Factors & Methods to Look For Before Determining Sales Target Appropriately
Talking about the business world is certainly inseparable from a sales target. Sales targets are usually set by the company and are determined at the beginning of the year by being influenced by several factors, both external and internal. Determining sales targets is very important, and a company that sets targets without a correct calculation basis can have various implications. Determining the right target not only determines the basis of the target number but also must be closely related to other important factors.
Important Factors to Look For Before Setting a Sales Target
- A good target is a target that can be realistically achieved. In this case, it is important to know the amount of the target, measured and can be achieved.
- A good target must be in line with market growth predictions and future business development plans. What is the prediction of market growth in the next year? What possible trends will occur and affect our business next year? Things like this should be our basic reference in determining sales targets in the future.
- A good target must be based on an element of realistic consideration. It is important for us to achieve the specified target, but it is also important that we have to be realistic in seeing the circumstances.
Methods for Determining Sales Targets Appropriately
Recognize the Target
Know in advance the identity that will be your target. For example, what is the average target age, gender, economic status which will affect the purchasing power, and also socio-cultural background? This relates to what goods and services you will sell. For example, if you sell teen accessories, it would be less effective if you do marketing among mothers. Likewise, if you sell cooking products, of course, you might not do marketing among teenagers.
Recognizing Trends among Consumers
Find out what is trending among customers. This you can do by joining in forums on social media or certain sites. Know what kind of goods and services are needed by customers but cannot be met by other producers or sellers who are your competitors, so that when you do marketing, you are sure of your strengths and are ready to target these consumers.
Understanding Target Behavior
Understanding consumer behavior can include how consumers are shopping, the tendency of what items are bought, and their passion when shopping. You also need to know the type of consumers, whether they are the type of consumers who prefer to buy online or come directly to the store. By knowing the consumer behavior, you can not only determine your target market but also be able to make efforts to improve to provide maximum service.
Determine the Products & Services to be Sold
After knowing the weaknesses of your competitors, now is the time you come to the surface by offering new products that are ready to answer market needs. These product specifications must be clear and intended for whom. This will help you focus more on targeting consumers.
Make a clear sales plan
Where the product will be marketed, who are the sales targets and what sales patterns will be used. To find out the answer you must use the sales database that you have so far. With a sales database that you already have, you can determine a clear sales plan.
Focus and Discipline
When you focus on sales targets, then you will consistently undergo a plan to achieve these sales targets. Don’t forget to be disciplined and regularly make a progress report every week and write down important things during the sales process. If this is seriously done, then you will be greatly helped in the next sales process if you encounter the same thing.
Of course, in addition to running methods to determine sales targets precisely, every company needs good financial management to support the running of all business processes.