A great sales and marketing plan can be a game-changer for small businesses, often serving as the key to long-term success. However, crafting a comprehensive and effective plan can be challenging. In today’s episode of The Small Business Show, George Deeb—managing partner at Red Rocket Ventures, Forbes contributor, and author—joins us to share his expert insights and actionable tips.
Understanding the difference between sales and marketing
Before building a plan, it’s essential to distinguish between sales and marketing. Deeb explains that sales are a human-driven process focused on direct interactions, relationship-building, and converting leads into paying customers. Marketing, on the other hand, is a media-driven effort that aims to generate brand awareness and attract potential customers through advertising and other promotional strategies.
While both play distinct roles, they work best together—marketing draws consumers in, and sales converts them into buyers.
When to use sales versus marketing
Deeb emphasizes that sales are typically a business-to-business (B2B) strategy, where relationship-building is crucial for selling high-value products or services. Examples include dealership management systems (DMS), scheduling software like Calendly, or other enterprise-focused solutions.
Marketing, in contrast, is more common in business-to-consumer (B2C) industries, where broad advertising campaigns help reach large audiences. Social media ads promoting e-commerce products or mobile apps are prime examples of effective B2C marketing.
It all starts with a business plan
Before developing a sales and marketing strategy, small business owners must first establish a clear business plan. This plan should outline high-level objectives—whether it’s achieving a specific revenue target, increasing market share, or expanding into new customer segments. Once these goals are defined, business owners can determine whether sales, marketing or a combination of both will be the most effective approach.
Creating an effective sales plan
A strong sales strategy relies on three key factors:
- Hiring the right salesperson – Experience and industry connections are invaluable. Sales professionals with existing relationships in the field can shorten the sales cycle and drive faster results.
- Equipping them with the right tools – A salesperson’s success depends on resources like high-quality lead lists, a robust CRM system, and automation tools for streamlined follow-ups.
- Tracking performance – Setting measurable goals ensures accountability and progress. Businesses should track key sales metrics, such as revenue per salesperson, to gauge effectiveness.
Measuring success
The effectiveness of a sales and marketing plan ultimately comes down to results. If a business is increasing revenue and meeting its goals, the strategy is working. Deeb advises setting clear targets for both sales and marketing efforts:
- Sales: Revenue per salesperson, conversion rates, and average deal size.
- Marketing: Click-through rates, impressions, and return on ad spend (ROAS).
If any of these metrics fall short, adjustments may be necessary to refine the strategy.
Common mistakes to avoid
One of the biggest pitfalls Deeb sees among small business owners is failing to do the math. Many set ambitious revenue goals but don’t break them down into achievable steps. For example, suppose the goal is $5 million in annual sales. In that case, owners need to determine how many salespeople they need, what each salesperson’s quota should be, and how much should be invested in marketing to generate sufficient leads.
Without a well-calculated plan, execution will likely fall short.
Final thoughts
Deeb stresses the importance of constant measurement and optimization. Businesses should aim for a range of five to ten times return on their sales and marketing investment, ensuring every effort contributes to growth. By tracking progress and refining strategies, small businesses can set themselves up for long-term success.
“If the math doesn’t add up during your planning process, it won’t add up when you go to execute.” – George Deeb
