The Doctor is in

Sales Performance Challenges

I’ve talked to a lot of executives in the business-to-business world over the past 45 years and it seems that there are the same sets of issues that concern them.

Here they are.  As an exercise, why not record your level of concern about each of them by writing in the box next to each:

N (no concern);

C (concern) and

S (serious concern)

[   ]  Higher sales/marketing costs

[   ]  Unclear differentiation

[   ]  Clients with tighter budgets

[   ]  Lengthening sales cycles

[   ]  Increased competition

[   ]  A maturing marketplace

[   ]  New but more complex market opportunities

[   ]  Tighter sales support resources

If you have written several S's and C's, read on for some suggestions for what to do.  My position is that what are needed are not quick fixes, but permanent solutions to sales performance problems.

Sales training that doesn't have a reinforcement mechanism is a quick fix.

A permanent solution will come from implementation of a custom-tailored structured selling process, specific to your products, markets and culture.

Benefits

Once the selling process is in place you can expect:

*     Productivity improvement of at least 10% from your top salespeople and higher than that for other salespeople.

*     Newly hired salespeople to quota performance in at least 25% less time than before.

*     A far greater ability to predict month-to-month results.

*   More solid control of the sales function with an attendant reduction in frustration.

*   Better organizational focus on results rather than activity.

*   Understanding by all key individuals of how the selling process works and how they fit into it.

*   More effective use of sales support resources.

*   Retention of the salespeople you want to keep.

*   Reduction in sales costs as a percentage of sales.

*   Reduction in the average duration of the sales cycle.

Selling: a Team Sport

The offerings in many business-to-business industries are too complex to be sold by a single individual.  The sales person often needs the help of technical support, management, industry specialists, product managers and others.

You almost always sell to a committee, evaluation team or other group from the prospect's organization.  Truly, selling such products and services is a team sport ‑‑ our team selling to their team.

Teams that win follow a game plan ‑‑ one that anticipates what members of the opposite team will do and specifies what members of our own team should do.  The game plan is a structured selling process as modified for the specific prospect situation.

We know that most salespeople can learn the basics and execute a single event such as a sales presentation or a product demonstration.  The best sales people can put together all events (links) into a chain of activities to execute a sale.  The structured sales process provides a sales methodology that helps salespeople develop a common understanding of the events and the way they can be linked for success.

The sales process consists of the specific sales steps to sell the specific offering to the specific target market(s) based on the collective best ideas from within the organization.  Through it, the entire organization is geared to support the individual sales person. 

The Structured Sales Process

The foundation of the selling process is a highly structured sales cycle ‑ a set of steps taken by sellers to move prospects through incremental levels of commitment to the point where they agree to buy the product or service.  The sales cycle is a conscious, planned system of selling steps that are visible, logical and repeatable.

Each sales step should be defined in terms of:

·    Objectives of the step

·     Prerequisites for its success

·     Participants (both from seller and prospect organizations)

·     How to set up and prepare for the step

·     Post step activities

·     Sales tools to support the step

How to Build a Permanent Solution

1.  Develop a structured process for selling

The entire sales management team and one or two key sales and sales support people need to be involved in the specification of the sales steps.  You want to get as many fingerprints on the documentation of the process as possible.

I've done a lot of these and I must tell you it is tough work -- but worth the effort.  Having someone write a working draft of the step descriptions speeds the implementation.

See my book Integrated Sales Process Management for guidance.

2.  Develop sales tools to support sales steps

Sales tools are forms, checklists, brochures, sales obstacle scripts, sales presentation material, competitor information, user success stories, user lists, and other items used by salespeople to help move the prospect from one step to another.  You'll find many examples in the above mentioned book.

One of the key tools should be the file, note book or other medium that serves as the repository of information on prospects and customers needed by members of the sales team as they participate in sales events.

3.  Build sales management tools

It is not a good idea to load salespeople down with too much paperwork.  Yet, sales managers need certain information about each prospect so they can apply  resources effectively in the pursuit of sales.

In all of my sales effectiveness improvement engagements, I've installed a Prospect Status Report which presents no real burden on the sales person while serving as a powerful sales management tool.  It shows where each prospect is in the sales cycle, the products and revenue involved, the projected close date, and other pertinent information.  And all of this is recorded on a single line of the report.  An extension of this report serves as an excellent tool for forecasting revenues.

We usually also develop territory/account management tools and coaching/counseling guidelines for sales managers.

4.  Install the process

As with any process that involves cultural change, the sales process needs to be carefully launched.  All the materials, procedures, tools etc. must be ready for hand out when the sales process implementation meeting is held.

All members of the sales team: sales people, sales support people, sales managers, industry specialists, etc. should be involved.

Carefully go through each step definition and get agreement that everyone understands the step and their role in it.  Explain the sales tools; stress the importance of documenting information about prospects and the timely submission of prospect status reports.

A separate session should be held with sales managers to go over the coaching/counseling guidelines and other management tools.

5.  Inspect, Inspect, Inspect

Inspection (of reports, prospect files, adherence to the step process, etc.) is the key to improvement of sales productivity.  Without it people will gradually fall into their old habits and modus operandi and sales will again slip.

The structure and comprehensiveness of the sales process greatly facilitates the management ("inspection") that makes improvement permanent.