Facing 40 percent customer turnover and limited effectiveness of its sales agents, a major national wireless telecommunications company knew it needed a new approach to sales training in order to increase the revenue that each sales agent could bring into the company. The company came to CEP for a new outlook on the problem.

As CEP evaluated the situation, the team developed a new, multifaceted, company-wide training initiative that would use a combination of CD-ROMs, web-based education and an entirely new structure to on-the-job training to effect significant change. Add to the projected training expenses the costs of a recommended five percent commission for staff that would train and mentor new sales agents. Could the company justify the price tag of $2.3 million?

When the ROI was studied, the result was a resounding “YES!” The potential upside to investing in the new program was stunning. CEP and the client determined that if the training could add just 27 customers a month, quite a realistic goal, then the return would be jaw dropping:

27 customers per month x $45 (average value of a new customer) x 12 months x 1,400 new sales agents per year = $20, 412,000 in new customer income.

The return on investment? A whopping 7,745 percent!