Tracking among salespeople has sometimes been given a bad rap. It really does not have to be that way! Remember, the main purpose in tracking lead, sales and marketing is to increase business revenues. In order to do that, you need to be able to help boost the sales of your salespeople, and in so doing the individual salesperson’s revenues will be boosted as well. This is a win-win situation for any business!
In tracking sales, here is one of seven numbers any salesperson or sales manager or business startup owner should know:
Individual salesperson closing or conversion ratio per lead source. This includes all paid and non-pain advertising, whether it be a referral, previous customer, television ad, radio ad, internet ad, newspaper, trade show or any other advertising. Your system should allow you an easy way to see where every lead came from, the leads that were closed by lead source, and the number of leads closed cumulative of all the lead sources.
You may wonder why per lead source? Many reasons, but one of the main reasons is so that you can see who is closing what. Everyone has strong and weak points, and when you start tracking the history of closes by lead source, you will definitely see that some salespeople close certain sources better than others.
For example, one company has a man who absolutely loves any lead from a certain radio station. In his mind, anyone who listens to that particular station thinks like him. In his mind, he has already made a connection with the caller. Connections start to build relationships, and relationships sell. He is well on the way to forming that connection.
On the same token, there is someone else who never listens to that station, does not necessarily agree with the hosts of that station and probably would not have that natural beginning connection with those people. He does not get those leads because history has shown he does not or cannot sell them! On the other hand, he is very good at networking events. He likes to talk with people at shows and rotary clubs. He is more the mingler-type person.
And then there is someone else who loves the calls from a certain magazine whose demographics are the people with incredible amounts of money. In fact, the more money they have, the more he enjoys selling to them. The man who is very successful in radio ads is very intimidated by the people with big money, and just has not been able to sell to them yet.
Why not assign leads to your salesperson’s strong points? If you want all your salespeople to be able to close effectively on a certain lead source, look at who is selling it already and see what he/she is doing. Use this information in your sales training. When you see weak points among any of them or all of them, adjust your training. If no one from your company ever sells leads from a certain lead source, then you need to examine whether or not that advertising works for you. If not, cut that advertising and put the money to advertising that works! If you are expecting a certain number of sales from self-generated leads and referrals, your system should show you that, too.
When you have all these lead sources laid out nicely and each representative’s leads and closes next to it, then you are able to quickly see how they compare with each other, industry standards, and your own standards. Once you see that, you are able to assign and train (and even, at times, let go) based on those standards.