Sales Metrics you must Measure

The Sales persons in your sales team needs to be compensated for every incremental effort that they put in the process of achieving your sales targets. The important thing here is to first list down all the sales metrics on which a salesperson can exhibit incremental efforts.

Sales Metrics

  1. Min No of Sales Calls / day (MNOC) – New Contacts
  2. Mean Time Between Sales Calls (MTBC)
  3. No. of demonstrations given / roadshows organised
  4. No. of complaints handled
  5. No. of touchpoints serviced for customer to reach
  6. Customer Satisfaction Index
  7. Lead Engagement Index
  8. Reference Sale Quotient
  9. Cross Selling Index
  10. Up Selling parameter
  11. CRM sales ratio
  12. Leads : Opportunity Ratio in the Sales Funnel
  13. Opportunity : Proposals Ratio in the Sales Funnel
  14. Opportunity : Negotiation Ratio in the Sales Funnel
  15. Negotiation : Order Ratio in the Sales Funnel (Closing Ratio)
  16. No of Marcom elements used to reach out to the target group (TG) of customer
  17. Wallet share
  18. Customer Retention percentage
  19. Product Mix (SKU) in Sales figures
  20. Time invested in Learning and Development
  21. Contribution analysis
  22. Percentage of planned revenue achieved
  23. Life Time Value per customer
  24. Discount percentage offered
  25. Revenue by geography / market segment / category
  26. Cost of selling per user
  27. Average revenue per sales partner
  28. Time spent on selling vis a vis other activities
  29. No of Sales Manager per seller
  30. Rate and Quality of new opportunities added in pipeline


Can Sales happen with any one of these metrics not getting affected?


Isn’t it prudent to incentivise these metrics as they evolve rather than incentivise finaldestinationof sales ?


What should be the fixed component of compensation to the sales person?

The fixed component of compensation must take care of all fixed expenses of the salesperson. If the fixed expenses of the salesperson is higher than what he deserves , don’t recruit such people who live beyond their means.

How should we compensate for the evolving sales metrics?

Point system is desirable. The points can be redeemed periodically.

The next time, you sit down to design the compensation for your sales team, you must give cognisance to the sales metrics mentioned in this blog.

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