In trade, the question of increasing sales is absolutely commonplace. No matter how much you sell now, the plan will always be a little higher. Otherwise it's just not the right plan. And most importantly, the answer to the question of how to increase sales has long been found. You just need to be not too lazy to use the best practices and achievements of successful companies.
Sales success formula
On difficult path Increasing sales volume is important to know the formula for sales success. This formula works for everyone, this formula captures the very essence of sales. If you learn how to use it, then you will get what you want. Here is the formula for sales success:
The Sales Success Formula tells you a few important things:
- If you want to increase sales, influence such as: traffic, conversion and average check;
- You must constantly monitor the above indicators. If you do not know your current values of these indicators, this is an alarming signal - you are not in control of the situation;
- No matter who you are a business owner or a simple seller, these indicators do not depend on the scale, they can simply be called differently;
- While working on one indicator, monitor and control the others. It often happens that the conversion was increased, but the average check fell and, as a result, did not change.
- In an established system, these indicators are in balance and it is not so easy to influence them.
The last point is especially important on the way to increase sales. For example, you have a store that sells groceries in a residential area of a microdistrict. The audience of the store is constant, the average check and conversion will not change much. In such a system, without changing the assortment and without attracting new customers, sales cannot be increased much, there is a ceiling for the consumer market. And your task is to decide whether you have reached the ceiling of this market. If yes, then all the standard methods to increase sales will not help you much, you are unlikely to recoup the costs.
What affects the main KPI indicators
So, analyzing the issue of increasing sales, we have already learned 3 main indicators through which you can increase sales. Let's see what affects these indicators.
How to increase traffic
Traffic is the number of visitors to your store i.e. potential buyers. Generally speaking, there are two main ways to influence traffic.
Attract new customers to the store
It is worth noting that there are a lot of ways to express yourself to the consumer. All you need to do is choose the ones that suit you and are the most effective in your sales segment. Here are the main sources of attraction:
- Outdoor advertising and;
- Advertising on the Internet - contextual advertising, targeted advertising, banner advertising;
- SEO- search engine optimization, as well as other free advertising on the Internet;
- SMM - promotion in social networks;
- Customer recommendations (word of mouth);
- Advertising in the media - TV, newspapers, magazines;
By the way, in, and network marketing, you increase incoming traffic solely due to your active actions. This tool is also available for stationary sellers, primarily by working with the existing customer base.
Return customers who have bought before
The return of customers is influenced by such indicators as: the quality of service, the competitiveness of your offer, loyalty systems and bonus cards. Every sane seller works in this direction. In sales to the corporate segment, this is called building a base. A seller with a large base of his customers is very much appreciated. At the same time, not all trade organizations are seriously engaged in collecting contacts of their customers and their further involvement.
Very interesting point is the long-term nature of these activities. New customers can be attracted quickly enough, but the cost of attracting events is quite high. And vice versa, creating conditions for customers to return to you again and again is less expensive, but you will not get the effect quickly.
How to increase conversion
Conversion is the percentage of customers who bought to the total number of potential customers (traffic). The number of leads for each type of sale will be different. So for a store, it will be customers who come to the store, for a site it is site traffic, for SMM audience coverage, for contextual advertising, the number of clicks on ads and the number of ad impressions.
First of all on internal state store (seller, site), the more conditions for purchases are created, the higher the conversion will be. Conversely, the difficulties that the client faces when buying reduce the conversion. Conversion is a hygienic indicator of management professionalism. The main difficulties that reduce the conversion in the store:
- , or rather its absence, for example, the lack of price tags or inconvenient store navigation;
- Queues at the checkouts and other factors that reduce the speed of purchase;
In fact, these points are relevant for other types of sales, for example, for a website:
- Ease of site navigation, intuitive clear design, mobile version and so on.;
- Unqualified personnel;
- Complicated form filling on the site;
- High prices for goods or non-competitive offer;
In general, as we can see, in order to increase conversion and, as a result, sales, it is necessary to put things in order and train staff. What is generally not so difficult, it is much more difficult to maintain order and the level of knowledge, skills and abilities of your salespeople.
