Sales Ratio

According to the National Association of the Self-Employed, the average is 20 dials to get one prospect. Once you know your ratio, then you will know how many calls you need to make so that you can learn to the control the amount of income your choose.

For example, after 20 calls, you will find that only five are qualified, you schedule a presentation with those five. Out of the five, you close one, which means that your sales ratio is 1 in 20.

Here’s an example of the calls I made for the Silicon Valley Elite Leads groups for one month. The numbers are consistent with my original ratios from 1993 when I first began to track my efforts with the exception of the join ratio being typically about 10% higher. These calls however were “cold calls” or Approach calls as I prefer to think of them. When I include calls from member referrals I decrease my ratios by as much as 50%. I make a concerted effort to cultivate member referrals; not only because of the increased results, but the comfort level of a guest is much greater when they know someone who is already doing business with me.

I attribute the increase of my ratios to adding more and more value to doing business with me and increasing my member retention ratios by involving the members more in the process of the meetings as well as fine tuning my contact resources.