need help with a simple(?) problem

catch22jacks

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Joined
Jun 25, 2012
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Hi, I need a calculation to figure out sales efficiency for our sales force.

For example average sale for the entire team is $6225 and the average closing rate is 53%.

Salesperson A has an average sale of $5705 and a closing rate of 70%
Salesperson B has an average sale of $6948 and a closing rate of 43%

How do I determine which salesperson is performing more efficiently/making more money for the company per call?

If possible, how do I factor in # of calls the individual has gone on?
For example:
Salesperson A has gone on 217 calls
While salesperson B has gone on 107 calls
There are 2000 calls total if relevant.
 
Last edited:
You are missing the most important piece of information- not the "percentage closed" but the total number closed. That, together with "average sale" will give total sales which is what is important. In fact, how are you getting "average sale"? If you are dividing total sales by number of sales, don't throw away "total sales"! That is what you should be focusing on.
 
Salesperson A- Total calls 217, total closed 151 = 70% closing, average sale $5705
Salesperson B- Total calls 107, total closed 46 = 43% closing, average sale $6948

company - Total calls 2000, total closed 1056 = 53% closing, average sale $6225

Thanks for replying, Does that help?
 
Salesperson A- Total calls 217, total closed 151 = 70% closing, average sale $5705
Salesperson B- Total calls 107, total closed 46 = 43% closing, average sale $6948

company - Total calls 2000, total closed 1056 = 53% closing, average sale $6225

Thanks for replying, Does that help?
So Salesperson A brought in $861455 and sales person B brought in $319608 while the entire company brought in a total of $6573600 so that A brought in 861455/6573600= 0.13105 or about 13% of the entire sales of the company and B brought in 319609/6573600= 0.04862 or 4.9% of the entire sales of the company.

By either "total sales" or "percetage of company sales", A is bringing much more money into the company.
 
Thanks HallsofIvy. I think I'm not being clear with what I'm trying to do.

I want to create a single number that can be pointed to for each sales rep that show their efficiency. Somehow combining their closing rate and average sale into a single number. Salesperson A is certainly making more money but that because he has been given more leads than salesperson B and Salesperson A has a very high close rate but the low average sale detracts from his overall effectiveness. So what is that effectiveness compared to Salesperson B.

Thanks again for your help.
 
Yup that's the winner, I actually just figured it out myself. It was staring me in the face the whole time, thank you both for your help.
 
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