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The magic and science of statistics and sales.
This article was orginally written to teach my members how to get ISP clients, but you can use it for almost any business that you are in.
--------------------------------------------------------- The magic and science of statistics and sales. ---------------------------------------------------------
when I was on the phone as a telemarketer, I discovered something very important.
If I kept my activity regular, that is if I worked the same amount of time each day, and if I was in good health, I could come to depend my income upon numbers.
I proved this theory over and over, not only to myself, but having hundreds of telemarketers do the same thing.
Each day I would keep track of how many contacts I made. Not calls, contacts.
A contact would be actually speaking with someone that could make a decision.
If you are calling businesses, the person answering the phone is not always the one that can make your decision you need, so that would not count as a contact.
At the time, I was able to sell one product for every contacts I made. As time went by, I kept reading books on sales, self motivation, etc. and eventually improved my closing ratio on this same product to 1 sale for every 3.47 contacts.
To have a dependable income, I knew at the time what my ratio of sales were for the time.
At my peak with this product, I knew that if I wanted to earn $800.00 for the week, I had to make 400 presentations each week.
At the end of every week, my closing ratio would not vary more than a fraction of a presentation. Some weeks it would be 1 in 3.47 or 3.24 or 3.30. It seldom varied much more than that.
Wouldn't you like to know that when you pick up that phone, and get a no, you are now only 2.24 presentations away from a yes?
HERE ARE IMPORTANT THING TO REMEMBER
I discovered that I could only depend on these numbers if:
1. I was in good health. 2. I put in the same amount of activity each day. 3. I kept track of my contacts. 4. I did not worry about the day to day ratios, the only one that counted was at the end of the week.
Some days the ratio would bounce from 1 to 1 and some days 1 to 10.
But I discovered, that over a weeks period of time, I got overall for the week, the very same ratio I counted on, week after week.
I suspect that since you are just
starting out that your ratio on finding businesses that want website hosting will be 1 in 10. If that is your ratio, then you can learn to depend on it.
If you are keeping track of your ratios, you can also improve yourself to get a better ratio!
To prove this system, I started a non existant telemarketing company from nothing, no sales people, and started hiring and teaching my system.
Within 2 years, I had 1000 salespeople working out of our offices, grossing 10 million dollars a year.
I ran that business for 7 years and then retired.
SO I KNOW WHAT I AM TALKING ABOUT ON RATIOS.
This is why we will request you to keep track of businesses that say yes or no.
Write the name of each business you contact, and beside it write
1. No Contact, (That means you did not talk to a decision maker. If you talked to the receptionist, but that person was not a decision maker, that is a no contact),
or
2. Turn Down. (That means you did talk to the decision maker, but they said no),
or
3. SIGN UP. (That means they buy a website hosting package from you).
or
4. Call Back. (You talked to someone that wants you to call back, that person may or may not be a decision maker).
At the end of each day count how many Turn Downs and how many SIGN UPs you have. The others DO NOT count toward your ratio.
You will notice wide ratio swings each day, but when you total them up at the end of each week, you will notice that soon your weekly average will be about the same.
We have a form on a website that we want you to enter your TURN DOWNS and SIGN UPS, so we can help you keep track of this, and let you compare with the other salesperson.
ONCE YOU KNOW YOUR RATIO, At the begginning of every week, you can decide how many SALES you are going to get!!
If you know your ratio is 1 in 10, and this week you want 50 sales, you know you have to do 500 contacts!!
IT IS A PRINCIPLE YOU CAN COUNT ON!
About the Author
Owner of P.E.E.L. Inc., has helped over 500 people set up their own local ISP business. Tim's information is published on Audio Cds and teaches at local seminars. You can get more information at http://www.FreeSeminar.biz or send a blank email here: mailto:TimothyDrobnick@SELLinternetACCESS.org If you like home spun stories go to TimsHomeTownStories.com
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