Increasing the average check
The average check is how much money one customer spends in your store. The average check consists of two components - the number of goods in the check and the average purchase price. There are many ways available to you:
- Cross sale (cross sale,) - this is a related product to the main one;
- - this is the sale to the client of a more expensive product;
- - the location of related products next to the main one;
- also increases the number of goods in the check;
- Expansion of the assortment - often the increase in the average bill is hindered by the absence of a particular product or the absence of expensive goods;
What are the clients
An increase in the average check is, first of all, the correct monetization of incoming traffic. Remember that among the customers who come to you there are always loyal people who will buy everything that you offer them. Anyone who has worked in sales will confirm that there are 3 categories of customers:
- Shopaholics - buy everything in their path. They get true happiness from the buying process, boldly go to communicate with the seller. The main thing is to create positive attitude. They are rare, depending on the scope of sales from 2 to 10% of total clients.
- Skeptics - are suspicious of any activity of the seller. They like to make their own decisions. With the advent of the Internet, such customers have almost completely moved there, although life still drives them to offline stores. No more than 5% of all clients.
- Middle class - ordinary customers who need to understand what they pay for. They can show the qualities of both shopaholics and skeptics, it depends on the terms of the sale. The vast majority of clients are like that. If you correctly explain to them that the product meets their needs and is worth the money, then they will buy from you.
Your task as a seller is to create conditions for shopaholics and middle class got what they need. Unfortunately, many sellers avoid using methods to increase the average check because they see no reason to scare customers. At the same time, the same seller may puzzle over the question of how to increase sales.
For the last six years I have been selling myself and teaching others how to sell.
At one time, I was lucky to develop the sales department at IPS (Isaac Pintosevich Systems), close space checks in the Amazon Chamber of Commerce, and now I build sales in the LABA educational platform.
We sell our products in Ukraine, Russia, Belarus, Kazakhstan, Germany and the Baltic countries. This is a rather complex process that requires well-coordinated work the whole team.
What happened in those six years?
In the first week of work as a sales manager, he signed 3 contracts for total amount $23 000
Year held the first place in sales among thirty people
Personal record - 372% of the plan
For a year of work, he went from trainee to acting. head of the IPS sales department with thirty sales managers subordinate
Signed contracts with thirty unfamiliar clients in one day of the conference
Doubled the turnover of the LABA educational platform in the first month of operation
I am constantly learning, I have been trained by the best specialists: Belfort, Adizes, Cialdini, Ferrazi, Gandapas etc.
Another personal record - sales of a product of a budget price category for $62,000 per month
I sold a lot, experimented with different schemes and made enough mistakes until I came up with the formula for the perfect sale. This formula can be used to increase the turnover of the ENTIRE sales department, not an individual manager.
Myths that are often found in novice sales managers.
A salesperson needs to be born
That's what most people think people, especially those who are just starting their journey in this direction. In fact, selling is an accessible formula that anyone can master.
If you're juggling or driving a car for the first time, chances are you'll make mistakes at first.
But if you have good teachers, over time, you will learn how to do it easily and with minimal errors. Sales are no exception!
Selling is vaping
You can hardly tell 97% of salespeople apart. These inept managers from the very beginning of the conversation are trying to tell as quickly as possible that they are the best, they have best company, best delivery, conditions etc.
They do not know and do not try to find out what the client needs at all. With this approach, it is really vparivanie. What benefit does such a salesperson bring to the client and what is the probability that the client will buy your product and be satisfied?
Selling is bad
Every day we all sell something. Going to the cinema, what dish to eat for dinner, an idea for clients or management, services, etc.
When selling a quality service or product that can help the client, this cannot be bad. If you help a person, what's wrong with that?
In fact, selling high-quality, sought-after goods is prestigious, and most importantly, they pay very well for it.
Myths of Sales Executives or Business Owners
A good sales manager is easy to find
Now I'll probably upset you. Good sales managers don't look for work - work finds them. There are practically no good sales managers on the market. It's not enough to just post a job and sales geniuses will come to you.
A good sales manager has long since sold his competencies and of course has highly paid commissions. Not in your company.
Practice has shown that it is necessary to look for potential employees who are ready to learn and grow real “sales wolves” out of them. It is difficult, requires certain knowledge and effort. But it definitely works.
Sales managers will actively sell themselves, as they want to earn more
Alas, no matter how well-thought-out system of material motivation you have, it is not enough to keep the fuse of your employee at the highest level.
