One thing that top sales performers measure is their figures. They know their conversions to the nth degree and they do this, to calculate what activity is required at the top end, to achieve the goal on the bottom end.
As an example, if you know your average order value is £1,000 and your personal target is £10,000 per month, you need a min. of 10 deals per month.
If you know your current conversion from a meeting to a deal (face to face or virtual) is 33%, then you need to attend a min. of 30 meetings per month, to hit the quota.
If you know it takes you 30 calls to have 5 conversations with a decision-maker and out of 5 conversations you will make 2 appointments, you need to make 450 calls, to have 75 conversations to book 30 appointments, to do 10 deals, to hit your £10,000.
If you measure things to this degree, you can then plan how you’ll make the 450 calls per month, broken down, over a 21 day calendar month.
As long as you have measured accurately, the results do not lie, and then it’s a case of understanding how you can increase your conversions at every step of the process.
The other positive that comes out of this is, you start to learn the value of everything you do. Based on the example above, each of the 30 meetings, whether you win or you lose, earns you £333 per meeting.
30 meetings = 10 deals = £10,000
Therefore, every meeting earns you £333
You could then argue, each conversation is worth £133
30 calls = 5 conversations = 2 appointments = £666
Therefore, 2.5 conversations in 1 appointment = £333
It takes 6 calls to have 1 conversation, so every call is worth £22
When you offer any salesperson, £110 to make 5 extra calls per day, they will bite your arm off. The fact is, they are probably earning it already, they have just never looked at it like this before.
