Improve Your Conversion Skills by 20% to Double Your Sales Revenue
Now, It’s hard for most people to understand this but a 20% improvement in conversion skills will lead to a 100% improvement in sales results.
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Let me explain this very important concept. Bear with me as I talk through the math… you can always watch my explainer video above to understand this better.
Let’s say my average sale is $20,000. Now if I get 40 leads per week and I convert 50% of those to connections with prospective customers, I’ve got 20 connections that week. If I convert 50% of those 20 connections to meetings, I’ve got 10 meetings that week. If I convert 40% of those meetings to proposals, I’ve got 4 proposals out there. And finally, if I convert 25% of those to business, I end up with one sale. at $20,000.
So, my 40 leads turned into $20,000 revenue.
Now, with an average cost of a lead often as high as $600, that’s sending the business I work for broke…
But let’s see what happens if I improve my conversion skill by just 20% next week.
If I take the same 40 leads and increase my conversion rate to 60% (which is 20% better than 50%), I end up connecting with 24 prospective customers. So, I speak to or engage 4 more people about the prospect of a meeting. And if I take those 24 prospects and convert 60% of those to meetings, I get 14.4 meetings, which is 44% better than the 10 meetings I got last week. if I then convert 48% of those meetings to proposals, I’ve got 6.9 proposals out there to potential customers. And finally, if I convert at 30% instead of 25%, I secure 2.04 deals.
That’s $41,400 in sales revenue – more than DOUBLE the week before with just a 20% improvement in my conversion skills.
The point is, if you’re spending a lot of money on more leads and marketing, that’s not necessarily a very smart thing to do if you haven’t spent any money improving your salespeople’s conversion skills.