How hard to sell in a heavily managed care marker

[Anonymous]

I am seeking some insight regarding laboratory sales. I was offered a sales position with a startup regional lab company that only has a couple of ppo contracts in place and am wondering how hard of a sale it would be selling to the primary care docs and obgyns? I am use to selling thru managed care when I held a pharma position and am use to the dog fight. What makes me nervous is the CEO of the company told me that if I didn't hit quota 4 months in row I would be let go. Obviously I know you have to perform in any sales position. It's just I didn't really care for such a "carrot and the stick" approach especially having been laid off despite having a good sales track record. Any insight would be appreciated. Thanks..

 

[Anonymous]

I am seeking some insight regarding laboratory sales. I was offered a sales position with a startup regional lab company that only has a couple of ppo contracts in place and am wondering how hard of a sale it would be selling to the primary care docs and obgyns? I am use to selling thru managed care when I held a pharma position and am use to the dog fight. What makes me nervous is the CEO of the company told me that if I didn't hit quota 4 months in row I would be let go. Obviously I know you have to perform in any sales position. It's just I didn't really care for such a "carrot and the stick" approach especially having been laid off despite having a good sales track record. Any insight would be appreciated. Thanks..

I would be VERY worried about taking a job like that. I guess it would depend on how high the quota is with that company. I would ask what % of sales reps hit their target. What's the longest they have had someone in that exact position? What is the average comission and what is the average for a rep in say the top 20%. Turn the tables on them and say that sadly there are lots of companies that simply take advantage of this economy and hire reps knowing that they are being set up to fail. Get the time the other reps in the district have been in their current sales position. Why did the position come open, was it due to the last rep being let go or did they get promoted? Are there some other reps that you can speak to about the company to discuss what they like and what issues do they face out in the field. Tell them it needs to be a win-win situtation and its tough to make a good decision without knowing all the facts. Surely they don't have anything to hide. Any wrong answer and I would run for the hills unless you really needed a job.

 

[Anonymous]

I would be VERY worried about taking a job like that. I guess it would depend on how high the quota is with that company. I would ask what % of sales reps hit their target. What's the longest they have had someone in that exact position? What is the average comission and what is the average for a rep in say the top 20%. Turn the tables on them and say that sadly there are lots of companies that simply take advantage of this economy and hire reps knowing that they are being set up to fail. Get the time the other reps in the district have been in their current sales position. Why did the position come open, was it due to the last rep being let go or did they get promoted? Are there some other reps that you can speak to about the company to discuss what they like and what issues do they face out in the field. Tell them it needs to be a win-win situtation and its tough to make a good decision without knowing all the facts. Surely they don't have anything to hide. Any wrong answer and I would run for the hills unless you really needed a job.

I used to work at LCA and am no longer in the industry. I check this board to see who is gone\promoted\gossip etc. I just have to say in all the banter and attacks from pro & anti-LCA people I have read this was the best piece of advice given to a person looking into a job in the industry. You gave very solid advice & actual questions to ask and you didn't attack nor were you sarcastic etc. Very nice to see and your advice should genuinely help that person try to make the right decision for themself. Happy Holidays!

 

[Anonymous]

Another thing to look in to would be the states billing regulations on cytology and histology. If you are expected to sell to OBGs, many states are not allowing client billing for cytology by the physicians. The performing lab or only offices with licensed pathologists on staff are allowed to bill for cytology/histology. If this is the case, the OBGs may not be willing to send their work to non-par labs as it would impact their patients.