Setting Sales Goals

Setting Sales Goals, Ideals, And The Power Of Make-Believe

Success begins with setting goals. Without goals, your team lacks the key elements it needs to win — a direction to follow and the encouragement to stay motivated in Sales.

When it comes to goal setting in selling, there is a right way and a wrong way to do it.

Setting goals that are actually achievable and measurable is vital, not only to our success but to our confidence. And it all starts with what we base our goals on.

Moreover, goals lend clarity and purpose to your organization. They enable your team to track collective and individual performance. Goals also help assess the efficiency of tools and methods, and formulate strategies for improvement or growth.

Ideals guide us but aren’t achievable.

For many technoprenuers, coming up with big ideas is our bread and butter. In our imaginations, the sky’s the limit, and we can envision a future that might seem impossible in the present.

Having big dreams is part of what’s made you as successful as you are. While others might dismiss big dreams as “make-believe,” for you, it’s what keeps you fascinated and motivated and always growing. Having ideals helps you to envision your bigger future. But when you’re goal setting, it’s important to be able to distinguish make-believe from reality.

Our ideals are crucial. They help us look ahead and keep us inspired. Goal setting, however, requires that we extract achievable, measurable goals out of the abstract ideal. Ideals themselves are not achievable. But concrete goals are.

Measurement vs. make-believe.

The goals we set, based on our ideal vision of the breakthrough we want to achieve, must be measurable. They must be based on a specific number or specific event. An example of a measurable goal is “multiplying my revenue by 10x over the next five years” or “winning 15 new accounts by Q2.”

If your goal is too abstract (“improve my business,” “increase revenue”), it exists only in the realm of the ideal and will remain forever out of reach. When setting goals, remember—if it’s not measurable, it’s make-believe. Setting a non-specific goal means that you’ll never know for sure whether you’ve achieved it. If it’s too general, you’ll have no way of determining if you’re there yet or how far you have left to go.

Setting specific goals and executing detailed strategies for achieving them resulted to an average academic performance improvement of 30%.

Setting Needle-Moving Targets in Selling

While many technoprenuers perform customer engagement, administrative, HR, and other tasks, their core function is to develop sales (revenue) strategies.

Here are a few steps your sales organisation should take to set revenue goals in your company.

1) Align sales goals with the overall strategy of the company

Before formalising periodic game-plays for the sales team, revisit the company’s overall strategy and align your sales goals with that.

Sales forecasting and planning should begin with data on current performance. Audit your:

  • Tools
  • Training currently available
  • Resource allocations (including budget)
  • Incentives (compensation, commission, benefits)

Evaluate your addressable market and how the sales team can optimise their prospecting efforts.

While you need to focus on revenue generation, you should also include plans to improve selling productivity.

2) Create specific, targeted goals for the team

Your plan won’t fly if the goal sounds too general.

Only specific, goal-oriented plans that establish individual accountability can drive and motivate people to succeed.

  • Map overall team goals to individual activity and sales performance goals. Activity goals help individuals focus on performing tasks that really matter in the long run.
  • Integrate small goals (such as activity targets) that help build confidence, blaze a trail of incremental wins, and lead the entire team towards achieving bigger goals.
  • Break annual goals into shorter periods and assign daily, weekly, monthly, and quarterly targets to each member of the team.
  • Include skills training goals for individuals, which correlate with and help improve overall performance.

3) Be ambitious but reasonable when setting team and individual sales quotas

The trick is to find the sweet spot between the company’s aspirations and the sales force’s current capabilities

Here are some tips to consider:

  • Adopt a consistent and transparent method for establishing periodic quotas. Set these quotas as a team to reinforce accountability.
  • Use data in setting and assigning quotas. Strike a balance between realism and ambition.
  • Drive motivation and increase the impact of your incentives program by implementing the right mix of base compensation, commission, and rewards.

4) Integrate sales coaching, personal development, and sales training into your team goals

The level of revenue you generate greatly depends on the competency and skill of your sales team.

Hence, guiding everyone on the team on a continuing journey of learning and self-improvement should be integral to your sales goals.

  • Checking individual performance metrics hold the key to understanding how to set goals for individual sellers.
  • Activities that correlate with productivity include those on lead generation, qualification, and sales velocity. Meanwhile, close rates and average deal size directly impact revenues.
  • Goals for learning new skills can be incorporated to every individual.

