How to Build a Sales Strategy in 5 Steps

Building a robust sales strategy involves understanding your sales goals, identifying your target customers, choosing the right sales channels, and developing an efficient sales process. Here’s a step-by-step guide to get you started:

Define Your Sales Targets

Begin by setting clear revenue targets for the year. These targets will shape your entire sales strategy, including the types of customers you aim to attract and the number of deals you need to close.

For instance, if your goal is to generate $1 million in revenue, you need to determine the ideal customer profile and the most effective selling channels to reach this goal. Establishing these targets provides a clear direction and measurable objectives for your sales team.

Determine Your Target Customer and Selling Channel

Identifying your target customer is crucial. You can segment the market based on various factors such as company size, region, industry, or the specific product you’re selling. Understanding your market segmentation helps you tailor your approach to meet the specific needs of different customer groups.

Next, conduct competitor research and gather insights on how your target customers prefer to buy. This research will help you choose the most effective sales channel. For example, if you’re selling accounting software to enterprise financial services firms, you might find that these customers prefer direct, one-on-one sales interactions with experts who understand their regulatory environment. Therefore, training your sales team to speak the language of this specific industry and focusing on direct sales would be an ideal strategy.

Build the Most Efficient Sales Process to Hit Your Numbers

With your target customer and sales channel identified, you can now develop a sales process tailored to these specifics. A well-defined sales process acts as a roadmap for your sales team, guiding them from initial customer contact to closing the deal.

Here’s an example sales process for financial services customers via direct sales:

1. Prospect: Identify potential leads through online research and professional networks.
2. Qualify: Assess whether your product is a good fit for the prospect, perhaps by contacting bank managers.
3. Research: Gather more information about your prospects using industry sources and research tools.
4. Pitch: Present the value of your offering to the prospect, highlighting how it addresses their specific needs.
5. Overcome Objections: Address any questions or concerns the prospect might have, possibly by offering a demo.
6. Close: Negotiate the terms and finalize the deal.
7. Nurture and Continue to Sell: Focus on post-sale activities like customer adoption, success, renewals, and fostering partnerships through events and referrals.

Fill Your Sales Pipeline with Enough Leads to Hit Your Target

With your sales process in place, the next step is to fill your sales pipeline with a sufficient number of prospects. Calculate how many leads you need based on your target revenue, average deal size, and past conversion rates. Use various marketing channels and network outreach to attract these prospects.

For example, if your goal is $1 million and your enterprise software sells for $10,000 per year, you’ll need to close 100 deals. With a historical conversion rate of 30%, you’ll need about 330 prospects in your pipeline. Attend relevant industry conferences and events to network and identify potential leads.

Put Your Sales Process to Work and Improve as You Go

Once your strategy is in motion, your sales team will actively engage with leads, moving them through the sales process from cold contacts to closed deals. Continuously monitor your pipeline’s health and be prepared to make adjustments in response to market changes or unexpected challenges.

For instance, if many of your prospects face budget constraints, consider shifting your focus from high-value deals to mid-value deals by promoting a lower-cost version of your product. This flexibility ensures you can still meet your targets despite external pressures.

Technology and Tools to Enhance Your Sales Strategy

Implementing and refining a sales strategy involves various elements like segmenting customers, choosing the right channels, and maintaining a healthy pipeline. Leveraging technology can significantly streamline these processes and enhance efficiency. Here’s how modern tools can help:

• Customer Relationship Management (CRM) Systems: A CRM provides a comprehensive view of your customers and prospects, helping you track interactions and manage relationships effectively.
• Sales Automation Tools: Automate repetitive tasks to allow your sales team to focus on building relationships and closing deals.
• Data Analytics and Reporting: Use analytics to gain insights into your sales performance and make data-driven decisions to improve your strategy.
• Communication and Collaboration Tools: Enhance team collaboration and communication to ensure everyone is aligned and working towards common goals.

By following these steps and utilizing the right tools, you can build a sales strategy that is both effective and adaptable, setting your business up for sustained success.