Real vs. Wishful Sales Forecasts

Ian Altman discusses the difference between real and wishful sales forecasts on the Same Side Selling podcast. He emphasizes that salespeople are optimistic by nature and often provide unrealistic forecasts, especially when deals are forecasted to close at the end of the month, which frequently get pushed to the next month. Altman advises sales managers to ask more probing questions to uncover the true status of deals, such as understanding the client's motivations and alternatives. By focusing on meaningful questions, managers can identify real deals faster and improve sales accuracy.Biggest MistakesIan elaborates on the issue of salespeople providing optimistic forecasts, often citing vague dates like the end of the month, which are more hopeful than realistic.He points out that salespeople may delay providing specific dates to maximize the time available to close a deal, which can lead to unrealistic expectations.Ian advises sales managers to question the rationale behind forecasted dates, especially if they are the last day of the month, to uncover whether the date is truly constrained by the client's schedule or merely a hopeful estimate.He suggests that managers should probe deeper into the reasons behind the client's decision-making process to understand their motivations and alternatives, which can help in distinguishing between real and wishful forecasts. Best PracticesIan recommends asking more meaningful questions during sales meetings to uncover the true status and likelihood of deals, such as what would happen if the client did not choose the salesperson's company, and why the client might choose an alternative.He emphasizes the importance of understanding the client's motivations and the significance of specific dates, as this can provide insights into the client's decision-making process and the likelihood of closing the deal.Ian advises sales managers to encourage their teams to think from the client's perspective, focusing on what the client needs to believe in order to make a decision, rather than just relying on optimistic forecasts.He suggests that by consistently asking these types of questions, salespeople will be better prepared and more likely to identify and pursue real deals, leading to faster and more successful outcomes.