Each year, leadership teams plan out their sales teams’ goals and incentive programs for the year. It’s important to remember to create goals that encourage your team to stretch while being attainable.
Goals that are set for too far out in the future may seem out of stretch...
2 years is so far away and so much can change in that time – I’m not going to worry about that goal”
Other goals may be “too” attainable...
Increase sales by 5% YOY? I can do that the first month of the year and coast the rest of the year!
If the goal is too easy and has a short time frame, it can be difficult to create and keep up with new goals along the way.
Stay SMART when setting sales goals
Be sure to create goals that are:
Goals should be specific to the company’s industry and be aligned with creating the best outcome possible – such as increasing different quantitative measures (number of prospects, project close value within the pipeline, reduced time between an MQL and sales accepting the lead (SAL). There should not be any dispute over the final goals, so everyone on the team (and in the business) is working towards same outcome.
How will you know if a goal is met if there is no way to measure its success? Whether it is measured in dollars, ROI, satisfaction levels, or another quantitative outcome, a goal should always be measurable.
If a goal is massive or out of reach, there may not be enough drive to strive for it. If your team’s ultimate goal is very large, try breaking it down into several smaller goals so that reaching each one is realistic and feasible. And remember to celebrate reaching those smaller goals!
Each goal set should be relevant to the company’s overall mission. It should be easily understood that the individual sales goals are being set for the greater good of the entire team (as well as the business). The goals should properly align with each person’s abilities and responsibilities.
Each goal should have a clear deadline so it has a sense of urgency that needs to be met. If the goal is to increase sales, it should be bound to “in the second quarter” or another time frame, so that your sales team is not working towards a “someday” goal.
Communication between all involved parties is necessary to make sure that everyone’s goals are aligned. Additionally, any changes made to goals need to be communicated effectively. E2 can work together with you to define your company or sales goals using the SMART method (as well as help you decide what you would like to reward and how often) with a Sales Incentive Program.
E2 will guide you through aligning your objectives with your desired success, as we are able to measure the performance of short and long-term productivity by tracking the results on our online platform.