What is Sales Benchmarking?
Sales benchmarking is a process used to measure and analyze the performance of sales teams relative to their peers. It involves setting performance targets, tracking performance metrics and comparing the results against competitors to identify areas of improvement. By taking advantage of sales benchmarking, businesses can verify if their sales departments are running efficiently.
Sales benchmarking typically involves tracking sales performance across various metrics:
By comparing the results to those of competitors and peers, organizations can gain valuable insight into how their sales teams are performing and identify areas of improvement.
In order to compare results you should compare those results from similar conditions or account for the differences. This is not an exhaustive list.
- Segmentation
- Sales Cycle
- Environmental Analyses
- Sources of Information
Summary
Benchmarking guides your business as you attempt to maximize your revenue and also to pay less per customer.
