How do you report sales metrics and KPIs to management?

1 Define your sales goals and align them with your metrics and KPIs

The first step to reporting sales metrics and KPIs is to define your sales goals and align them with the metrics and KPIs that matter most to your organization. Your sales goals should be specific, measurable, achievable, relevant, and time-bound (SMART). For example, your sales goal could be to increase revenue by 10% in the next quarter. Then, you need to identify the metrics and KPIs that will help you measure your progress and performance towards your goal. For example, some common sales metrics and KPIs are sales volume, conversion rate, average deal size, sales cycle length, customer retention rate, and customer satisfaction score.

2 Choose the right tools and methods to collect and analyze your data

The next step to reporting sales metrics and KPIs is to choose the right tools and methods to collect and analyze your data. You need to have a reliable and consistent way of gathering and storing your sales data, such as a customer relationship management (CRM) system, a spreadsheet, or a dashboard. You also need to have a way of analyzing and visualizing your data, such as a chart, a graph, or a table. You should use the tools and methods that best suit your needs and preferences, as well as the expectations and preferences of your management. For example, you could use a CRM system to track your sales activities and outcomes, and then use a dashboard to display your metrics and KPIs in a simple and interactive way.

3 Select the right frequency and format to report your metrics and KPIs

The third step to reporting sales metrics and KPIs is to select the right frequency and format to report your metrics and KPIs. You need to decide how often and in what form you will share your results with your management, such as weekly, monthly, quarterly, or annually, and in a written report, a presentation, or a meeting. You should consider the level of detail, the type of audience, and the purpose of your report when choosing the frequency and format. For example, you could send a weekly email report with a summary of your key metrics and KPIs, and then prepare a quarterly presentation with a more in-depth analysis and recommendations.

4 Highlight your achievements and challenges, and provide insights and actions

The fourth step to reporting sales metrics and KPIs is to highlight your achievements and challenges, and provide insights and actions. You need to show your management what you have done well and what you have struggled with, and explain why and how. You also need to provide insights and actions that will help you improve your performance and achieve your goals. You should use data and evidence to support your claims, and use stories and examples to illustrate your points. For example, you could highlight that you have increased your conversion rate by 5%, and then explain that you have used a new sales technique or a new offer. You could also highlight that you have lost some customers, and then explain that you have faced some competitive or external factors. You could then provide insights and actions on how to retain and acquire more customers, such as improving your customer service or launching a referral program.

5 Use clear and simple language, and avoid jargon and acronyms

The fifth step to reporting sales metrics and KPIs is to use clear and simple language, and avoid jargon and acronyms. You need to make sure that your management can understand and appreciate your report, and that you can communicate your message effectively and persuasively. You should use language that is appropriate for your audience and context, and that is consistent and accurate. You should also avoid using jargon and acronyms that may confuse or alienate your management, or that may imply a lack of professionalism or credibility. For example, instead of saying "we achieved a 10% YoY growth in MRR", you could say "we increased our monthly recurring revenue by 10% compared to last year".

6 Solicit feedback and follow up on your report

The sixth and final step to reporting sales metrics and KPIs is to solicit feedback and follow up on your report. You need to ask your management for their opinions and suggestions on your report, and show that you are open and responsive to their input. You also need to follow up on your report, and show that you are accountable and committed to your goals and actions. You should thank your management for their time and attention, and ask them for any questions or concerns they may have. You should also update them on your progress and performance, and inform them of any changes or challenges you may encounter. For example, you could send a thank-you email after your presentation, and ask for their feedback and approval. You could also send a monthly update email, and report on your achievements and challenges, and any adjustments or improvements you have made.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?