The Most Important KPIs Every Sales Team Should Measure
To run a successful sales team, you need to measure KPIs. This will show the performance of various sales processes that your team uses.
Choosing the right indicators to measure makes all the difference. The right success metrics will show whether your brand is growing or not.
In this article, we will walk you through the top indicators your team should measure.
What Is A KPI, And Which Should I Measure?
KPI is short for Key Performance Indicators. This shows the performance of your brand over time.
You can place them side by side with your goals and see if your strategies work. If they don’t, you can switch them up.
These are the important KPIs your team must measure:
#1. Sales Volume
The volume of sales across your outlets will show where the demand for your products is high or low. Measuring this will show you why this is so and what you can do to improve.
This will help you to switch up your tactics. You can do promotional sales in poor-performance areas to boost sales. Other tactics are discounts, coupons, or samples.
#2. Lead Conversion Rate
This is one of the Key Performance Indicators that show how many leads convert to sales. Tracking this data helps you to build a plan to gain more customers.
It helps you determine if your pitches work or if your team needs to switch up. You can also see if you are targeting the right crowd or shooting blanks.
#3. Competitor’s Pricing
Knowing the prices of your competitors will help your team build a competitive strategy. Depending on the results, you can decide to offer lower prices.
Also, Check the average retail price of similar products in your industry. It will determine the impact a reduction will have on your business.
Then, prepare your sales team to expect sales objections and how to handle them.
#4. Website Conversion Rate
These days, most businesses run a website. The web conversion rate shows the number of prospects that come to your site for some reason.
So, to get a higher conversion rate, optimize your website. Then, watch the analytics on your dashboard to know areas that need improvement.
In all, this will help you to reach your sales goal in a shorter time.
#5. Customer Lifetime Value
This is one of the major Key Performance Indicators that shows the worth of each customer. It helps you track how much revenue you will get from the first sale until they stop buying.
With this, you can predict the future revenue of your company. You can also establish how many leads you need to pursue to reach your sales goals.
Choosing The Right Strategy
With Key Performance Indicators, there is no one-size-fits-all. You need to tailor different strategies to meet your specific goals.
We have made the work easier by explaining some of the major KPIs you need to measure. If you follow the tips in this article, your sales team’s performance will face a turn-around.
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