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Technology Stocks : Storage Dimensions - STDM

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To: R. M. Rosenthal who wrote (245)9/25/1997 12:34:00 AM
From: nick cash   of 311
 
"none" was probably a poor choice of words BUT........ when pressed management conceeded that no region was making quota hence the tone of my comment. although i did not ask specifically whether the veteran sales staff was making quota. i drew some conclusions from other parts of my conversations. do the math-this is a company that was doing $18.5mm/qtr. back in q2 96. the market has grown well over 30% annually during this time frame and we're looking at $16-17mm in q3 97-5 quarters later. sequential sales have been flatish to down for 5 quarters now. sales reps new or old have not been doing the job for quite a while unless they are operating under quotas that call for declining sales : )

karl, i agree with most of what you say. i do disagree about management's current situation. yes, they see the problem. no, they don't really know why things are not going better. no, they are not confident that what they are doing will fix it. if you have the opportunity to speak w/management you will understand why i say this. if you have ever been in sales you will know that when the product isn't selling the sales team leaves like rats from the proverbial sinking ship. 1/2 the sales team doesn't turn over in 6 months because product is flying off the shelves and bonuses are stuffing bank accounts. either the sales staff is blowing it or the product isn't compelling enough to choose over the server vendor's. obviously i'm oversimplifying but i'm sure you see my point.

time to get some work done.

all imo only of course....nick
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