What does it cost you to have unfilled sales positions? What does it really cost you replace a salesperson?
A common mistake is to focus only on “Cost-Per-Hire”, that
is, administrative and out-of-pocket costs such as posting the job, travel, and
recruiting fees. The Cost-per-Hire for sales positions can range from
$1,000 to $15,000 or more. A conservative average Cost-Per-Hire for
sales is $4,500.
Far more significant is the “opportunity cost” of having too
few productive salespersons! This lost revenue and profit normally dwarfs the
Cost-Per-Hire figure.
Spend five minutes with this free cost calculator to determine the opportunity cost for your
company, based on your sales quota and your gross profit margins. This is the real
cost of being under headcount for sales!
