Most business owners would like to have more customers so that they can increase turnover and grow their profitability, sound familiar?
Working with high growth businesses for the past dozen years or so I have found monitoring and evaluating conversion rates is often the quickest and least expensive way for any business to do this.
So, what’s your conversion right now?
For every 10 people who make an enquiry how many actually buy?
For instance, let’s say for every 10 enquiries 2 do business with you, you have a conversion rate of 20 percent.
Now imagine if you were to work on ways of increasing your sales skills and achieved a small increase and took that to just 4 out of 10 what have you just done to your turnover?
You’ve doubled it, small tweaks a huge win.
The place to start with this idea is measuring your current conversion rates discover your reality now.
As Peter Drucker famously said what gets measured gets managed…
What are your conversions rates at each and every step of your sales process?
(I’m going to presume your serious enough about your business to have a written documented sale process!)
A sales process is essential if you ever want to be in control of your business and able to leverage through people.
Once you have your process and you are measuring conversions at each stage you can step back and ask what’s the story these numbers are telling me?
Where are we dropping the ball, when are we sticking in the back of the net?
Who’s dropping the ball and who’s sticking in the back of the net?
Measure the conversion rates for every individual at each stage of the process.
Who has the best conversion rates?
Track what they do, how they do it and use their method to train the rest of the team or better still thinking in terms of leverage get them to train the team.
So, question for you do you measure your conversion rates now?
Be honest are they measured or guessed?
When I ask people, this question they invariably give me an answer like 10 20 30% and they assure me that’s measured.
I have never actually found anybody who is truly measuring it that has a figure that rounds up nicely to 10 20 or 30 the truth in nearly all cases is the figure is guessed.
So, if you are guessing your conversion rate what could that be costing you?
If you have a team and you don’t know their conversion rates how much is that costing you?
Start measuring it and one thing I guarantee it will start improving…