GENERAL KNOWLEDGE

Detailed explanation-1: -A sales quota is the performance expectation that sellers must achieve during a set time period to earn their target incentive pay. Quotas are also called goals or targets and can increase seller motivation when opportunity varies by territory.

Detailed explanation-2: -A sales quota is a target sales reps are set for a specific period (month, quarter, year). Sales quotas can be set in dollar figures or in the number of goods or services sold.

Detailed explanation-3: -Sales quota provides a target to be achieved in particular duration, which increases the productivity. Commercial firms set up sales quotas in order to improve sales volume and increase the net profit of the organization. It can also be viewed as a standard to determine the effectiveness of sales unit.

Detailed explanation-4: -There are two main techniques that companies use to set sales quotas for their teams: The top-down approach and the bottom-up approach. The top-down approach is most common for enterprise organizations. If companies must hit a certain gross revenue, they can use a top-down approach to shape their sales quotas.

Detailed explanation-5: -A sales target is the number of products to sell in a given period to break even or make a profit. These targets should meet the forecasts of your business plan. Sales teams thrive on well-defined sales targets which are clearly defined during training sessions and in your sales plan.