Like the sales team, the few teams in the organization are data-driven. You can measure every activity, and you can often know what to track. With the proliferation of sales software tools like SalesTrendz, Salesforce, Pipedrive, and Hubspot, you can get more data than ever before.
The problem is that you’re controlling your sales performance higher than before.
This article describes how to use sales analytics to unlock sales performance metrics. Continue reading to approve your team.
What is sales analysis?
Sales analytics is the practice of generating insights from sales data, trends, and metrics to set goals and predict future sales. The best way to do sales analysis is to connect all the activities closely to determine the sales results and set the sales team’s goals.
Analysis should focus on improving and developing strategies to increase short-term and long-term sales. A common example of a sales analytics activity is setting a role-specific goal for a team in the form of a KPI or key performance indicator. For example, set up a salesperson’s sales goal and set up sales effectiveness goals for your account management team.
Why should I monitor my sales analysis?
If your business is a rock band, your sales will be the lead singer. All eyes are on sales, and strong (or weak) performance can be a powerful force for the entire team.
Monitoring sales analytics in the form of sales statistics can help you improve performance, optimize sales activities, and improve accountability. Sales teams can focus on a fast-changing environment and perform a variety of activities. A well-defined sales analytics strategy can give your team concentration and clarity so you can focus on what you do best.
Sales analytics reports and dashboards
Data transparency in sales analysis is tricky. Many of the team members lack the training required to perform ad hoc reports in the CRM tools and focus more on monetization activities such as recording calls and complete presentations.
This is fair. Best sales representatives want to sell and sales analysis should be done quickly and unimpeded.
The solution for team analytics is to display analytics on the sales dashboard. Dashboards are ideal for delivering simple, intuitive, and clear messages. This can be done using free tools like Google Sheets, PowerPoint, or Excel. You can also connect to a dashboard software solution such as SalesTrendz.
The following is an example of a sales analysis report generated using SalesTrendz.
General consumption sales ranking
Another positive way to improve the transparency and accountability of the sales analytics process is to display a sales leaderboard. You can display a leaderboard on your TV to track the revenue performance of time-based goals. For example, track your team’s performance to achieve your monthly sales goals.
Example of 12 sales analysis indicators to monitor
When implementing sales analysis in your organization, you must first evaluate the sales metrics. Consider which metrics will motivate your behavior and focus on your team.
If you are new to sales analysis, it might be helpful to look at some examples. Below are 12 sales analytics metrics that you should consider tracking.
1. Sales growth
Sales analysis focuses on increasing sales. A small part of the trendline will take up more forward, and the team can investigate the data and get a clear answer.
2. Sales Objectives
This KPI tracks your current performance based on your business goals. Revenue can be expressed as revenue, account count, sales unit, or other metric related to your team.
In a perfect world, you can prioritize your sales efforts based on the likelihood of termination. If the crystal ball does not appear suddenly, the current opportunity is the best way to track and measure the crystal ball.
4. Current sales
Quickly analyze and understand historical trends by comparing current sales with previous periods and year-on-year.
5. Product Performance
For teams that sell multiple products and target each product, it’s important to track sales for each product line.
6. Lead conversion rate
Insights such as lead conversion rates help sales and marketing teams maintain consistency through travel. Conversion analysis allows your team to continually optimize performance and steadily improve the customer experience.
7. Sales Rate
Tracking sales and total inventory is an important analytical effort when selling real goods. Provide information to the supply chain and help forecast sales.
8. Cannibalization rate
New product sales can be exciting because innovations are often so, but sometimes they can negatively impact the sales of existing products. You can effectively manage your customer experience by tracking product similarities in sales analysis.
9. Quotation deadline
Quotations – Closing is an excellent indicator of business efficiency. Because it shows the effectiveness of the transaction. This metric analyzes the quality of the audience and the quality of the sales process.
10. Sales agency
The composition of sales teams is an important factor in developing sales analysis. Experienced salespeople and account managers are more likely to skip primary salespeople and are likely to incorporate these predictions into the future analysis. This is an example of how to use this metric.
11. Average purchase value
One of the most effective ways to increase your sales revenue is to increase the average value of your purchases per sale. Integrating this metric into your analysis and keeping track of your historical trends is a smart strategy.
12. Sales by Region
Even global companies have found regional differences in sales and revenue. By tracking these metrics, you can identify competitive and profitable locations.