As a Sales Leader, you may be spending less time selling and more time managing your team. You rely on your sales reps to keep you informed of what is happening in the field. However, the best way to stay on top of what is happening is through KPIs.
KPIs, Key Performance Indicators, are metrics that help track the performance of the business, solution, teams and individuals against goals. Monitoring and measuring metrics that matter to your business and understanding why it’s relevant to your business will save you time and employee turnover.
In 2020, prioritise the following KPIs to help drive your team forward and boost your bottom line.
1. New Leads or Opportunities
This metric is all about how your salespeople are contributing to the growth of your business. It will show you which territory is performing best, what percentage of the team is hitting its target and whether you should increase or decrease the goal.
Talking about this metric in a weekly sales meeting with everyone creates a bit of healthy competition that can help get your team motivated.
2. Conversion Rates
How well are your salespeople converting new prospects into customers? Some salespeople will have a better conversion rate than others. Look at what your best performing sales reps are doing in comparison to the lower performing reps. Is there something that the lower performing reps aren’t doing that could boost their conversion rate.
The conversion rate of where your leads are coming from should also be tracked, for example, if they are from inbound activity, emailing or cold calling.
3. Sales cycle length
The length of your sales cycle can have a significant impact on your revenue. Knowing the average length of salespeople’s sales cycle will help you identify inefficiencies by different members in your sales team. If you have a sales rep who is closing in a much shorter timeframe than others, then you may want to look at what they are doing differently.
On the flip side, if you have a sales rep that has a high closed-won rate, but the clients leave after a short period, it can harm your reputation.
After-sales is crucial to client retention. Maintaining rapport with your customers will give you opportunities to help them, to upsell or cross-sell as well as build trust and keep them happy. When you are regularly touching base with customers, they know that you are available to offer support to them and their business.
If salespeople are tracking their interactions with clients specifically the number of times they touch base per month or quarter, and compare it with the length of the client relationship, you may see that the clients with more interactions stay around longer.
5. Employee satisfaction
Working in sales is demanding. It requires persistence and resilience and sales reps can burn out quickly. One of the biggest challenges’ sales leaders face is keeping their team motivated and creating a healthy culture.
If you have a remote sales team, it’s even more challenging to keep everyone motivated. Ask your employees to rate their job satisfaction, provide feedback about their role and do regular 360s where you get feedback on yourself as a sales manager.
These aren’t the only KPIs to focus on. Tracking your Net Promoter Score, Upsell or Cross-Sell rates and Competitor Pricing can also give you invaluable insight into your business and your team.
We understand the demand for quality leads and the need for your team to meet those demands. We are here to help and add value by finding tangible, highly qualified leads where we have secured a date and a time for an appointment. These individuals are in your target audience, at the right decision-making level and have an interest in your solution. Taking away this pressure from your Sales team allows them to focus their time on closing deals and generating revenue.