Develop an effective sales team

One method of measuring salespeople's performance is to analyse a salesperson's conversion rates. This is the number of visits, contacts or phone calls it takes to secure a sale from a customer.

For example, if a salesperson typically closes a sale after 25 approaches, it provides a useful benchmark for assessing their progress. Likewise, if you employ several sales staff you can assess which of them is performing most effectively.

Missed targets

If you establish that sales targets are being missed you should investigate the reasons. You can't just assume that it is because the salesperson is ineffective, although that may be the cause. It might just as easily be caused by one or more of these factors:

• the territory you have given the person to cover is too wide or too difficult
• there is a fundamental problem with the product or service they're selling
• there is a broad slump right across the market
• you are not giving the person the right kind of marketing support

Whatever proves to be the source of the problem, act quickly to remedy it.  Where appropriate, let your sales staff know if their sales abilities are not the issue.

Customer feedback

From time to time, find out what impressions your salespeople are making. You could try surveying customers for their opinions or, on a smaller scale, call customers to listen to what they have to say. You might also try going with salespeople on their site visits. You can see for yourself how well they're connecting with customers.

If you decide to call or visit customers, it is a good idea to tell your salespeople that you are doing so. You should also mention it in their contracts from the beginning. You should make it clear that this feedback is for all your salespeople's customers. This is to avoid them feeling singled out for attention.