There is no point in making sales without a sales objective. If you have not set sales objectives, you will be heading in the wrong direction. These goals work like clear guidance that allows you to move in the right direction.
There must be necessary goals for your sales team, for instance, increasing revenues, retaining customers, and the like. However, note that you cannot set any goal as a sales objective. They are benchmarks that you will use to measure the progress of your team.
This is why they are supposed to be specific, measurable, attainable, and time-bound. If you set an unrealistic goal, your sales team will not be able to achieve that within the stipulated time, and it would be hard to measure them.
This will lead to the low morale of your sales team. Here are some examples of sales objectives you can set for your team so they can bring more business.
Find top-notch leads
You must be aware that all leads that your sales team gets are not genuine. More than half of your time gets wasted in pitching to those clients who are not serious about your products and services.
This is why you can set an objective of finding top-notch leads. The more genuine leads you to get, the more profits you will earn. You can set this objective so your sales team target high-quality leads.
- Identify potential clients by checking their shopping behaviour.
- Directly approach them with your offer.
- Leave out those customers who do not express their interests straightaway.
Bring in more revenue
You can say that this is the same objective as fetching high-quality leads because they will ultimately lead to increased revenues, but there is some difference. If you ask your sales team to get genuine leads, they will not be sufficient to meet your revenue objective.
This is why you will have to set another goal. You can ask your sales team to bring in 5% more revenue this month. This will prompt them to get as many genuine leads as possible so they can achieve the target in time.
However, make sure that you set a realistic goal because otherwise, you will completely mess up with things.
You need to look at the past performance of your sales team and consider some external factors that you do not have control over before setting the target for bringing in more revenues. It could be 10%, 15% or 20%, but make sure that it is realistic.
- Make a strategy to generate more high-quality leads.
- Offer competitive prices so you can attract a large number of people that means more sales. High sales will lead to high profits.
Increase customer retention rate
When it comes to setting sales targets, you often talk about revenues and profit margins. You simply ask your sales team to generate a set number of leads within a given period, but that is not the only thing you need to achieve.
If you are actually looking to reduce the operation cost, you will have to look for other things as well, and the most important thing is customer retention rate. Acquiring new customers is more expensive than retaining your current customers.
They have already tried your products, and once they have built trust, they will continue to buy your products. However, you will have to give them the best customer experience.
You should ask your sales team to make a strategy to retain the ratio of current customers. You can ask them to improve their customer experience so they can avoid losing their existing customers.
- Offer discounts and special schemes to your current customers.
- Create a customer loyalty programme.
- Implement the upselling strategy.
- Offer personalised deals by identifying their shopping journeys in the past.
Improve customer acquisition
You cannot simply rely on current customers for your future sales. Your sales team will have to make a strategy for acquiring new customers as well. You can set a goal for your sales team to acquire new customers.
However, you will have to ensure that they do it without increasing the customer acquisition cost, and this is the ultimate purpose you would like to achieve.
Sales teams are generally competent to acquire new customers, but that involves a lot of money. For instance, you can ask your sales team to acquire new customers by reducing the customer acquisition cost by 10%.
- Optimise conversion rate by making your site mobile-friendly, sharing a compelling and clear copy of content, and the like.
- Add value by offering them what they are actually looking for. Get feedback from them and share it across all platforms.
- Ask for referrals.
Reduce customer churn rate
Customer churn rate represents the number of customers who bought your products once, and then they left you for your competitors. The higher the churn rate, the lower the profits will be. If you want to improve your revenues, you cannot simply focus on top-quality leads.
You will also have to reduce the customer churn rate. You should ask your sales team to make strategies to reduce the attrition rate.
- Identify why customers are leaving you and fix the flaws.
- Build a meaningful relationship with your customers to ensure you take care of them and are in safe hands.
- Re-examine your target audience.
- Provide them with after-sales service.
The bottom line
If you are looking to increase revenues, you cannot simply focus on lead generation. You will have to look at other factors as well. This blog discusses some sales objectives you can set for your sales team.
The pressure of generating profits is usually high when you have already taken on business loans, but you can significantly improve your profit margins by setting these targets.
