How to 'recession Proof' Your Revenue Target
When the going gets tough, true sales professionals man the O.A.R. (take Ownership, Accountability and Responsibility), lean harder into the opposing current and double the rowing tempo.
They implement four (4) strategies to secure their revenue targets:
1. Get ‘active’ and up the ante on the key activities which drive results,
2. Know key conversion ratios and expect them to drop by approximately 30%
3. Adjust your marketing direction to include ‘recession proof’ segments, and
4. Re-hone your ‘Consultative Selling Skills’ – don’t sell; value add.
Let’s explore each:
1. Get ‘active’ and up the ante on the key activities which drive results:
A sales director had an artist do a painting of his sales team – it was a ‘Still Life!’ Inaction breeds depression. Take a lesson from the dictionary; ‘Activity’ comes well before ‘Results’. You have no control over the results; you can only control the activity you do. During tough times Sales Professionals increase the rowing tempo; by this I mean they know they will need to do more ‘activity’ in order to get the same result.
Get active. Get out there and expect the lag period between activities and results to blow out. At the moment some customers will be in a holding pattern, so you need allow for the fact that your Lag Factor will increase.
2. Know your conversion ratios and expect them to drop:
The current level of volatility in the global economic market is causing people and businesses to adopt a ‘wait and see’ approach to some projects or purchases. We can therefore expect to see your usual conversion ratios shift. If you usually win two in every three quotes/tenders or proposals, expect it to drop to one in three. This doesn’t mean we panic – it simply means you have to increase activity and pump more into the pipeline, because not as much will make it through. It is therefore critical to track your ratios in order to chart any movement, and adjust your activity levels accordingly. From here you should…
3. Adjust your marketing direction to include some ‘recession proof’ market segments:
More than ever it’s time to put away the shotgun, and bring out the sniper rifle. Re-visit your marketing direction. Identify or intensify you sales activity on those market segments which are more resilient to economic downturn. Communicate a clear ‘Sales and Marketing’ direction to the sales team, and ensure they are monitored, measured and rewarded for doing sales activity which is aligned to the sales and marketing direction. Finally, on any true sales professionals’ ‘To-do’ list, they never forget to…
4. Re-hone your ‘Consultative Selling’ skills:
More than ever your ability to ‘add value’ becomes critical. The sky has not fallen in, but businesses and consumers are tightening their belts. They are still spending but only where they see great value for money, or where your products/services solve bigger issues, challenges or concerns for them. Our skill of uncovering their real needs and offering up a solution linked strongly to those needs becomes paramount during tough times. Regardless of how long you have been at it, dust off your ‘consultative selling skills’ training, become aware of the bad habits you or your team have fallen into during the good times, and unlearn them. The best sales performers during an ‘economic winter season’ are those who can unlearn bad habits. Re-learn the consultative skills to build strong rapport, and create an environment where the client or consumer wants to buy from you.
Call to action: Get proactive. Table this article at your next sales meeting or sales managers huddle. Discuss its implications in your world. Identify what’s relevant and if you are not already acting on these, act on them.
About the Author:
Ian Stephens is a speaker with a passion for the practical Dubbed 'Tim the Tool Man', Ian's entertaining and dynamic talks demonstrate how to build and create practical productivity tools, and develop skills that the front-facing sales force can use to increase revenue.
Formerly a management consultant with the international sales/revenue generation specialist. Ian has global experience working with a large range of national and international clients, including companies such as CHEP, Brambles, Sensis (formerly Yellow Pages), Wesfarmers, Cleanaway, Smorgon Group and Redken. His expertise creates the means for clients to make their revenue strategies happen.
Prior to his years as a management consultant, speaker and facilitator, Ian progressed up the corporate ladder at a remarkable speed. With practical experience as a sales representative, supervisor and Sales Manager, Ian was appointed State Manager of a multi-million dollar business at the age of 24.
Today, Ian is in constant demand and is booked to speak/facilitate for 200 days a year. His excellent people skills not only assist companies and individuals to build and implement practical sales tools, but also to minimise the resistance associated with adopting new ways of working. Effective Coaching of others, understanding motivation and engaging your workforce or clients, are also major focus points for Ian.
Article Source: ArticlesBase.com - How to 'recession Proof' Your Revenue Target