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What are the most meaningless sales metrics you have seen?

We tend to put a lot of metrics in place for sales. Some are very powerful, some are meaningless, some are misleading and dangerous. What 1 metrics have you seen that is meaningless or misleading? Also tell us why you feel that way. I hope to summarize the results in a report, so thanks for your help!

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Michael A Brown
President, BtoBEngage
Posted on Jan. 26, 2012

"Likes" On a recent flight, the fellow next to me ... a high tech sales rep ... lamented that his Sales VP established "surpassing the Facebook 'likes' of our #1 competitor" as a key goal for 2012. The salesman is polishing his resume, and wisely so.

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Cale Helmer
Site Trainer, OnPath Business Solutions
Posted on Jan. 26, 2012

I recently came into contact with an Executive that's using data called "Authentic Conversations" vs. "Shallow Conversations" to determine the quality of the sale. In short, he asks the Sales Rep to flag one of these boxes after each sales call and prospective sales call to gauge how the rep “felt” about the interest of the prospect. He expects to use this data as a statistically accurate way of assessing which call has or will yield quality high-yield sales and future opportunities.

I asked several reps to explain the relevance of these buttons to me. Most simply responded with blank stares.

Seems to be working just fine......

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Dave  Brock
Dave Brock Replied on Jan. 26, 2012

I wonder what box they check ;-)

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The metrics must be those that drive results, but early enough in the sales process so that leadership can make mid-course corrections. I always dispised "attempts" or "dials" as metrics because they tend to be discouraging and demotivating.

Most important, the metrics don't need to be the same for everyone. The metrics one measures for a new salesperson building a pipeline should and must be different from the metrics for an established salesperson that needs to grow their revenue. It works best when you can differentiate those roles, scenarios and challenges and identify metrics that are relevant and still drive revenue.

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Dave  Brock
Dave Brock Replied on Feb. 1, 2012

I really like this Dave. One of the things that has always bothered me about metrics managers put in place is the "one size fits all." People have differing territories, differing performance issues, etc. Managers should personalize metrics, focusing on maximizing the performance of each individual.

The great tools and systems available make this very easy to do. Not doing so is just laziness or lack of comprehension on the part of the manager.

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Dave Kurlan
Dave Kurlan Replied on Feb. 1, 2012

You make a good point too Dave! Laziness and lack of comprehension are really bigger issues than the metrics. Most sales managers need help identifying the right ones to track and measure and usually because of those two things you mentioned.

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Tamara Schenk
VP Sales Enablement, T-Systems International GmbH
Posted on Jan. 29, 2012
  • Recommended by:

First of all, we should only measure what really matters - not, what can be measured!
Analyzing metrics - make sure that you distinguish between transactional sales and strategic sales.
Metrics that show us the productivity and the performance to get results are always useful - but please avoid metrics that measure activities only! That's often just a replacement for missing sales leadership.
An example I always found useless is implementing a call or meeting activity reporting in case the pipeline is weak - given a strategic selling environment!
Additionally, "likes" on sales content! They are an indicator for social sharing and acceptance, but not necessarily an indicator for success along the sales cycle!
If you want to measure sales content efficiency, you have to connect the content usage and the results of a certain opportunity - that's more helpful!

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Jim  Keenan
Sr. Partner , A Sales Guy Consulting
Posted on Jan. 30, 2012
  • Recommended by:

Number of logins to Sales Force! Yup, you read it right!

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Lori Richardson
Lori Richardson Replied on Feb. 3, 2012

unbelievable! I remember as reps, just like getting a new comp plan, we'd meet up and figure out ways to beat the system. This one would have been easy...

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Ellen Bristol
President, Bristol Strategy Group
Posted on Feb. 2, 2012
  • Recommended by:

Oh boy. This is one of my all-time favorite questions. Back when I had a territory in Manhattan, and everybody actually shlepped around the streets with reams of product literature, we were supposed to keep track of phone calls and cold calls (actual visits). Everybody hated it, including management. Finally one of our more creative reps stomped into the office with a hammer in her hand, and actually NAILED HER SHOES to the call board, so you could see the holes she had worn in the soles.

Measuring number of calls suddenly became less important.

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Dave  Brock
Dave Brock Replied on Feb. 2, 2012

Ellen, your story reminds me of my days in Manhattan and a terrible metric one of our manager's put in place--or at least one that didn't have it's intended impact.

This manager felt that there were only a handfull of well defined (5 to be specific) reasons that sales people should be in the office during business hours. He fined each of us $10 if we were in the office during business hours for anything other than those 5 reasons. His thought was that he wanted us out spending time with customers. During that summer, my colleagues saw a huge number of movies---we figured if it was going to cost us $10, we might as well get some enjoyment out of it.

That metrics was quickly abandoned.

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Ellen Bristol
Ellen Bristol Replied on Feb. 2, 2012

OMG, I heard about this back in the day! Of course I can't remember which company it was, but you guys were well known. I love it. Remember when you could actually go to the movies AND get popcorn for ten bucks?

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Dave  Brock
Dave Brock Replied on Feb. 2, 2012

This was Manhattan Ellen---I don't think (at least in the age of Talking Movies), you could ever get both for $10 ;-)

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Ellen Bristol
Ellen Bristol Replied on Feb. 2, 2012

Clearly, I spent too much time at the Thalia!

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Ellen Bristol
President, Bristol Strategy Group
Posted on Feb. 2, 2012
  • Recommended by:

Oh boy. This is one of my all-time favorite questions. Back when I had a territory in Manhattan, and everybody actually shlepped around the streets with reams of product literature, we were supposed to keep track of phone calls and cold calls (actual visits). Everybody hated it, including management. Finally one of our more creative reps stomped into the office with a hammer in her hand, and actually NAILED HER SHOES to the call board, so you could see the holes she had worn in the soles.

Measuring number of calls suddenly became less important.

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Matt Heinz
President, Heinz Marketing Inc
Posted on Feb. 2, 2012
  • Recommended by:

Yeah, I agree that number of dials is misleading at best. A couple teams I've worked with recently have converted that to measuring 10-minute calls. The rationale is that this more effectively combines dials and talk time into something that expects a 10-minute conversion goes beyond voicemails, beyond the prospect's ability to wiggle out of a bad cold call, and assumes a decent level of conversation, consultative selling, and/or discussions about next steps.

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Frank Rumbauskas
New York Times Best-Selling Author, NeverColdCall.com
Posted on Jan. 31, 2012
  • Recommended by:

Any metric other than actual number or $ amount of closed sales, since that's the only number that matters in the end.

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Beth Avery
Beth Avery Replied on Feb. 2, 2012

Frank - interesting point. But if the amount of closed sales aren't where you would like them to be, what other metrics would you take a look at?

All other metrics aren't useless if you're salesperson isn't performing to goal.

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