Setting sales goals for your team is definitely a challenging task. Various internal and external factors can prevent you from hitting targets. Emphasizing mainly on the numbers is a huge mistake. It is certain that everyone is after sales growth. However, if you don’t come up with a strong plan about how to reach a tangible set of sales goals, it’s unlikely your team will reach the targets.
Considering the long-term goals of your company is also essential. Sometimes, reps can chase bad, unprofitable, high-churning deals in an effort to hit numbers. This can seriously affect your company’s reputation because reps over-promise which leads to unsatisfied customers. It is important to ensure that the sales goals you set are achievable and motivating.
Here are eight essential steps to consider in order to set smarter sales goals:
- Conceptualizing realistic targets
- Manage Sales Quota Timeframes
- Knowledge is Power
- Traffic Generation
- Constantly Contemplate
- Visual Aids
1. Conceptualizing realistic targets
When setting sales goals, it is important to strike a balance between challenging yet achievable objectives. Various experts suggest trying out the 70% rule when it comes to conceptualizing sales goals. If you follow this rule, you will only set goals that you are certain of hitting at least 70% of the time. Otherwise, such goals would be too risky to try out.
2. Manage Sales Quota Timeframes
It is a good idea to break down your sales targets in bits. The right way to get started is to begin with an annual revenue goal before proceeding to develop quarterly and then monthly targets. It also makes sense to have periodic time-frames on a daily basis if you are in charge of the sales team.
With the implementation of frequent sales quotas, you can push your team members to their limits and at the same time motivate them. The Harvard Business Review recently stated that daily quotas guarantee that salespersons are not able to fall into the trap of being relaxed when handling monthly quotas.
3. Knowledge is Power
A good salesperson should be aware about the products and services that your company offers more than anyone else. Understanding what the company represents can motivate salespersons on an individual level and encourage them to reach sales goals.
Using the FAB (features, advantages, and benefits) formula has proven to be very effective for a number of salespersons. These three qualities represent unique takes on numerous products and services offered. This technique allows you to gain full comprehension of various products.
4. Traffic Generation
Very often, only setting sales goals is not a means to an end. At the end of the day, youir aim is to sell your services to customers. For example: You should make sure to have enough website traffic if you are running an online store. This can be done by improving the overall look of the store and/or website to make it more appealing to potential customers. Other ways to achieve the sales goals through traffic is by hosting events and promoting content through ads and promotions. This will result into more brand awareness.
5. Constantly Contemplate
It is important to be constantly reminded about the targets you’ve set. This will enable you to focus and work harder. A good practice is to spend a couple of minutes every day talking about your goals and the firm’s ambitions going forward. In this way, you can hold yourself accountable and remain motivated to undertake various ventures.
6. Visual Aids
To make sure you are always reminded of why and how you set up sales goals in the first place, you should try incorporating a number of visual aids around the work environment. For instance, if you handle a POS system, you can add a small section on there to constantly remind yourself to keep on track or you can jot down your sales goals if you work on a desk.
7. Strengthen your sales goals with Gamification
Incorporating the gaming concept at the workplace can be an interesting step to undertake. Encouraging the sales team to participate in regular contests while at work can have a positive effect on everyone’s output and efficiency. It has been proven that gamification can have a positive impact on your work ethic. Not just on an individual level, but the company as a whole.
8. Positivity to reach your sales goals
There is no doubt that success is first attained on a mental sense of being. It’s no coincidence that most positive people always seem to be happier and tend to get more things done. Salespersons should firmly believe that things will eventually work out in their favor. In this way, they are more likely to stick to their sales goals objectives without losing faith. It is certain that positivity is the single most important attribute to ensure that they are able to meet their targets.
Setting sales goals that are both challenging and attainable will motivate your team to strive for greatness, and in turn, drive long term success for your business.