What is a sales report?
A sales report is the evidence of a collection of data gathered over a particular period of time that shows the number of sales performed by a sales team in the form of an organized report. The report is made by the sales department and is submitted to the managers and higher authorities. A sales report includes of all the new and existing sales, new and existing accounts, the trends of sale, the volumes of sales whether increasing or decreasing, the cost of client acquisition and the revenue gained.
A sales report should be easy to comprehend. It should comprise of data in the form of infographics that is concise and understandable.
Importance of sales report
A sales report is key to the success or failure of the organizations. It shows the performance of the organization and helps to evaluate the reasons behind highs and lows of revenue. It helps in evaluating the performance of employees based on the figures reported, whether they are achieving the desired target or lacking behind. A salesperson is accountable to the company based on his sales performance.
A sales team is appraised on a daily, weekly or monthly basis to measure the productivity of the company. The results hence show whether the company is on track of achieving set targets and goal. Effective sales reporting ensure the productivity of the organization, more clients more projects and consequently more growth towards success.
Weekly Sales Report
A weekly sales report shows the record of sales performed over the period of a week. Sales team prepares a report on a week to week basis observing their trends of sale. This includes the number of sales achieved, the number of new and old clients, number of client in the pipeline, and the amount of revenue generated. This enables the organization to assess the productivity by the end of the month, and also make important decisions in terms of business development, an increase in salaries of staff, and recruitment. It should be clear and to the point.
How to write a weekly sales report?
A sales report should present a complete picture of the overall sales the company is undergoing. The sales department is responsible for creating a well-balanced sales report containing figures and graphs easy to comprehend by everyone. It should not be complex or overcrowded by data and figures, rather it should be simple and accurate.
Sales managers should use technology and software for building an effective sales report. CRM is one of the important software that is robust and helps to track, filter and analyze all the information.
As the sales department is the backbone of a company, the sales managers are expected to deliver the performance of their team to their authorities. The information conveyed in the sales report provides the basis of the company’s major decisions in business growth and development, recruitment, increase of salaries of staff, running expenditure, increase product, etc. The sales report not only provides an analysis of high sales but also required to measure the force driven behind these high sales.
There are certain factors to be kept in consideration while writing a weekly sales report.
- Audience: A key to formulating a good sales report is to know the audience the sales manager is addressing, and the purpose behind presenting the report. If the report is to be delivered to the chief financial officer then he would basically be interested in sales figures and revenue generated. Whether enough sales are generated to run the expense of the company or not. While, if the report is given to sales team, then it would cater their sales activity, personal and team performance, which product is in demand, whether the sales are meeting the company’s target, what more efforts the sales team can do to make good pitches and increase their earnings.
In short, the sales report should meet the need of the audience and they should be able to extract the data as per their needs.
- Relevant sales metrics: Once the audience is identified the salesperson should gather the information that is required to present the accurate picture of sales activity and team performance, based on which department will take decisions in favor of the company. Choose specific information like accounts in pipeline versus accounts closed, expense versus revenue, product selling the most versus products, not in demand, potential areas and challenges, etc.
- Time frame: Decide on a time frame that remains the focus of the report. This ensures accurate and concise data collection and displays to avoid distraction from the main topic.
- Visual displays: Include the right visuals of display such as graphics and illustrations to engage the audience as well as convey the right information. Use of graphs and bar charts make the data easy to comprehend. Think about the best ways to present your data that would not take time for the audience to absorb. Putting helpful illustrations will make the report presentable and less confusing. But there should not be an overdose of graphics, the report should be easy to understand, succinct and practically applicable.
How to write a sales report to your boss?
When you already know the audience of your report is boss or the top management/ CEO of the company then you are aware of the purpose of the report.
Focus what boss needs: Collect all the related data and information that the boss demands, so the report is focused and assists in taking the best data-driven decisions. Dig out the relevant data as much as possible and organize them well, so you have a background to provide and a ground to play. Include sales metric that holds importance like sales growth over a period of time, acquisition of new clients and closing of old clients, market research on the product, high selling products and sales revenue over the month/ year, target achieved last year and target accomplished over the current year.
Make it presentable: Prepare a well-presented report that is pleasing to the eye and easy to absorb. The data should be well presented in the form of graphics and illustration that it communicates the figures well. Use a graph to depict sales activity. To provide overview opt for dashboards, they help in visualizing the insights to data. Dashboards work in real-time data and always present up-to-date information.
Summarize: Provide an executive summary at the end. The summary is key in terms of delivering your point and then gives legitimate findings of your data. As the top management does not have time to go into details, a summary draws major insights and gives a clear picture of the present and questions the future course of action.
Types of Sales Reports
There are three types of sales report
Daily sales report: It contains information about daily progress achieved. Daily sales report considers on factors that vary daily and creates a difference in the sales, for instance, number of calls made, talk time, client attained, number of meetings booked, emails sent, and quality of the lead.
Weekly sales report: Reports the sales activity on a weekly basis. It helps in keeping track of the productivity and performance of the company week by week, thus providing the picture until the end of the month without waiting for the monthly report to come. Factors that should be listed in weekly reports are a number of new clients acquired that week, weekly revenue generated, comparing weekly figures, and the phase of client present in the pipeline.
Monthly sales report: Monthly reports generally present a broader perspective of sales activity undergone throughout the month. It evaluates the sales representative’s quality performance and rates the top performer by the end of the month. These reports provide a clear picture of the expectations coming along over the next quarter. Factors considered in the monthly reports are a number of contracts close, the number of deals closed, number of projects moved up the pipeline.