Let’s do math – SaaS employee turnover

It’s pretty obvious that SaaS companies’ employee disengagement and high turnover rate is bad for business…

During the multichannel marketing project’s provider selection I had a great opportunity to get in contact with sales persons, account managers, pre-sales experts and a few other titles. I’ve never made the exact stats, but at a certain point I had to give up with refreshing my contact list…

A year ago I was forced to send RFI to 17 vendors (so in my next post a few words will be dedicated to analysis paralysis), selecting 10 companies to the second round. The figures of these 10 companies employees, at a rough guess:

  • 50% worked for the company for less than half year
  • 25% worked for the company for less than 3 months
  • 25% left the company during the vendor selection procedure
  • other 25% left the company since then
  • In my estimation by next January the total crew will be replaced

How does it feel? In 5 out of the 10 companies the sales persons weren’t prepared enough to ‘sell’. They were focusing so much on the product, that they didn’t listen to the customer (to me 🙂 ). I felt wasting my time during the product demos and conversations. In some cases we learned together the product – how ironic situation when the account manager says – oh I haven’t known that we have such kind a product/function etc – when you ask about a feature listed on their websites. But considering that with a high probability they already planned to leave, the motivation wasn’t there to know the product (and the customer).

By chance my sample wasn’t representative, but the tendency is alarming.

Cruel world. I have to check LinkedIn who left yesterday.

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