A Top Sales Speaker Tip for Sales Effectiveness

sto for improvement and can be measured,
consider it a Core Sales Competency.
A Sales Speaker advises you to ‘Run yourPerhaps a golf analogy will help illustrate the power
Numbers’… don’t ‘Runof the Business of Core Competencies. A
After’ Sales Quota.self-professed “poor” golfer with a chronic
Imagine for a moment that it is your first day inslice might attempt to correct the problem by
a new sales organization and your sales manageradjusting his stance — actually aiming away
tells you to forget about Quota — block itfrom the fairway so that the slice hopefully lands
out of your mind. You may think they’rethe ball in the middle.
out of their mind. How can anyone possibly lead aIn contrast, a low handicap golfer with a chronic
sales organization or manage their individual salesslice might address the problem by adjusting their
effectively without focusing on Quota?grip, rotating their hips, or adjusting the arc of
After all, in the world of outside sales, you eithertheir swing. In other words, good golfers address
meet your Quota or eventually you’ll bethe core competencies of the swing vs. adjusting
outside the door looking to meet some otherperipheral elements.
sales force’s quota.So what are the 3 Core Competencies?
But what if I told you that’s the first stepCore Sales Competency 1: Conversation to
toward exponential revenue growth. SalesAppointment Ratio.
success is not about running after quota eachDon’t worry if you have never heard of
month or year. Success comes from a Process;let alone ‘measured or trained to’ this
proven steps to meet benchmarked competencysales competency because if you haven’t
levels and a focus on the essential elements andyou’re in the majority… not the minority.
powerful routines that maximize your salesYour ‘conversation to appointment
effectiveness week in and week out.ratio’ is how many conversations you
Let’s first define what we mean by amust conduct with target prospects to achieve 1
“core competency.” We will then introducenew sales appointment.
the 3 Core Competencies, and spend our timeThe national average is in the 4-18% range. That
understanding how they can dramatically increaseis, most sales individuals have about 10-25
your success.conversations to book 1 or 2 new sales
The term Core Competencies refers to thoseappointments. That’s why the sales
essential elements in the sales process that mostcompetency of setting new targeted business
directly impact your success. These elements areappointments is the Achilles heel of most sales
controllable and measurable, and salesorganizations.
professionals can be trained to be proficient inIn fact, that’s why I travel the country
these areas. Unfortunately, many salesshowing sales people and sales management how
organizations and individuals lose focus —to improve this critical sales competency so they
distracted by peripheral activities or sophisticatedspend a lot less time to achieve more targeted
systems that track dozens of different activitiesappointments.
when only a handful really matters.Once this competency is improved beyond your
Without a foundation built upon these essentialcompetitors, the benefits are more revenue in
elements or Core Competencies, and because ofless time, less sales employee turnover due to
all the distractions and roadblocks an organizationlow sales appointment activity and a quicker
is susceptible to today, results can be mediocre orramp-to-quota for new hire sales reps.
less.Core Sales Competency 2: 1st Appointment to
Take a look at the following list of actions thatProposal Ratio
are common in a sales process, and select theWhat’s the objective of your first sales
items that you believe are absolutely essential toappointment?
your success.Have you defined what you want to happen at
- Closing Salesthe conclusion of your 1st appointment? Only then
- Developing Prospect Listscan you actually set up a proficient sales
- Setting new Business Appointmentsmethodology to achieve the defined objective
- Running 1st Appointmentsmore times than not. And with a pre-defined
- Working Sales Prospects through the Salesobjective to your 1st appointment you can (1) set
Pipelinea realistic benchmark of success and (2) measure
- Post-Sale Marketingthe outcome. It becomes part of your sales
- Developing Referralsperformance scorecard.What is a 1st appointment
- Reporting and Paperworkto proposal ratio? It’s simply how many
- Documenting Testimonialstimes you gain commitment with your prospect
Now many of these tasks are important, butto take the next step, as outlined by your sales
they are not all Core Competencies. Yes, it isprocess. Depending on your solutions-based
important and useful to ask for referrals andproduct or service and your sales methodology,
develop testimonials from satisfied customers, butyour ‘Next step’ may be one of the
your success hinges mostly on the mastery offollowing: • An on-site demonstration • A trial
— and attention to — the (3) Coreperiod of your “widget” • A tour of your
Competencies.operations or manufacturing facility • A
One simple way to determine whether a routineno-obligation survey • An evaluation and
or task is truly a core competency is to ask whatside-by-side comparison, apples to apples • A
activities are directly related to sales revenue.solution-based evaluation, apples to
After all, sales revenue is how we sales peopleorangesWhatever your ‘Gateway’ is, be
measure success. That’s our scorecard atsure to attach a business rule and definition to it,
the end of the month.and then most importantly measure it.
We can do that through a series of questionsDefining and measuring this ‘Gateway’
around each element listed above.will provide you with a ‘Reality Mirror’ of
Question #1:how competent you are with the initial phase of
Is it an essential component to the sales missionyour sales process.
or is it just an ingredient in the recipe?So if you have set a realistic benchmark
Consider a golfer’s essential competenciescompany-wide of a 60% 1st Appointment to
from tee-off to last putt. Is the core competencyProposal ratio and you have sales individuals below
the ball — or the club? Or is it the golfit, you can pro-actively provide them with
swing and putting stroke?targeted coaching and support tools to help them
achieve the standard benchmark. And that drives
Question #2:more revenue.
Can it be measured routinely and accurately withCore Sales Competency 3: Closing Ratio
a napkin, pencil, and calculator?The Closing ratio is the number of proposals that
Can you set a realistic performance benchmarkresult in new sales.
tied to revenue goals? You know you haveAs a sales professional, your objective is to
achieved this when you can tell a new hire in theeducate a prospect throughout the sales process
sales organization the (3) simple numbers that willso that the prospect can make an informed and
guarantee monthly sales success.clear buying decision. Your goal is to lead the
Question #3:prospect through every gateway and ultimately
Can you apply “Timely Training” andreach a legitimate ‘yes’ or
“Powerful Routines” around each core‘no’ at the end of the sales process.
competency?Identifying (3) key Core sales competencies is
different from the superficial values so prevalent
We know what ‘sales training’ is, but doin sales organizations today, such as “a
we understand why sales training fails?relentless focus on quota” or “a superior
‘Timely training’ is NOT a seminar ordrive to succeed” or other such motivational
one-time event. It requires appropriate structuresmantras. The trouble is the mantras usually lack
for learning and application, defining usefuldepth and substance.
short-term objectives, measuring progress,First identify your critical core sales competencies
working closely with qualified trainers for follow-upthat are tied to routine sales success.
and support, and most importantly, organizationalYour next step is to set realistic benchmarks to
commitment. ‘Timely training’ is focusedthese sales competencies and finally, develop
on one competency at a time until thepin-point sales performance training and support
appropriate milestone performance metric issystems to allow the majority of your sales
realized.force to be routinely ‘sales quota’
So, if you can say it is directly tied to revenue (orsavvy.
your end result), is a skill set that can be trained