5) Monitor progress and give feedback

Schedule regular reviews to verify whether current efforts align with and are in pace with quarterly or annual targets. Take prompt remedial actions when necessary.

Conduct periodic performance assessments and accurate and honest feedback to each member of the team.

Incentivise outstanding performance and schedule coaching or training time for skills, competencies, and other areas that need improving. Common areas that need re-training include rapport building, product knowledge, presentation skills, negotiation and closing skills.

 

The Right Sales Goals Go Beyond Topline Figures

Whether in sales, business, and personal lives, setting the right goals takes us closer to the outcomes we want.

For sales managers, goal setting makes it possible to drive and motivate their team in performing the tasks and activities that affect revenue.

But the right sales goals go beyond top line figures. When set the right way, sales goals also help develop focus, build skills, shape personality, and reward committed effort. Goals not only help leaders engineer great outcomes for the company, they also transform people into better sellers and human beings.

 

Be conscious and deliberate about always measuring your progress and achievements backward against your starting point in order to stay in The Positive Zone where even your wildest imaginations can be transformed into achievable goals.

Revenue Strategy

How can technoprenuers connect revenue strategy to execution plan?

With a new year starting the timing is right to shift the focus to executing your revenue strategy with precision and achieving the planned outcomes. We have clearly see that technoprenuers who spend quality time in putting together a focussed revenue strategy and execution plan are far more successful that those that simply wing it.

It does not matter if you are a 20 person or 200 person tech shop. Having a plan and focussing your activities in the right direction will yield results.

Here is a sample revenue strategy and execution we put together for one of the mid sized tech firms that wanted to 2X revenue within next 12 months. We simply chopped off a geography and 2 products from the basket!

 

The tolerance for under performance is diminishing each year as technoprenuers understand that revenue growth (and sales) is a science not an art form and good planning and implementation methodologies do deliver results.

If you cannot plan and see how to make the money at the start of the year
the results are most unlikely to be there at the end of the year.

Technoprenuers spend considerable amount of time and effort in running their business but spend very little time in planning and translating that plan to quarterly action plans.

Often they find it cumbersome and tedious. Sometimes they simply do not know how to put this together and translate it into an execution plan.

For those who are struggling to put together a plan, here are some outline that can help you along the way.

In Agility Nexus revenue planning process, we focus on 4 areas – core strategy (where to focus to achieve our numbers), product/ solution portfolio, sales and marketing.

1) Core Strategy – In developing our core strategy we look at our desired revenue numbers, share holder expectations, how fast we want to achieve it and what resources we have to get there. We also look at markets, competition, product/solution lifecycles, our position and a future paced outlook to achieve our results.

 

2) Revenue Planning – We then move onto a detail plan that goes one step down into mix of segments, product/ solution portfolio, existing customers, new customer acquisition, products, territories and revenue opportunities.

 

3) Breaking down the revenue plan – this leads us to objectives of the revenue plan (includes both marketing and sales) and what are the requirements (and needs) to get them delivered. We use a 4 quarter, 90D sprint planning process to plan and execute the micro detail of what is required to be completed each day, week, month and quarter. The activities with the customers which steers the direction from where the sales revenue will be derived.

 

4) Sales Funnel and Process – We then develop (tweak) the sales process and funnel, by applying AICP framework (Attract, Interest, Convert and Propagate) that incorporates customer buying journey, acquisition channels, attraction and conversion tools that brings in paying customers. This also boils down to detailed weekly execution plan.

 

5) Weekly/Daily Progress Tracking – when you understand the activity requirement for the business, you can then monitor to ensure the activity, and the right activity is occurring. This is the engine behind any revenue results being achieved. We monitor the following key areas with well defined KPIs.

  • Demand Generation activities
  • Sales funnel activities,
  • Client conversations and conversions.

 

6) Monthly Review & Meetings – Technoprenuers should also review progress, on a monthly basis, with individual team members to the plan, realign them where necessary and remove barriers that will stop them achieving. You should keep the team focused on the right activities and allow them to demonstrate how they are managing prospects and customer base.

 

7) Quarterly Business Review – keeping the revenue plan active with a runway of one or two full quarters ahead, at any time of the year is a must. Ensuring the activities are feeding the short and medium term objectives of the company.

