How many of your salespeople attain their sales quota consistently? Surely that's a hard enough answer that pours a lot of insight into your business operations.
But what can actually bring that consistent competency in the salesforce to ensure a good sales attainment rate?
Organizations do put a lot of effort in cracking down ways to increase quota attainment, so let us make the task easy for you by helping you master strategies to improve your average quota attainment.
The article gives you a brief overview on sales quota attainment. Tips to improve your quota attainment and how to analyze it.
So scroll down for more.
What is Sales Quota Attainment?
Sales quota attainment is the sales metric that calculates the sales performance based on quotas achieved by the sales rep for a time period. Sales quota attainment is calculated using the formula
Sales quota attainment= Total Sales/ Sales Quota x 100
Attaining sales quotas are crucial to the company’s growth and success, as sales quotas are assigned as a part of the larger growth plans of the organization. Failing to achieve one’s quota only slows down the prospects of the company.
Hence, here are a few tips to ensure improved quota attainment by sales reps.
Tips to improve sales quota attainment
- Attainable company objectives
As mentioned above, sales quotas are only an extension of the company objectives set for that year. Hence, while planning company objectives, management must take a holistic analysis of their organizational structure, workforce, their potential, and skills to ensure that these targets aim to motivate their employees to perform better than bring a negative result.
- Realistic sales quota planning
While setting sales quotas, managers must always ensure that these targets align with their potential and motivate them to better perform. When sales reps are assigned unrealistic and unattainable targets, surely they will be put off which will only result in poor performance, engagement, and increased turnover.
- Understanding the salesforce
Managers must be well aware of their salesforce. Their potential, capacity, skills, and motivation to get the work done on time and properly. They must be aware of each salesperson’s ramp-up time and give them the time, resources, and space to build their ability.
- Sales coaching and training
Sales coaching tips are crucial for enhancing sales performance and recognizing the significance of regular coaching and training. Training equips sales representatives with knowledge about effective tools and techniques for boosting sales. On the other hand, coaching involves individual meetings between sales managers or coaches and sales reps, wherein they identify areas for improvement.
- Automating sales performance tracking
The best way managers can keep track of their salesforce performance and suggest ways of improvement is through automation. Setting the sales performance management in cruise mode gives a data-driven report on the performance and improvement of salespeople that can effectively improve sales attainment.
- Proper Incentivizing
A transparent sales incentive plan that aligns with the assigned sales quota can do wonders in improving the salesforce’s performance and quota attainment. Organizations must ensure their compensation plans are a source of motivation as well as they have clarity in the incentive they receive at the end of the quarter or year. Transparency and clarity will play a major role in improving sales performance.
How to analyze sales quota attainment?
Sales quota attainment is a metric that gives a brief overview of sales performance. A higher sales attainment suggests the effectiveness of the sales plans and strategies taken up by the salesforce while setting their sales funnel.
While a lower sales attainment rate gives the insight that there are areas the sales manager and team must look into for better performance. These areas can include lead generation, conversion rates, sales rep ramp rate, the efficiency of tools and techniques incorporated, and many more.
Hence, regularly keeping track of your sales quota attainment gives a quantitative analysis of your sales team's performance and efficiency.
On the hind side, sales quota attainment analyzes sales performance based on just one factor which is revenue generated.
But is sales performance just based on the conversion rate of customers and closing of deals? Shouldn't there be more to assessing your workforce’s sales performance?
Sales performance management gives you a data-driven insight into the performance of your salesforce and helps in driving revenue with better-informed planning, managing, and decision-making of sales strategies.
Kennect automates your sales performance management and incentive compensation management for better sales attainment. To know more, Book A Demo Today!