New Year! New You?
It is a new year and time to make plans for a growth year. Rather than accept what comes and leave the end result to chance, lets get in front of this for the new year. Make 2016 a stretch year. The softer easier way is to watch a few motivational videos and that can work for the short term, however I find nothing works to motivate and keep one motivated like results. Tangible, ongoing results, and that doesn't happen by accident. One has to paint a firm picture of the end result and then decide on the effort it takes to achieve that result. Now the hard part! One has to consistently execute that effort on a daily basis. Once the plan is in place and you work it on a daily basis, it will become obvious what one has to do to improve the skill set (effort).
This all begins with three simple questions:
- Where are you at now?
- Where do you want to go?
- How are you going to get there?
Where are you now.. What Happened Last Year?:
This is not hard, just take your W2 and divide that by the number of units you sold last year. Determine your average commission per unit.
Where do you want to go?
Take your time on this one and paint the picture.. Ask yourself what another $20,000 a year would mean to you and your family and then paint that picture.
It really isn't that much extra money on a monthly basis. I am only talking about another $1,600 a month. If you do 10 units a month, this is only $160 more per sale. If you want to move the units, we are only talking about 3 to 4 more sold units a month (1 a week). All of this CAN HAPPEN!
Complete this work sheet and it will show you how.
- Start with what you want your W2 to look like at the end of this year.
- Decide what you want to happen on your Average Commission.
- Is it possible using better value building techniques to achieve a higher commission average?
- Divide your annual income goal by what you decided on for the average commission.
- Now you know how many units you have to sell this year.
- Divide the total units by 12 months to figure out an average month.
- Now you have your Monthly goal.
How are you going to get there?
Sales don't just happen. It takes so many customers, demonstration drives, and write ups to make a sale. The perfect salesperson who sells them all may be out there, but I haven't met one yet..
So if you are like me, we have to plan for some rejection. After tracking these numbers for years I found the rule of 4,3,2,1 to be true. People go hot or cold on a daily or weekly basis but on a monthly average it stays pretty true.
I am saying it will take 4 times as many customers as you want to sell (counting everyone - You know who you are!)
I am saying of your total customers - 75% need to go from the introduction to demonstration drive.
I am saying of the total customers - 50% need to go all the way through the sales process to a write up.
I am saying you should sell - 50% of your writes - 25% of your total.
Break the effort down to a week and a day and it will look very achievable. Once you start measuring you will see where you need help or training. If you are serious about your picture - get the help or training. If you miss your goal, you will make more trying..
At Start Recruiting and Training we do hundreds of interviews a month and candidates always ask what they can make in the car business. My answer always is â€It is not my job to decide your potential. My job is to tell you the effort it takes to make the money you want to make, and if you can execute the effort, it can happen."
What I find refreshing is more and more people are all in on the idea of being in charge of their own income. More and more people like the idea of getting paid exactly what they are worth and like the idea of not having to ask for a raise.
Raises Are Effective When You Are!!