The Truth Behind 6 Sales Territory Management Myths

Sales territory management is one of the most influential factors in a high-performing sales organization, but it’s also one of the most misunderstood. Many companies make territory decisions based on outdated assumptions or best practices that simply don’t hold up anymore. The result? Poorly designed territories that lead to overworked reps, missed opportunities, and uneven revenue distribution. 

Let’s clear the air. This article will debunk six common myths about sales territory management. Learn the truth behind these misconceptions and see how geolocation solutions like Geopointe can help you build smarter, more balanced territories that drive growth and productivity.

Myth 1: A bigger territory means bigger opportunity

The truth: While it might seem like a no-brainer, a larger sales territory doesn’t always equate with better results. In fact, it often has the opposite effect. When reps are stretched too thin across a wide region, they can’t give accounts the attention they deserve. Follow-ups slip, key decision-makers are overlooked, and high-potential leads go cold.

Effective territory management isn’t about covering the most ground but about matching reps with the right workload based on their skills, capacity, and experience. The best territories are designed to maximize engagement, not just cover the area.

How Geopointe helps: Geopointe makes it easy to visualize sales data on a map, helping managers understand which areas are oversaturated or under-covered. With data-driven insights, you can design balanced territories that align with sales capacity and opportunity, not just geography.

Myth 2: Territories are only based on geography

The truth: Contrary to popular belief, geography is just one part of the territory management puzzle. Today’s sales strategies often focus on industry verticals, customer profiles, or deal sizes — none of which are defined by ZIP codes. For example: a rep who thrives with financial services clients may do better with an industry-based territory, even if their accounts are spread across multiple states.

Designing territories based solely on location can cause mismatches between rep expertise and customer needs, limiting your team’s performance.

How Geopointe helps: With filtering and segmentation tools, Geopointe allows you to assign territories based on custom attributes like industry, deal stage, or account value, giving you the flexibility to match reps with the accounts they’re best equipped to close. A robust Shape Library allows you to visually build territories and fine-tune them with geographic and data insights. 

Myth 3: Territory planning is an annual task

The truth: Markets shift. Teams change. Economic conditions evolve. Treating territory planning as a once-and-done task puts your team at risk of falling out of alignment with real-world conditions.

Best-in-class sales organizations treat territory planning as a continuous process. Regular reviews help identify imbalances, surface new opportunities, and correct course before problems affect performance.

How Geopointe helps: With dynamic mapping and real-time data integration, Geopointe makes it easy to monitor and adjust territories as needed. You don’t have to wait for next year’s planning cycle; you can manage territories in a flash. 

Myth 4: Each rep should have the same amount of territories

The truth: Dividing territories into an equal number of accounts or geographic size might seem fair on paper, but it often results in unequal opportunity. One rep might get a territory filled with high-value prospects while another could get an equal number of low-potential accounts.

Fairness in territory design comes from equalizing opportunity, not just splitting accounts evenly. That means factoring in historical revenue, market potential, and average deal size.

How Geopointe helps: Geopointe lets you overlay key performance data like revenue or lead volume onto geographic maps, helping you build equitable territories that offer similar revenue potential, not just similar size.

Myth 5: Territory management only matters for large teams

The truth: Even a two-person sales team needs clarity on who owns which accounts. Without clear territory definitions, reps can step on each other’s toes, duplicate outreach, or ignore valuable prospects altogether.

Well-defined territories give even small teams a structure to collaborate efficiently, avoid internal conflict, and focus their energy where it counts.

How Geopointe helps: Geopointe simplifies territory management for teams of all sizes. Whether you’re managing five reps or 500, you can use visual data to define, assign, and manage territories with confidence.

Myth 6: You don’t need software for territory management

The truth: Although many sales organizations manage territories by spreadsheet or static maps, this process is time-consuming and prone to error. It’s difficult to account for all the moving parts without the right tools or visuals.

Modern sales teams need more than gut instinct. They need data-driven insights, flexible planning tools, and real-time visibility to stay competitive.

How Geopointe helps: Geopointe integrates directly with Salesforce, enabling location-based intelligence inside your CRM. You can visualize customer data, model different scenarios, and optimize your territories — all in one platform. That means fewer spreadsheets, faster planning, and smarter decision-making.

Good territory management is good for business

Territory management is more than drawing lines on a map. It’s a strategic process that impacts rep productivity, customer experience, and ultimately, revenue growth. By letting go of outdated myths and embracing a smarter, more flexible approach, your team can unlock better performance and more predictable results. 

Want to see how Geopointe can improve your territory strategy? Schedule a demo today and discover how geolocation can turn territory management into a competitive advantage.