Table of contents
1. What is the sales ratio?
2. Examples to increase sales ratio in your sales department
3. How to calculate the sales ratio
4. What is the sales closing ratio in the industrial and technological sector?
5. How to improve the sales ratio
1. What is the sales closing rate ?
When calculating the sales ratio , the number of deals you close is measured in relation to the number of proposals submitted. That is, for example, if you submit 10 proposals per month and manage to close 2, your sales closing ratio is 20% of the potential sales you had. According to Hubspot data , the sales closing ratio , taking into account all sectors, is 19%.
The main use of sales ratios is to provide a metric to compare the effectiveness of a salesperson with respect to other colleagues or with respect to the industry. Thus, this metric allows you to assess how effective you are at closing sales in your company compared to your competition.
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In the Inbound Marketing and Social Selling methodology, this metric takes on special importance, since one of the maxims of this strategy is the increase in the sales ratio, by leaving cold proposals behind.
2. Examples to increase sales closing in your sales department
Prime Biopolymers is an example of this. Thanks to a dual marketing and sales strategy, they were able to increase their sales ratio at a high speed. The commercial results after four weeks of training were excellent, increasing productivity and commercial efficiency considerably.
Marcela Cuadra, Marcela Cuadra Azúcar, International Sales Representative at Prime Biopolymers, tells you about her experience:
You can also download the success story!
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As you can see, the sales ratio is essential to ensure a growth trajectory find owner of cell phone number free philippines in any business. If you want to achieve these results, the first step will be to calculate your sales ratio: Here we go!
3. How is the sales closing ratio calculated?
Calculating the sales ratio is very simple, you just have to divide the number of closed sales by the number of proposals submitted . However, these variables may depend on one company to another:
Keep these aspects in mind before calculating your sales closing:
Number of proposals . Although this may seem like a universal term, each company may understand “presenting a proposal” differently. Thus, for a company that sells cheap products whose purchase is not well thought out, a proposal will be understood differently than for industrial and technological companies, where sales require the presentation of catalogues and brochures and where, every time someone requests a price quote , it can be counted as a proposal.