Scorecards, Part 2. Counting Sales With High Variability

Buckets for organizing your salesQ: Putting sales on a scorecard as a number of sales (like 5) doesn’t “fit” my business. My sales are highly varied in size (some are $15k some are $500k) so I could need LOTS of little ones or one big one to meet my sales goals in any given month.

A: This is great! You’re already breaking down your sales goals and grouping them in different buckets. Pat yourself on the back for being ahead of the game, and then we’ll talk about why it’s valuable to think in terms of your quantity of sales, and how to manage counting sales in a case like yours.

Why to count quantity of sales

Going back to the old adage “What gets measured, gets done”, we want to measure the number of sales because that’s the number we ultimately want to increase. (At least, that’s the assumption this is based on, as my clients often need to diversify their base of customers as much as they need the dollar value of sales to increase.) In online sales, the thing I can help you influence most directly is the quantity of sales. The amount of those sales is more directly influenced by other factors such as the types of products or services that particular customer is interested in, etc.

How to count quantity of sales

Since you’ve already starting categorizing the different types of sales you need, counting them is a simple matter of measuring them in those same buckets. I’d be careful not to get too ambitious about breaking down sales into every product or service you offer… At this early stage of online sales development, we don’t want to get so detailed with counting that we lose time to grow the numbers.

We want to think as broadly as possible about our sales buckets, which are already framed nicely in the question above as essentially “small sales” and “big sales”. That means all that’s left to do is figure out a break point between those two categories and start measuring sales in those two buckets. There’s no need to sweat getting the breaking point exactly right, as over time you’ll see trends that will tell you if your breaking point is good enough or needs tweaking.

How counting quantity of sales impacts counting leads

Unless your incoming leads obviously fit in one bucket, it’s just fine (in fact, advisable) to track a single number of leads. At the beginning of an online marketing program, we want to measure how many new leads we’re getting into the system, and start increasing that number. Later on, we’ll want to use data we’re collecting in other places (Google Analytics, Google AdWords, HubSpot, etc.) to start influencing who we’re getting as leads – right now, we want to focus on getting more leads, period.

Good luck with your scorecard!

Post By Catherine Juon (42 Posts)

An educator at heart, Catherine enjoys applying her expertise as an executive and long-time online marketer to help fellow entrepreneurs. To that end, she wrote the book on how to put all the pieces of online marketing together called "Internet Marketing Start-to-Finish", and speaks at both advertising industry and entrepreneurial events. Outside of the world of SEO and executive coaching, you'll find Catherine hanging out with her husband and two teenage boys, and triathlon training.


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