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Friday, June 2, 2023
 

5 SMART sales goals and how to achieve them

Setting and achieving sales goals is critical for any sales team, especially during periods of economic uncertainty. When times are challenging, efficient operations are a must. By creating clear goals, managers can get sellers on the same page, making it easier to measure performance and, of course, hit your sales targets. The good news is, goal-setting doesn’t have to be complicated. Using a SMART goals approach and sales technology to support the process, your team can increase revenue and drive business growth. 

What are SMART goals? 

In a fast-paced business environment, there’s a never-ending to-do list. SMART goal-setting allows your sales team to focus on what matters most. SMART sales goals are clear, specific objectives that are easily measured within a defined period of time. By setting SMART goals, you boost accountability and productivity which, in turn, helps nurture and develop sellers.

Here’s a breakdown of each element of a SMART goal: 

  • Specific: Each goal should be well-defined and precise, with no room for misinterpretation. 
  • Measurable: Each goal should be quantifiable, allowing it to be tracked and assessed over time. 
  • Achievable: SMART goals aren’t moonshots. Each goal should be realistic while requiring some stretch from the team, based on available resources. 
  • Relevant: The goal should align with business strategy and sales objectives.
  • Time-bound: Teams should aim to achieve a goal in a certain time frame, such as a quarter. Setting time-bound goals for sales reps provides a sense of urgency. 
SMART sales goal example 

ABC Company has an ambitious sales team that wants to hit a sales target and make a clear impact on the business. They establish the following SMART goal to increase dollars resulting from up-sell opportunities: 

By the end of Q3, increase the number of customers who purchase add-on services by 20%.

The goal is specific, with a focus on up-selling existing customers. It’s measurable and time-bound, as the team can accurately track the number of add-ons sold in a three-month period, compared to the previous quarter. It’s achievable, with buy-in from ABC Company’s sales and marketing team. And it’s relevant, with the potential to impact ABC Company’s bottom line.  

5 SMART sales goals examples 

While each organization has its own unique set of goals for sales, there are some common sales objectives that can serve as a valuable starting point in the planning process:

  1. Increase annual recurring revenue (ARR). This metric allows companies to measure expected revenue from subscription-based products. Sales teams can set simple SMART goals that align with increasing ARR, such as up-selling and closing more deals.
  2. Improve customer retention. For teams facing leaner times, growing and deepening existing customer relationships is more cost-effective than acquiring new customers. Measurable goals targeting retention might include reducing churn and increasing customer lifetime value (CLV). 
  3. Shorten the sales cycle. The sales cycle is the time it takes a new lead to become a closed deal. Measuring conversion rates and comparing them to industry averages can offer useful context for setting goals to accelerate your cycle. 
  4. Increase cross-sell and up-sell opportunities. Cross-selling and up-selling increase the average order value (AOV) for each customer. Setting sales goals with marketing to promote new services may be a practical SMART goal to drive AOV up and to the right. 
  5. Increase quarterly bookings. Bookings equate to the total revenue sales are expected to drive. Break this down by rep or region to track and benchmark over time.

Pro tip: Use your sales kick-off (SKO) to set SMART sales goals. When sales teams are together, it’s a great moment to unify everyone behind a common purpose.

How to achieve a sales target by leveraging sales technology 

Excel sheets are no longer the only tool for tracking and reporting on a sales goal. With the help of modern sales technology, your team can set and measure goals more efficiently. In fact, 80% of those who use enablement technology report that it frees up time to focus on revenue-generating activities. Here are a few ways technology can support your team:

  • Analysis: Sales tech provides retrospective views to understand historical performance and set realistic SMART goals. 
  • Measurement and reporting: Technology helps you keep a close eye on pacing, report to stakeholders, and make course corrections early.
  • Sales enablement: With content management and coaching tools, tech can enable your team to hit its goals with the right resources and support. 93% of reps without access to upskilling, coaching, or training say that these resources would help them close more deals.

Reach your goals with Seismic

To help you achieve your SMART goals, the Seismic Enablement Cloud™ offers a suite of tools to manage content, measure sales performance, and enable continuous learning.

  • Easily create, share, and track sales content with sales content management capabilities, improving the effectiveness and efficiency of the sales process. 
  • Access advanced analytics and reporting tools with enablement intelligence, providing real-time insight into team performance.
  • Nurture and coach your reps to achieve goals with learning and coaching, offering continuous training and development for teams across locations. 

Learn more about the Seismic Enablement Cloud  or get a free demo

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