All of us have launched the new financial year ie 2016-2017. This is the time to look ahead for the next financial year and plan for the same. This blog is being written from the perspective of a Small and Medium Enterprise (SME) owner.
Let us look at the salient points around which you need to plan at this time of the year by answering the key questions raised under each of these points.
- How much the demand can we fulfill by attacking the market with a method?
- How many sales persons do you need to reach out to the market?
- How many Sales Managers do you need to supervise the salespersons?
- What kind of back end sales coordination team do you need to support the front line salespersons?
- How do I ensure that the manpower recruited in sales function is not waste of money?
If your Hit Ratio is X:1 ( On an average you make X no of calls to get one good enquiry) and if your Target is to get 100 customers in a month then the total no of calls that your sales team will be required to make is 100X in 26 working days. This translates to a MNOC (Min no of Calls /day) of 100X/26.
Assuming that one salesperson makes Y no of sales calls per day, the total no of salespersons required in your sales team is mathematically equal to 100X/(26*Y).Redefine Target Group (TG)
Redefine your Target Group (TG)
- What is the TG in terms of Incomegraphics, Demographics, Psychographics and Firmographics?
Redefinition of TG helps the marketer fine tune the scope of work leading to greater focus and therefore better and cost effective sales results.
Take specific Positions in the Market
- What market perception position should you concentrate on in this financial year?
A dyad of Quality vs Price leads to 4 market positions ie High Quality, High Price , High Quality, Low Price , Low Quality and Low Price and Low Quality, High Price.
If you add more vectors to this positioning exercise like Service, Experience, Schemes etc the positioning exercise keeps on getting even more interesting.
Attack with a Strategy
- What is the Strategy in your Go-To market plan for this financial year?
Let us not confuse between Planning and Strategy. Many good plans fail because the implementation did not have a strategy in it.
Enjoy every milestone in your attack
- What is the budget for enjoying milestones reached by your sales team in this financial year?
Sales is such an elusive field that one is always running behind targets. In this process , one forgets to recharge ones battery whenever one achieves a target or a sales milestone. It is important that such milestones should be defined and budgeted so that every milestone is celebrated.
Build Teams that Cherish your Leadership
- What are the inputs from management that goes towards building a sales team in this financial year?
We often crib that despite best efforts , we are not able to build a sales team. When I ask such people about the plan for building a sales team there is none that exists.
Come on friends , lets plan well for the coming financial year. I wish you a very successful sales year ahead!