In broader terms, performance can certainly be measured into two different groups so to speak. These are essentially the primary and secondary markers. Firstly the primary markers are the more direct outcomes such as the amount of cash sales and even profit. The secondary markers could refer to the activities that have been taking place such as face to face calls or even the amount of appointments that have been booked. This can almost be looked at like a funnel of sorts, with the secondary markers being wider part of the funnel and the primary sales measures would be the narrow end.

A good sales manager will need to know how to efficiently measures the performance of their team members. Although it may vary depending on where you are working, the sales measurement can usually be divided into two categories. For example the first category could be described as the primary measure, which will include the figures of the amount of sales made and even the associated financial information, such as the profit margin. Then the secondary measure will consist of the various activities taken to reach the sales, such as the amount of visits made to various customers or existing clients.

Many people in sales roles believe that the best way of improving any aspect of anybody's work in the sales industry is to make the effort to measure it. If something is measured, the sales person will soon realise that it is important and will make an effort to perform well at it. If something is recorded, it can be used in one to one situations with your team members and can then be improved upon. It does make sense really and can also be used for team members to see how they are performed compared to their fellow members of the team.

A sign of a good sales manager is one that can ensure that their team improves on their secondary targets without neglecting their primary goal of making sales. For example if the target is miscommunicated in any way and a sales person looks to focus their attentions on a secondary goal such as making more visits, it's likely to have a negative effect. People will do what is necessary to increase their performance at a measurement and can result in them repeatedly contacting customers that are unlikely to lead to sales. This will ultimately be your doing and as a manager you will need to put it right!