how to write a sales territory plan?

Right then.  The quarter didn’t go so well for you and now your executive management team has asked you to pull together a sales and marketing plan for your territory.  Now, your immediate reaction is to ‘go to the math’.  I see it every time.  You have this desire to pull together that standard powerpoint slide that shows a dollar amount you need to achieve and your math works backwards:

“if bookings are x and average order value is y then you need z number of sales.  You will achieve z number of sales by assuming you close 1 in 10 prospects which means you will now be trying to get g number of prospects from marketing and existing pipeline.  Please find attached a list of the prospects in my funnel.”

Plan done. Time to go home.  Wrong!  The math is only one very small component of a solid territory plan and is only applicable if you are large enough to sustain/rely on “run-rate business”.

What are the things that should be covered in a sales territory plan?

Well, before we get to that let’s go through a few basic questions.  For instance, why do you actually have to pull together a plan? Yes, I know you think it is an administrative task to mollify management but there is more to it.  When done right a plan can really help you understand the business needs of your customers and prospects and make sure you have all the information and tools to close business.  As well, a solid plan involves proactive metrics and information which lends to effective course correction and is a communication tool to others which allows you to focus more time on closing business and less time on the day-to-day bickering.

Writing a sales territory plan is a desired skill - in essence it is a small business plan for your patch and includes the strategic and the tactical.  The next basic question is what angle do you take for your sales plan? Is it for a geography (e.g. the west)? A vertical industry (e.g. financial services)? One of your product lines?  Just you?  Is it all of the above?  What are you and your team being tasked to achieve?  Simple questions but keep in mind that the answers will then determine who is involved in creating this plan (e.g. in product management, marketing, your sales team, partners, etc.).

Finally, what role does marketing play in your plan? This is not the place to usurp the entire strategic marketing plan for the company.  You know the one: it includes building brand recognition,  awareness and strategic goals for future offerings.  No, in your plan you need to address marketings role in demand creation: directly supporting you, the sales guy,  by creating demand, generating leads and moving new opportunities into your sales funnel.  Make sure you and your marketing folks clearly understand this and are on the same page.

Right then.  Lay it on me.  What are the components of a solid sales plan?

• one-page abstract that is a summary of the plan;

• general overview that analyzes performance as of today;

• identification and plan for existing opportunities (e.g. exploit a weakness, key accounts);

• identification and plan for new opportunities (e.g. “the math”, key accounts identified);

• address customer segmentation and develop strategy and sales tactics for each (e.g. this includes all your marketing, competitors, SWOT, partner relationships, etc.);

• what resources do you need to succeed and why? (e.g. marketing collateral, product presentations, new hires to address existing issues)

Please keep in mind that a sales plan assumes that the product pricing, features and capabilities are already known.  If they are not, then slip in a section that addresses this too.

OK, this is all really cool to get me started but what I really need is a specific outline that I can build my plan from.

Fortunately, we at Business Ready have whipped up a Sales Territory Plan outline so that when you present to the CEO, CFO, VP of Sales or other audience you make sure that you have covered all the elements of a solid plan.  Happy selling!