Why Keep Score? “Sales” is commonly referred to as a “Numbers Game”, but that’s not the only reason Why Keep Score! It is because small increases in Key Performance Metrics (aka, Vital Signs) can make a BIG Difference in Sales Commissions!! Let’s use $60,000/Year as a Starting Point… CLOSING INTERVIEWS CLOSING RATIO AVERAGE COMMISSION 10 X 50 % X $1000 = SALES COMMISSIONS $5,000 / Month ($60,000 / Year) …and you increased all 3 Metrics incrementally? CLOSING INTERVIEWS (Vital Sign #1) = + 2 12 X 50 % X $1000 = $6,000 / Month Increase = + $1000 / Month (+$12,000 / Year) CLOSING RATIO (Vital Sign #2) = +10% 10 X 60 % X $6,000 / Month $1000 = Increase = + $1000 / Month AVERAGE CASE SIZE (Vital Sign #3) = +$300 10 X 50% X (+$12,000 /Year) $6,500 / Month $1300 = Increase = + $1500 / Month (+$18,000 / Year) Added together, these increases = $3500/Month, but the Compounding Effect of increasing all 3 simultaneously = $4360/Month (+$52,320 / Year)! CLOSING INTERVIEWS 12 X CLOSING RATIO 60% X AVERAGE COMMISSION $1300 = SALES COMMISSIONS $9,360 / Month ($112,320 / Year) That’s an Increase of +87%! But how would you know…if you don’t Keep Score? © 2018 Sales Activity Management, Inc. (To download, visit www.SalesActivityManagement.com)
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