Proper sales territory management is essential to revenue growth. Whether you are a sales manager or a sales rep understanding how to properly manage those territories is both important and necessary. Today on the funnel we talk about the overall perspective of territory management, then look at it from a sales management point of view, and a sales reps point of view. As always if you have any questions please schedule a free 30-minute consultation and I’ll do my best to help in any way I can.


What we’re going to cover:

  • Perspective
  • Management point of view
  • Sales rep point of view





“The minute you start talking about managing or adjusting territories, sales reps all of the sudden think you’re taking something away from them. And to some degree, you might be. But new territories evolve and change over time.”



“Reps are creatures of habit just like anybody else. They do what’s, in many cases, in the best interest for them and best interest for their company, but that doesn’t mean they don’t have bad habits. Most sales people usually call on the easiest prospects, the most convenient logistically, the ones they’re most comfortable meeting with.”

Wasting Time

“In some cases, they might be wasting time on these prospects and not even know it because they’re so used to their habits. This could result in having low ROI and picking the low hanging fruit”


Not always a negative

“That’s not a negative and that’s not a knock on the sales people that do that, good sales people do that too. But that means they can do some of that but also drive business elsewhere.”


Main point

“Creatures of habit tend to gravitate towards the things that are easiest for them to do. If they’re driving the numbers and they’re making their numbers does it really matter to them if there is a large ROI? As long as they are hitting their numbers to hit their maximum bonus in commissions, right? And if it’s low hanging fruit so be it.”


Management point of view


About effectiveness

“That’s really what this is about, managing territories are about making them the most effective.”


A,B,C Customers

“I would take my territories and I would break them down into A, B, C customers.”

“A customer is your top of the line customer. They’re the ones that bring you the most money and the most opportunity. They’re the ones that need the most attention they are the priority.

“Then, break it down from there. So, as you go through the territory analysis for a rep you begin to categorize them, A gets a face to face a week. B gets a call every week. C gets a call every month.”



“Basically, you’re segmenting the territory and prioritizing who you’re going to talk to. You’re determining which ones get the most attention, and which ones get with the customers and prospects to get the most out of your team.”


Balance it out

“Then what you do is you look at it and determine: does this territory match what I have elsewhere or is it out of balance? Do I have a territory that should be producing a lot more because the size and scope and I have a rep that can’t keep up with it? You need to begin to balance out the territory.”

How do I make this decision?

“Don’t make this decision on changing the territory based on how much money they make. Instead, base it on the potential business opportunities and what’s being lost, and what it’s costing you by them not doing it.”



“Balance it out without causing any pain to the entire team. Analyze it, put stuff back where it belongs so you have equal territories, and then measure the returns on that.”


Sales rep point of view


“In other words, if I have a territory and I’m a rep how do I manage it?”



“First, divide it up in a way that makes sense to them, in a way that makes sense to where they are. For example, minimize the amount of time you’re driving. It wastes time.”


Call plan

“Create a plan for your calls. This is where you can utilize the CRM and a lot of the tools that are available for you. If you’re analyzing A, B, C customers, put a plan in place to make those calls and rotate it properly. That way we know everybody is getting the touches they need to get and they are maximizing that opportunity.”



“If you’re looking at it from your end as a manager than the sales rep should be prioritizing those calls too. Then the sales rep needs to set priorities in the territory.”

“Do the easy stuff first, low hanging fruit, and then go after the big stuff. But set the priority so they know exactly what they’re doing. This is part of goal setting so that they know every day what they’re doing to manage that territory.”



“They need to understand their relationships within that territory and drive referrals. So, if you have a huge company that you’re dealing with and you’re in with one department you need to get a referral to another department so you can get in there and get business.”



“Stay focused on the big picture, understand what’s at stake here, and manage the big picture.  Because every day you spend in the field and making calls, you should have top of mind what is happening in your overall over arching plan for your territory or your area of responsibility.”



“In other words, do your paperwork on time, show up for the meetings on time, do the stuff you’re supposed to, stay ahead of it, don’t be up all night doing your expense reports.”


Every meeting is important

“Treat every meeting and every opportunity with a prospect like it’s gold.”


Keep Filling The Funnel

We would love to hear from you. Let us know what you think about this episode. Please feel free to reach out to us if there is a specific sales topic you would like me to cover.  You can find me on Twitter at @Sheajohnr or email me at  And if you get a chance, please feel free to review us on iTunes.

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