Sales territory design is one of the highest-leverage management decisions in a B2B revenue organization. A territory plan that is designed well means every rep has enough addressable market to hit quota, top performers are pointed at the accounts with the most revenue potential, and the company's strategic priorities are reflected in how accounts are allocated.
A territory plan designed poorly -- or not designed at all, relying on geographic convention or first-come-first-served account claiming -- means quota attainment is distributed by luck as much as skill, internal account disputes slow deal cycles, and the company's coverage of its best accounts is left to chance.
Step 1: Define the territory design criteria
Before you allocate accounts, agree on the criteria that determine territory value and how accounts will be assigned.
Step 2: Score and segment the account universe
Step 3: Set quotas and rules of engagement
Step 4: Review and adjust
Sales territory plan checklist
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