![]() Short of a smash-hit new product, it’s hard to find improvements of that magnitude in other activities. ![]() At a 47% win rate, annual revenue is $352 million an increase to 57% means revenue is $427 million and the top-performers’ win rate of 72% means $540 million. Imagine a company with 200 sellers, each pursuing 25 opportunities annually (about 2 per month) with an average sale of $150,000. Sellers who reported to top-performing sales managers averaged a 72% win rate versus an overall average of 47%. To get a sense of the impact of differential performance, consider win rates. With these criteria, 18.7% of respondents qualified as top performers and the rest were 81.3% of the sample. Pricing is a moment of truth in business development, and in this research, sales managers are not considered top performers when their teams discount their way to win rates. Their teams maintained premium pricing.In most firms, the selling cycle is the single biggest driver of cash out and cash in. This is a key marker of a cost-effective sales force. Their teams achieved a win rate of more than 50% on proposed sales to prospects. ![]() Conversely, in most businesses, production, service, and other assets get deployed in response to successful business development efforts - the organizational reality behind the old truism that “nothing happens until you make a sale.” This is important because so many other resource-allocation decisions in companies depend upon sales forecasts and the ability of the team to meet forecasts.
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