The conversion percentage of a prospect to a customer is a cornerstone of a successful company. It influences everything in the company including gross revenue, gross margin, net profit, expenses, budget’s, hiring plans, expansion, and virtually every function of a business. Every sales organization should be constantly looking for ways to improve their closing percentage.
But first, a company must get their product or service in front of new potential customers at a cost that is sustainable and still allows profit. Generating leads is easy; generating profitable leads cab be very challenging.
The cost of generating new prospects is higher in the early stages of a businesses existence. Without a solid customer base to lean on, the vast majority of new sales will be “purchased” through advertising or promotions. If you are an established company with a solid customer base it’s important to leverage your hard earned reputation in the sales process.
As a sales consultant I have developed a list of areas that will improve both lead generation and closing percentage for virtually any business. These areas work on line or off, and are time tested and proven.
Closing more: Eliminate fear
- Have a Guarantee
- Have a unique offer
- Have a sales questionnaire
- Develop Trust through associations and testimonials
- Have a defined buying Process
- Establish your budget with a percentage of gross for advertising
- Develop a on the spot referral program
- Use professionals for advertising information. It will save you a ton
- Use our Crystal Ball to speed up sales for the year. knowing who and where your future customers are will grow your sales quickly
I want to focus on one small change that can improve your closing percentage significantly, and is very simple.
Use your contract or agreement as the sales piece. The most difficult moment in a sales presentation for many sales professionals is the transition from the “presentation” to the close. Moving the contract or agreement into the physical space between the two parties is always awkward, and you can feel the tension escalate.
Why not just develop a sales piece that is the agreement or contract? Using a little marketing savvy, and some imagination, you can turn your current paperwork into a decent sales presentation. By doing so your prospects will be far more relaxed, and it leads to a natural conclusion of signing the paperwork.
In my experience you will see an easy 10% increase in your sales peoples closing percentage. Going from 27% to 37% will have a substantial impact on your revenues and success as a business.
You can read more about our sales consulting on our site