Troubleshooting a Remodeler’s Sales Funnel
Oftentimes, your dealers will have their hands so full running their businesses, that they will miss the big picture insights that can help them grow their businesses. Help your dealers sell more of your products by knowing what to look for at each stage of the sales funnel, and knowing what to fix if your numbers are off!
We’ll walk you through the whole sales funnel, all the way through the closed sale, with tips to tune up your performance at each stage.
Raw Leads to Qualified Leads
What’s a good conversion rate? 80-90%.
The portion of leads from a source who are interested in the product you sell is a simple metric to determine the quality of a lead source. If it dips below 80%, then the lead source is likely inundating your dealer with junk leads and distracting them from better lead sources.
How to boost performance? Cut low performing marketing channels
All of these metrics will vary by marketing source – if your dealers aren’t tracking sales results by each marketing source, you are forced to rely on guesswork! Our dealer software gives you off-the-shelf trackability for each of your dealers by each of their marketing sources. Let us know if you want that level of trackability to grow your market share!
Qualified Leads to Set Appointments
What’s a good conversion rate? 60-80%
If a lead is interested in a product you sell, then it is down to your dealer’s phone room team to book the appointment. This metric essentially measures how persuasive your phone team is.
How to boost performance? Provide a robust calling script. This is one great and scalable resource you can share with your whole dealer base to boost the whole team’s results.
Set Appointments to Issued Appointments
What’s a good conversion rate? 100%!
Some remodeling companies only send out a sales rep after their phone team confirms the appointment the day prior to the sales presentation. Make certain that your dealers are running all appointments, not just confirmed appointments!
How to boost performance? Rather than calling to confirm the appointment, have your dealers send a text message or an email, and then dispatch the sales team even if you don’t get any response – the lion’s share of people who don’t respond will still sit for the demo and close at a regular rate!
Issued Appointments to Sales Presentations
What’s a good conversion rate? 85% or higher
Also referred to as a “sit rate,” this is the portion of issued appointments that a sales staffer can deliver a full sales presentation at.
How to boost performance? Make sure that your dealers are sitting all of their issued appointments, including presentations to only one member of the household (a situation commonly called a “one-legger,” an old-fashioned term for what is now a common and very sellable prospective buyer).
Sales Presentations to Closed Sales
What’s a good conversion rate? 35% or higher
This is the metric of most concern to your dealer’s sales manager. It measures the individual efficiency of sales team members, and the overall efficiency of the department.
Since some sales departments don’t count partial demos towards this statistic, you should use the percentage of issued appointments to closed sales as your golden standard for dealer sales performance.
How to boost performance? Great hiring. Hiring experienced sales staffers will boost this statistic, so make sure that you are supporting your dealers in this direction. Providing sample job descriptions and guidance on where to post hiring ads online is a great place to start!
There you have it! A full remodeling sales funnel, from first inbound lead to the final closed contract. Particularly when you are ready to accelerate your dealer growth with a lead generation plan, it will be key that you can track and troubleshoot problems in your dealers’ sales funnels.
Looking for strategies to better grow, track, and train your dealers? Download our guide below!