The key to hitting sales goals starts with setting meaningful goals producers believe in. A critical element of making goals meaningful is breaking them down to make them more measurable and manageable.
Many agencies do not set new business goals. Of those that do, there is a lack of thought that goes into setting the goal. Sometimes, it is decided that everyone will be expected to grow by X%. Another common approach is to throw out a round number, for example, "We want to gain $100,000 worth of new business this year."
An arbitrary annual goal rarely motivates a producer. Instead, plan and create meaningful goals for each producer’s individual circumstances and current capabilities.
Use the following three steps with each producer to establish such goals.
Step 1: Define Gold-level target
Consider the largest accounts you have written in the past, the resources you have access to through the agency, the market in which you compete, and a general sense of self-confidence, what is the largest account you see yourself writing this year? While this would be a “sale of the year," you believe you can write this account.
Step 2: Define Silver-level target
Take that same line of thinking down to a quarterly level. What size account do you feel confident that, given the right number of opportunities, you could write on a quarterly basis?
Step 3: Define Bronze-level target
Taking the thinking down one more level, what size account do you feel confident you could write a half dozen of during the year?
Breaking goals down in this manner makes them more manageable, more measurable, and creates a greater sense of urgency.