Sales targets – unnecessary evil or a management requirement? I suspect most people in a sales environment, be that sales office, car sales forecourt, insurance, telesales, finance and banking, whichever sales related sector that they are familiar with setting sales targets.
Start the month or quarter on a high, just having had last months sales performance management review, and here we go with the month ahead. Bite size chunks we are told, make your sales cold calls, prospecting and pipeline are the key, and be persistent and you will hit your sales targets. In reality of course we need a yardstick, somewhere to not only aim for but also to build the business financial model. We need sales to run a business and knowing on a monthly and quarterly basis where we need to be and where the business actually is are imperative.
Hence sales performance management, the ongoing assessment and motivation / cultivation of sales executives employed to generate sales leads and convert these to sales orders.
Needless to say, a big part of setting sales targets and their achievement comes from both sales motivation and from sales training, and the ultimate question from a sales angle of course is – how to increase sales. Sales training courses have their place of course, and we have an informed view on those also. Sales targets in our view are a necessary performance management tool and can be tailored to an individuals skills and experience whilst maintaining motivation and learning along with staff development and training.
Setting sales targets also needs to consider the marketing activity of the business and how effective that may be in helping the sales executive to achieve his or her targets consistently. Poor sales performance is not a good situation but a complete lack of marketing activity, product or service awareness and general PR activity can have a significant impact on incoming sales enquiry levels.