A sales manager is a person with his own inner beliefs, fears, interests and priorities. Only thanks to the right approach to the management of each employee, you will be able to keep your sales department at a high motivational level.
The most terrible myth that can destroy your sales team
Once everything is set up, everything works fine and it will always be so.
I think each of you at least once thought or hopes that this is possible.
The sales department is the link that should bring most finance to the company. And it should be constantly worked on and improved.
Once every three months, it is necessary to improve and revise the strategy in the sales department.
Set new bonuses for certain indicators, change teams or projects on which they worked, set plans for a month, three and six months.
Sales managers are storm troopers by nature and the usual routine affects them negatively - motivation is lost, indicators begin to fall, there are fewer satisfied customers.
Therefore, you must constantly keep your finger on the pulse of your sales team and, if it begins to weaken, take prompt action.
7 tips to increase the turnover of your sales force
RIGHT PEOPLE
The right people are the backbone of any sales force.
How often do you conduct interviews? How often do you manage to find a good sales manager?
Most companies conduct face-to-face interviews. This approach works in the selection of top management, but not for the sales department.
Competitive interviews are required. So you can save your time and, no less important, emphasize the value of the vacancy in the eyes of the applicant.
If your new employee has not just passed the interview, but openly fought for his position with competitors, he will appreciate it much more.
One of the most important skills of a "salesperson" is purposefulness. Make the competition so that it can show this quality. The selection process should take place in several stages.
It is important that each stage is much more difficult - so you can understand how goal-oriented a potential employee is.
ADAPTATION SYSTEM
In many companies, in the first days of work, an employee in the sales department encounters such problems:
- they do not know what and how to do, so they walk, drink coffee and interfere with other employees;
- they try to sell before they have all the tools and just burn leads or, even worse, ruin your reputation.
You must have a clear system of adaptation. It is necessary to equip the employee with all the knowledge about the product and scripts for working with the client. This will allow you to get rid of the turnover and quickly introduce the manager to the position.
NEW TECHNOLOGIES
Surprisingly, most companies do not use the most important tools for the work of the sales department, even though they are quite easy to master - CRM, IP-telephony, voice recording system, etc.
Implementing a CRM (Customer Relationship Management System) will help you see the picture of your relationship with each client. Here you can enter the client's phone number, his full name, position, city and many other data into the database.
With the help of such a system, it is convenient to keep track of invoices, prepayments and completed transactions - this will allow you to quickly respond to any changes in sales.
The introduction of such a system usually increases turnover by at least 15%. And cloud solutions do not require large budgets.
In the LABA educational platform, we write our own software product that meets all our sales analytics needs. We will definitely devote a separate article to this product, it is worth it).
SALES TOOLS
Many people know what scripts are (algorithms for talking with a client), but few people use them. Managers understand that such a toolkit increases sales in the company, but for some reason they give their managers the opportunity to improvise in a conversation with a client.
Improvisation is the worst case scenario in a conversation when a manager needs to understand the needs of the client and correctly explain all the benefits of the product.
The script needs to be developed, and this, believe me, is not the easiest task you have encountered. It constantly needs to be tightened up and tested in conversations - this is a permanent process.
However, the game is worth the candle - the introduction of such a tool can increase the manager's sales by 30% after the first month.
Don't forget the food book. This is your company's product catalog, which every manager should know by heart. Every detail and detail, every feature of your product. A seller who knows his product perfectly, customers consider a professional - this is an axiom.
AUTOMATION
At this point, it is important to note that your sales department should work automatically. Like a Swiss watch - without interruption.
For this you need Technical Specialist- administrator. This employee will monitor overdue tasks from managers, unloading potential customers. It is also his task to ensure that telephony accounts do not run out of money.
It is very important to constantly work with the customer base. The administrator of the sales department will be able to control clients that take a lot of time. At the same time, the result from such clients is zero.
Create a black pool where you will bring in customers who have not bought anything for a long time or a lot of contact with them.
Such store formats are popular not only due to the pricing policy, but also due to the possibility of complex purchases.
Goods presented in hypermarkets - food, household chemicals and cosmetics, dishes, children's goods, clothes and shoes, products for recreation and sports.
