Sales objectives determine the level of success and are necessary for sales progress and profits.
It is so important that how to set goals for sales teams. If the sale goals are set too hard, it will be unachievable and sales reps will be disappointed.
If goals for salespeople are set too easy to achieve, team members won’t be encouraged to achieve it.
After knowing the right value of setting goals for sales reps, you might be thinking about how to do this and what factors are important while choosing goals for a team.
Why setting goals matter?
Some several reasons and facts show why setting goals are important in success. In order for you to have a background about it, we have prepared some of them as below. Setting goals:
- Keeps you and sales teams motivated
- Is a tool for measuring success
- Helps you to hold yourself and your team accountable
- Avoids wasting time
What are the sales goal?
Sales goals define the objectives and duties of your sales teams. In order to achieve each sales goals example, individuals and teams need to do specific and measurable actions in a specific period.
Each of the sales goals templates must be connected as a network of sales goals. Goals should support each other, not destroying each other. You should define possible and reasonable goals in a specific period.
Managers and leaderships of sales companies and teams set sales goals template and objectives. They also may offer a sales plan for achieving sales goals. Setting SMART goals guarantees that sales teams will achieve it by doing measurable actions in committed deadlines.
It is recommended to set a SMART goal with certain features to be successful. We have provided smart goals examples and list of performance goals and objectives.
What types of sales goals exist?
We have categorized goals in 4 different types.
If you define a goal based on sales activities, it is known as an activity-based goal. Sales reps will achieve it through effort and work.
These types of goals are the most actionable SMART goals. If a manager sets activity-based goals, the sales team knows exactly what they need to do and they will go for it consciously.
Annual based goals
The annual goals of a sales company define the whole sales direction within a year. It shows the strategies and predicted rate of profits for the company. Hitting the annual goal is very important for the company and its progress.
Month based goals
Along whit the annual goal, a company needs to set goals for each month during a year. This will helps sales teams to not confuse and to focus on both short term goals and long term annual goals.
It also breaks a big goal into small pieces so it is more achievable.
In order to balance the amount of work and divide them equally, you should also set team-based goals.
Team-based goals also known as the month based goals. But in order to focus on team collaboration, we have used it as a separate category.
In team-based goals, all team members will be assigned a specific work and contribute a certain percentage.
Both team members and the company benefit from team collaboration. It increases profitability while everyone shares a common goal.
SMART goals features
SMART goals are distinguished by some specific features. To describe them, we have chosen terms to introduce them. Smart goals are sales goals templates with high value.
Setting SMART goals means setting a goal which has all these features together. By setting goals for your company and sales teams, you will stay motivated during the process and they will hold you accountable.
It is also a way to measure your success in your business. You could also use it as an encouraging technique to motivate them.
Specific: the goal should be clear and expectations must be mentioned. The number of new customers, new prospects and the profit rates should be exactly mentioned per each day.
Measurable: the progress toward the goal must be measurable. You should define exactly the desired measurable progress.
Achievable: don’t choose a goal that is too hard to achieve. Instead, choose a realistic goal that is challenging and requires a disciplined plan to achieve.
Relevant: a SMART goal is consistent with individual and team progress and is not against them.
Time-based: the specified time of a SMART goal must be determined. Otherwise, it will be postponed or forgotten. You need to specify a due date on the objective.
SMART sales goals examples
Here, goals setting examples are provided with the focus on SMART goals or examples of measureable goals for employees.
SPECIFIC: increase the number of prospects who speak with by 10 each day.
MEASURABLE: increase sales by 20% by the end of next year.
ATTAINABLE: avoid setting goals like the increasing number of customers by 500 each day!
RELEVANT: avoid setting goals that are not along with your company goals.
TIMELY: each goal must have a due date. For example: increasing the number of customers to 50 within 2 months.
SMART goals examples for outside sales reps ( example of a sales goals template )
Here, we discuss different sales objective examples and how to achieve them. You should use these sales goals templates.
Sales reps can set goals examples for increasing revenue in a specified period. Increasing the profitability of a company can be beneficial for all company members.
Reducing sales cycle time
The sales cycle is complex and the length of them varies based on the product, service, and size of the deal involved.
Increasing win rates
It is a strategy to bring the best of sales reps. You should set goals based on differences between your sales reps. All of them may not be successful using a unique plan.
You should consider each sales rep’s skill, experience, and personality in setting goals. Setting personal sales goals examples for each sales reps would help you to success more in your sales business. Setting a win rate goal will help you and sales reps to success.
Reduce customer churn rate
Reducing customer churn rate is a worthy sales goal. It has a direct effect on increasing revenue and improving customer retention.
Lower customer acquisition costs
Customer acquisition costs refer to all costs in the process of winning new businesses that include salaries, sales, marketing, and others.
You should simply try ways to reduce the amount of acquiring new customers. Find that in the sales process where the most money is spent. Then try to reduce it or cut it down.
Other sales goals objective examples would be:
- Finding good fit leads
- Limiting the number of discounts
- Identifying cross sell and upsell opportunities
- Profit margins
Some challenges of setting sales goals
Sales reps or managers may face different sales goals challenges during the planning. We discuss those which are more important.
COVID 19 effects on a sales goal
We are all struggling with the COVID 19 pandemic and it has changed our lives in many aspects. It’s not recommended now to knock doors.
Sales leaders now are worried about their business and they want to know how to keep their customers and find new ones.
In this situation, remote and online approaches are becoming more and more pervasive. Sales leader should reconsider their strategies and try to focus more on inside sales strategies.
Sales reps and managers can try Videoconferencing, phoning, emailing, and online chatting to remain at work. So don’t forget to use these tools and set goals to use each of them.
Targeting a big step
In the process of setting goals, sales reps and managers usually want to target a big goal. They may decide hastily.
Once you define your goals, you need to break them into smaller steps. This helps you to achieve it using a sales plan.
Sales reps and managers should try breaking a big goal into smaller steps and define each of them a certain period to achieve. This will helps to achieve a big goal in a specified time and whit an accurate plan.
Useful goals which every sales manager need to consider
Assessing sales reps performance
Never let your sales reps alone during the sales process. The sales manager should assess the sales rep’s performance and help them in different steps of the sales process.
This helps to motivate them and lessen the mistakes. This also increases the customer’s satisfaction, when they know the manager takes care of everything.
Setting smaller goals to reach a big goal
Sales goals should be challenging and demanding hard work. You should set yearly goals and then break it into smaller goals to achieve it during the year.
Breaking goals make them more realistic and make sales reps more motivated to reach them.
Improving your customer service
One of the most significant steps in increasing sales is to try keeping customers happy. There may be always unhappy customers and you should try to solve their problems and try to meet customer’s needs.
Improving sales of customer service should be a goal to achieve. It plays a high role in keeping customers and finding new ones.
Finding customers’ needs
In order to set goals in the business world, you should define your audience and find their needs. You should find your target customers and try to reach them. Otherwise, you will be wasting your time selling products or services to the wrong customer.
So before visiting or calling prospects, set a goal to know your audience more and to define who is your ideal customer.