 

With the focus on performance, effectiveness and results maintained through quality dashboards, the team will understand how to manage and deliver the planned results. The most important contribution of all is frontline coaching and reinforcement of the activities that deliver success.

If you don’t have one, get started with your strategy and execution plans. It will clearly differentiate you from your competitors and focusses your efforts to achieve maximum results.

 

P.S. Whenever you’re ready… here are 3 ways I can help you grow your tech business :

1.   Grab a free copy of useful stuff that can help you grow your tech business. More in our blog.

4 Ways to Position Your Tech Business to Attract More Clients Click here.

3 Mistakes to Avoid In Your Tech Business To Grow Revenue Click here.

2.   Schedule a 15 Minute assessment call with us – Click here.

We have worked with a bunch of tech companies and have offered them systems, strategies and coaching to attract and convert clients. We help you install sales and marketing systems that automate stuff and help flood leads and drive higher revenues and margins. Talk to us.

3.    Join our Techcelerate Implementation Program and be a Case Study

I’m putting together a new coaching case study group at Techcelerate this month… stay tuned for details. If you’d like to work with us on your client-getting and scale plans… just reply to this message and put “Case Study” in the subject line.

Life is short. Take action now and grow. Best Wishes.

6 Steps Mid Size Tech Companies Can Take to 2X Revenues Within 12 Months

Over past 3 months, we studied 78 small and mid sized tech companies in South East Asia and and this is what we found out.

 

P.S. Whenever you’re ready… here are 3 ways I can help you grow your tech business :

1.   Grab a free copy of useful stuff that can help you grow your tech business. More in our blog.

4 Ways to Position Your Tech Business to Attract More Clients Click here.

3 Mistakes to Avoid In Your Tech Business To Grow Revenue Click here.

2.   Schedule a 15 Minute assessment call with us – Click here.

We have worked with a bunch of tech companies and have offered them systems, strategies and coaching to attract and convert clients. We help you install sales and marketing systems that automate stuff and help flood leads and drive higher revenues and margins. Talk to us.

3.    Join our Techcelerate Implementation Program and be a Case Study

I’m putting together a new coaching case study group at Techcelerate this month… stay tuned for details. If you’d like to work with us on your client-getting and scale plans… just reply to this message and put “Case Study” in the subject line.

Life is short. Take action now and grow. Best Wishes.

Branding your tech

Why You Should Brand Your Tech Business?

Most technopreneurs generally start out by focusing on what they’re good at and what they can sell. This is good and a must. Without an MVP you are not going anywhere.

But once your business gets to a $500K or even better $1M per annum mark, you will need a good brand strategy.

If you don’t have a brand, then you just have a service or product without a real vision or identity. It is often commoditised in a noisy marketplace. Unless you are an AirBnB or an Uber!

You’re pretty much just selling stuff. (And you feel like your services are more than just stuff, right?) Without creating a brand strategy, your business has nothing to guide it on a path towards long-term impact and success.

So what exactly is a brand strategy?

A brand strategy encompasses the characteristics, attributes, personality, and core essence of a business. It’s what helps your business make an impact and build a culture and following beyond your services.

You might be asking, do I need a brand for a $1M business?

Not everyone thinks of starting with a brand strategy when they first launch into business, but having the right strategy in place will make building your business, attracting clients, and positioning your services so much easier.

A brand strategy consists of a number of elements such as your voice, style, promise, message, story, values, vision, identity, and target audience.

Most technopreneurs tend to skip over everything and jump straight to their identity and target audience. However, the other, sometimes-less-tangible elements of your brand play a large part in shaping how your target audience perceives you, connects with you, and feels about becoming your potential client. As all of these emotions are crucial when it comes to building a brand, don’t overlook these other important branding elements.

An effective brand strategy is essentially your guide to influencing your target audience’s opinion of who you are, what you’re about, why they should care, and how you can help them.

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Growth Technoprenuer

Grow Your Tech Business With One Simple Mindset Shift

Recently, I notice a lot of technopreneurs who glamorize the many roles they play in a company. It’s something that evokes feelings of pride and honor in them.

“I have so many roles.”

“I’m responsible for the sales, marketing, accounting, and the client work.”

“I’m executing it all.”

