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9 Examples of a Sales Quota

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A sales quota is a revenue target that is set for sales departments, teams and representatives for a period of time such as a month or financial quarter. In addition to revenue, additional targets and conditions may be attached to a quota such as a minimum gross margin. The following are common examples of a quota.

Revenue Quota

A monthly or quarterly revenue target such as a software salesperson with a quota to close $100,000 a month.

Unit Sales Quote

A quota based on a number of units such as 22 cars a month.

Customer Acquisition Quota

The number of customers you sign in a month. For example, a data services sales team with a quota to sign 50 customers a month.

Cross-Selling Quota

A quota for add-ons of related products and services. For example, an electric car salesperson with a quota to sell 15 charging systems a month.

Up-Selling Quota

A quota for upgrades. For example, a cloud platform salesperson with a target to upgrade 5 existing business customers every month to a more expensive enterprise version of the service.

Margin Quota

A target for average margins such as a salesperson for a homebuilder with a target to achieve 30% gross margins in a quarter.

Activity Quota

Quotas for sales activities such as demos and proposals. For example, an aircraft sales person who is expected to deliver at least 10 demos a month.

Retention Quota

Sales people who are expected to manage customer relationships and retain accounts may have a retention quota such as a 90% customer retention rate in a year.

Lead Generation Quota

A quota for generating qualified leads such as 100 leads a month.
It is common for sales commissions and incentives to be tied to a quota. Setting sales quotas is a sales management function that involves a tradeoff between aggressive quotas that are difficult to achieve or quotas that set realistic expectations. In some cases, aggressive quotas backfire as they decrease motivation and become more of a dark joke that a serious target.
Overview: Sales Quota
A revenue target for individual salespeople, teams and departments.
Motivation and goal setting
Related Concepts
Next: Sales Goals
More about sales management:
Customer Data
Deal Desk
Demand Risk
Goal Setting
Lead Generation
Production Line
Revenue Operations
Sales Cycle
Sales Goals
Sales Management
Sales Objectives
Sales Pipeline
Sales Planning
Sales Process
Sales Quota
Sales Risk
Sales Strategy
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