Increase Sales through the Creation and Implementation of 3 Year Sales Action Plan
Increase Sales through the Creation and Implementation of 3 Year Sales Action Plan
Instead of thinking where you want to be in 6 months, ask yourself where do you want to be in 3 years?
Then using this somewhat W.A.Y. S.M.A.R.T. goal, start working backward from that point in time to the present.
Of course, you will need to know some specific marketing and sales metrics to be able to work back both efficiently and effectively. These metrics would be based on a 5 year history and would include:
1. Annual sales for the last 5 years
2. Net profits before taxes for the last 5 years
3. Average percentage growth for your company for the last 5 years
4. Total active customers for each of the last 5 years
5. Total lost customers for each of the last 5 years
6. Annual marketing costs for each of the last 5 years
7. Average client acquisition cost for each of the last 5 years
8. Average sale transaction for each of the last 5 years
9. Average sale of primary products/service transaction for each of the last 5 years
10. Average sale of secondary products/services transaction for each of the last 5 years
11. Average market share for each of the last 5 years
12. Trends in monthly sales that indicate any consistent peaks in sales during the least 5 years
13. Local, regional, national and international growth for your target market for the last 5 years
Now using these statistics, you can with greater accuracy put together a more detailed sales plan that will yield greater results. For example, your business in the business to business marketplace and specializes in technology. Your annual growth has been under 10%, but the market is growing at 25% or more. You basically offer 2 types of products and services. One is annual service contracts that delivers a respectable profit margin and the other is as needed technology solutions including service and hardware. The second offering varies as to profitability.
Next you determine that in 3 years you want to be at $750,000. Given that you are currently at $408,000, this appears to be a big hairy audacious goal. However, now that you realized during the least 5 years, you have left a lot of low hanging fruit on the branches, you believe that you can achieve this sales goal. Small Business Sales Coaching Tip: Planning based upon solid numbers allows you to reach further and grow faster than historically experienced.
In using the 25% growth rate, you realize that the first year, you need total sales of $475,000 and by the second year, $600,000 to secure the third year goal of $750,000. Now all of a sudden the $750,000 does not seem so far fetched. After all, if you have been doing 10% annually, the difference now is just $27,000. You know that an annual contract is $15,000 and this means that you only need to secure two new contract clients beyond your normal growth. Additionally, the collected data shows that most of your contract clients come to you in May, June, November or December. Now you can adjust your marketing efforts to ensure that you secure these two contract clients.
A well crafted sales action plant that is aligned to your overall strategic business action plan can increase sales provided you know your numbers. Now, not tomorrow, is the time to take action and invest in the creation of such a sales action plan. Believe it or not, it will return your investment of time and other resources many times over.
Increase Sales through the Creation and Implementation of 3 Year Sales Action Plan - To learn more about this author, visit Leanne Hoagland-Smith's Website.
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Are your sales lagging? Do you want to increase sales? Have you tried everything imaginable? Then, maybe it is time to return back to the basics of creating a long range sales action plan.
Instead of thinking where you want to be in 6 months, ask yourself where do you want to be in 3 years?
Then using this somewhat W.A.Y. S.M.A.R.T. goal, start working backward from that point in time to the present.
Of course, you will need to know some specific marketing and sales metrics to be able to work back both efficiently and effectively. These metrics would be based on a 5 year history and would include:
1. Annual sales for the last 5 years
2. Net profits before taxes for the last 5 years
3. Average percentage growth for your company for the last 5 years
4. Total active customers for each of the last 5 years
5. Total lost customers for each of the last 5 years
6. Annual marketing costs for each of the last 5 years
7. Average client acquisition cost for each of the last 5 years
8. Average sale transaction for each of the last 5 years
9. Average sale of primary products/service transaction for each of the last 5 years
10. Average sale of secondary products/services transaction for each of the last 5 years
11. Average market share for each of the last 5 years
12. Trends in monthly sales that indicate any consistent peaks in sales during the least 5 years
13. Local, regional, national and international growth for your target market for the last 5 years
Now using these statistics, you can with greater accuracy put together a more detailed sales plan that will yield greater results. For example, your business in the business to business marketplace and specializes in technology. Your annual growth has been under 10%, but the market is growing at 25% or more. You basically offer 2 types of products and services. One is annual service contracts that delivers a respectable profit margin and the other is as needed technology solutions including service and hardware. The second offering varies as to profitability.
