Goals are the motor that drives all companies. When opening a business, you have to set goals to achieve within a month, six months, and a year. By creating these goals, you can understand which sales channels you should focus on, which marketing strategies to use, and, overall, what inspires your customers to buy your product.
All companies sell something. Whether it is a product or a service, there are deadlines to be met. Setting concrete goals also increases motivation in your employees. It will help your sales team fabricate a strategy to achieve them. This goal will give a general direction on where your sales team should go when you need to close deals, acquire new customers, create loyalty, and increase revenue.
Sales Goals
Sales goals are objectives that help sales professionals to focus on what they should be working on every day. These sale objectives outline the specific tasks an employee must-do for a company. Sales goals are tightly related to KPIs and metrics. By dividing those KPIs into internal and external sales goals, you will be able to stretch these objectives to limits you haven't thought of before. You can find some common examples of sales goals below.
Increase revenue by 6% each month
Increase win rates by 19%
Reduce customer churn rate by 25% at the end of the year
Limit the number of discounts given to prospects
Monitor customers weekly to identify cross-sell and upsell opportunities
Reduce cycle time by automating tasks like email prospecting
As you can see, the goals listed above are concrete and specify a time in which they should be completed. When setting an objective, you also need to consider the big picture. Below, you can find the six most important sales goals you need to achieve in the upcoming high season.
1. Revenue
The master of all sales goals is to increase revenue. The more income your company gets, the more you can invest in different projects in your business. By increasing the transaction size of each customer or increasing customers overall, you can achieve more revenue.
Unfortunately, this goal is easier said than done. It will involve doing a deep search on how individual representatives are performing and how your sale process is functioning. A great tip for increasing this sales goal is ending marketing campaigns when you see no progress. For example, if you have an A and B prospects campaign and see one side of the balance tipping over in the first few days, try to end the low rate campaign and assign the budget to the high rate campaign.
2. Profit Margins
Profit margins are based on the amount of income you perceive for each item you sell. There are several ways to improve this objective, such as increasing the price of your product, offering fewer discounts, and adjusting pricing structures by offering bundles at varying price points.
Pursuing the increase of profit margins is quite simple. One particular example you can apply for Black Friday is limiting the number of coupons your company or your sales reps give out. For this goal to increase, you need to have good communication with your managers. They will determine how many discounts and coupons are available to each sales representative and try to limit them in a prolific manner.
3. Win Rate
Win rate is a Key Performance Indicator (KPI). It will denote the number of deals you can get with a customer. The more deals you can close with several customers, the more revenue generated for the company. These sales goal heavily involves your marketing team and your sales team.
Improving the win rate can be a little tricky. Pursuing this sales objective will take a significant amount of trial and error. There is no particular adjustment you can make to see results. One great strategy is to analyze individual sellers' performance to expose potential problems in your operations. Once you have identified the weak points, you can offer more specialized training for the sales representatives or have an achiever give them some tips.
4. Leads
Leads is a sales goal based on the number of high-quality leads generated by the sales teams. The more information they identify, the higher the chance you will close deals and increase your overall revenue.
One fantastic way to achieve this goal is to schedule a time in your employees' work hours to work on leads. Most of the increases you will see in this goal are process-oriented. If the results are increasing, it means your process is going well. If not, it is time to change your lead acquiring process.
5. Customer Retention
Customer retention is pretty self-explanatory. Once a customer has made their first purchase, you will need to ensure they will buy again. Whether buying better ingredients for your product or offering exceptional customer service, retaining customers is way more cost-effective than acquiring them.
There are multiple ways you can achieve this goal. One of the most common ones is a loyalty program. With a loyalty program, you can track all of the customers' purchases and offer them a discount on their tenth purchase, for example. You can also create a point-based system that will allow your clientele to get more products every once in a while.
Also, keep in mind that your customer support team needs to be very attentive, active, and enthusiastic. These attributes will help you maximize your customer retention potential.
6. Cross-sell and Upsell
The last sales goal you need to keep an eye on for Black Friday is Cross-sell and Upsell. Just as Leads, this sales goal is more process-oriented than result-oriented. You will need to guide your sales team to take action during a selling point.
To achieve this goal, most companies use a CRM database. This database will help you identify customers who have checked out a product page or requested a demo for a product or a feature. You can also keep track of your customers by keeping a record of how much they have bought in the past and offering them a new product that might interest them.
In addition, training your sales team to upsell your products will increase revenue in the long run. As you can see, both the leads and upsell sales goals work very well together when your staff is trained adequately.
Conclusion
Sales goals are the ultimate goal of any company. With well-planned sales objectives, your team will have a clear path they will need to take to achieve their goals. A common goal may be increasing the number of leads or closing deals, but in the end, it always boils down to one metric: revenue. It is vital that you do not lose focus on this goal, no matter how challenging it may be!