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A sales target is a goal set for a salesperson or sales department measured in revenue or units sold for a specific time. Setting up sales targets help keep you and your sales team focused on achieving your goals.
What Is A
And How Do You Track It?
What is a sales target?
A sales target is a goal set for a salesperson or sales department measured in
revenue or units sold for a specific time. Setting up sales targets help keep you
and your sales team focused on achieving your goals.
Nowadays, many sales organizations are using
powerful sales pipeline management methodology in
order to track their sales process. Sales pipeline is a
visual representation of your sales process where all
your potential customers are displayed and neatly
arranged according to their phase in your sales cycle.
Each sales opportunity or sales deal has its own unit
value that is calculated into the target. Therefore the
simple target definition could look like this:
“A sales target is a sales tool that
enables you to easily measure and
estimate your opportunity contribution to
your sales goal.”
5 Essential Sales Target Types
For Your Sales Success
The sales target examples below calculate and forecast your
sales revenues based on the opportunity value and the
following additional set of conditions:
● Sales stage probability of closure – the likelihood of
winning the opportunity for that particular sales step.
● Opportunity ranking – the personal likelihood of winning
● Opportunity pipeline position – the current position of
the opportunity in the sales pipeline.
● Opportunity status – the status of the sales opportunity
i.e. either it is an open opportunity or won opportunity.
The unweighted target is the sum of
all opportunity values in the pipeline,
but is an inaccurate view of the actual
business coming in. The view does
not take into consideration any
potential deals that are lost during the
process. This view would mean that
you have a 100% closing rate for all of
The dynamic target calculating the
weighted value i.e. the sum of all
opportunities values according to the
position in sales pipeline, it’s sales
step probability of closure and the
target date period definition. It’s the
most objective target that takes into
consideration the opportunities you
lost during the process.
#3: Ranked Sales
This is a personal-based target and
it’s related to the individual sales rep
preferences and experiences with the
customer. The ranked target it the
sum of all opportunities values
according to the subjective ranking of
the opportunity itself by sales rep and
to the target date period definition.
The ranked target is the estimate of
each individual sales rep as to their
chances of winning a specific
opportunity. The weighted
percentages for each sales step are
not included in this target view.
This is the most conservative target
type. A target calculating balanced
value i.e the sum of all opportunities
values according to the position in
sales pipeline, to the subjective
ranking of the opportunity itself and
the target date period definition. It
does take into the consideration the
lost opportunities and your sales reps
individual preference toward the
deals. This is the target you should be
#5: Won Deals or
Or achieved target i.e. target
calculating the real value i.e. the sum
of all won opportunity values within a
given target range. This is actually the
revenue your sales team achieved
over specific period of time.
5 Essential Sales Target Types:
How to Efficiently Track
Sales targets let you effectively track your sales pipeline
opportunities through many different conditions. However,
at the beginning you need set your sales goal. One thing is
to understand the “weight” of your pipeline and second one
is to achieve your goal target.
“A sales goal is a special freely modifiable
time-based value towards which sales force
Once, you setup your goal and start filling your sales
pipeline with potential customers, you can easily track your
goals at all times. Whether you track your sales forecast or
quota, we’ve made it easy for you to track any type of
custom goal, all in real-time and always in front of you.
Pipeliner CRM is tool that
support sales teams and
managers with their activities
and help them to provide
better service to
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