Sales are the lifeblood of any business, and to ensure that adequate levels of revenue are always maintained, sales tracking is a must. This requires attention to detail and helps companies tap into further sales opportunities. Contrary to popular belief, sales reports aren’t just about income and profit. That’s barely scratching the surface; otherwise, they would simply be classified within an income statement.
Sales reports provide extensive insight into the sales team’s progress and the company’s growth. The numbers on these reports aren’t just final figures; rather, they summarize all the activities that have taken place over time. Information is carefully arranged to allow managers, employees, and CEOs to navigate how their products and services are actually performing in the market.
There is a range of sales reports employees have to make, but not all are equal. Here are the top 5 sales reports you should be used to realize your company’s objectives.
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Sales quote-to-order conversion rate
Otherwise known as win rate, this tells managers about the number of customers who converted in relevance to all the potential clients reached out. For instance, you contacted 200 prospects this month, but only 45 out of the total made a purchase. Then, your business’s quote-to-order ratio is 22.5%. This applies to both on-site and online experiences; unfortunately, some managers dismiss the importance of the win rate.
But that’s a big mistake you should never make! Because if you don’t know how many customers you’re converting, how will you ever increase that figure? The answer is you can’t. Thus, this ratio tells you a lot about your company’s standing and not just in terms of financial performance.
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Sales rep report
Sales rep reports help you analyze your sales representatives’ performance by telling you what they’ve been up to. Whether they’ve been utilizing time effectively, tracking the right clients, and making the most of the tools they’ve been given. Common values include total sales, commission, and average sales. All of this combines to keep your team’s progress in check and eliminates redundancies in case there are any. Most companies today use a sales management system to generate this report, which saves a lot of time.
A sales executive simply records a sale, information on the customer attained, his/her commission, and more. The statistics embedded are thus, averaged out to show the rate of growth over different periods.
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Sales funnel
A sales funnel covers different steps all individuals must go through before qualifying as your customer. Verily, all activities are indispensable to sales growth. Imagine this; if you get the number of potential customers thrice at one step, they’re likely to follow up till the end, hence increasing your total consumer base.
Essentially, a sales funnel report helps managers and salespersons understand how each step can be improved. It does this by identifying the parts where most customers drop out. With Osmos, you can effectively optimize your sales funnel to double the revenue in half the speed.
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Sales forecast
Running a business involves a significant chunk of forecasting for the allocation of resources. Additionally, there’s another important reason why all companies make forecasts, and that’s because these serve as a standard for comparison. Actual performance is measured against predetermined predictions to evaluate how the business is doing its finances. In case these are significant deviations, management can accordingly rectify the situation.
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Products and services report
This report contains all the items sold in a given period and categories the stock under different heads. Quantity measures, total sales figures, costs, profits, and losses for each product/service are recorded. Therefore, ensuring accurate calculation transfers to other financial statements later on in the business life cycle.
Thus, sales reports are crucial to set new objectives and develop new business strategies. These can help the organization in eliminating discrepancies and tackle underlying problems that might be impeding business success.
