Measuring Customer Growth Is Money In Your Pocket

Measurements allow you to see what is in the sales pipeline, what opportunities are active, and what resources you need to grow your accounts. By changing the way you work with growing accounts, you will be able to leverage current customers and increase your sales.

The Case for Measuring Customer Growth

Measuring customer growth regularly and consistently will increase sales.

How? Because measuring customer growth allows you to find accounts that can grow, buy more products, and become even bigger customers.

The fastest and most effective way to increase your sales is to work within your existing customer pool.

You already know that incremental sales opportunities (up-selling and cross-selling) are effective ways to make more sales, but how do you know which of your customers will be most likely to respond to your sales pitches?

Without consistent measurement, you have no way of finding these prospects, and you risk missing out on a lot of sales.

Sales Leader Classification System

The Sales Leader Classification System is a process of identifying key traits in customers and then classifying accounts into one of four segments.

It allows you to manage your time more profitably and also helps you measure customer growth more effectively.

You will use engagement and potential growth opportunities to analyze each of your accounts and classify them as a Maintenance, Key, Service, or Growth Potential Account.

Each of these accounts has different characteristics and requires differentiated attention.

While these classifications will help you find the best ways to manage each account profitably, it’s not all the system can do.

It can also help you keep tabs on your accounts and measure their growth so you can expand them even more, making more sales.

The Power of Measuring Consistently

Measuring customer growth entails spending time internally with your sales team monitoring your accounts.

Each type of customer should be reviewed at a different time so you can see what goals are being met and how the account is growing.

My suggestion is to measure your accounts as follows:

  • Maintenance Accounts – Quarterly
  • Key Accounts – Quarterly
  • Service Accounts – Annually
  • Growth Potential Accounts – Monthly

Why Measure Your Accounts?

Besides giving you the ability to see how well you are servicing each account, this practice allows you to see how accounts are changing and how they may be growing into different segments of the classification model.

Remember that it is possible for some of your customers to start in one segment and grow into another. In fact, this is very positive, and being aware of it will help you grow your business.

Measuring regularly also allows you to get ahead of any issues, slumps, or losses quickly.

When you discover growth is not happening as quickly as expected, you can make changes, adjust your approach, and find new opportunities.

If you wait until the end of the year to measure progress, it will be too late!

How to Best Divide Your Efforts Across Different Accounts

When you measure accounts, reevaluate their classification and decide if they should be moved into another segment.

But, don’t stop there.

After you measure growth and move customers into new segment, make the necessary internal changes to better service those accounts.

For example, maybe you weren’t spending much time on one of your Service Accounts, but now that account has grown and is a Growth Account.

These two segments require differentiated attention, and Growth Accounts deserve more of your time.

By changing the way you work with growing accounts, you will be able to leverage existing customers and increase your sales.

The Right Measurements Can Help You Sell More In Less Time

Measurements allow you to see what is in the sales pipeline, what opportunities are active, and what resources you need to grow your accounts.

Constant measurement also gives you a chance to reassess account classifications and make changes so you can spend your time and resources most profitably.

Consistent measurement makes it possible for you to fully leverage your customer base so you can sell more in less time while making more profit!

The A.C.E.D. Buyer Style Playbook is the ultimate guide to speaking your stakeholder’s unique buying language. Download the FREE playbook to gain best practices for approaching and flexing to each of the four buyer style types during sales conversations.

About the author

Colleen Francis

Colleen Francis, Sales Expert, is Founder and President of Engage Selling Solutions. Colleen Francis…

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