A lot has been said and written about tracking ratios. I want to address two things here. First the importance of tracking the right ratios and second how to use that information.
I often start a meeting with Sales Managers for the first time by asking what their sales reps do all day. As you might imagine I get some very interesting answers. They usually fall into two groups. The first is I have no idea. The second answer starts with well... When someone answers a tough question with “Well” I know I am about to hear... well something less than truthful!
The real answer is that the Managers are not tracking useful information. When I meet with someone it is usually because they don’t like the results they or their team are getting. Therefore they want a different better result. Unfortunately they usually are paying attention to, rewarding and generally focused on the results. What they should be concentrating on is the front end activity that will eventually lead to the results. They should be asking very basic questions like- How many times this week did you try to talk to someone new? Not how many sales did you make?
My Ratios are 15:7:1. Every day I pick up the phone 15 times, I talk to 7 people and set 1 appointment, on average. Of course some days the numbers are different but over time they work out. If I do this 5 days a week I will set 5 appointments a week. On average I will have 3 second or third appointments per week for a total of 8. This will lead to one sale per week.
Now here comes the rub! If I make 15 calls on Monday and don’t set any appointments how do I feel? Nothing is different except the result. I am calling the same type of company in the same area but no appointments. When I put this to a group in training I hear “you feel bad, lousy”. Then I say what if it happens again on Tuesday? Then I hear you are depressed or very distressed.
Then I say what if it happens all week? Well they say I should be ready to quit! But of course I tell them I get excited, pumped up. I can’t wait to call tomorrow! Why? Because the ratios are not one day or one week or even one year. They hold true over very long periods. This means I must be about to get a run of success. The pros know this, the amateurs quit just when things are about to turn.
Measure the activity then let the results flow.
Why Ratios are so Important - To learn more about this author, visit Don Mersereau's Website.
Like this article? Share it with your friends
 |
Related Articles |
|
 Business ratios
|
| |
Business ratios are tools that help you in evaluating the current performance of your business.
|
|
Why Ratios are so Important
|
| |
Many Salespeople and their Managers believe that sales is a game of numbers. To the degree that it is a game at all it is really about the relationship between those numbers-the ratios.
|
|
Analyzing And Assessing The Business
|
| |
One of the most important steps you will take towards buying a business will be to make a sound judgement on the viability and true worth of what you are buying. In a sense, you must play the part of a good detectiv...
|
|
Impress your bank manager! How to read your balance sheet
|
| |
If you want to do well as a small business owner, it would help you if you could understand the basics of how to read a balance sheet. The balance sheet is an indispensable part of a business accounting information...
|
|
Win More Business by Choosing the Right Sales Activities
|
| |
The hard work of your sales activity can pay off for you if you take a systematic approach to it. Calculate your sales ratios. Track your activity. Measure your activity against the sales ratios and modify it where ...
|
 |
Related Businesses - Evan Elite Authors |
|
The Evan Elite Authors program is currently in beta phase. For details please contact us.
|
|
|
Don Mersereau
(Visit Don's Website)
Don Mersereau is an expert sales training
consultant who has over 30 years of
experience. In the last 3 years alone Don
has worked with clients in 5 countries and
23 US States. No wonder his business is
booming! Your company can naturally
benefit from his wisdom and his
experience. Mr Mersereau continues to work
with clients from all over the world
coming from various industries. If you or
your sales team are beginning to plateau
or just can't seem to shake bad habits,
give us a call. DEI Ottawa wants to help
you stay ahead of competition with highly
efficient selling techniques taught by
experienced sales training consultants.
See how efficient sales techniques can
increase your company’s productivity!
Visit us on line at www.
powerfulsalestraining.com or call toll
free at 1866-434-1492
|
|
|
|
![[Get Copyright Permissions]](http://license.icopyright.net/images/icopy-w.gif){kind=small}
