There’s no getting away from acronyms, I’m afraid, and I am guilty of using a few myself, though usually I say them in full first. I thought it might be helpful to list a few, in case you come across them and don’t want to ask! Feel free to add!
- ABC – Always Be Closing. I’m not a fan of this phrase as the best sales come from opening, and keeping open the pipeline for future selling. However, Always Be Closing is a standard sales phrase meaning you should get the deals done!
- CAC – Client Acquisition Cost – a way to calculate how much it costs to bring on each customer. eg. (Salaries + bonus/commission + marketing + costs of delivery + overheads) divided by the number of clients during the same period.
- CR – Conversion Rate – out of your leads, how many end up buying. eg. Out of 10 prospects, if 1 buys you have a CR of 10%. If 5 buy you have a CR of 50%. The higher this is the better. If it’s low, or dropping, check your sales process to find out where.
- CRM. Customer Relationship Management software. This is a database with all your contacts in one place. Also has whizzy insights, automation and pipeline management tools if you get the right one.
- CTA – Call to Action – usually an image or text urging the prospect to do something, eg. Click here, get in touch, buy now.
- CX – Customer Experience – the journey of your buyer through awareness, through to consideration, decision and beyond.
- FAB – Features, Advantages, Benefits (check a past blog for this)
- KPI – Key Performance Indicator – measurements and benchmarks against which certain performance is measured, eg. How well the company is performing against its competitors, or if a team member is carrying out duties to the right level, or customer satisfaction is at the right point.
- L2S – Lead to Sale – the amount of time it takes a lead to progress to a sale, it can be from the top of your pipeline to the sale or from a sales qualified lead, just be consistent. Once you have a great conversion rate, the lead to sale time period is the next metric to work on – shorter the better (without dropping your conversion rate!)
- LTV – Lifetime Value – how much each client is worth over the whole relationship with you. You want this one to be high.
- MQL – Marketing Qualified Lead – someone that has interacted with your marketing materials, eg. Signed up for your monthly news, downloaded a form etc. Usually at the top end of your sales funnel.
- ROI – Return on Investment – what it says, really – you pay for something (invest) and get a return from it, either in value, goods or perceived benefit
- SQL – Sales Qualified Lead – someone that has a high level of interest in buying and fits your prerequisites (eg. Has the right budget, in the right location etc). Sales reps definitely talk to these guys
- USP – Unique selling point or proposition. This is the factor that sets you apart from the competition. It could be lowest cost, best feature or first ever widget etc.
There are many, many more.. but these are those I probably use the most. I might make a few more up for fun too..