Sales, it’s a function critical to every business. Without actively selling something, you don’t get any new business and your revenue will eventually dry up. However, not all your resources should be geared toward sales. It’s easy to think that you can simply throw money at your sales function and it will perform well. If it isn’t managed effectively, however, you’ll just be wasting your time and resources. You need to do some things to make sure your sales function is working to its fullest potential.
Crunch your numbers
As brokers, you might be used to doing the math. The same should apply to your sales. Work out your close ratio – that’s the number of people you need to contact in order to get a new client. Of course, once you know this number, you can work on reducing it. Monitor it to make sure your sales pitch isn’t losing effectiveness (obviously the number will increase in this case) and if it does, work out why and work on getting that number back down.
Don’t just rely on numbers
At the risk of contradicting ourselves, you shouldn’t just focus on your close ratio. You might think that you need to contact 10 people to get one new client, however, they need to be the right people. Researching your target market and your ideal customer is key. Stay away from the mindset that if you contact 100, 1000 or 10,000 people, it will automatically translate into new business. Think quality, not quantity. It’s likely you’ll burn out before you ever hit 1,000 sales meetings in a month!
You’ve set the goal for yourself to spend an hour finding new contacts on LinkedIn. Suddenly three hours have passed and you’ve managed one new contact and read everything published on LinkedIn Pulse that week. Does that sound familiar?
Set strict time limits for yourself, and adhere to them. Otherwise, your sales activities are going to spiral out of control and you’re going to find yourself unable to carry out your other work.
Getting new business is very important. However, it isn’t the be-all and end-all of your business. It’s a piece of the puzzle. Therefore, manage your sales properly so you have enough time to spend on other aspects of your business. If you spend too much time on sales, you’ll neglect your current clients, your operations, and all other business-critical functions. If you do need more new business at some point, you can always increase the amount of time you spend on sales. One last slightly cheeky plug: use a service like CoverageSpace to manage benefits, and you’ll have more time to spend on sales!