Companies rely on increasing sales and reducing costs to provide capital for growth. Sales directors and managers use a variety of methods to increase the sales revenue for companies. If you’re pursuing a career in sales, learning some strategies for encouraging customers to make purchases can help you drive revenue and bring value to your employer.
In this article, we share ways to increase sales in businesses of all sizes across various industries.
Here are ways a sales team can increase sales and drive revenue:
1. Understand your customers
A business’s most important asset is its customers. Learning their challenges, desires, fears and concerns can help you sell a product or service that meets their needs. When you address your customers’ concerns and needs, you build their loyalty and trust because you served them well. One way to better understand potential and current customers is to send a survey that asks them to share their thoughts and opinions. You might also use a consumer research firm to perform this task.
2. Use the sales funnel model
Many companies use a sales funnel model to map the customer journey from lead to purchase. Understanding the steps that a consumer takes when they’re shopping for a specific product or service can help sales managers and company leaders to create sales processes that increase conversion. This model also allows companies to segment customers based on their level of interest and past purchases, leading to more effective marketing and sales pitches.
3. Interact with customers online
Many companies have social media accounts and websites that allow employees to communicate directly with potential customers. Some consumers prefer to research companies online instead of contacting a corporate office or sales representative over the phone. Sales employees can work with the company’s marketing team to respond to comments on third-party review sites or social media posts. They might also add a chat tool to the company’s website, allowing them to answer consumer questions quickly. Increased interaction can lead to more sales.
4. Give a variety of payment options
Offering customers different ways they can pay for their purchases might persuade more customers to buy from the company. Sales managers might work with company leadership teams to identify their target audience’s preferred payment methods. They might also send a survey to current customers asking them what type of payment method they prefer. For example, an online boutique might ask customers whether they prefer to use credit cards or an online payment app. Also, offering mobile-friendly payments can increase the number of customers who choose the company.
5. Create a referral program
To build its audience and encourage customer loyalty, a sales team might offer a referral program. Here’s an example:
A large online bookstore offers returning customers the referral code BOOKLOVER10, which they can share with friends. When they share, they get a $10 credit and their friend gets 10% off their next purchase. This encourages the loyal customer to continue buying books and motivates new customers to larger purchases.
6. Offer discounts
Companies often offer discounts to encourage customers to make larger purchases. Here are some examples of discounts and special deals they may offer:
Two for the price of one
Buy one, get one free
A free gift with a purchase
Offering periodic specials and discounts can also encourage repeat purchases. For example, a furniture company might offer several yearly promotions to increase sales during key periods.
7. Bundle products
Some companies sell products that require additional items to use, such as video game consoles or computers. They may sell these products in bundles to add more value to a customer’s purchase. For example, if a customer buys an expensive flat-screen TV, a store might provide a wall mounting kit for free or sell a sound system at a discounted rate.
8. Audit pricing structures
Examining the company’s current pricing structure can help sales managers decide whether the prices fit consumer needs. When customers feel that a company’s prices are reasonable, they may be more likely to buy products and services for the firm. You can audit a product’s price by examining the historic price for the item, correcting for inflation and researching what competing products cost in the same market.
9. Streamline products and services
Streamlining the purchasing process can increase sales by making it easier for customers to find and choose products or services. Large, established businesses often increase sales by offering a wide variety of products, but smaller companies might benefit from fewer product choices, since they can focus on optimizing the sales and marketing messages for those products. Companies that sell a variety of products can streamline the customer experience by customizing the company’s website using category pages or filters. These tools allow customers to find products that meet their specific criteria, helping them make a choice quickly.
10. Provide a money-back guarantee
Providing a money-back guarantee can gain a customer’s trust and encourage them to buy a company’s products or enroll in a subscription service. Sales managers and company leaders can collaborate to create a money-back guarantee policy, which may apply to certain products and services. For example, a company that sells tutoring may offer a money-back guarantee if the student’s grades stay the same or get lower after three months of weekly tutoring sessions.
11. Monitor trends
Understanding buying habits and industry trends can help sales managers and company leaders plan for revenue changes and train employees to respond to changing conditions. For example, if the manufacturing industry is experiencing more buyer resistance than usual because of economic forces, the sales team for a manufactured product might offer price breaks or develop new scripts to overcome objections. You can gain market information from trade publications, websites and professional organizations.
12. Motivate employees
Motivated staff members who are positive and productive can help generate more sales. In industries where sales associates communicate frequently with customers, their positive attitude can leave the customer with a good impression of the company. If you’re a sales manager, building your team’s enthusiasm can cause increase revenue. Encourage the employees you lead to work more efficiently with various techniques like praise, a friendly work environment or financial incentives.
13. Create web content
While marketing teams usually create the bulk of a company’s digital media, sales teams can also use web content to interact with potential customers. Consider working with the marketing team to create content that aligns with the company’s brand and style. Depending on the products or services the company sells, you might write blog posts about industry trends, host webinars that answer consumer questions or publish testimonials about the company’s products or services.
14. Monitor sales analytics
Track sales to maintain an accurate estimate of monthly, weekly and daily figures. This information is particularly valuable if the business plans to scale up quickly so that it can prepare for increased demand. You might use a sales analytics program to process sales information if the company makes many sales during a month. These platforms can help you detect trends in purchasing behavior, like the average length of time per sale or the average sale amount per customer.
15. Attend networking events
Build your network to share the brand with potential customers and educate them about your product or service. These professional contacts can bring awareness to the business and refer new customers, leading to increased sales. You might also work with the company leaders to sponsor local events, which can publicize the business within the community.