Forecasting Future Sales

Sales forecasting is one of the tombstones in the salesperson’s graveyard.

Selling isn’t a complete science. Salespeople are terminal optimists. Therefore forecasting isn’t easy. But most sales organisations we work with could be much, much better at forecasting.

So what usually goes wrong? Actually, quite a lot…..but, in short, consistent, objective questions aren’t asked which flag up the real likelihood of success (and thus the basis of qualify-in / out decisions) and too often the salesperson (you know, that terminal optimist) is left to ask them of him / herself – i.e. no-one is being the ‘devil’s advocate’. An excerpt from the ensuing dialogue between salesperson and devil’s advocate might sound something like this:

DA: “Have we made the distinction between ‘can the customer afford it?’ and do they have the budget?”

Salesperson: “Yes”

DA: “Where did you get this information from?”

DA: “Are we inside their budget?”

Salesperson: “Yes”

DA: “What is the budget?”

DA: “Do we have unique advantages which are central to the customer’s problems?”

Salesperson: “Come again…?”

DA: “This is central to our likelihood of success. It sounds as if we have some more selling to do. Where are we right now in the sales cycle..?”

DA: “Are we talking to all of the players in the decision-making process? And have they all allocated the time to assess our strengths?”

Salesperson: “Some of them have”

DA: “Who has? And where exactly do they sit in the decision-making process?”

DA: “Do we understand the needs and wants of all of the key players involved in this decision?”

Salesperson: “Yes, mostly…”

DA: “Please take me through, player by player, the needs and wants as you understand them.”

DA: “Who are we competing with?”

Salesperson: “Company X “

DA: “What is their track record with the customer like?”

Salesperson: “Not as good as ours”

DA: “OK – but says who?. What are their competitive strengths as seen by the customer?”

Salesperson: “I’m not sure.”

DA: “Well we need to find out don’t we…?”

DA: “Who are they talking to that we are not?”

Salesperson: “I’m not sure about this either”

DA: “You know what’s coming now don’t you…?”

Call Salespunch™ to explore where and how your sales forecasting can be strengthened and how that ultimately effects your business decision-making.