The first thing you need in order to improve your closing ratios is sales data.
If you are really serious about making a lot of money you should be keeping detailed statistics on your sales performance.
This should range from anything like your leads to appointments ratios and your sales visits to closing ratios.
An old sales mentor of mine once said “If you can’t measure it, you can’t improve it”
You see, by using baseline data you can start to experiment with different approaches and techniques and then it is easy to see the results that you get.
If you do not do it this way you do not really know what is contributing to your increased or decreased number of sales.
You should use your current sales data as a control group and just change one variable at a time to see the impact upon the results that you get because if you change too many variables at the same time it is impossible to know which one made the difference.
So, let’s look at an example.
You are only getting 25% of your calls returned when you leave messages on your prospects answerphone.
Now you know that if you can increase this ratio all of your other ratios will naturally increase.
Why is this?
Well, you know that you close out 1 in every 4 sales visits so if by increasing the percentage of returned calls from 25% to 40% you will get an additional 8 visits per month which in turn will lead on average to a further 2 sales without doing any different other than getting your calls returned and in turn getting more appointments booked into the diary.
So, this is what you would do.
Armed with your 25% figure you would try leaving a different message on the answerphone of your prospects for the next 2 or 3 weeks and analyse the results.
You may find that it has increased to 36%, an 11% increase.
Then what would you do?
Well, you would tweak it even further adding a little bit more or even shortening the same message that increased the figures.
You would continue to do this until you feel that you are maximising your returns and optimising what you are doing.
Then, you would look at your closing ratios and do exactly the same process.
This is the beauty of improving your sales process at every stage – you do not
experience linear growth but instead everything is compounded.
Just image the impact that you would have if you improved your returned calls by 20%, your closing ratios by 15% and you improved the value of each sale by 10%.
You get geometric growth baby!
Small improvements make a huge difference to sales results so isolate each stage and improve each one a little bit at a time.
Before you know it you will be your company’s best salesperson.
Success by the inch is synch by the yard it is hard!