition costs

(source: DePaul University’s Sales Effectiveness Survey)

Average turnover rate for sales

28%

(source: DePaul University’s Sales Effectiveness Survey)

Rewards of using a data-based sales hiring system

Average increase in quality of hire by using an algorithm

50%

(source: The Harvard Business Review)

Average increase in sales revenue by using an assessment to hire sales reps

20.7%

(source: Farrell & Hakstian, 2001)

Average net gain in sales productivity per sales rep over their tenure

$778,050

(sources: Farrell & Hakstian, 2001; HBR; U.S. Bureau of Labor Statistics)

The bottom line

Assess what’s not working about your sales hiring today and fix it to increase your bottom line.

Are you looking for salespeople that are a perfect fit for your sales role, team, and company culture? Use Ideal Candidate to automate candidate sourcing and duplicate your top sales performers. Sign up for a free trial now

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Ji-A Min

Ji-A Min

Head Data Scientist at Ideal
Ji-A Min is the Head Data Scientist at Ideal. With a Master’s in Industrial-Organizational Psychology, Ji-A promotes best practices and data-based recruitment. She writes about trends and research in talent acquisition, HR tech, and people analytics.
Ji-A Min

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