Setting and Exceeding Sales Goals through Key Performance Indicators (KPI)

What's your Magic Number?

The most successful businesses and certainly, sales departments have identified their Key Performance Indicators (KPI); individual gateways that directly effect the outcome of a particular process. Then they measure the competency ratios in line with them.

Have you identified the KPIs in your sales process?

A good KPI example in the sales process might be how many times you advance the first sales appointment to the next phase, whether thats a demonstration, a site visit, a survey or a proposal. Another KPI is how many times you gain a new customer once the first gateway is passed. And when you do gain a new customer, whats the average revenue you achieve? Thats certainly an important KPI. Because if your average revenue per sale is 40% less than the average peer KPI, you might want to find out why and take focused action to improve it, as youre leaving money on the table.

And what about the length of a sales cycle in days? Is that conditional or do you have a degree of control over it? If you have a team member that has an average sales cycle 30% shorter than the peer group, uncover and assimilate those best practices out to the rest of the sales team. Less time, more results. That makes Sales Cycle a valuable KPI.

On a practical level, KPIs can provide management prospect reactions to their service offering for feedback to marketing and product development, detect problem areas in sales performance and signal the need for strategic or tactical modifications even an all-out intervention through pinpoint sales performance training.

Perhaps the most overlooked KPI is the individual Magic number; how many new weekly sales opportunities must be generated based on neighboring KPIs. Think of the magic number as the fuel in your gas tank needed to get from point A to point B. Its directly proportional to how far a distance, how fast you drive and your average miles per gallon. Your sales process Magic number is a derivative of your average revenue per sale, 1st appointment to poroposal ratio, closing ratio and revenue goal. Its your Activity barometer and it should be at 100%.

The following are some tips for improving several sales process KPIs.

If your current 1st Appointment to Proposal ratio is below 65%:

1. Internally define what your Next step objective of the 1st appointment is; a demo, a site visit, a survey or a proposal. Then train to a process and measure the outcome.

2. Decide to start at the Top with the fiscal authority that can Call the shots.

3. Avoid Selling your product on the 1st appointment. Instead, outline your diagnostic steps to evaluate the fit between your solutions parallel to their business objectives.

If your current Closing ratio is below 65%:

1. Ask pertinent questions to what the Prospect Companys decision-making process is, what the internal criteria for change is and what players need to be involved for evaluation.

2. Communicate a timeline and set a specific date for the 2nd appointment before leaving the 1st appointment. Encourage that all management players be present at the next appointment.

3. Catalog risk factors for each management player and develop strategies, tactics, and tools for direct communication to them.

4. Have relevant industry and title reference letters available for Real-time credibility.

If your current Activity barometer is below 100%:

1. Announce the Competency of converting conversations to appointments as a Key performance Indicator for sales success.

2. Define an appointment setting training objective and set a realistic goal.

3. Develop a training process in line with prospecting scenarios and best practice communications.

4. Dont sell your Widget; sell the Business reason to meet.

5. Partner with technology to transfer best prospecting practices into Intellectual capital promotion throughout your sales society.

Ultimately, sales trainers and management should work in concert to create a new culture by replacing random sales routines with specific KPI competency training.

Targeted and timely KPI training can make a critical difference to your monthly revenue scorecard. In todays high sales performance culture migrate away from monthly and quarterly Quota focus to daily routines and weekly goals. The opportunity rests squarely on switching paradigms from the required End result to the necessary steps (KPIs) to get there routinely. Then build supporting tools for learning and application.

And dont forget your Magic Number.

Jeff Hardesty is a National sales speaker, Sales performance improvement consultant and the Developer of the X2 Sales System, a blended sales prospecting training system that teaches sales professionals the competency of setting targeted C-level business appointments. 100 Airline Ticket Under
Golf Equipment Sales
Radisson Resorts
1 Cartoon Political War World
Baby Shower Gift Tag
Emerson The American Scholar
10 Essential Forex Trading
Kasco Golf Gloves
1930 Cartoon Editorial
Canada Center Detox
Bunn Iced Tea
Electric Slide Dance Move
05 Acura Rl
Pet Name For Boyfriend And Girlfriend
Photojournalistic Wedding Photography
Single Christian Dating Network
Steak Restaurant Recipe
Font Free Microsoft Office
Fishing Powell Rod
4x4 Car Truck
Free Magazine Pc Subscription
Nero Dvd Shrink
Dairy Farm Jenny Smith
America Bank City New York
Cartoon Network Employment
Coffee Grounds House Sacred
Satellite Dish Canada
Jeep Grand Cherokee Parts
Lamp Berger
Cafe For All Season Restaurant
Office Of Management And Budget Omb
Free Story Book Online
Christian Faith High School
Channel Five Tv
Property Ranch Sea
Ecco Tennis Shoes
Bloch Tap Shoes
Bueno Fishing Poco Tournament
Kt142
Cake Snowman Topper Wedding
Sound Card Download
Global Opinion Scientific Warming
Island Italian Long Restaurant
001 001 Cheap Flight Keyword Miva R Uk
Sedation Dentist Dallas
Christmas Food Fruit Gift Gourmet Holiday Orange Steak
Taxi New Jersey
1 64 Diecast Oil Shell
Charter Sailing Scotland
Kt97
Japanese Kettle Tea
Drill Free Hockey
Canada Trucking Jobs
Barbie Cash Register
2006 Ohio Tots Toy
03 05
10 Best Place To Retire
Peru Hiking Tour
Carolina Football High School Score South
Park Restaurant Village Winter
2008 Ford 500
Chicago Chocolate Factory
Yahoo Driving Direction
Home Tanning Lamp
Faa Private Pilot Written Exam
Wonderlic Personnel Test
Photo Falling Snow
Thoracic Disc Herniation
0 Lux Camera
10 Best Cologne List Man Selling Top
Skiing Holiday Meribel
Canada Pension Plan
Calendar Holiday Date
One Market
Bertram Yacht
Wholesale Ice Cream
Custom Hiking Boot
Barefeet Boot Shoes Store
Hollywood Presbyterian Hospital
Construction House Smoke
Cheap Flight New Zealand Uk
100 Estate Real Remax
University Of Kentucky Wild Cat Basketball
Arkansas Chamber Of Commerce
Building Contractor Exam Preparation Guide
Used Nissan Z Car
Djibouti Weather
Gogeta Ss4
James St James Disco Bloodbath
1 16 Farm Scale Toy
Steven Holbrook The Clairvoyant
Emilio Esteves
Duke Hazzard Movie Reunion
Human Growth Hormone Release
Community Home New Retirement
Beach Colony Resort Myrtle Beach
Government Of Canada Weather
Advertising Home Business Magazine Work
Victorian House Restoration
Womens Justin Cowboy Boot
1 5 Adjustable Gym In Little Tikes
Asian Massage California
Battat Busy Magazine Parent Zoo
Culture Physique
Moonstone Earrings
Cameron Diaz Magazine Pic W
As Caption Myspace Picture
Graphic Myspace Quote Saying
Meth Detox
Hurley Bikini
International Celebrity Foot