If your main goal is the “freedom to create big impact, value and succeed”, is this the most efficient way to be handling your tech business?

The ability to possess a more lucrative high-value tech business AND more personal time.

If this resonates with you, then I’ll affirm that taking on more roles is not the way to go.

As a matter of fact, the #1 operating principle in my business is to fire myself.

The fewer roles I play, the more I can act as the owner of the business instead of playing the role of the employee.

The majority of technopreneurs have not really processed this. They become attached to their business and tend to believe that the business and themselves are synonymous.

In reality, playing the role of the owner is the main ingredient in creating real asset value in their business.

For the sake of practicality, you’re probably playing a myriad of roles today. You might be playing the roles that handle selling, marketing, financing, billing, client work etc. 

To fire yourself efficiently, it is necessary to find opportunities for other people to fulfill the roles you have been playing.

Not long ago, I held a Tech Business Seminar where I organize a chart displaying what a tech business looks like. Every responsibility of the firm is listed alongside the name of the person responsible for it – similar to roles in a company such as a CEO, COO, VP of Marketing, VP of sales, etc.

This is applicable to every tech business.

Regardless if you’re a solopreneur with limited to no staff or a tech firm with over a hundred people, the organizational structure is tantamount. However, a technopreneur in a smaller firm might face the challenge of playing more roles in their business compared to one in a larger firm.

Let’s say your name is listed next to all the responsibilities. You play the role of the owner, CEO, VP of finance, and VP of Sales and Marketing. It’s all displayed in front of you. Seeing it visually represented helps you see which tasks you can get others to take on, thereby reducing the number of roles you play.

Here’s what I’d like you to do: List out all the tasks you are responsible for in your business at this moment and question, “ Can I fire myself from that task?”.

Seeing it visually represented allows you to have a clearer picture of who has what responsibility in your business. Thereby allowing you to delegate many of your roles to other people.

In our coaching program, we utilize a process called Delegation Liberation. It helps technopreneurs figure out the most efficient way to delegate tasks so that the result is done to highest quality standards. It gives you the freedom to relieve yourself from the responsibilities associated with the operations sector of your business.

I highly recommend technopreneurs to think along these lines.

How can you play the role of the owner instead of an employee?

 

P.S. Whenever you’re ready… here are 3 ways I can help you grow your tech business :

1.   Grab a free copy of useful stuff that can help you grow your tech business. More in our blog.

4 Ways to Position Your Tech Business to Attract More Clients Click here.

3 Mistakes to Avoid In Your Tech Business To Grow Revenue Click here.

2.   Schedule a 15 Minute assessment call with us – Click here.

We have worked with a bunch of tech companies and have offered them systems, strategies and coaching to attract and convert clients. We help you install sales and marketing systems that automate stuff and help flood leads and drive higher revenues and margins. Talk to us.

3.    Join our Techcelerate Implementation Program and be a Case Study

I’m putting together a new coaching case study group at Techcelerate this month… stay tuned for details. If you’d like to work with us on your client-getting and scale plans… just reply to this message and put “Case Study” in the subject line.

Life is short. Take action now and grow. Best Wishes.

Authority

Why Build Authority Positioning in Your Niche?

Ok, you have built a kickass cloud management, optimization platform. Or you have just built an AI widget with APIs that can connect with gazillion apps.

Now, who knows you in the cloud or AI industry?

Have you established your presence at least in your target market?

If you are not systematically and methodically establishing yourself as an authority, at least in your target market, you are ignoring the true power behind the marketplace. This is the axiom behind authority marketing.

As a technopreneur, if your firm is not able to sharply differentiate itself from others around you, you are just another company in the mix.

But if you do, then you are on your way to becoming an authority in your niche or chosen field.

An authority has all the knowledge stored away. An authority who disperses his or her knowledge in a way that people rely on and seek is a celebrity.

Authority positioning affords your business to leverage its experience to gain an elevated expert status within the specialized confines of their industry. You become an educator and advocate for the success of those who rely on you;

then, your audience can find (and trust) you.

 

Fast-Tracking Your Authority

Strategies used to optimize your position as an expert celebrity include highlighting local (or regional) press, writing books and other authoritative and informative materials, and distributing your writing so that it becomes widely available.

