When you run your own business it’s extremely easy to overlook certain things that we may not be doing as well as we need to.
Do you think you do that? Ever turned a blind eye to something because “it’s working well enough and I don’t have the time to change it anyway”?
What things have you ignored? Maybe it was your bookkeeping or updating your website? Or maybe it was your sales activity?
Yeah but what’s the real impact?
I know, you think it’s not a big deal as the impact it’s having by you turning a blind eye to it is negligible. But is it?
Let me introduce you to Fred.
Fred runs a successful company with annual revenues in excess of £5m, so a nice sized company.
Fred oversees the entire business and like most business owners he was spreading himself to thin but as he wanted to continue to grow the business he knew he needed to improve the visibility he had of his sales.
Up to this point his strategy was very “Hope-based” as he hoped they were doing all they could to push sales and was turning a blind eye to the lack of visibility of the team’s results.
We put simple processes in place to track their sales data and to improve the reporting of weekly progress from each of his sales team.
The outcome: they are about to have their best sales year ever with an extra £1m in sales. This isn’t a coincidence and is a direct result of increasing the focus on their sales activity.
Yeah, but that’s because they are a bigger company
Let me introduce you to Tom.
Tom runs a small design agency.
They were working hard but not getting the increase in sales that they wanted.
What did we do: we made their sales process visible and tracked each potential client each step of the way. This increased visibility drove improved conversion rates and led to a 33% growth in 12 months (an extra £100k in revenue! Nice!).
So, do you think you are doing all you should be to increase your sales?
If you had your own Sales Director what do you think they would get you to do differently?
Very few of us open our own businesses because we love sales, but sales is the life blood of every business.
I bet right now you are turning a blind eye to your sales behaviour as you know it isn’t what it should be but doing it “properly” is outside your comfort zone.
Am I right?
What would a Sales Director say?
Can you answer these questions:
- What’s your conversion rate from enquiry to client?
- What’s the average time it takes to take someone from enquiring to buying?
- What’s the average lifetime value of a client?
- How long do people stay as clients?
- How many leads have you got in the last 6 months from each of your marketing channels?
- What’s the average cost to gain a new client?
- Which one of your products/services works best to hook new clients?
If you can’t answer those questions then you need to do some work as these are fundamental to growing your business.
By tracking that data you will naturally improve it as you can’t ignore it!
So why is the data important?
Right now you are relying on your gut to tell you how well you convert prospects into clients and your gut won’t give you the right answer.
The answer is incredibly important because it’ll show you if you have an issue that you need to address.
For example most people think they need to improve their marketing because they need more leads to convert, but what I normally find is that their challenge isn’t in generating more leads but actually in converting the leads they have.
You only find that out when you have decent data and not your gut telling you the answer as your gut is influenced by your comfort zone.
If you don’t like following up your gut will tell you the solution is to generate more enquiries when you need to improve your conversion rate!
So what are you hiding from?
What truths would a Sales Director uncover if they did a review of your sales process?
Which of my tips above could you implement to improve your results?
I love fixing these type of problems. If you need some help then drop me an email at firstname.lastname@example.org,uk.