Next you determine that in 3 years you want to be at $750,000. Given that you are currently at $408,000, this appears to be a big hairy audacious goal. However, now that you realized during the least 5 years, you have left a lot of low hanging fruit on the branches, you believe that you can achieve this sales goal. Small Business Sales Coaching Tip: Planning based upon solid numbers allows you to reach further and grow faster than historically experienced.
In using the 25% growth rate, you realize that the first year, you need total sales of $475,000 and by the second year, $600,000 to secure the third year goal of $750,000. Now all of a sudden the $750,000 does not seem so far fetched. After all, if you have been doing 10% annually, the difference now is just $27,000. You know that an annual contract is $15,000 and this means that you only need to secure two new contract clients beyond your normal growth. Additionally, the collected data shows that most of your contract clients come to you in May, June, November or December. Now you can adjust your marketing efforts to ensure that you secure these two contract clients.
A well crafted sales action plant that is aligned to your overall strategic business action plan can increase sales provided you know your numbers. Now, not tomorrow, is the time to take action and invest in the creation of such a sales action plan. Believe it or not, it will return your investment of time and other resources many times over.
Increase Sales through the Creation and Implementation of 3 Year Sales Action Plan - To learn more about this author, visit Leanne Hoagland-Smith's Website.
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Leanne Hoagland-SmithAre your sales where you want them to be? Will you be one of the few who achieves sales or business success or one of the many who have failed to change? Are you tired of being told you are like everyone else? Then you may find my first book on sales of interest. Be the Red Jacket in the Sea of Gray Suits, The Keys to Unlocking Sales available at Amazon or at http://www.processspecialist.com/red-jacket.htm. This book is a reflection of my no-nonsense approach to improving sales to overall business results. If you are truly committed to making sustainable changes, then I can help you secure a positive return on your investment because I focus on executable solutions not telling you the problems you already know you have. From training to corporate (group) coaching to executive one on one coaching, my approach is to assess, create awareness, build a goal driven action plan and then execute. The bottom line question is "Not do you or your employees know it, but do you or they want to do it?" Please call for a free strategy session at 219.759.5601. - Visit Leanne Hoagland-Smith's Website |
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David AchesonDavid Acheson is the founder of DCJA Consultancy. DCJA Consultancy is a management consultancy business specialising in B2B sales consultancy. They offer bespoke and packaged sales consultancy including Sales Optimisation Review, Interim Sales Management, Sales & Marketing Review, 1:1 Sales & Management Staff Analysis, Management Training, Solution Sales Training, Creation of New Pay Plan, KPI's, run Customer Feedback Campaigns, assist with Recruitment, Coaching, Appraisals and set up Strategic Marketing Campaigns. David spent his early career in accountancy and then moved into sales in 1982, working in Office Equipment, IT, Advertising, Training, Outsourcing and Consultancy. He has held many Senior Positions in SMBs and Global Organisations including Head of Sales Operations & Head of Business Development. His knowledge, skills and great experience of the Sales Industry has led to David making keynote speeches and running educational sessions to key businesses through organisations including The Chamber of Commerce and Business Link. - Visit David Acheson's Website |
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Dave KurlanDave Kurlan is the founder and CEO of Objective Management Group, Inc., the industry leader in sales assessments and sales force evaluations, and the CEO of David Kurlan & Associates, Inc., a consulting firm specializing in sales force development. Dave has been a top rated speaker at Inc. Magazine's Conference on Growing the Company, the Sales & Marketing Management Conference and the Gazelles Sales & Marketing Summit. He has been featured on radio and TV, including World Business Review with General Norman Schwarzkopf, in Inc. Magazine, Selling Power Magazine, Sales & Marketing Management Magazine and Incentive Magazine. He is the author of Mindless Selling and Baseline Selling – How to Become a Sales Superstar by Using What You Already Know about the Game of Baseball. He created and wrote STAR, a proprietary recruiting process for hiring great salespeople, and he writes Understanding the Sales Force, a popular business Blog and is a contributing author to The Death of 20th Century Selling and 101 Great Ways to Improve Your Life, Volume 2. - Visit Dave Kurlan's Website |