You must provide your target audience with so much content and proof, showing that you understand and empathize with their needs, so that you are the only choice in their minds. This could be done by being interviewed on podcasts your target audience listens to, or even starting your own podcast so you can open huge doors of opportunity for your business by interviewing influencers in your industry.

For example, one of my clients, for whom I’ve helped position a youtube strategy, has told me that their youtube is now syndicated on different platforms, increasing its exposure. My client also uses the platform to approach prospects with the ask to interview them, opening the door for future conversations about my client’s expert services.

 

Think about this: If you were looking for a Digital firm to help your business get closer to cosmetics users who are predominantly teenage girls, how would you make your decision?

With the first Digital company, you meet them at your local tech group and think they pretty friendly, at least from what you can see in early morning networking meetings!

With the second Digital firm, you notice they were recently featured in your local chamber of commerce retail summit, wrote a popular ebook on how to structure user experience (UX) for omnichannel retail consumers and has a weekly podcast you listen to about recent developments in retail technology.

Who would you choose?

Both may do a fabulous job, but we are all so busy that we tend to make decisions based on who seems to be the most qualified, and this is tied to visibility. In fact, the accountant who has established himself as an authority has vastly improved his “perceived value” in the marketplace.

 

Placement And Positioning

In the real world of business, I have found that respect comes not from media savviness but from the ability to make your knowledge into something useful for others. The primary way business owners can generate widespread respect for their authority is through understanding the technology and methods they work with and generating solutions from them.

Being able to generate and distribute applications for what you know will garner substantial unassailable value.

Authoritative entrepreneurs must display not only a tolerance but a thirst for change. When others are unsure of their response to change, the authoritative business owner must maintain a consistent viewpoint that portrays a protocol in place to allow change to be integrated into the business.

Look for ways to document your knowledge. It may be recording your thoughts with your phone about a specific problem you recently solved for a client. Guess what you can do with that?

Transcribe the recording and repurpose it into a blog post, your next email update to your clients, a social media post — the list goes on! See how easy this can be? But the first step is getting started and deciding to keep it up, even if it’s only once a month!

Remember: Building your authority should be your No. 1 priority.

Marketing Automation

Why You Need Marketing Automation To Grow Your Tech Business?

It makes perfect sense to use “human” or “manual” marketing with – your top 20-30 accounts. In theory, this frees you up from the time vampires who are sucking your time away with marketing that probably won’t have a good return on investment.

But, what about the rest of your clients and prospects from various other sources? How do you nurture your relationships with them? This is where we turn to the other method of marketing. We’ll use automation to market to the rest of our list.

We start by thinking about the people on our list as our “flock”. We need to move beyond seeing clients simply as contacts and start seeing them as relationships that need nurturing. These are relationships that we are responsible for.

Why? Because these are the relationships that will bring us the most business. These people will help us, by us helping them.

When some technopreneurs market to their contacts, they can “burn the list”. This is basically sending out a bunch of useless garbage to your contacts, causing them to not want to hear from you. To leave the list.

We want to get away from this model by creating a consistently valuable experience for your flock so that they can be guided by you when they face a problem that you can help them with.

Think: when you send your flock some marketing, are you helping educate them? Are you building relationships by sharing in personal things about you? If neither of those are true, then reassess the marketing campaign.

You’re helping to shepherd them to a good solution whenever a solution that you offer is there. If you’re not the right solution, that means helping them find the right solution.

Twenty years ago you could get by without automated marketing simply because nobody had it. Today, with all of the things people can give their attention to (let’s call those distractions), it’s impossible to be effective at marketing without using both people and automation.

Why do you need both manual and automated marketing? Let’s take a look at what each one looks like if used on its own.

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Go to Market

How to keep Go To Market Strategy simple?

I have been observing and working with company companies on how they take their product or service to market. While most have it right to a certain extent a lot can be done to make GTM slick, precise, high yielding and cost-effective.

This one diagram says it all.

Now assuming that you are not a startup and you have a product or solution that has been commercialized and is available to the public, your company can amplify one of these two areas: Sales and Marketing.
When I am working with a $20M revenue company, I still see CEOs make a mistake in not use the right GTM strategy to drive revenue. For example, hiring a high-touch, expensive sales force to sell a low-priced product can be disastrous. After this misstep, an otherwise high-potential company may fail to grow fast enough to compete or reach profitability.
Here is another chart to show more attributes that can decide your GTM strategy.

