How do you sense-check your goal?

You’ve clarified your vision and done your research but you’re still not quite 100% ready to share it with your team. See some of the methods professionals like you have used to check if their goals are achievable, and maybe share your goals and see if others think you’re going in the right direction.

*To learn more about this, check out the Aligning Your Teams Around a Unified Revenue Goal lesson via HubSpot Academy.

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Where do I see those methods? Your image didn’t link to anywhere, but I would really love to hear what resource you have for this.

Hi MPassey - You were too quick for me :joy: - I’m just adding some answers now. Scroll down for my answer. Let me know if you have questions!

https://community.hubspot.com/t5/Sales-Enablement/How-do-you-sense-check-your-goal/m-p/452584/highlight/true#M1

To check that I’m signing up to a revenue goal that is achievable I typically use some highschool maths that validates resource and effectiveness.

Check last year’s:

New Client Value (calculate this by dividing revenue by the number of new clients your team signed)

Average Deal Value (calculate this by dividing revenue by the number of deals your team signed)

Revenue Per Sales Person

(calculate this by dividing revenue by the number of full time sales people in your team)

Revenue Per Lead

(calculate this by dividing revenue by the number of leads your sales team delivered)

Then examine each of those “Revenue Per” numbers and see where you are most likely to fill the gap between where you are now and where you need to be.

For instance, if your sales target has increased by 20% you might get this by driving efficiencies (e.g. more leads for the same spend, or working on improving average deal value).

If you’re in a scaling organisation, doubling or tripling revenue you’re going to want to balance your revenue targets with asking for more resource in sales team, more higher quality leads *and* automation to drive efficiency.

I’m pretty straightforward and while I’m sure there are much more sophisticated methods (and I’m looking forward to reading them in the replies), this works for me and most of our clients.

I like to sense-check goals by going back to our competitive analysis and seeing where our current goals align with our competitors. I also look at things within our company like current churn rates, customer journey maps, and customer reviews.

Analysing churn rates is a great shout @MaggieTaylor! Really useful if you have that data :slightly_smiling_face:

Comparisons with previous periods, even last week and with competitors in the market place is a good way to sense check ones goals

Agree @KGuda - I’ve seen businesses using WOW, MOM, QOQ and YOY reporting individually but usually as a mix. How are you checking with competitor performance, if you don’t mind my asking?

Market share comparison based on public reports and internal estimates

You’ve clarified your vision and done your research but you’re still not quite 100% ready to share it with your team. See some of the methods professionals like you have used to check if their goals are achievable, and maybe share your goals and see if others think you’re going in the right direction.

Hey revenue people!
I have tried to download the worksheet, but nothing happened.

Is the link broken?

Hello @apempie - which spreadsheet do you mean? There’s a reply towards the top of this thread with the breakdown included but it’s not a spreadsheet… Let me know if I can be of more help :slightly_smiling_face:

It’s the worksheet in the first unit “Intro to Sales Enablement”.

It seems like we use SMART always after :slightly_smiling_face:

SMART FTW - ALWAYS

they should be SMART Goals. They could be very Audacious and help your teams reach the unthinkable but they can not be ridiculous and team’s morale destroying.

Yes to audacious goals! Have you read Built To Last by Jim Collins? I think you’d enjoy it :grin:

Indeed, BHAG becomes the goto approach to put some Soul back into the thought process… thanks for highlighting the book and office hours…have registered and look forward.

Watch-Feel-Act…Conduct subtle reviews at weekly intervals to understand the momentum and more than anything to check if the teams are properly motivated or not towards the goals. Then, encouraging their ideas and yours, do quick fixes to keep sharpening till alignment is perfected.

Interesting ideas Nitin :fire: Thanks for sharing!