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“Well if we can find the budget…” is a pretty common response when the cost of mobile sales enablement topic comes up in many companies. With the help of a little math and our whiteboard, our co-founder Rusty Bishop is able to give you the perfect argument for justifying the cost of mobile sales enablement.


Justifying the Cost Whiteboard


Hey guys! This is Rusty Bishop from FatStax, and today I’m going to show you how to easily justify deploying a mobile sales tool for your sales team. And today we’re going to do a little math. I realize math scares some of you, but this is really easy math you can take back to your directors and CFOs and show them why some of the best companies in the world are deploying devices like the iPad and sales tools like FatStax for their sales team.

This math is going to have three basic variables:

  • Your sales reps’ time
  • The amount of revenue a sales person can generate
  • And the cost of the device and mobile sales tool, like FatStax

So let’s dive right in!

Finding Your Sales Reps’ Time

A sales rep typically has 215 selling days in the course of a year. That’s taking into account vacation, holidays, etc. You can look up some great research from Nancy Nardin on this on her blog. If you take a typical eight-hour day, and multiply that by 215 selling days, you get 1,720 hours per year that a sales rep is actually selling.

How Much Revenue A Rep Generates Per Hour

Let’s say your rep has a $1 million territory, this is pretty typical give or take a few for a typical rep, divide that $1 million by 1,720 hours they can be out there selling, and you get $580 per hour a rep can generate in selling time.

Cost of Device and Sales Tool

Even if you bought your sales rep the best iPad, a 64 gb with a WiFi card, you’re looking at about a $700 up front cost. A sales tool, like FatStax, roughly costs $300 per year per sales rep. Together, you’re looking at about $1,000 up front costs year one per sales rep.

In order to make that money back for your company, you need to let your reps make back that time by giving them the ability to sell. So we have about $1,000 per rep, and each rep can generate roughly $580 per hour if they have a $1 million territory. If I divide $1,000 by $580 I get 1.7 hours, or about one hour and 45 minutes per year!

Not per day. Not per week. Not per month. Not per quarter. If you can save your reps one hour and 45 minutes per year you can afford to pay for both an iPad and a sales tool. It could be a Surface or another tablet, but you get the idea here.

Time to Justify

So let’s look at how sales reps actually spend their time and I can show you exactly how you can justify this.

In reality, most sales people don’t spend all their time selling. In fact, they spend a lot of time doing other stuff. For example, we saw a study recently that said sales people spend roughly 30 hours per month looking for the right sales materials. That’s 360 hours in a year!

All you have to do is save them one hour and 45 minutes to justify the cost of a mobile device and a sales tool. That’s not to mention the money you can make back on accelerating your sales cycle and making your sales reps more effective out in the field.

I hope this math helps you make the decision to purchase a device like the iPad and a sales tool like FatStax. Thanks and have a great day!


Survival Guide to Deploying iPads

This checklist will teach you how to:

  • Launch iPads faster for your sales team
  • Increase iPad sales tool adoption for your company
  • Decrease administrative time for you
  • Reduce implementation costs for your budget
  • And much more!

You can get your free copy of the Survival Guide to Deploying iPads by following this link here. We have other guides, videos and tools you can check out here.

Feel free to share what we have to share too!