Sales turnover can be costly for a business due to a number of factors, including:
- Recruitment costs: The cost of hiring and training new sales staff to replace those who have left can be significant.
- Lost productivity: New employees may take time to become productive, which can result in lost sales and revenue.
- Customer loss: When sales staff leave, they may take their customers with them, resulting in lost sales and revenue.
- Damage to morale: High turnover rates can negatively affect employee morale, which can lead to lower productivity, increased absenteeism, and higher turnover rates.
- Cost of errors: New employees may make mistakes that can result in lost sales, refunds, and other costs.
- Training costs: Training new employees can be costly in terms of both time and money.
Overall, the cost of sales turnover can vary depending on the size of the business, the industry, and the specific circumstances of the turnover. However, it is generally considered to be a significant cost that can impact a business’s bottom line.