How do you explain unfortunate events to yourself, such as not getting the sale? Is the tone of your self-talk optimistic or pessimistic? As it turns out, the way you explain negative life events matters because there is a link between optimism and sales success. Based on over 1000 studies, we know that optimism has the power to boost your sales.
Research on the link between optimism and sales began with an investigation of a major life insurance carrier, and since then it has been replicated in more than 1000 studies over 40 years, across many industries and sales organizations. The findings of these studies proves definitively that maintaining an optimistic explanatory style brings dramatic success.
Optimistic VS Pessimistic Explanatory Styles
It boils down to how you explain unfortunate events to yourself. For example, if a sales professional has a disappointing sales call, how does he/she react and explain that disappointment to himself/herself? People with an OPTIMISTIC explanatory style rationalize the “failure.” They see it as a fluke, a temporary setback and not representative of who they are in general.
A person with a PESSIMISTIC explanatory style, on the other hand, will view unfortunate events as directly related to their inadequacy. They see it as a permanent issue and representative of other “failures” in their lives. They often view the situation as an insurmountable obstacle and conclude that they may need to consider a change in career. Sales professionals who quit or are fired are most often pessimistic in their explanatory style.
When good outcomes occur, such as closing a sale, OPTIMISTS believe it was exactly because of their skill. These successes will repeat themselves and they view the success as proof that they have the talent to continue to be successful. Optimists have what social scientists refer to as an “Internal Locus of Control.” They perceive that outcomes are in their control.
When good outcomes occur to PESSIMISTS, they are more likely view them as “lucky.” The success was temporary and not indicative of their skill and effort. Pessimists embrace an “External Locus of Control,” where they believe that circumstances beyond their control impact them constantly.
This ground-breaking research by Dr. Martin Seligman led to a questionnaire which can easily determine whether someone tends to maintain an optimistic or pessimistic explanatory style. Knowing the link between optimism and sales, companies often use this instrument to select the optimistic applicants.
Want to learn more? Check out Dr. Seligman’s book, Learned Optimism: How to Change Your Mind and Your Life. You can also take this Learned Optimism quiz from Stanford, which is adapted from the book.
Research on Optimism and Sales
Here is a sample of the many research findings that show a clear link between optimism and sales:
Optimistic sales agents outsell pessimists by 38 percent, and extremely optimistic sales agents outsell pessimists by 88 percent.
Optimistic sales agents outsell pessimists by 33 percent, and extremely optimistic sales agents outsell pessimists by a whopping 319 percent.
Top sales people are 25 percent more optimistic than below-average sales people.
Optimistic sales people outsell pessimists by 20 percent, and optimistic sales managers outsell pessimists by 27 percent.
Optimistic sales people outsell pessimists by 29 percent, and extremely optimistic sales agents outsell pessimists by 39 percent.
Top customer service staff are 50 percent more optimistic than below-average staff.
In addition, optimism is good for more than just posting excellent sales numbers. Research also shows that optimistic people live longer and have stronger immune systems.
The link between optimism and sales may have you wondering – are you doomed if you are hard-wired with “Pessimistic Genes?” Absolutely not! Developing optimism can be easily learned, so there is hope for all professionals. Every individual can start today by practicing a more optimistic style of self-talk. Also, if you think your sales team could benefit from a lesson, I am available to help – just email me at DrJack@FunSpeaker.com or give me a call at 800-497-9880.