Do sales targets put basic psychological needs in the backseat?

Abstract: Lack of motivation is a substantial productivity cost for organisations and business in generally work under the assumption that pay predicts performance. Satisfaction of the basic psychological needs has in research demonstrated a positive relationship with a better performance (i.e. Baard et al., 2004). If this is the case in the complex nature of sales work, with its primary focus on goals set (sales target) is yet to be decided. The purpose of this study was to examine the relationships between the basic psychological needs, health and sales performance. The results emanating from this study on 252 sales people goes against previous research on performance as no significant relationships were found between the basic psychological needs and sales performance. However the study provides a strong empirical confirmation of the proposition that the basic psychological needs play an important role for health. Overall the results suggest that goal-setting (i.e. sales target) has significant consequences in shaping salespeople's cognitive aspect of motivation, putting the basic psychological needs behind and may result in impaired health.