Sales Management Vocab I

The process of building and maintaining long-term relationships with existing customers to ensure they are satisfied and continue doing business with the company

Strong account management helped the company keep its most important clients for over five years.

The rate at which customers stop doing business with a company over a specific period of time

The company lost many subscribers last year, so they created a plan to reduce customer churn.

The final stage of a sales process where the salesperson asks the customer to make a decision and complete the purchase

After several meetings and presentations, the salesperson moved to closing by asking the client to sign the contract.

The practice of contacting potential customers by phone or in person without any prior relationship or appointment

Cold calling can be challenging, but it is still an effective way to find new customers in some industries.

Extra money that a salesperson earns based on how much they sell, usually calculated as a percentage of the sale price

He earned a large commission after closing the biggest deal of the quarter.

The percentage of potential customers who take a desired action, such as making a purchase, out of the total number contacted

Our conversion rate improved from 10% to 20% after we changed our sales approach.

Short for Customer Relationship Management; a software system used by businesses to organize and track information about customers and sales activities

The sales team uses a CRM to record every phone call and email they send to their clients.

A sales technique where you suggest related or complementary products to a customer who is already buying something

After the customer bought a laptop, the salesperson used cross-selling to recommend a protective case and a mouse.

An initial phone or video conversation between a salesperson and a potential customer used to learn about the customer's needs and determine if the product is a good fit

Before sending a proposal, the salesperson scheduled a discovery call to understand exactly what the client was looking for.

The process of predicting future sales results based on past data, trends, and current opportunities in the pipeline

Accurate forecasting helped the manager plan how many staff to hire for the busy season.

A model that represents the journey a potential customer takes from first learning about a product to finally making a purchase, with fewer people at each stage

Many visitors came to our website, but only a small number reached the bottom of the funnel and made a purchase.

A person or company that has shown some interest in your product or service and could become a customer

We received ten new leads after the marketing campaign last week.

The total amount of money a customer is expected to spend with a company over the entire time they remain a customer

The company focused on improving customer service because increasing lifetime value was more cost-effective than finding new customers.

The skill of responding to a potential customer's concerns or reasons for not wanting to buy in a way that keeps the conversation moving forward

Good objection handling helped the salesperson address the client's concern about the price and save the deal.

A list of all the potential customers or deals that a salesperson is working on at any given time

The sales team has several big deals in the pipeline that could close next month.

A potential customer who has been identified as a good match for your product or service and is more likely to buy than a general lead

The salesperson called the prospect to schedule a meeting and learn more about their needs.

A specific target amount of sales or revenue that a salesperson is expected to achieve within a certain time period

She worked very hard in December to make sure she reached her monthly sales quota.

A recommendation from an existing customer that introduces a new potential customer to your business

Most of our new clients come from referrals, because satisfied customers tell their friends about our services.

A defined geographic area or group of customers that a salesperson is responsible for

The new sales representative was assigned a territory covering the northern region of the country.

A sales technique where you encourage a customer to buy a more expensive or upgraded version of the product they are already considering

The store assistant used upselling by suggesting the premium model of the phone to the customer.