What is a sales associate?
A sales associate works directly with customers in a retail location. They typically assist customers as they enter the store and familiarize them with your products. Potential job duties include:
- Greeting customers when they arrive
- Answering questions about products
- Offering recommendations based on customer needs
- Demonstrating products
- Talking about special sales and promotions
- Placing orders for items that aren’t in stock
- Processing sales at the register or point-of-sale system
- Handling returns
What is a sales representative?
A sales representative focuses more on relationship building for long-term sales rather than purchases from walk-in customers. A sales representative’s duties may include:
- Finding sales leads
- Contacting prospective customers
- Explaining and demonstrating products
- Negotiating sales
- Completing sales agreements and contracts
- Following up after the sale is complete
Similarities between a sales associate and sales representative
As part of your sales team, both positions work to increase sales and typically require strong communication, emotional intelligence and upselling. Sales associates and representatives both need product knowledge, although a sales representative typically requires more in-depth knowledge.
Differences between sales associates vs. sales representatives
While both roles help your organization make money, they do so in different ways. The following areas highlight the differences between a sales associate vs. a sales representative.
Experience
Sales associate positions often do not require specific education or experience levels. You might prefer someone with previous sales experience. However, it’s common for sales associates to receive on-the-job retail sales training.
Since sales representatives handle a longer sales process of finding leads, forming relationships and closing deals, they may need more experience. You might specify a minimum number of years of sales experience. Some businesses prefer candidates who have an associate’s or bachelor’s degree in a business-related major.
Pay
You’ll notice a difference in pay for a sales associate vs. a sales rep. According to Indeed Salaries, the average sales associate salary is $15.16 per hour with the potential for $6,000 in commission. Meanwhile, sales representatives average $74,600 per year with $10,900 in commission.
The pay structure varies by organization, which could impact how much you pay for each type of sales position. Not all sales associates earn commission on the products they sell. They typically earn an hourly rate and may or may not receive commissions on top of that.
Sales representatives are more likely to receive commission as part of their salary. This can vary from being a straight commission position, meaning they don’t have a base salary and rely only on commissions from sales, to a base salary with commission on top.
You can also use a capped or uncapped commission structure. Uncapped means the sales rep earns a percentage of their sales as commission. A capped sales structure means they only earn commission on sales up to the cap or upper limit. Sales beyond that don’t offer commissions.
Work location
Sales associates generally work in brick-and-mortar stores where customers come to shop. Sales representatives typically work in office settings. They may work on-site at the production facility where the products are made or remotely from a home office.
Skills
While some sales skills apply to both positions, others are specific to one role. Here are some examples of skills a sales associate may need to succeed:
- Inventory management
- Product presentation
- Maintaining the store’s physical appearance
- Visual merchandising
- Point-of-sales system use
Sales representatives can benefit from having the following skills:
- Negotiation
- Prospecting
- Relationship building
- Closing sales
- Using customer relationship management software
Job duties
The day-to-day duties and routines look different for each role. Sales associates typically arrive at the retail location shortly before their shift starts. For the opening shift, the start time might be earlier to allow for setup time. Associates often start the day by straightening up the store, making sure cash register drawers are in place and getting everything else ready for customers.
Throughout the day, they circulate in the store, greeting customers and helping them as needed. A sales associate might work one-on-one with a customer for as long as it takes to help them make a purchase. Depending on the store structure, associates might also work as cashiers, entering the items customers buy and processing payments. When there’s downtime, the sales associate might straighten up the shelves, restock shelves or handle similar tasks.
A sales representative might touch base with existing leads, respond to emails and return phone calls. Part of the day may include prospecting for new clients and researching their needs. Sales reps also keep up with industry news and product line changes to improve their performance.
Should you hire a sales associate or a sales representative?
The following tips can help you decide whether to hire a sales associate vs. a sales rep.
Evaluate the factors
Your organization’s needs and goals can help you determine if you should hire a sales associate or sales representative. Consider these factors:
- Target audience: If your target audience is the walk-in customers for your retail location, you may need a sales associate to handle those interactions. If your target audience includes other businesses or you sell a high-end product to consumers, consider hiring a sales representative.
- Job industry: Retail positions typically fall under the sales associate category. Office-based or factory-based positions lean toward sales representative roles. You may have both locations and positions. For example, you might have a manufacturing facility that sells directly to clients and has an outlet store on-site. Your team could include sales reps who sell to clients and sales associates who work in the outlet store.
- Goals of the position: What do you want the employee to achieve? Quick, one-time sales are often handled by sales associates while larger purchases with a longer sales cycle are typically better-suited for sales reps.
When to hire a sales associate
You might hire a sales associate vs. a sales representative in these situations:
- You own a physical retail location where consumers come to shop.
- You want to strengthen your company’s reputation and customer experience.
- You focus more on several one-time sales rather than longer-term relationships with clients.
When to hire a sales representative
Hiring a sales representative could work in these situations:
- You sell to other businesses or organizations.
- You offer custom products, such as custom kitchen cabinetry.
- You produce your own products and sell them directly to consumers.
- You intend to build long-term relationships with customers.
- You plan to increase your sales quota.
FAQs about a sales associate vs. sales representative
Is a sales rep higher than a sales associate?
Sales representative positions may be associated with a higher seniority, but both sales representatives and associates often have a similar ranking. Both work with clients and don’t typically have supervisory responsibilities.
What should you look for when hiring a sales associate?
When hiring a sales associate, look for previous retail experience or an eagerness to learn about the industry. Strong interpersonal and customer service skills can help the candidate succeed.
What should you look for when hiring a sales rep?
When hiring a sales representative, you might expect more sales experience. Previous experience can provide the candidate with real-world skills, potentially improving their sales abilities. You might also consider the industries they’ve previously worked in. For example, if you run a company that sells construction-related products, a candidate who has worked in the construction industry may have a better understanding of the products and clients’ needs.
