Targeting for Sales Results in a Tough Economy
24 December 2008 7:12 pm Sales StrategiesTargeting for sales results in a tough economy is more important than ever before. It is essential that sales professionals clearly define their target prospects by supporting criteria. The supporting criteria should give them the best return on their time investment (R.O.T.I.) and positive sales results.
Begin affecting sales results by dissecting your data base of customers based on predetermined criteria. This should be criteria that you can use to identify your best customers. It could be volume, margins, profits, loyalty, etc, but it must be specific and utilized to distinguish between different levels of clients.
The Plato rule states that 80% of your clients give you 20% of your business. The problem begins when most sales professionals invest up to 80% of their time with these low producing clients. This format is a road block for effective sales results.
The opposite of the above is also true. Statistics show that only 20% of your customers give you 80% of your business and unfortunately sales professionals tend to focus 20% of their time here. This is an ineffective way to get those concrete sales results.
What if sales professionals were to do the opposite and focus 80% of their time on the 20% of the clients who give them 80% of their revenues? Do you think they would get better sales results while better managing their time?
By clearly defining the criteria of your best customers utilizing your existing data base, you will be able to profile what we call your “A” or Absolute customers. They are absolute customers because without them and the progressive sales results, you would be out of business.
What is the criterion which reflects an “A” client in your business?
Follow the same sales results procedure with the next level of clients, the “B” or Beneficial client. What is the criterion which reflects a “B” client in your business?
Next, profile your “A” and “B” clients based on the information you have in your data base such as the company, the size, the decision maker’s age, the gender, the association / club memberships, the magazines they subscribed to, etc.
Finally, map that profile out into the marketplace and identify prospects that have the same or similar profile. They are the “A” and “B” prospects that you must target and invest your time in order to achieve the sales results you need in a tough economy. It will also be your best Return on Time Invested (R.O.T.I.) Now is the time for forward thinking, effective planning and profound sales results.
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