P.S. Whenever you’re ready… here are 3 ways I can help you grow your tech business :

1.   Grab a free copy of useful stuff that can help you grow your tech business. More in our blog.

4 Ways to Position Your Tech Business to Attract More Clients Click here.

3 Mistakes to Avoid In Your Tech Business To Grow Revenue Click here.

2.   Schedule a 15 Minute assessment call with us – Click here.

We have worked with a bunch of tech companies and have offered them systems, strategies and coaching to attract and convert clients. We help you install sales and marketing systems that automate stuff and help flood leads and drive higher revenues and margins. Talk to us.

3.    Join our Techcelerate Implementation Program and be a Case Study

I’m putting together a new coaching case study group at Techcelerate this month… stay tuned for details. If you’d like to work with us on your client-getting and scale plans… just reply to this message and put “Case Study” in the subject line.

Life is short. Take action now and grow. Best Wishes.

8 Tech Firm Marketing Activities To Do Every Day

Technology firms marketing is now an umbrella term that encompasses a whole bunch of actions. It’s important to note that the “run-of-the-mill” marketing activities that work for any old business aren’t necessarily going to be the best fit for technology firms, however. What’s more, some technology firm marketing activities are going to be more worthwhile than others depending on your immediate goals.

Before You Get Started: Assess Your Tech Firm’s Objectives

Technology firm marketing should be executed based on what you’re trying to get the prospective client to do next.

Do they need to know simply that your business exists, or why you’re the best tech business in your domain area for them? You could even be at the point where you need the client to officially agree to working together. Here are quick summaries of common tech firm marketing objectives that technopreneurs face all the time:

  • Building Authority: Make sure prospects know you are different from other tech firms next door by presenting your point of view on both your domain area and common client issues.
  • Establishing Trust: Allow prospective clients to get to know your personal tech brand by making an introduction and revealing your personality and values.
  • Demonstrating Capabilities: Help clients realize your specialty tech areas and reassure them that you truly solve problems for your clients, in their business.
  • Asking for Referrals: Keep the business coming by asking your established, ideal clients to introduce you to other people just like them.

Depending on the maturity of your tech firm marketing strategy, you may be in a position where you need to work on all of these things at once, or just focus on a couple of areas in particular. For each of these objectives, there are some ideal marketing activities (that you can do every day, of course) that will strengthen your overall chances of success.

 

Tech Firm Marketing Activities for Meeting Your Business Objectives

Building Authority

authority-law-firm-marketing.jpg

Publish Regularly

If you want to prospective clients to identify you as the tech “expert of choice,” you’ll need to show off a little. Write down your point of view on hot technology and domain issues of the day and transfer that to a digital medium. It’s a great idea to get a blog started on your tech firm’s website, but even if you don’t have one, using LinkedIn Publishing tools is a great way to broadcast your tech business knowledge.

If writing for tech firm marketing isn’t your strong suit, try finding your voice by reading tech journals and blogs. You will get an idea.

Give prospective clients that have agreed to communications links that go directly to your resources. That way, you have more control over whether you’re reaching the right people instead of hoping that they’ll stumble across you. Just be sure to keep your contacts organized by the practice areas and topics that are most applicable to their needs.

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3 Metrics

Three Metrics Technopreneurs Must Track for Success

Most Technopreneurs don’t define success. They define what success is not.

Instead of focusing on the things they can control to build the tech business they want and make the money they want, they view success as eliminating sources of stress and aggravation.

In other words, “Success is when I don’t have to do A, B and C anymore.”

Most of the Technopreneurs I talk to are in the lifestyle business. I say that without any of the negative connotations of the idea. It’s not that they want to check out, or work occasionally. They want to do meaningful work and have a comfortable life without working 100 hours per week.

This attitude or approach will not help you scale your business from $1M to $5M.

Of course, there are a few who have visions of building an empire.

In either case, you need to define what success means for you and your business before you can think about how to achieve it and measure it.

The number one metric used by Technopreneurs to measure success is, “Did I survive today?”

Not very scientific. And not very useful.

There are three core metrics that every law firm – regardless of goals, regardless of size – should be paying attention to every month.

Metric 1: Lead Flow

You could be the best Tech company in your territory (or the world), but if nobody is knocking on your door, it won’t matter. Because you won’t get paid.

