The Ultimate Glossary of Terms Of Terms About Sales Management Training In 2022
Sales are the revenue drivers of any business, making it vital to manage them well. If you have met a salesperson or worked with one, you have likely heard terms such as "account", "churn", "MQL", or "gatekeeper". Uncovering the mystery and meaning of these fancy terms is expected of any top-quality corporate sales training program.
Top executives want to know ways to improve their organisation's sales performance. So for heads of human resources (HR), here's the ultimate sales management training vocabulary. Look out for it in corporate training and development programs to prepare your sales force for winning sales encounters in 2022!
Table of Contents
- 1 Glossary of Acronyms Used in Sales Management
- 2 Glossary of Terms Used in Sales Management
- 3 Conclusion
Glossary of Acronyms Used in Sales Management
Key Performance Indicators (KPIs)
When anyone managing a business wants to know the status of progress made on any of its set goals, the measurable value to look at is the relevant key performance indicator. Examples of sales KPIs are the average deal size or monthly sales,
B2B, B2C, D2C, C2C
Transactions between multiple businesses such as companies, distributors, and dealers are called business-to-business (B2B) transactions. However, when a firm transacts directly with consumers, it's called business-to-consumer (B2C). D2C is when a brand sells direct-to-consumer, and C2C is consumers can buy and sell with other consumers.
CRM and BI
Customer relationship management was traditionally used for how sales managed business relationships with customers. However, over time, many of these aspects got automated in software solutions now referred to as CRM systems. Business Intelligence (BI) converts scattered data into understandable insights for intelligent strategy, tactics and decisive action.
Marketing creates awareness and promotes the products and services of an organisation. A potential buyer who seems seriously interested and engaged is called a marketing-qualified lead. Typically, sales resources are expected to engage with MQL and close sales.
Sales can further qualify a marketing lead to forecast business based on how favourable the four BANT criteria are - budget, authority, need and time.
It is the cost of acquiring customers and a measure of profitability calculated as sales revenue from the customer minus CAC.
Customers who buy multiple times over more prolonged periods require special attention that values their loyalty and business. The customer lifetime value (CLV) is a measurement metric often used to predict future business potential based on the past performance of such customers.
ACV, AMC, and SLA
The annual contract value (ACV) is the average annualised value of all contracts from the customer, whereas AMC refers to the sale of annual maintenance contract services. A service level agreement (SLA) sets the expectations of service levels between sales and marketing or between a business and a customer.
A strategy based on the belief that every action of the sales resources, such as the business development representatives (BDRs), must aim to close sales is referred to as the "always be closing" (ABC) strategy.
Glossary of Terms Used in Sales Management
In sales, "account" is usually the customer's name that the organisation deems fit for dedicated account-based sales. It can be due to strategic reasons or a large volume of business from the account. An account development executive or manager who interacts with the customer facilitates a single window between the customer and the organisation.
Churn and churn rate
Churns are customers lost. The churn rate is a metric derived from the number of churns over a specific period,
It refers to the person in the customer organisation who blocks and prevents interaction between sales and customer resources.
Net Promoter Score
It is an important metric that measures customer satisfaction outcome (from surveys) of how likely will customers recommend your products, services and organisation to others.
Corporate learning programs that deliver deep insights into the glossary of sales management terms lay a strong foundation for resources to comprehend what it takes to affect sales. Eventually, it can make a difference between the organisation closing sales and fostering relationships with customers or running into gatekeepers and facing increasing churn rates.
At Imarticus learning, we ensure that our training delivers the former rather than the latter.