VP of Sales Job Description
A VP of Sales runs the entire sales function in an organization and is responsible for turnover and gross profit.
Typically at the head of a sales team, a VP of Sales is experienced in all areas of sales, including planning, account management, and team leadership.
The role is a stepping-stone to executive-level or even Chief Executive Officer responsibility.
What Does a VP of Sales Typically Do?
A VP of Sales creates annual sales plans, leads the sales team, and grows sales revenue and profit.
A VP of Sales’ role consists of:
- Developing the annual sales plan
- Recruiting sales staff
- Managing and leading the sales team
- Forecasting sales
- Reporting to executive management
- Collaborating with the marketing department to develop collateral
- Improving customer satisfaction
- Maintaining key customer relationships
Developing the Annual Sales Plan
Planning is the single most important task assigned to a VP of Sales and is a monthly, quarterly, and annual activity. Experienced VPs of Sales use a mixture of bottom-up and top-down planning techniques to arrive at demanding but achievable targets and ensure that the salespeople take co-ownership of the targets.
Having set targets, a VP of Sales determines sales strategies and agrees on tactics, timelines, and responsibilities to ensure that the targets are met.
A VP of Sales presents the plan to executive management for sign-off.
Recruiting Sales Staff
A strong sales team is crucial to guarantee an organization’s long-term success, and a VP of Sales will invest effort into finding and recruiting the best salespeople available.
Depending on the organization’s industry, the requirements for good salespeople may include particular technical knowledge, persuasive skills, presentation experience, or negotiation expertise.
Whatever the requirements, a successful VP of Sales can hire and retain the right people to ensure sales success.
Managing and Leading the Sales Team
Salespeople require expert leadership, and a VP of Sales should be able to lead by example, demonstrating expert sales skills, as well as situational leadership ability to get the best out of each team member.
A VP of Sales sets sales targets, monitors sales numbers, and offers appropriate support where necessary. Successful incumbents are also happy to be involved in the sales process and often spend time on field days with salespeople.
Sales forecasts are used by many organizations to plan finances, production, and purchasing and are a key task for a VP of Sales.
While most forecasts are math-based, an experienced VP of Sales involves the sales team in the forecasting process, adding in their market intelligence and knowledge to make the forecast more accurate.
Reporting to Executive Management
A VP of Sales prepares monthly, quarterly, semi-annual, and annual sales reports for executive management. The reports include a full analysis of all sales activities and results, thorough identification of gaps and performance issues, corrective action plans, and full outlines of upcoming initiatives and sales events.
Executive management wants a VP of Sales to be a problem-solver, so strong analysis and well-considered corrective action are the hallmarks of effective Sales VP’s.
Collaborating With the Marketing Department To Develop Collateral
The marketing department and a VP of Sales work closely together to develop marketing material that is clear, easy to use, and helpful to the sales team.
In many organizations, promotions or specials feature strongly as sales-support activities, in which case a VP of Sales collaborates with the marketing team to develop promotional mechanics that are effective and powerful.
Improving Customer Satisfaction
Customer satisfaction is normally the responsibility of individual salespeople, but a VP of Sales instigates customer satisfaction surveys, monitors satisfaction metrics, and develops improvement initiatives where required.
Such initiatives may involve cultural changes within the organization, and a VP of Sales must be able to manage the process to deliver long-term results.
Maintaining Key Customer Relationships
Many organizations work with a small number of accounts that make up a large slice of total sales revenue, and a VP of Sales maintains strong relationships with each of these customers.
While the daily management of these accounts may be looked after by an Account Manager or Account Executive, a VP of Sales conducts top-level strategic discussions and negotiations with them. This task requires expert negotiation, strategic thinking, and account management skills.
VP of Sales Salary
A VP of Sales’ earnings should lie between $239,000 and $388,000 annually in the U.S. The median is around $305,501.
What Is the VP of Sales Pay Difference by Location?
Location will alter a VP of Sales’ average salary as follows:
|San Francisco, CA||$381,801|
|New York, NY||$367,501|
What Is the VP of Sales Pay Difference by Experience Level?
Experience affects a VP of Sales’ salary as follows:
|Experience Level||Average Salary|
|< 1 year||$268,011|
VP of Sales Job Description Template
[Company] is a highly respected name in our industry, and we are looking for a VP of Sales to lead our sales team and deliver consistent revenue growth and long-term success.
We are looking for an expert salesperson, strategic thinker, and leader who will win respect and engender loyalty among our team and our customers.
You will be inheriting a team of highly motivated sales professionals and will be expected to lead by example.
VP of Sales Job Responsibilities
- Planning all sales activities
- Leading the sales team
- Managing our key accounts
- Developing sales initiatives, promotions, and specials
- Reporting to executive management
Required Skill Set
- Bachelor’s degree in Sales, Marketing, or Business
- At least ten years’ sales experience
- At least five years’ sales management experience
- Expert knowledge of common CRM systems
- Excellent written and oral communication skills
- Proven strategic thinking ability
- Strong leadership abilities
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