Skip to main content

How Prospecting KPIs Can Demotivate Your Sales Reps

The following post was republished with permission from KLA Group.

Today I was working with a client setting KPIs (key performance indicators) for a new business development sales rep he wants to hire. We calculated the number of sales they need the rep to make this year, the length of the sales process, the number of first-time appointments the new rep will have to conduct every week, right down to the number of prospecting hours required to get those meetings.

And then the business owner asked, “But don’t we have to set a KPI for the number of new prospect calls the rep has to make every day – you know, the very first call to a prospect?”

He thought every call after the first dial didn’t count as prospecting. In his mind, those calls were simply follow-up and not nearly as important as the first one. Somehow he’d built up the first dial to be the hardest one to make. Every call after that was supposedly easier. But prospectors know that isn’t the case.

Every sales call can be difficult until you successfully set the first appointment.

A small percentage of reps happily pick up the phone, smile and dial every day. But most reps have to diligently prepare themselves to make prospecting calls whether it’s the very first dial or a follow-up call. They prepare their lists, value propositions, objection responses and initial questions. Then they mentally prepare for the overbearing gatekeepers, droning voicemail and circular phone system issues.

This is why you’ll see such high turnover in appointment setters and telemarketers. It’s also why it’s so difficult to find good hunters. If you aren’t valuing and measuring prospecting appropriately, many reps burnout within a year. One business owner I spoke with lost his rep within 6 weeks!

It takes 9 or more attempts to reach a new prospect. At best only one out of 10 dials results in a conversation with a real decision maker.

When their KPIs don’t recognize the importance of consistent prospecting follow-up to reach target contacts, you’re not only setting yourself up to lose a potentially good rep, you are also directly impacting your prospecting success.

This attitude toward prospecting calls is why so many new business development reps and appointment setters fail. They give up too soon. They make the first call and perhaps two more. Then give up. And your KPIs actually support that.

Prospecting is a form of nurturing, just like you do with email nurturing campaigns. It’s the repetition that finally gets you in the door.

When we’re training sales reps how to prospect, we teach them the Bloodhound Follow-up Strategy that covers 28 days and 16 touches. After 28 days, if a prospect is going to take your call, they will. If prospects don’t respond, good reps schedule the whole process to begin again next quarter.

To motivate your reps’ prospecting activities, redefine what prospecting means to include all the touches required in the Bloodhound Follow-up Strategy. Then set your prospecting metrics to acknowledge and reinforce the effort required to execute and get the first appointment.

Here are the three prospecting metrics that I always look at:

  1. Number of prospecting hours per week or day. Yes, you really do need to set a number for everyone who is not an appointment setter. Without this target, prospecting time tends to slip in favor of working existing sales opportunities.
  2. Number of first-time appointments per week. Now they have a results-based target for their prospecting hours. It isn’t just about the activity of prospecting but the results, too.
  3. Number of first-time appointments that convert to sales opportunities. Here you’re reinforcing the importance of setting qualified, first-time appointments. If the first-time appointments aren’t qualified, reps will have a difficult time achieving this target.

Once an opportunity is generated, your sales metrics kick in to measure the length of the sales process and close ratios.

Without the right KPIs in place, you may actually be discouraging the very prospecting behavior you want from your sales reps. Not only can that cost you new business, but it can also cost you talented sales reps.

Read more about this topic in NewVoiceMedia's whitepaper 11 tactics to accelerate sales and the real cost of poor prospecting.

Kendra Lee has built a successful career as a top seller by consistently exceeding sales goals. She is a prospect attraction authority, sales expert, speaker, author and a business owner who knows how to shorten time to revenue in innovative ways. After starting her sales career in accounting with IBM, Kendra founded KLA Group on the philosophy that sales is not an art; it can be learned.

Keep the Perspectives Coming!
Get our top articles delivered right to your inbox, every other week.

Please correct the fields marked above.


We're delighted to begin sharing the latest articles from Perspectives---directly in your email inbox. Look for your first installment soon, and thank you for subscribing!

Recommended For You
Please fill out the form and we will be in touch with you shortly.

Thank You.
A specialist will contact you soon.

You can contact us any time by calling 1.877.862.2562 or email

Get Started
Request a Free Quote

There was a problem with some of your entries. Please correct the fields marked above.

Thank You.
A specialist will contact you soon.

You can contact us any time by calling 1.877.862.2562 or email