1. 5 Sales Reports EverySales & Marketing TeamShould Be Reviewing
Sales reports can be key in keeping the sales process and the cash flow moving.
A good manager or team member knows that the sales team can make or break their company.
All other departments can be in sync, but without a strong sales staff and sales process, the
revenue that pays employee wages can vanish. When it comes to the sales team, special attention
must be given to ensure that the company paydays keep coming.
“Sales reports enable a manager to track how much time salespeople are spending on different
sales activities, if they are meeting their productivity goals, and whether their efforts are
translating into real sales, “In other words, the sales reports paint a picture of the sales
representatives’ day even when the manager can’t be there to observe them. The information in
these reports plays a critical part in helping a manager oversee the success of the sales team and
essentially the whole company.”
The Daily Call Report
Knowing how many calls your sales representatives make during a given day, as well as whom
they are calling, is essential for those managing salespeople. Accounts are not all created equal.
Some need to be called on more frequently than others. After establishing the call frequency for
all of the salespeople’s accounts, the data from this report confirms whether they are adhering to
the schedule.
Looking for the following when reviewing this report:
• Number of calls made in a row
• Specific types of calls
• Absence of certain types of calls
• Excessive numbers of certain types of calls
• Average length of call time
The Productivity Report
Those managing salespeople need a reasonably accurate summary of how many and which type
of calls they make. The data often includes the number of outbound calls, conversations, voice
mails, e-mails, customer meetings, product demonstrations, and proposals generated in a given
day, week, or month. The purpose of this report is to compare actual results against the
benchmarks established for each activity.
2. “Whether a sales staff exceeds or fails to meet the established productivity standards, the
productivity report keeps the manager informed. When a salesperson or sales staff does struggle,
looking at the raw numbers can offer insight into the problem.”
When reviewing this report, managers to ask:
• At which point in the sales cycle is the rep below/above productivity quota?
• In which areas is the rep consistently behind/ahead?
• Where the rep is below/above the productivity quota, how does it affect the next phase of the
sales cycle?
The Pipeline
The pipeline report consists of all those prospects being actively pursued by a sales
representative and separates them by their appropriate phase in the sales cycle. This information
allows managers to keep track of the total number of prospects the salesperson is working with at
any given point. Managers can tell how quickly a prospect progresses from one stage to the next
or be aware when a prospect drops out altogether.
Offers these as examples of typical pipeline phases:
• Phase I—Decision-maker expresses interest in product or service
• Phase II—Salesperson meets with decision maker
• Phase III—Decision-maker participates in product demonstration
• Phase IV—Proposal submitted
• Phase V—Sale closed/sale lost
“It helps if the sales manager and the sales reps agree on the pipeline phases, Naming the phases
adds consistency and contributes to the development of a sales culture.”
The Sales Forecast
The single most important document generated in most sales organizations, a sales forecast has
multiple purposes including:
• Holding salespeople accountable for the deals they intend to close at the end of each month
• Determining which opportunities need executive attention
• Helping to estimate revenue
3. • Paving the way for post-sale product or service delivery
The accuracy of this report strongly affects the entire organization. Unfortunately, many people
confuse the pipeline report with the sales forecast.
The pipeline report and the sales forecast both show prospects at different phases of the sales
process. The difference lies in the fact that the sales forecast shows only those prospects in the
final stages of purchasing the product or service.
“The potential sales shown on the sales forecast might be a cause for celebration or function as a
shrill alarm, “The accuracy of the information provided determines sales revenue for the month
or quarter. Failure to bring in enough sales revenue over a period of time leads to staff
reductions, cash flow issues, and—most drastically—companies going out of business.”
When looking at the sales forecast,
• In which months (1, 2, or 3) is the rep typically above or below quota?
• Does revenue usually drop in any one month in particular?
• How many accounts drop out/get added from one month to the next?
• Does the rep have an easier/more difficult time achieving quota in one product line vs. another?
The Long-Range Sales Forecast
Often overlooked, long-range forecasts have a place in the portfolio of reports for those
managing salespeople. Prospects in this report have told the sales representative that they are
budgeted for and are committed to purchasing a product or service at some point in the future.
The reason for the delayed purchase usually involves an expiring contract or a large capital
expenditure that needs to go through a formal budgeting or bid process.
Typically, the long-range forecast keeps track of prospects planning to buy anywhere from four
months to two years from the time of the initial contact with the sales representative.
Many of these long-range sales involve RFPs, intense competition, or the possible replacement
of the prospect’s current provider. Sales like these usually require executive involvement at some
point. This report helps management prepare accordingly.
Set goals/quotas on markets that make sense for your property. A good market analysis will tell
you what demand there is from each of the various markets for rooms in your town or area. Use
that information to help you. And make realistic goals, especially the first year.
4. Monitoring Sales Activity
This is where the marketing plan can be so helpful. It clearly identifies the markets to be
developed, the tools required to do the job, name or names of staff responsible for executing each
task and -- best of all -- a schedule of when these activities (e.g., sales calls, sales trips, prospect
visitations, promotions, industry shows, etc.) will take place.
Management must understand and be able to interpret the marketing plan as well or better than
the sales department. Management must accept the fact that marketing is an every day activity,
not an activity to be “experienced” quarterly or annually. Marketing, as the man once said, “is
like shaving...you’ve got to do it every day or you’ll look like a bum!”
A good marketing plan is like a good road map. The map not only guides you along your journey
but also lets you know you’re “there” when you’re “there”. Let the plan work for you and use it
as a daily tool for you to monitor and measure progress, to make necessary changes, to stimulate
discussion between you and sales, an to constantly challenge your sales department.
A good plan should also include projections on the mix of business you have agreed upon and
supply the framework for monthly and quarterly reviews to determine if sales is producing the
right numbers.
Measurements
Measuring the results and performance of sales must begin with a study of annual room revenue,
average rate and occupancy. But that’s just the beginning. Some other key areas to examine:
Cost of sales
Market segmentation factor (the percentages of the “mix” of business, actual years
projected, i.e., 30 percent commercial, 30 percent tours, 20 percent group, 15 percent
government, 5 percent contract).
Effectiveness in selling previously identified “depressed periods”
Percentage of “booked” business that did not materialize (the “wash out” factor)
Catering revenue generated by the sales department.
As you can see, a great deal of measuring (marketing) results has to do with what questions you
ask. You’ll know you’re doing something right if the revenue, average rate and occupancy
figures are right. But unless you dig a little deeper you won’t be able to determine the total
contribution to the overall profitability of the hotel.
Don’t fall into the trap of discounting these suggestions because your hotel is “too small” or “too
unsophisticated” or that this information “doesn’t apply” to your situation.
Other criteria to consider:
Overall efficiency of the sales department.
New accounts developed.
5. Mini-markets developed.
Length of time required to turn a lead into a definite piece of business.
Local industry and civic contribution.
Ability to speak intelligently and spontaneously on where hotel’s business comes from;
mix of business; mix of business at competitors; industry trends.
Developing strong internal respect for sales and developing a sales and marketing team
amongst rest of hotel staff.
