.jpg)
When it comes to sales, most businesses tend to focus just on 2 metrics; how many sales have been made and how much revenue made. These 2 however paint a quarter of the real picture of what is happening in your sales. Tracking these only shows the end of the funnel hence you end up missing.
PS: All these metrics are available in the MonkeyPesa CRM software.
Why should you be tracking more metrics:
Doing this helps you understand what could not be working within your sales process.
It helps you get insight into how each of your sales reps is performing
To get insight into employee morale
What are some of the top metrics you should be tracking?
Sales revenue: This is the total amount of money that your business has generated through sales. It can be calculated by multiplying the number of units sold by the price of each unit. For example, if you sell 50 units at $100 each, your sales revenue would be 50*$100 = $5,000.
Average deal size: This is the average value of the deals that your sales team is closing. It can be calculated by dividing the total value of all closed deals by the number of deals closed. For example, if your team closes 10 deals worth a total of $100,000, the average deal size would be $100,000/10 = $10,000.
Close rate: This is the percentage of leads that your sales team is able to successfully convert into paying customers. It can be calculated by dividing the number of closed deals by the number of leads. For example, if your team has 100 leads and closes 20 deals, the close rate would be 20/100 = 20%.
Sales cycle length: This is the length of time it takes to close a deal, from the initial contact with the prospect to the final sale. It can be calculated by dividing the number of days between the first contact and the final sale by the number of closed deals. For example, if it takes an average of 30 days to close a deal and your team closes 10 deals, the sales cycle length would be 30/10 = 3 days.
Customer acquisition cost: This is the total cost of acquiring a new customer, including all marketing and sales expenses. It can be calculated by dividing the total cost of sales and marketing efforts by the number of new customers acquired. For example, if your sales and marketing efforts cost $50,000 and you acquire 100 new customers, the customer acquisition cost would be $50,000/100 = $500.
Customer lifetime value: This is the total amount of revenue that a customer is expected to generate over the course of their relationship with your business. It can be calculated by multiplying the average purchase value by the number of purchases per year, and then multiplying that number by the number of years the customer is expected to continue making purchases. For example, if a customer has an average purchase value of $100, makes 10 purchases per year, and is expected to continue making purchases for 5 years, their lifetime value would be $100105 = $5,000.
Customer satisfaction: This can be measured through customer surveys or other methods, such as tracking the number of customer complaints or the percentage of customers who renew their contracts.
Employee productivity: This can be calculated by dividing the total value of closed deals by the number of sales reps on the team. For example, if your team closes $1,000,000 worth of deals and has 10 sales reps, the employee productivity would be $1,000,000/10 = $100,000 per sales rep. This metric can help you identify top performers and identify areas for improvement for underperforming reps.
The number of leads acquired. Leads are at the top of the funnel. The number of leads acquired affects how many people you will close at the end of the Month/quota
TEST RUN THE MONKEYPESA SALES CRM Software for free: dashboard.monkeypesa.com
Video:
We did a webinar on the sales metrics you should be tracking for your business in 2023. Watch the video to give you more context on the metrics you should be tracking
With the monkeyPesa CRM, these metrics and so many more are already available in the analytics section on all packages.