Diagnostic Diploma Sales - Repeat 1

In order to accurately set sales targets a common method is to simply look at the previous year’s revenue and add what appears to be a reasonable rate of growth.

• True

• False

In order to accurately set sales targets, organizations need to think about past performance, account value, staff performance, and foresights based on the business goals.

• True

• False

Some of the factors that go into setting sales targets are:

• Historic data and product development

• Historic data, product development and costs of products

• Historic data, product development, costs of products and economic factors

• Historic data, product development, costs of products, economic factors and business needs.

Turning an annual departmental sales target into individual monthly targets:

• Divide (÷) the total annual target by the number of sales staff you have

• Divide (÷) the annual staff targets by the number of months in a year

If the annual target is $20,000,000 and the sales staff are 25 what would the monthly individual sales target be?

• $56,567 each staff member

• $66,667 each staff member

• $72,476 each staff member

• $33,400 each staff member

Gross Profit Margin is = GROSS PROFIT (÷) SALES REVENUE (x) 100

• True

• False

Net Profit Margins is = SALES REVENUE (÷) NET PROFIT (x) 100

• True

• False

A sale target is a goal set for a sales person or a sales department.

• True

• False

The purpose of individual and team sale targets are to make the overall company sale target more achievable.

• True

• False

The purpose of individual and team sale targets are:

• To motivate staff to work harder for the company and reach the company’s objective.

• To motivate staff to think positively

• To motivate staff to work better as a team

• To motivate staff to go out more often and enjoy the sun

Why is it important to review sale targets?

• So you can see what the trend is in the market.

• So you can think about past sales targets.

• So you can sell more products

• So you can adjust your sales goals to meet your business needs.