There are a few areas that are important to making sure you set people up for success both in setting KPIs and then in making sure they are realistic and achievable.
These ranges are for outbound reps and the numbers are 1.5-2x for inbound reps. Usually they need to run about 1.5-2x the number of appointments to get to this SQL number as well. These are rough estimates based on our work with 100s of startups and what we have seen mid and top-level performers achieve.
2. Don’t be scared to say “I f^%#ed up and we need to adjust.”
Having a high quota that only 20% of people hit on a monthly basis is also not good for culture or moral. We’ve met founders and sales leaders who set targets like this and then wonder why they have turnover. It probably means that your numbers aren’t realistic or your process has serious flaws. If it’s the latter then it’s your f*^% up as well for not setting them up for success.
Don’t adjust quotas for weak performers, but also be realistic that you may have made a mistake. Many founders that start hiring early set quotas based on what they did or their first few reps did which is completely UNREALISTIC. Why?
Jake Dunlap is the CEO & Founder of Skaled, which helps companies optimize their sales process, people, and technology to accelerate business growth for scaling success. As a C-level sales leader and entrepreneur with more than a decade of experience, he has developed and led high-performing sales and operational functions for both global 2000 organizations and start-ups, specializing in building out repeatable, sustainable processes. Since launching Skaled in 2013, Jake has been a highly sought-after industry thought leader, quoted by Forbes, Inc., and Huffington Post.