It's that time again: the time we prepare budgets and goals for the new year. Sales people usually dread this process. They are concerned that next year's goals will be way too high. Will they view them as not achievable?
But it shouldn't be what management wants you to bill. It should be about what YOU want to EARN! You determine your paycheck. Isn't that one of the most exciting things about being in commission sales? Ideally, your personal income goals should lead to billing goals that are higher than management requires.
So, what DO you want to earn in 2018? Here's a simple formula to calculate what you will need to bill to earn what you wish to earn:
Amount I want to earn _________________________
Commission rate _____________________________
How much I must bill _________________________
Then, divide that total yearly amount into months. What must the billing be for each month, and what will I earn that month?
This simple exercise will give you a starting place to plan your efforts for the coming year. Now that you know what you must bill monthly, you can calculate how many face-to-face calls you will need to make each day to achieve that billing level:
Monthly goal: ______________________________
Number of orders needed: _____________________
Closing ratio %:______________________________
Number of meetings needed:_____________________
Number of days in a month: 20
Number of meetings per day:___________________
Sales is a numbers game. You now know your numbers. Now you have a road map to increasing your income for 2018!