A company that is starting to open its doors has several challenges ahead. Certainly, one of them is finding customers, receiving feedback on your product/service and continually evolving. However, it is also important that, from the beginning of its opening, sales goals are drawn and metrics are used to reach the stipulated goal.
By identifying and mapping key sales metrics you are able to gain an understanding of where you are and what you have to do to reach those goals. There are some metrics that, when tracked, help companies analyze their performance and find new opportunities. Are they:
1. Have an achievable goal
It’s no use wanting to create a goal that is impossible to reach because the only thing you’ll be able to do is to lose motivation. Therefore, to start any period of work, set a goal that is attainable at the end of the month. Make it clear how many deals you need to close and how much money you need to bring to the company.
2. Average ticket
This is a very important metric as it shows how much you are producing in actual sales. It indicates how much money, on average, the seller brings to the company per deal. To calculate your average ticket, just divide the amount of revenue you brought in by the number of deals closed in the same period. It is important to know that the number of new customers does not matter, but the average ticket of each customer within your portfolio.
3. Total number of open opportunities
Open opportunities are leads or prospects that are interested in your product or service and that can become a closed deal. By finding out how many leads are created, you can see in your sales funnel how many totals leads you to have to work with and sell. With this metric, it is possible to know if you need to increase the prospecting and quality of generated leads.
4. Number of proposals sent
Know the number of proposals submitted in the same period and evaluate their performance. In this step of the funnel, you should have already identified which customers have the greatest potential to close the deal so that you don’t waste your time making a proposal. This is an important metric when measured against the number of deals closed. It helps to figure out if you’re wasting your time with the wrong customers or if your value strategy needs to be re-evaluated.
5. Number of trades closed
In this metric, you have reached the end of the sales funnel and completed the sale. With it, you will know if your sales funnel is increasing, if you are opening and closing enough deals.
Use a CRM to help monitor your business process
To be more efficient in monitoring these metrics it is advisable to use a CRM system. CRM is the acronym for “Customer Relationship Management” and it is a strategy that unites all points of contact with customers. A CRM system will help control your sales, as well as the performance of your sales team and the success of your company.