Plan a Profitable Marketing Campaign

Determine the sales goal you would like to achieve with your campaign. For this exercise we will use $50,000. Determine your company’s average sale. Let’s assume your average sale is $1,000. Divide the sales goal by the average sale. This will indicate the number of closed sales needed to meet your goal. For example, $50,000 / $1,000 = 50 sales.

Divide the number of closed sales anticipated by your existing or historical close rate to determine the number of sales opportunities needed. This is the overall percentage of closed sales you achieve compared to the total amount of opportunities perused. We are assuming a close rate of 20%. 50 / 20% = 250 sales opportunities. Determine how many targets (qualified leads) you need to pursue. Divide the number of sales opportunities by the response rate.

The response rate is the percentage of targets that respond to your campaign initiative and will become opportunities. It usually ranges from 1% to 5%. We will assume 2%. 250 / 2% = 12,500 targets. Solicit, invite and telemarket 12,500 qualified leads to achieve your sales goal (using this example). Of those 12,500 targets, you should anticipate 250 opportunities. From the 250 opportunities, 50 will become a sale. From this marketing compagain , we are forecasting $50,000 in closed sales. Now, compare this amount with the total cost of the campaign.