The organization of the work of a hypermarket is associated with high costs due to the need to support a wide range of goods, warehouse stock, staff salaries and utilities. Therefore, in order to increase the number of customers and the size of the average check, hypermarkets organize various promotion and sales promotion activities.
What marketing moves does the hypermarket use to attract customers?
The marketing promotion strategy depends on the type of hypermarket (a network of trading enterprises or local placement of one store), pricing and assortment policy.
- ATL-advertising (television, radio, press, outdoor advertising);
- BTL advertising (sales promotion, promotions, POS materials, trade marketing, direct marketing, exhibitions and fairs, development of loyalty programs, event marketing, database management, etc.).
ATL advertising
To improve the image of the hypermarket and increase sales, it will be effective to use the following communication channels:
- commercials on the regional television channel and radio stations;
- placement of advertising messages in regional print media mass media;
- advertising on billboards installed within a radius of up to 1 km from the store;
- advertising on transport, the route of which lies in the hypermarket area;
- advertising at public transport stops near a trading enterprise.
BTL advertising
While stores use ATL advertising tools to attract potential buyers to retail outlets, BTL advertising helps them complete the purchase, makes it possible to single out a particular group of goods, and “detune” from competitors with the help of unique offers. BTL advertising involves communication with a narrower segment of the target audience, with the personification of an advertising message, individual work with each target group. Such methods allow hypermarkets to be closer to their consumer, since the self-service system, which is most often organized in large stores, is "soulless" and does not allow customers to receive a high level of service and attention from sellers.
Sales promotion and promotions
Sales promotion activities can be organized as short-term incentives to make a purchase, or as long-term programs focused on repeat purchases of goods. With the help of incentives, you can increase the volume of sales, the frequency of purchases and the average check.
The main tools that are used to stimulate sales in hypermarkets:
- Discount programs. Using cards with a cumulative discount increases the possibility of repeat purchases. The amount of the discount received using a discount card can be written on the check so that the buyer knows how much he saves.
- Price reduction for a product/group of products. This method is optimal for achieving a short-term effect, when promoting a new product or a sale. It is best to indicate the old price and the amount of the discount (in monetary or percentage terms) so that the consumer can appreciate the difference. In addition to discounts, you can offer price reductions when purchasing a package of goods or a set of related products. It is effective to provide an additional quantity of goods for free at the old price.
- Price cuts in certain time(for example, for home-made products - pastries, salads, semi-finished products - "from 19.00 to ...").
- Special prices for a certain category of consumers (students, pensioners, disabled people).
- The use of "psychological" prices. A product that costs 200 rubles, when the price drops to 199.99, is already perceived as more economical.
- "Product of the day/week". A very low price is set for a product (group of products) to attract customers to the store, who will undoubtedly buy more whole list the products they need.
- The offer of a unique product (among competitors in the area). It can be fresh pastries, branded salads, freshly squeezed juices, "live" beer, etc.
- Aromarketing.
When conducting promotions, the following methods are used:
- Free gifts, distribution of samples and samplers, tastings. Promotional tools such as tastings or samplers are effective in bringing new food, cosmetics and perfumes to market. You can give gifts during a variety of promotional events - when buying a certain amount of goods, in holidays, "every hundredth buyer", etc.
- Games, lotteries and contests. Both children and adults willingly join the game activities encouraged by prizes.
In order for sales promotion and promotion activities to be effective, it is necessary to inform potential buyers about them in advance using ATL advertising tools (television, radio, print, outdoor advertising), as well as through the distribution of flyers that can be posted on mailboxes, hand out at public transport stops. When designing promotional layouts that communicate price cuts, it is important to include the old price so that potential buyers can evaluate the benefits of making a purchase.
To increase sales, various psychological techniques are also used:
- competent display of goods;
- the use of large carts (the buyer subconsciously tries to fill empty place in the cart, respectively, acquires more goods);
- placing pallets with products directly in the way of buyers;
- placement of staples away from the entrance to the store.
Direct marketing
With this type of marketing, direct communications between the store and the end consumer are established. E-mails or postal letters are used. Information about the contact details of buyers can be obtained when filling out questionnaires (for obtaining discount cards, when participating in lotteries and contests). Effectively send letters of congratulations on birthdays, with national holidays, to inform about large-scale promotional events.
