Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Some questions answered in Chapter 16 Why is time so valuable for salespeople? What can you do to “create” more selling time? What should you consider when devising a territory strategy? How does territory strategy relate to account strategy and building partnerships? How should you analyze your daily activities and sales calls? How can you evaluate your own performance so that you can improve?
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Good goals have certain characteristics Specific You have to know when you have reached a goal. Achievable but not too easy The best goals are those that require some stretching to obtain. Time-oriented Put a deadline on the goal. Prioritized Evaluate the desirability of each goal.
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Sales goals Conversion goals Number of new account calls necessary to sell 1 new account Number of proposals necessary to sell 1 new account Number of demonstrations necessary to sell 1 unit Performance goals Number of new accounts Total sales revenue Sales in units Activity goals Number of calls Number of proposals presented Number of demonstrations given From Exhibit 16.2
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Goal calculations Monthly earnings goal (performance goal): $2,000 Commission per sale:$250 ($2,000 earnings $250 per sale = 8 calls) Monthly sales goal (performance goal):8 Closings goal (conversion goal):10% (8 sales x 10 prospects per sale = 80 prospects) Monthly prospect goal (performance goal):80 Prospects per calls goal (conversion goal):1 in 3 (80 prospects x 3 calls per prospect = 240 calls) Monthly sales calls goal (activity goal):240 (240 calls 20 working days per month = 12 calls) Daily sales calls goal (activity goal):12 Exhibit 16.3
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Complete these goal calculations: Monthly earnings goal (performance goal): Commission per sale: Monthly sales goal (performance goal): Closings goal (conversion goal): Monthly prospect goal (performance goal): Prospects per calls goal (conversion goal): Monthly sales calls goal (activity goal): Daily sales calls goal (activity goal): Exhibit 16.3 $4,900 $700 10% 1 in 4
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Sales call allocation grid: analyzing your position Strength of position StrongWeak Account opportunity High Segment 1Segment 2 Low Segment 3Segment 4 Exhibit 16.5 Accounts are very attractive because they offer high opportunity, and the sales organization has a strong position. Accounts are potentially attractive because they offer high opportunity, but the sales organization currently has a weak position with accounts. Accounts are somewhat attractive because the sales organization has a strong position, but future opportunity is limited. Accounts are very unattractive because they offer low opportunity, and the sales organization has a weak position.
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Sales call allocation grid: Sales call strategies Strength of position StrongWeak Account opportunity High Segment 1 Segment 2 Low Segment 3 Segment 4 Accounts should receive a high level of sales calls because they are the sales organization’s most attractive accounts. Accounts should receive a high level of sales calls to strengthen the sales organization’s position. Accounts should receive a moderate level of sales calls to maintain the current strength of the sales organization’s position. Accounts should receive a minimal level of sales calls and efforts made to selectively eliminate or replace personal sales calls with telephone sales calls, direct mail, etc. Exhibit 16.5
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Activities planning process Compare the estimated time with the actual time spent on the activity. Develop a time schedule for doing the activities. Estimate how much time each activity will take. Determine the priority for each activity. Make a list of activities that should be performed.
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Leapfrog routing
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Straight line routing
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Cloverleaf routing
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Circular routing
Chapter 16 Chapter 16 Questions answered Setting goals Types of goals Goal calculations Sales call allocation Market analysis Activities planning Call routing Terminology Zoning a sales territory Zone 4 Zone 1 Zone 2 Zone 3 Waco