Sales forecasts are dependent of few factors which includes team or individual goal set, a structured process, A CRM to collaborate and work.
Creating a standard opportunity to pull leads, converting them to prospects and closing deals is a preferred process by most of the organization and sales reps.
Few of the internal and external factors affect a major part of the sales process for a business. Here are some of them listed.
Factors Influencing Sales:
Employees On Board:
It is a fact that the number of hiring for the sales executives definitely affects the sales growth. Despite there are employees being fired or terminated it is necessary to keep few reps who can build an efficient sales pipeline which doesn’t make huge difference to business. Likewise it is also to be noted that when there is an increase in the number of sales reps in an organization the sales must grow drastically.
Changing the sales compensation plan at once may risk the sales forecasts for the next quarter. Doing this your sales executives may try to sell only to the most appropriate prospects without any risk in approaching new leads.
If there is any new sales rep in the office don’t provide him the targets at the first or second month. He might be new to your business genre and it definitely takes time to understand the business and get the deals.
Timely approach to competitive analysis will help you gain better insights through your competitors marketing strategy. Always try to provide the best deals for the customer to choose your product.
Economy of Clients:
Keep an eye on your sales pipeline and monitoring those will help you bring business. If the economic conditions of your client/ customer is at its best now, they are likely to invest in their business for a betterment.
Stay updated with the current changes and demand in the market, Understanding the customer’s behavior helps you to stay on top of the market.
Be aware of the new laws guiding your business, it may take you to the top or just ditch back. Keeping the newest trends in your product and fulfilling customer’s demand can safeguard you.
Are you lagging behind in providing the necessary modifications in your product that your customers are looking for? Or haven’t changed the pricing model for years? Then this may be a major reason for your sales decline.
Every business has its own season of high demand. For ex. If you run a hotel business then you are supposed to expect a peak in your sales during the last quarter of the year probably in the month of December due to vacations. And the same season is the worst for any other IT or Banking industry.
If your product is complementing to any other product in the market which you are not selling, and if that complimentary product has a high demand. Then you are supposing to be gaining business.