Secret Formula for Sales Success Part IV

I / $S= #S
#S X #P/S = #P
#P X #C /P = #C
#C X #A /C= #A 
#A / WORKING DAYS = #A/DAY
I / #A = VALUE OF EACH A

You now have determined what your I (Income goal) is and you have calculated your earnings per sale.  When you divide your income goal by your average earnings per sale you get the total number of sales required to achieve your goal for income for the year or month(#S), whatever period of time you used. This is clear and established in fact.  No winging it or floundering.  You know without a doubt that if you want to earn the income that motivates and excited you and your family, you must commit to making the number of sales identified in Your Formula for Sales Success.
The next step in the formula is to solve for #P (number of presentations required to reach your income goal).  In order to solve for this you must determine how many product presentations you make for every sale you close (#P/S).  Every product or industry has a different "closing ratio".  This should be your average and it means you must, without any question, know your numbers. Let's look back to last week. First of all, how many sales did you make? Next, how many presentations did you make last week? Divide the number of presentations by the number of sales and you have your #P. If you are just starting in this profession or this is a new position, you should get with management and get the staff's number of presentations made in order to close a sale.  
Presentations could include the writeup of an offer or not.  A Presentation is typically proceeded by a meet and greet of the prospect and a qualification step.  But, what you need here is the number of times that you make a thorough and complete presentation of your product and tell the customer what it takes to own it.
Once you calculate and get the #P/S, then divide your I by #P/S you will get your personal #P. This number is extremely important to your success. If you want to earn the income that you spent time and effort to determine, you must hit your #P. This is an area that you can target for improvement as well.  You want to make more money?  You want to make more money without working any harder or longer? Get better at your presentation!  We will discuss this at length in future posts.
Calculate your personal #P and then you can move on to the next step.

Expect to Win!
--Jim