Company managers can integrate new methods of work and tools, and reward employees from time to time. However, when this happens chaotically, the success of companies looks like a rollercoaster. Instead, the most reasonable approach would be to establish sales linearity.
This concept involves greater discipline in the work of sales teams, as well as the smooth closing of deals in a certain period. This provides many benefits for businesses because together with streamlining revenue operations when the work of disparate teams aligns, companies can not only hope for success but see rapid progress in this direction.
The linearity of sales affects the work of teams, managers, as well as interaction with the client. In each process, this allows you to set up more precise planning, forecasting, as well as team motivation.
We’ll talk about ways you can use to implement the concept of sales linearity into your company’s operations, resulting in even more revenue.
● Regularly check the health of deals
Even though sales managers can be overwhelmed with tasks, it’s incredibly important to keep an eye on checking the status of deals. Many leaders put off this work until later, choosing to check on the status of things as the season draws to a close, for example.
This is an inefficient approach, which leads to the fact that the linearity of processes is violated. You should make it a habit to check on your sales reps regularly. At the end of each week, you can set up a check to see which of your team members are delaying closing deals until the last minute. You can also find out promptly what difficulties your team members are facing to offer them help and advice.
● Get rid of quarterly quotes
In most cases, companies resort to quarterly quotes. However, this approach also does not serve to achieve sales linearity. Instead, monthly quotas are the best option, without incurring any additional planning costs.
If your company is also interested in forecast accuracy, this will help to achieve the best results. Knowing what quotas you set and whether you reach them every month, you will be able to predict your sales much more accurately both for the month ahead and for several years. In addition, you can achieve high accuracy with Revenue Grid, whose professionals will help you create forecasts that will bring you confidence in the successful future of your company.
No matter how hard you try to create amazing speeches about the work of your company, and achieving high goals, your team members will be more interested in achieving new heights if they are personally motivated. Burnout occurs in any field of activity, including the sales field.
That is why your team members need to feel needed and valued. In addition, their work should be rewarded not only with compliments from business leaders but also with other pleasant bonuses.
You can do the following:
- Give credit to your team members for a job well done. That being said, it’s important not only to talk about how well your team did in a particular month but also to highlight individual sales reps who excelled. This gives them confidence in themselves. Also, they wouldn’t want their sales figures to drop in the future;
- Give bonuses and gifts. It’s always nice when you get not just verbal praise, but also a tangible reward or a nice bonus. You can think of anything you want as bonuses and even develop a custom bonus system that will include additional vacation, airfare, event tickets, and much more.
- Give rewards for closing deals at the beginning of the quarter. If your company’s sales reps receive a fixed amount for closing a deal, you can introduce additional commissions for closing deals at the beginning of each quarter. This will help you build linear sales so that your team members are motivated to not leave deals closed by the end of the quarter.
New customer actions
● Extend customer contracts for longer periods
While this is not a standard approach, it can work to your company’s advantage. If your clients are other businesses, then they also live by the same quotas as all other companies.
Usually, contracts are signed for standard periods of time, like six months, a year, and so on. At the end of the deadlines, turmoil begins everywhere, since decisions must be made to extend contracts or search for new suppliers. You can help take the load off your loyal customers by offering them custom contracts for, say, thirteen or fourteen months instead of twelve.
● Surprise customers with complimentary services or products
Customer retention is also part of sales linearity. Even though companies try to retain customers in various ways, in the form of better plans, contracts, subscriptions, and so on, you should consider surprising customers with complimentary services or products.
No one can refuse a freebie, whatever it may be. By offering a free compliment from the company, your customers will be more loyal to you. It will also plant in their minds the idea that complimentary products and services will always be around.
● Offer discounts
Another great way to achieve linearity is to offer financial discounts. However, it can be a good alternative if some methods don’t work as you expect. This is not the best, but effective way, because it reduces margins. When compared with complementary products and services, this option is less preferred.
However, you may want to consider offering discounts for signing a contract. For example, if you implement a contract extension for a non-standard term, then you can offer customers to pay for twelve months, and the thirteenth month will be free. It is unlikely that anyone will be able to refuse such an opportunity.
Depending on how your sales team operates, you can choose the concepts that work best for you to help you achieve linearity. They can be introduced gradually, checking how effective they are along the way. These tips will help you achieve process improvement, team member motivation, and customer retention, which will improve your sales linearity.