You are having a wonderful breakfast with your family and suddenly the doorbell rings. You are not expecting anyone so early. Then suddenly, you feel very hesitant at opening that door. You find yourself wishing it is not a SALESPERSON.
We have all gone through this.
The amount of times we have been sold all sort of stuff, has made us act a little awkward towards salesperson or sales. Like we don’t want to be around them very long, right?
Myself I have for a very long time, been trying to avoid any type of selling. I didn’t want to annoy anyone with anything, because I wanted to be seen as a good person. But I noticed that sales were always coming back as a boomerang to me; I guess trying to teach me the truth.
I now have learned my lesson and accepted the truth and I’m happy to share it with you. Please do not dismiss it and try to convince yourself that you will be able to run your business otherwise.
The truth is without sales there is no business. Look everywhere. Every business has to have a revenue, and that is done through sales. No business can exist without it, for as much as I know. I would love to proved wrong though, but it’s just not going to happen.
Therefore if you are building a business, you should learn to love sales. Because sales will be the lifeblood of your business.
Got past that one?
I know it may take some time, but really think about it a lot, ok? You will find, there is no way you can remove sales from the business.
Now I am going to share a formula with you. It is a formula that every business uses to evaluate where they have to focus. You will get it more after I share it.
Here we go:
Leads X % conversion X dollars spent per customer X number of times each customer buys = revenue.
This is not really a formula to calculate revenue. It is as I said a method to highlight an area of focus.
When you look at your business using this formula, you will easily see what can be worked on some more.
Let’s say you have a product that is selling at 27$ and you want to make 1000$ a month.
By putting those numbers into the equation you can get a clearer picture of what you want to do.
Leads X % conversion X dollars spent per customer (27) X No of times they buy ( assume it’s one ) = Revenue(1000)
By doing some math, you will find that,
Leads X % conversion = 37
If you assume ( we always start with assumption that we test ) you will get a 10% conversion rate you will know how much leads you would need to hit your numbers. In this case it is approximately 370. Therefore that would be the number of people you would need to visit your website, or opt-in to your mailing list, depending on what type of offers you have.
That is only one way you can play with this formula to set your goals and stay focused.
Sales is the game, and can be a fun game if you decide it to be. Take the challenge, play with formula and enjoy.
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