Thread regarding Sears layoffs

If you don't make the numbers

I could write a book on this topic but here's a few comments. It's this sort of misguided thinking that got Sears where it is today. I was a commission salesperson when the PA/MA obsession first appeared in the early 1980's. All of a sudden getting the MA was more important than anything else. A $100 lawnmower sale with an MA was praised, while a $5000 tractor sale without the MA brought nothing but criticism. They turned commission selling into a miserable job focused on the "hard sell".

For a lot of years the enormous profit margin on maintenance agreements kept the company afloat. Contrary to what management might claim, MA/PA's are in fact nearly "pure profit" for the company. Sears would have gone out of business long ago without the profit dollars from these contracts. But the world changed while Sears focused on selling PA's. Most of Sears competitors had the good sense to skip the hard sell and focus on giving customers what they actually wanted in a store. Sears slowly fell apart.

Today it's just a desperation tactic. There is no way they are going to save the stores with PA's, credit, and SYWR. But store level and regional management can't change anything of consequence, so they focus on the trivial.

The threat is serious. They'll make your job life miserable if you don't "make the numbers". You mIght as well be working on getting out, since the of Sears retail is in sight anyway.

Originally posted on 5-3-2-1/PAs thread, @LQgXlmN-yrj

by
| 912 views | | 5 replies (last February 16, 2017) | Reply
Post ID: @OP+LQVYbzx

5 replies (most recent on top)

I believe the reason they still push credit and PA's is the same reason why this company is in so much trouble.

The company failed to hire or retain anyone to think beyond 1980.

Yes things do break and yes, people are still going to need credit but Sears was never on the cutting edge of anything.

Sears never became the Worlds Greatest Intigrated Retailer.

You can print that on a poster all you want but without an actual plan, it falls as flat as the poster it is printed on.

by
| | Reply
Post ID: @2cpx+LQVYbzx

The workforce in those stores has been turned 3 or 4 times since those days. Back then, a full time commission sales person made some serious dollars, and if his MA performance was on track, he was looked upon highly. By the end of that decade, anyone making more than 40k a year had a target on their back.

by
| | Reply
Post ID: @1hbv+LQVYbzx

50 years from now... It's 13 years early, but I think people are more than just laughing. They're shaking their collective heads why it got to this point that trivial matters likes PA's are that important to shove down people's throat.

by
| | Reply
Post ID: @1lrb+LQVYbzx

I was also a commission sales person in the 1980s and how true your statement is, managers would praise who ever had the highest MA numbers ,even if it was on one small sale , you would be criticized if you sold anything without the MA,to the point that some salespeople would refuse to ring a sale if the customer did not buy the MA,now called a PA, in reality things have not changed much,except that most salespeople are so desperate for commissions we will ring anything at this point.

by
| | Reply
Post ID: @1rbi+LQVYbzx

I had an Assistant Manager back in 1980, who told me the greatest Sears line ever-

"50 years from now, we'll look back at all of this and laugh "

He was right.

by
| | Reply
Post ID: @zwz+LQVYbzx

Post a reply

: