Business Category Business: career motivation and tips to move ahead

Sales performance definition

Any company that sells products to customers uses a form of sales performance measurement to evaluate an employee's quality of work and help pinpoint development areas.


Sales performance uses raw data concerning the number of customers a sales associate speaks to compared with the number of actual sales. By reviewing the sales performance of an employee, a sales performance manager can determine his strengths and weaknesses.


Sales performance can indicate the rate of customer loyalty to the business or a specific employee. Customer loyalty refers to customers who regularly purchase products from the business and refer other customers to the store. Enhancing sales performance can automatically enhance the number of loyal customers.


Meeting monthly sales quotas is another aspect of sales performance. Setting monthly goals for each employee based on her past selling records can help determine if she is sharpening her sales techniques or falling behind.


Sales performance can also indicate whether a department is overstaffed. By comparing the sales numbers based on the monetary amount spent on staffing, managers can determine ideal staffing levels.