Does the Implementation of Sales Teams Influence the Turnover Process of Salespeople? An Analysis of Team Players, Lone Wolves, and the Lonely

Turnover among salespeople remains a significant problem for many organizations. Rates of turnover among salespeople have been estimated to range from 15% to as high as 50%. Recent policies implemented by managers have shifted... [ view full abstract ]

Turnover among salespeople remains a significant problem for many organizations. Rates of turnover among salespeople have been estimated to range from 15% to as high as 50%. Recent policies implemented by managers have shifted many companies from employing a sales force of individual salespeople to one consisting primarily of sales teams. In fact, estimates indicate that 75% of firms are employing some form of sales teams. The implementation of sales teams, among other perceived benefits, is expected to have a positive effect on reducing turnover. Thus, the purpose of this study is to examine how the implementation of sales teams influences the turnover process of salespeople. Utilizing a data set composed of survey and archival sources on 400 salespeople, this study empirically examines how the team situation of a salesperson moderates the relationships between job satisfaction, organizational commitment, intention to turnover, and actual turnover within the independent-effects model of turnover. The results provide a clear implication for sales managers: The preference for a certain work environment, via their sales team situation, has a significant influence on relationship between the salesperson’s attitudes toward their job and their organization on intention to turnover as well as on the level of actual turnover.