MetricsJanuary 22, 2020
If there’s a sales topic that receives more angst than discussing metrics, I am hard pressed to think of one. And I get it, this is an emotional industry, and most likely you didn’t get into it to analyze data and think about metrics and conversion ratios.
You’re probably not going to scroll through LinkedIn and see your favorite sales talking head screaming into their selfie video “What’s a healthy pipeline to quota ratio?!” Nor will they be drooling over conversion metrics and their role in forecasting. But I am here to tell you, without them you are running on straight emotion, bias, and luck.
And while we want to talk about the hustle and grind, how to motivate, how to talk the talk, how to “CRUSH THAT NUMBER”…. sorry to break it to you sport, it really is about the numbers. And if you’ve been successful thus far without a measured process, congrats, you’ve got a badass product, great market fit, and amazing talent. But, it churns my stomach to think of “what could have been,” by simply checking your feelings against the facts.
So where do we start, and what do we measure?
The days of sales managers yelling “DIAL! DIAL! 100 DIALS…DIAL!” are gone. Historically measurements like dials, connects, demo set, closed won, etc., would have been our bread and butter. But, today’s industry demands a more personal, strategic, and measured approach; utilizing an omni-channel (call, email, text, social, etc.) process designed to target your ideal audience at the right time, the right place, and in the right tone.
Before you call center managers and power dialer fans grab your pitchforks, hear me out. There is still a place for volume metrics, but as our audience becomes savvier, so should our process. Conversion metrics are still important, but prioritize what truly matters:
- New Opportunities Opened
- Pipeline Size / Quota ratio
- Sales cycle length
- Revenue booked
….and use KPIs of yesteryear to tell a more complete story. The combination gives you and your managers x-ray vision into the strength of the sales org as a whole, and arms your sales reps with knowledge. Trends will begin to emerge, and through these trends, rules can be created. I can not stress this importance enough as sales is a highly emotional industry, and poor decisions are often made at the highest of highs and the lowest of lows.
Understanding the right KPIs that are needed to close is a valuable asset, and can assist in measuring the performance, health, and needs of the sales team; as well as determining messaging, tailoring optimal sequences, and executing successful cadences. But less is more in 2020.
Trust your process, but give yourself a competitive advantage and use numbers and data as your law of land. You created these rules, so live by them.
There’s still time to join us in Costa Rica for The Surf & Sales Summit where we will be breaking down exactly why metrics are so vital to your organization. And be sure to check out the Surf & Sales Podcast – where we talk shop with an all-star lineup of mega sales superstars.