National Sales Center

Why You Need The Right Goals To Succeed In Sales

I once participated in an interesting exercise at a seminar on Leadership.  The instructions were simple. We were asked to toss a small disc at a wall. The goal was to get the disc as close to the wall as possible. No one was told how far away from the wall to stand.

The first few participants stood about 12 feet from the wall.  Then some wise guy stood about an inch away from the wall and placed the disc right up against it. Others followed and did the same thing. Suddenly, the exercise became boring. So, want can this exercise tell us about setting sales goals?

Balanced Sales Goals

Sales goals need the perfect balance between too easy and too difficult. Sales goals need to be both attainable and challenging. A sales goal that is too easy to attain is just as useless as a sales goal that can’t be attained.

Sales Quota As A Goal

The first sales goal a sales rep receives is their quota. Sales quotas are a necessary evil. We need a way to equally measure productivity but I don’t need someone in Finance telling me how much I should be selling. My financial goals always dictated how much I should be selling. My financial goals were always higher than the sales quota handed to me by Finance.

Sales Activity Goals

We establish sales goals for just about every activity.

• Number of prospecting call to make each day
• Number of new appointments
• Number of proposals we need to submit
• Amount of revenue in our sales funnel

The list is endless.

Activity Based Sales Goals

The problem with these activity based sales goals is that they only focus on quantity. They lead one to believe that working harder is the key to sales success. Frankly, nothing can be further from the truth. Never overlook the importance of selling skills if you expect to close more sales.

You can’t establish proper sales goals if you overlook the quality factor. Sales goals must be driven by results. It’s not about how many prospecting calls you make. Ultimately, it’s about how many of those prospecting calls result in a first appointment.

The Key Sales Goal

In the final analysis, sales goals need to be measured against a close rate. The close rate keeps all other numbers honest. Rep “A” may have $100,000 in their funnel. Rep “B” may only have $90,0000 in their funnel. Using just this data, you can’t tell me which rep is doing a better job. However, if I told you Rep “A” had a 20% close rate and Rep “B” had a 50% close rate, you would no problem answering that question. You need to keep this in mind when you establish sales goals.

The Quality Factor

High sales activity is important but activity for the sake of activity gains nothing. You must also consider the quality factor when you establish sales goals. The quality factor is all about generating results. The only way to generate those results is by using top-notch sales skills.

I’ve got a great sales goal for you to consider. This sales goal is totally focused on the quality factor and therefore this sales goal is about generating the desired results. Pay attention to self-development and improve your sales strategies and selling skills. Get your hands on some powerful sales training videos so that you’ll get the most out of your sales activities.

I just gave you solid advice. I hope you’ll remember the quality factor when you establish your sales goals.

Nick

Other Sales Training Articles Of Interest

What It Takes To Succeed In Sales

The Sales Process Is The Only Key To Sales Success

Sales Cycle Basics

Closing Sales Made Easy

Training In Sales For Beginners

How To Sell Technology, By Nick Moreno

Key Performance Indicators For Sales Reps

Cold Calling Tips And Advice For Serious Salespeople

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