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Linda RichardsonLinda Richardson is the Founder and Executive Chairwoman of Richardson, a global sales training and performance improvement company. As a recognized leader in the industry, she has won the coveted Stevie Award for Lifetime Achievement in Sales Excellence and she was identified by Training Industry, Inc. as one of the “Top 20 Most Influential Training Professionals.” Ms. Richardson is credited with the movement to Consultative Selling and is the author of ten books on selling and sales management, including Sales Coaching — Making the Great Leap from Sales Manager to Sales Coach, and Stop Telling, Start Selling. She teaches sales and management at the Wharton Graduate School of the University of Pennsylvania and the Wharton Executive Development Center. Linda is a frequent speaker at industry and client conferences, has been published extensively in industry and training journals, and has been featured in numerous publications, including The Wall Street Journal, Forbes, Nation’s Business, Selling Power, Success, and The Conference Board Magazine. Learn more about Richardson's sales training and performance improvement solutions at http://www.richardson.com web - Visit Linda Richardson's Website |
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George LudwigGeorge Ludwig is a recognized authority on sales strategy and peak performance psychology. An international speaker, trainer, and corporate consultant, he helps clients like Johnson & Johnson, Abbott Laboratories, Northwestern Mutual, CIGNA, and numerous others improve sales force effectiveness and performance. Though it's George's strategies and processes that help corporations increase productivity and performance, it's his tremendous energy and dynamism that spark the transformation. Again and again, clients remark on his amazing ability to unleash human capacity and inspire men and women to break out of their comfort zones. The result is a whole new type of salesperson. His customized presentations teach achievers to make stunning advances in their lives. From helping salespeople realize cherished dreams to helping corporations exponentially accelerate revenue streams, George Ludwig leaves audiences and individuals empowered, emboldened, and clamoring for more. George is the best-selling author of Power Selling: Seven Strategies for Cracking the Sales Code and Wise Moves: 60 Quick Tips to Improve Your Position in Life & Business. - Visit George Ludwig's Website |
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John BrennanJohn Brennan Ed.D. Dr. Brennan is President of Interpersonal Development, LLC, a training and development firm. Interpersonal Development has provided sales training and coaching to more than 3,000 sales reps from over 100 companies. A native of Australia, Dr. Brennan received his doctorate from the University of Rochester. His dissertation researched the effectiveness of Behavioral Modeling Technology in training people in interpersonal skills. While he has spent most of his career designing or delivering training, he was also a Vice-President of Sales of a training and development franchise with operations in 25 markets. Dr. Brennan has designed and delivered sales training in North America, Asia, Europe, Australia and the Middle East. He has been a guest speaker at numerous national and regional professional conferences. When Microsoft wanted Best Practices articles on sales for their web site, they called Dr. Brennan. The results are at http://office.microsoft.com/en-us/FX011387391033.aspx His firm’s clients have included Volvo, The Prudential, Merrill Lynch, Eastman Kodak, Gannett, Equifax Europe, the Economist Group and countless small businesses. - Visit John Brennan's Website |
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Kim CastleWith nearly two decades in the advertising and design business, with clients like Domino's Pizza, General Motors, Direct TV, Pedigree, Wolfgang Puck, Higher Octave Music, Hollywood Celebrity Products, Disney, and Paramount, as well as thousands of entrepreneurs around the world define, structure, communicate, and position their business for greater profits, BrandU(R) co-creators Kim Castle and W. Vito Montone discovered that entrepreneurs could experience the same power that big brands command for a fraction of the cost with the world's only process-based results-drive Integral approach to business creation. BrandU(R) is helping entrepreneurs grow with the power of extreme clarity from idea...to brand...to market(TM) and helping one million entrepreneurs become successful and whole so that they can make a difference in the world. Are you one of them? If you want to experience clarity all the way to the bank(TM), get started now at http://www.brandu.com. - Visit Kim Castle's Website |
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Anne BarrAnne Barr has over 26 years experience in sales and marketing, six years as a franchisee. She has assisted over 367 business owners and purchasers to achieve their goals in career change, transition and exit strategy. She holds the designation of Certified Franchise Executive from the International Franchise Association, Certified Business Intermediary from the International Business Brokers Association and Board Certified Broker from the Texas Association of Business Brokers. Anne is active in professional organizations, networking groups and volunteers for non-profit entities. As owner/operator of four successful businesses, Anne has proven people skills and enjoys helping clients find the right "fit" in business ownership. Visit www.FranchiseOpportunitySpecialist.com for more information about me and my company. - Visit Anne Barr's Website |
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