Development of loyalty programs
The formation of customer loyalty is the key to increasing sales and forming a circle of regular customers in the long term. The main methods of loyalty formation are:
- Quality control of the presented goods (in any price segment). The results of numerous studies show that a customer dissatisfied with the quality does not return to the store, and at the same time he will tell his friends and relatives about his negative experience, therefore, the quality control of all goods should take place at the level of choosing suppliers for a trading enterprise.
- Staff work. In self-service stores, the speed of cashiers, their courtesy and competence are very important. The presence of consultants on the trading floor will help buyers to understand a wide range and easily find the product they need.
- Advertising communications (image articles in the press, competent dissemination of rumors, etc.).
- Additional services. TO additional services include, for example, assistance in packing goods (especially important on holidays, when queues gather near the cash desks), as well as the placement of terminals for replenishment mobile phones, ATMs. In the premises of the hypermarket, it is also possible to organize a "children's zone" with animators so that parents can leave their children while they are shopping; cafe or fast food restaurant; you can place film rentals, small souvenir sales or gift wrapping. current trend ordering products over the Internet has become, so the store can organize a home delivery service for goods.
- Extended work schedule (optimally - around the clock). Shopping in a grocery store on weekdays is most active in the evening.
Event marketing
To attract new customers to hypermarkets, it is effective to conduct various situational marketing activities- holidays, competitions, fairs, flash mobs. Planned events must be informed in advance target audience in advance through the media.
POS materials
- draw attention to a certain group of goods;
- form the opinion of buyers about the goods and the hypermarket itself.
Placed near stores or in shop windows, advertising materials attract additional visitors.
Types of POS materials that can be used for hypermarkets:
- Dynamic objects (with elements of movement, flashing, etc.). They can be located in front of the entrance to the store, on showcases, on the trading floor.
- Refrigerators and showcases branded in corporate identity the products they contain.
- Advertising racks / displays (work well in the checkout area, for making impulse unplanned purchases).
- Wobblers, shelftalkers - pointers that are attached to the rack and highlight a certain group of goods, are used for vertical layouts.
- Mobiles are figured non-standard designs that are attached to the ceiling above the advertised product.
- Posters and posters. With the help of print advertising, you can advertise a specific product, or announce planned promotional activities.
- Flags and garlands. Effectively highlight the place of display or department, can be used during sales, seasonal promotions.
- Polyethylene bags with the application of the logo and contacts of the store.
Audio and video advertising on the trading floor
- advertising audio clips;
- public address announcements;
- the use of LED plasma screens to promote goods and services.
Assortment management
All goods presented by a trading enterprise can be characterized by the following indicators: breadth of assortment (number of product groups), depth of assortment (number of goods in a group), balance (the optimal combination of different product groups, taking into account the store format, pricing policy and the needs of the target audience).
The formation of an assortment for hypermarkets involves the provision a large number commodity items (tens of thousands). Assortment management is one of the most important tools for increasing sales and optimizing warehousing and storage costs. When forming a product range, it is necessary to analyze competitors and the needs of your target group in order to differentiate your product offer. Traditionally, the range of supermarkets is divided into three price segments - economy (50%), business (40%), premium (10%).
With development market economy The private business sector is growing from year to year. This is quite natural - more and more people do not want to work for someone, they want to open an independent business. And depend only and exclusively on yourself. Despite the fact that your business is always a risk of burnout, business acumen, ability and endurance can help bring your small business to success. But still, owning a business is not an easy task, especially if we are talking about trade. Quite often (and at any stage of development of this, the question arises of how to increase the level of sales?
It should be noted that it is quite difficult to give an unambiguous answer to this question. Any trade is both a profitable and very risky business, since it requires a careful study of market conditions, flexibility and resourcefulness in business decisions and, of course, luck from the businessman. Let's consider the simplest, and therefore a clear example, in a store.
First, it should be noted that any trade is based on compromises. There are several. The first is between the price and the quality of the goods. IN Lately such a concept as “brand” has “wedged” into this scheme (which most often does not affect at all, but can increase the price). The quality of the product (and better both the quality and its fame trademark) should be at maximum high level, while the price should not be a penny higher than the price set by competitors. On the contrary, an artificial, albeit small, underpricing is encouraged (especially at first).
