The ultimate guide to sales statistics- measure sales performance like a pro!

What are the right sales statistics to measure?

The benefit of measuring sales performance with data

By analysing your sales statistics, you get a crisp overview of your entire business. This gives you an understanding of where you are succeeding and helps you identify areas that need a little more work. By analysing your sales performance data, you have the power to take action, using insight from sales data to expand your capabilities.

Driving growth with sales analytics

Whether you’re an international company with a huge team of sales professionals or a start-up with only one person on your staff, sales analytics tools can help your business grow by helping you identify opportunities to increase sales conversions. Many sales analytics tools are low cost or even free, so there is nothing stopping you from improving your sales opportunities today!  

Test how small changes to your website can improve sales performance. The easiest way of thinking about this is to split it into three tasks:

  • Test small changes to your site.
  • Measure the results to see if those changes drive an improvement in sales.
  • Make the changes permanent to your website based on your findings.

Ask yourself ‘what encourages a customer to make a purchase’? To answer this, make a slight alteration to your site and test the changes compared to the current version. Don’t assume you know the answer before the testing is complete. Often, you’ll find yourself quite surprised by the results, people are complex and difficult to predict. 

Don’t be blinded by the results of the test. If your test results give you an insight into something you weren’t expecting, take note, even basic statistics can give you huge insight into how to improve the performance of your site.

Periodic table of inside sales statistics
Periodic table of inside sales statistics. A periodic table of all the key sales metrics you need to know. This strategy snack covers sales development, management and the top challenges your business will face. Learn how to make more informed decisions about your sales strategy. For example, the average percentage of a sales pipeline sourced by marketing.

Where should you run split A/B tests?

An A/B test is when you create two or more versions of a webpage or specific page element and show them to customers at random to compare the performance of the two versions. We recommend that you run split A/B tests for the following.

  • Content and layout of the Homepage.
  • Key pages within the checkout journey.
  • Places where customers regularly drop off the site. This could be sign-up pages, account registration pages or even the homepage.
  • The keywords and copy on the page. (For example the headlines and key selling points).

Choosing the right sales metrics to measure for your business

If you only ever focus on business performance data once a month, you cannot identify opportunities to capitalise on short-term opportunities. Depending on your target market and business goals, the type of data points you will want to focus on for your business will vary. Below are some metrics worth considering for measurement:

  • AOV – Average order value
  • Gross revenue and net profitability
  • Customer lifetime value
  • Product and service categories
  • Traffic sources
  • Seasonality

The ultimate sales metric of them all: Customers!

Getting access to all of that actionable data and knowing how to use it is one thing, but sometimes sales organisations forget what their most important source of information really is. Their customers. 

Listening to the customer is the ultimate data source. It will show you how your products/services are being received so that you can understand the wants and needs of your current customers as well as how to target future prospects.

How to measure sales productivity with metrics and reporting?

What are sales productivity metrics?

A good measure of sales productivity is the time it takes your sales representatives to reach their sales targets. Successful sales teams reach their targets quickly, leading to a higher level of sales productivity.

The aim of measuring sales productivity metrics is to understand the factors that result in the best sales performance. Measuring and modelling sales performance in this way can help you refine your sales strategy and perform more accurate sales forecasts. 

Sales productivity metrics include the percentage of…

  • Marketing collateral for use by sales representatives
  • Time spent selling
  • Time spent in content creation
  • Time spent on high-quality lead follow-up
  • Time spent on data entry
  • The number of sales tools used and their cost

How to Report and Measure Sales Productivity in a CRM system

A quick look at 4 key ways in which CRM systems can help you drive sales growth. This video delves into how CRM systems can help improve your sales process, track the lifetime value of your customers, implement automated marketing processes and identify opportunities for growth. Source: Marketing360.

Measuring sales productivity

Understanding how sales representatives use their time will show you how effective their activities are at increasing your business’s revenue. To do this, consider the three categories of sales metrics that affect productivity: efficiency, effectiveness and performance.

4 steps to examining the productivity of your sales managers and teams

To make sure you are getting optimal productivity, benchmark the current performance of your sales reps to find out where they are succeeding and areas for improvement.

1. Inspect current sales activity

To begin, list all the activities your sales representatives might do during the sales cycle. For example:

  • Inviting customers to meetings.
  • Writing sales emails.
  • Creating proposals.
  • Preparing for sales calls.
  • CRM administration.
  • Creating content.
  • Looking at expense reports.

2. Measure the impact of key sales tasks.

Check how effective each of these activities is. The more impactful the activity, the easier it will be for your sales representatives to close deals.

A good way of doing this is to make sure your team is organising their activities by how impactful they will be.

Activities with a higher impact will push buyers forward. For example, sales training and call preparation are both forms of high-impact activities. 

Whereas low-impact activity (such as content creation or expense reports) are important, it doesn’t directly encourage buyers to move forward.

When you have ranked the activities of your sales representatives’ by high or low impact, you will know where they should be spending the most of their efforts to drive sales performance.

3. Use urgency to prioritise sales tasks

Urgency can be used to prioritise tasks based on how close you are to closing a sale and whether the sales representatives can outsource the task. 

It is a good idea to know exactly how urgent each high or low-impact task is so that you can prioritise effectively.

For example:

  • High Impact/Urgent: Account research directly pushes buyers towards you so it is high impact and urgent.
  • High Impact/Not Urgent: Creating content is still high impact but not as urgent. This is because it can be outsourced to a marketing team, so the sales reps shouldn’t have to worry about it as much.
  • Low Impact/Urgent: Updating your CRM is low impact because it is not directly encouraging sales however it should still be considered urgent as it can negatively affect other teams.
  • Low Impact/Not Urgent: Weekly sales all-hands meetings are both low impact and not urgent because you’re far from gaining any sort of revenue.

4. Measure the time is spent on each task

Finally, calculate how much time each task takes on average. You could get this information through your CRM if it has time-tracking or alternatively, a simple survey or interview with your sales reps can give you the insight you need. 

By following these steps, you will have a high-performing sales team and a more accurate sales forecasting to plan for future growth initiatives.

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