Have you ever made projections about expected sales and missed the target… Perhaps badly?
Has this happened more than once or perhaps frequently?
What if there was a way to almost guarantee you actually achieve your projected sales targets?
Introducing a concept that I created for you years back that helped many companies eliminate that dreaded feeling of coming up short every quarter.
The Classic “Sales Funnel”
In order to explain a Bottom Up Sales Funnel, let’s first describe a typical “Sales Funnel”… you know, where leads are at the top and you track the leads through your sales process until you convert them to customers or lose them.
As you can see, as a lead progresses with the sales funnel it is narrower and narrower, which symbolizes those leads that are still in the game.
Set another way, the narrowing of the funnel shows the number of hot leads that were lost through the sales process…OUCH!
Most companies set sales targets for the year or the quarter based upon some arbitrary dollar amount, increase by $100,000, or percentage increase in sales, 10%. Now this is ok as long as they have a SYSTEM (like we teach) for how they will actually achieve sales increases throughout the sales process.
Here is the problem that often results from this traditional model… How many prospects are needed at each stage to ensure you hit the target?
The “Bottom Up Sales Funnel” Helps You Set Achievable Targets
Let’s use Joe the Window Washer as an example.
The bottom of the sales funnel starts with a number of customers or revenue that Joe is looking to achieve… 100 new customers.
Next, Joe calculates the number of proposals he needs to generate 100 new customers. If he converts 33% of proposals to customers, that means he needs 300 proposals to generate 100 customers. Is this making sense?
Now Joe determined how many appointments he needs to set in order to generate 300 proposals. This might be 400 due to missed appointments. I’m interested prospects and so on.
TIME OUT!
So why is this important?
Well, Joe might arbitrarily think that he needs 400 leads to generate 100 clients. But if he is not paying attention to the number of appointments actually being set, he will certainly miss his target.
Let’s continue. For simplicity, Joe set appointments with about 50% of the people he “engages in a conversation”. So he needs to speak with 800 people to set 400 appointments.
And like many businesses, Joe only “engages in a conversation” with 50% of the “leads” that either call him or email him or respond to his marketing or some other manner. So now he needs 1600 “leads” so he engages in 800 conversations that results in 400 appointments that actually result in 300 kept appointments, and ultimately 100 new customers.
By starting from the bottom up, Joe can build a realistic model of how many leads he must generate to hit his targets, based on his historic results. It creates predictable results instead of pie in the sky wishful thinking.
Can a “Bottom Up Sales Funnel” Help Your Business Achieve Your Targeted Sales?
If your business generates $500,000 or more in revenue, we will help you create a Bottom Up Sales Funnel for FREE! We even promise to help you uncover $10,000-$25,000 in added profit streams in the process. Simply click here to register.
Build your Bottom Up Sales Funnel now and start producing consistent increased revenue and profits.
To your success
Scott Hallman
PS The Bottom Up Sales Funnel applies to every business on the planet, on and offline. We have created these for companies in over 280 industries worldwide.
