When sellers think about quotas, they're really thinking about commission pay. That's the most obvious way a quota benefits a sales professional.
But there's more to it than that. Sellers who appreciate the full value of quotas and other sales metrics can benefit in five additional ways:
1. You can use every target goal to add up to your overall quota. If you have product goals, for example, don't treat those as a nuisance. Instead, consider each product goal as a stepping stone toward your overall quota. Sellers who view these goals as separate from overall need to reframe the picture. These are subordinate goals that add up to your primary goal. If you work on them separately, you risk winning a battle and losing the war.
2. You can use activity metrics to replicate what works for others. Sales managers generally set these standards to assist sellers in appropriately allocating their time. Unfortunately, sellers may see activity metrics as a micromanaging. Think about it. Your sales manager, like you, gets paid on revenue performance. Sales managers don't really care how many calls you make, how many proposals you write, or how many referrals you get. They only care about the outcomes. They give you activity metrics like these because they know that these activities produce results.
3. You can celebrate your small wins. And you should! Track your progress toward goal attainment. Break it down into smaller chunks and enjoy your successes along the way. If you have a monthly quota, for example, divide it by four and give yourself weekly targets for sales metrics. To reach the target for the week, consider what you need to sell and do each day of that week. Pat yourself on the back when you have a productive day. Success breeds success, and you deserve to enjoy every small win. After all, there are no big wins without a lot of small ones along the way.
4. You can use activity reports as planning tools. If you're filling out call reports or using a CRM throughout the day to log client interactions, chances are that you may be missing out on a benefit. If you use these tools after each call or at the end of your day, then you'll have a record of what you did. But if you use these tools at the start of the day, you'll also have a plan for your day. You'll be more effective and more efficient as you work each day's plan instead of reacting to the day come as it may. With a well-planned day, you can set activity and sales goals for yourself to build in those small wins (see #4).
5. You can eliminate uncertainty. Sellers are more successful when they create a plan, break it into manageable chunks, align their activities with their goals and know exactly what they need to do to reach quota. What's more, these sellers don't have to deal with a chronic uncertainty about whether or not they will hit their quotas. They can quickly provide a flash report, keeping their sales managers informed and managing their own finances accordingly. Because they know "Plan A" they have more time and ability to create contingency plans when something doesn't come through. They are better prepared and less stressed.
By capitalizing on all five of these benefits, you'll increase the likelihood of reaching quota, too. These are the components of a smart sales strategy. Getting to any end goal requires well-executed plays along the way. Sellers who struggle are sellers who fail to plan and build toward goal. Instead, they expect it to be reachable without any deliberate and focused actions. They bank on luck and favorable market conditions. They are often disappointed.
The best part of a sales career is that YOU are always in charge. You get to stay in control so long as you set a plan, challenge yourself to stretch, and steadily progress to your goals. Use the performance standards and measures your company has put in place to work your plan. Otherwise, those sales metrics and standards will seem like busy work that wastes your time. That would be a missed opportunity for you.