Some Factors Which Can Affect Sales Performance

Sales performance is the effort exerted by sales agents which successfully turns into a sale. There are a number of ways to assess the performance of a sales team or individual. There are also several ways to improve sales performance when sales numbers are dipping.

Quotas are the bane of salespeople because it is the immediate and most obvious reflection of their sales performance. The number of successful sales an agent has is the most common measure of their performance. There are other measures to employee performance, such as the rate of improvement or even employee attendance, but results are often the most palpable measure of performance.

Sales performance can reflect on the performance of an individual or the combined efforts of a team. Often a teams performance is reliant on the performance of its best agent. A discrepancy in individual performance could be hidden in the team results. An assessment of performance has to be qualified as being individualistic or as a team effort.

Sales performance is not necessarily a measure of the amount of effort exerted but by the effectiveness of a sales agent in selling his product or service. Sales performance is easily measureable by the number of sales a salesperson is able to make in a given timeframe.

Many sales managers and executive lament the fact that not everyone can consistently achieve their sales quotas. Poor sales reflect poor performance, but employee efforts are not always to blame. There are many possible reasons as to why marketing teams are not able to reach their numbers. A possible reason for poor sales could be an unfriendly economy. An economy on recession would understandably push consumers to more conservative spending and thus sales agents would likely encounter the answer NO no matter how hard they try to close a sale.

A systematic reason for poor sales could be an inaccurate sales forecast. The sales forecast determines the quotas set for the sales teams. A faulty forecast could cast the sales quota too high and thus make it impossible for any team to reach it. No matter how hard a sales team works, if the goal is unattainable there would not be any positive result.

Solutions to improving sales performance are easy to determine once all the facts are put in place. Benchmarking is a possible solution to raising sales performance. A benchmark sets a goal to be pursued. This might motivate salespeople to work harder to reach it.

Alternatively, the agents may simply require more material incentive for them to perform better. A slight adjustment to their commission percentage or performance bonus might spell the difference between average and excellent sales performance.

Sales performance does not always accurately reflect the efforts applied by a sales team or agent. It can be affected by systematic and external factors. It is important to keep in mind that individuals have unique skills and capabilities and it is the duty of a good sales manager to channel each individuals abilities towards a team effort. Sales performance is greatly improved with proper management techniques and the recognition that each person has different capabilities which could be developed to the benefit of the company.