The second important trade-off that must be observed if you want to learn in practice how to increase the level of sales is the ratio of supply and demand. The first, as you know, gives rise to the second. Accordingly, there are two options: either to sell goods that will always be needed, or to occupy a specialized (narrow) niche of the market sector, securing a lasting influence on it. To do this, either expand or, conversely, narrow the range of products sold.
However, this is not the only way to ensure an increase. First of all, it should be remembered that various kinds of promotions and advertising moves give only a one-time effect, possibly attracting a small wave of buyers, but it is the quality of the services provided that will make this spontaneous wave regular customers. To understand how to increase the level of sales, we turn to following scheme. The work of people and for people is always necessary, that is, we start from the individual. In order to ensure an increase in sales, it is necessary that all managers, salespeople, warehouse workers - in general, all staff work like a well-coordinated mechanism, well versed in own functions and understanding what corporate ethics is.
Further, constant and thoughtful work with the client is necessary. Clear, fast and polite service will make the store popular for enough short term. We must not forget that the seller himself must be well versed in the goods being sold.
That's the whole answer to the question of how to increase sales. The answer is simple, but the main thing here is to bring all its elements to life. And, perhaps, based on the tips above, come up with something of your own!
Hello! In this article we will talk about increasing sales in the wholesale business.
Today you will learn:
- What is wholesale trade;
- How to increase the volume of wholesale sales;
Features of wholesale trade
Is the production volume of your enterprise large enough and you do not have time to sell products? Then it's time for you to think about wholesale sales.
Wholesale - a type of trade in which one enterprise provides another enterprise with goods in large quantities.
If you decide to hire new employees, then it is best to look at the sellers of retail stores with similar specifics. They are already familiar with the product, they know the features of sales, they know how to work with needs.
Another equally successful source of personnel are competing companies. By enticing several employees to your staff, you will kill two birds with one stone - you will unsettle your competitor and get professional salespeople.
However, be careful. A competitor's employee may turn out to be a spy or simply return to the old place over time, taking your customer base with him.
In search of employees, you can go to companies from related industries. Such candidates will be easier to train than those who worked with a completely different product.
You can not look for new employees, but train existing ones. In addition, there is various ways aimed at increasing sales volumes. For example, host a competition among account managers, according to the results of which you will be awarded the best seller of the month.
How to attract new customers
- Through cold calling. We have already talked about them before, so we will not stop. Let's just say that when choosing this method, special attention should be paid to the database itself with contacts of potential customers and information about them, as well as. Script - a conversation script that your manager will follow.
- A great source of customers - your customers. If you have established a trusting relationship with your customers, then ask them to recommend your company to their partners. This is a pretty efficient method.
- Look for clients on various events : get acquainted, exchange contacts.
- Use to attract customers. It will be especially relevant and personal sales via the Internet or telephone are also relevant.
Wholesale optimization mistakes
Mistake 1. A good salesperson will generate high sales volume.
There are not so many really good merchants, so there won’t be enough of them for everyone. In addition, it is very difficult to determine the degree of professionalism of each individual employee. Therefore, if you rely only on your staff, you are unlikely to get high results.
Mistake 2. Expansion of the product range will cause an increase in sales.
This is the misconception of most entrepreneurs. The introduction of new product categories can reduce profits, especially if the new product has nothing to do with the main one.
Example. The Bis company several years ago introduced solid perfumes into its range, the bottles of which resembled a lighter in shape. However, the project turned out to be unprofitable and soon the perfume-lighters were discontinued.
No, it will not. It is necessary to advertise the product, but in moderation. Excessive advertising will not only hurt your pocket, but will also annoy potential consumers. It is better to advertise not much, but qualitatively, that is, personalize your messages, choose the right communication channels.
Mistake 4. Reduce the price and sales will grow.
This is not always the case. wholesale business characterized by large volumes of purchases, which increases the risk of purchase for the consumer. If your price is below the market average, then the client may suspect the low quality of the goods or your dishonesty.
Remember that too high or too low a price must always be justified.
For example, if you set a high price, you can show the client that your product is of very high quality. In the case of a low price, tell the client that you have your own system that you save on, or you own several levels of production at once, or the raw materials from which the product is made are supplied to you at a deep discount due to long-term cooperation with the supplier.
