Sales Force Effectiveness-Measures

SALES FORCE EFFECTIVENESS MEASURES

Sales Process Measures

Sales Planning Demand Estimation MeasuresÐ'* Timeliness of forecast completionÐ'* Timeliness of plan review and completionÐ'* Accuracy of forecast (% variance from plan)Ð'* Performance of action plans supporting sales objectivesÐ'* Compliance to standard plan formatSales Planning MeasuresÐ'* % sales from markets developed within last 3 5 yearsÐ'* % sales from each territory, segment, product/service lineÐ'* % share of total marketÐ'* % growth of total marketÐ'* % future business expected from new marketsÐ'* % time spent planningÐ'* Average training hours per year per salespersonÐ'* Method of trainingÐ'* % of time engaged in market, competitive, industry researchÐ'* staff to management ratioÐ'* sales force organizational structure

Account Development/Opportunity Management Ð'* Cost per leadÐ'* Revenue generated per leadÐ'* # of total leadsÐ'* % of leads for existing customers vs. non customersÐ'* % of leads converted to salesÐ'* % of leads converted to proposalsÐ'* Cycle time of lead developmentÐ'* % of leads within predetermined target categoryÐ'* % of customer information accurately input into the opportunity databaseÐ'* % of accounts input into the opportunity database in allocated timeframeÐ'* Receivables performance metrics (e.g., bad debt expense)

Customer Sales Sales MeasuresÐ'* Total sales volume net sales dollars (all products and services)Ð'* Strategic sales volume net sales dollars (selected products and services)Ð'* % of sales volume from targeted key customersÐ'* New account sales volume net sales dollars (new customers)Ð'* Total market shareÐ'* % growth in existing marketsÐ'* % change in market shareÐ'* % existing customers businessÐ'* % of new business from existing customersÐ'* % revenue growthÐ'* % of revenue growth from new customersÐ'* % of revenue growth from new productsÐ'* % of new customers in the past yearProfitability MeasuresÐ'* Profitability of sales (rate of return, ROI, etc.)Ð'* Profitability of territories/segments, products/services, accounts/customersÐ'* Profitability per salespersonÐ'* % income from top 20% of customersÐ'* % profitable territories/segments, products/services, accounts/customersÐ'* % margin from new customersÐ'* % margin from existing customersÐ'* # of free giveawaysÐ'* % of products/services sold at list vs. discountÐ'* sales returns as a % of salesÐ'* sales allowances as a % of salesÐ'* advertising and promotion expense as a % of salesÐ'* total sales force costs as a % of salesSales Activity MeasuresÐ'* Average revenue per sales callÐ'* Average revenue per salespersonÐ'* Average cost per sales callÐ'* % of time spent with prospectsÐ'* % time the correct resource makes the initial presentationÐ'* # of establishments and decisions covered/% of territory coverageÐ'* Cycle time from negotiation to closeÐ'* Assessment of consultative selling behavior (i.e. length and strength of customer relationships, innovative solutions provided, demonstrated understanding of clients' business issues, how well