Every Technopreneurs needs to meet with a certain number of qualified prospects in order to acquire a certain smaller number of clients. Without sufficient lead flow, you can’t build the business you want.

Whether you want to be a lifestyle Technopreneurs or an empire builder, you need enough lead flow to produce the right clients that help you make more money (and work less, because you can charge more with more leads coming in).

That’s why marketing is so important. Without marketing, there aren’t enough leads. Never forget that your leads today are your income tomorrow.

Your Action Plan:

1. Make lead flow a priority.

2. Find out where the good leads are coming from and develop a plan for finding more leads. (Need help? Our Tech Business Growth team can point you in the right direction:)

3. Every month, make sure you know how many leads are coming in. This should be on your score board.

Metric 2: Cash Flow

Cash is king. You can’t exist, much less grow your business unless you have cash flow.

If you’re always in a cash crunch, always running up the “down” escalator, you’ll just get exhausted and burn out.

You need to watch your cash flow. Know your expenses. Know how much you have to pay and when. Fix your collections issues by right-sizing your retainers, and not taking on clients who’ll stiff you later.

Create a plan for increasing cash on hand to minimize or eliminate outstanding invoices. You can have a multimillion dollar firm and go bankrupt if you don’t have a handle on cash flow. Fix it.

Your Action Plan:

1. Understand exactly what you’re spending each month

2. Create a forecast for when you’ll get paid, what. Update it monthly and look for trends

3. Use this to adjust your strategy for pricing and collecting retainers

4. Set a target for cash on hand, and use these levers to get there within a year

Metric 3: Average deal size

One of the most underused strategies for creating a tech business, whether you want to increase profits or free time, is the deal size lever. Maintaining the right average deal size (and margins) is critical to making money by working less.

Most Technopreneurs don’t charge more or push for high value/margin deals because of fear … fear of losing business because they increase their rates. They end up playing the commodity game.

They seldom understand the difference between market expansion and market share game. Let alone market position.

This is the result of an imaginary competition among tech businesses. In reality, increasing your charge rate is much easier than you think. The reality is much different. If you’re afraid of increasing your fees, it means that you’re fishing in the wrong pond.

By raising them you’ll immediately start getting rid of bad-fit clients, and signaling to premium-paying clients that you aren’t a commodity.

I’ve written on this extensively elsewhere, but the bottom line is this: the biggest barrier to increasing fees is YOU, not the clients.

Your Action Plan:

1. Make a decision not to compete on price. Now promise yourself. Write it down. It sounds trivial, but it’s not. Until you truly decide and take action on it, it’ll be a vague idea. Or, you’ll back off at the first sign of resistance from a cheap prospect (when the right answer is, “next please”).

2. Commit to finding premium-paying clients (markets). Create a marketing plan to find them (again, our Business Growth team can help you with this if you’re unsure where to start).

3. Set targets for you average fee in 90 days, 180 days, and next year

4. Track your average deal size (and margins) every month. Are you on target?

All Three Metrics Work Together

If your lead flow is strong, you’ll have the confidence to ask for money upfront.

If you have more money up front, you have better cash flow, and you’ll have the confidence to increase your charge rate (and tweak pricing).

Even if you have very few leads, terrible cash flow and a low average fee, you can still achieve your goals. Start paying attention to all three metrics – and commit to improving all three metrics – and you’ll step onto the up escalator.

 

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P.S. Whenever you’re ready… here are 3 ways I can help you grow your tech business :

1.  Grab a free copy of useful stuff that can help you grow your tech business. More in our blog.

4 Ways to Position Your Tech Business to Attract More Clients Click here.

3 Mistakes to Avoid In Your Tech Business To Grow Revenue Click here.

2.  Schedule a 15 Minute assessment call with us – Click here.

We have worked with a bunch of tech companies and have offered them systems, strategies and coaching to attract and convert clients. We help you install sales and marketing systems that automate stuff and help flood leads and drive higher revenues and margins. Talk to us.

3   Join our Implementation Program and be a Case Study

I’m putting together a new coaching case study group at Techcelerate this month… stay tuned for details. If you’d like to work with us on your client-getting and scale plans… just reply to this message and put “Case Study” in the subject line.

Life is short. Take action and grow. Best Wishes.