sales for non salesmen

These materials can be reproduced only with official approval from Rocket Builders. Entire contents © 2003 by Rocket Builders Canada Limited. All rights reserved.

Sales for Non Salesmen

UBC Sept 25 2003 Vancouver BC

23-04-19 Sales for Non Salesmen Rocket Builders

We are experts in:• building revenue through proven sales methodologies

• building market capabilities through partnering programs

• building processes that lead to winning products

Rocket Builders is a consulting group focused on helping technology companies identify and capitalize on market opportunities.

These materials can be reproduced only with official approval from Rocket Builders. Entire contents © 2003 by Rocket Builders Canada Limited. All rights reserved.

Better Sales. Better Partners.Better Products


Agenda Face to face selling is changing A process is needed The cost of not having a process Sales models

Traditional.Leveragable.

Closing. References.


F2F sales have changed

Geoffrey Moore calls this the leaky pipe era.

It will be easier to sell products/solutions to solve or patch critical “leaks” in a system

It will become more difficult to sell major overhauls to systems


How the Moore model worksMarketing drives a meeting wrto a

critical pain point.e.g Computer Associates TV commercial

Your evidence supports your solution.Earn your meeting at a top level.Use the referral path.Concentrate on the top five deals.


It is based on a process.Define project objectives.Define a ‘best practice’ process.Define desired outcomes.Given the process and outcomes,

detail the necessary activities to get needed results.

Because you have fewer resources these days, you work with the end in mind!


The Top Sins of Selling ( Selbie 2001)

Calling at non-decision making levels. How often do your sales people meet

with senior management within your customer’s organization?

A belief that it's a "closing problem", when it's always a "qualifying problem".Why do twenty percent of the sales

people in the world make eighty percent of the commissions available?


Failure by the sales force to follow a consistent sales process.How accurate are your sales force's

revenue forecasts through the years?The premature proposal trap.

What is the fastest way to get rid of a sales person? (Ask for a proposal.)

Not having a documented sales plan with measurable goals and objectivesHow confident are you in your

existing documented sales plan?


Failure to utilize the most effective sales weapon you have- your existing customers.How many letters of reference from

existing customers do you have on file?Thinking that “software” alone will

correct an inconsistent or ineffective sales process. When has software corrected bad

accounting practices?


The cost of not having a process.

Revenue Staircase

MARKET POSITIONING

MARKET DEVELOPMENT

SALES CAMPAIGNS

SALES MANAGEMENT

Time

$


Traditional Sales Model

1. Direct2. Manufacturers Rep. 3. Distributors4. And/or In-house Support

Engineer.

“Put more men on the job!”


Leveragable Sales Models

1. OEM.2. Customer as salesman.3. 100% partner sales.4. Direct Internet.5. Product as salesman.


Leveragable Sales Models (cont)

6. Co-Marketing 7. Partnering on markets8. Contra 9. Remote selling tools10.Use your Specialist11.Websales


Leveragable Sales Models (cont)

12.Target lighthouse accounts 13.Leverage the tradeshow 14.Use your customers 15.Use your small size 16.Free trial (dying)


OEM deals

1. They put their name on it.(White box.)

2. You build and license it to them.


The OEM SaleWhy do it?

Revenue.Validate your product with market

leaders.Gain insight into a new (for you)

market.You may not be ready to directly

enter this market.


The OEM partner

What’s in it for them?Product not a strategic build, but

whole product sale needs it.You are faster, cheaper and

better at building it.Buying frees their people to work

on higher value tasks.


Is OEM for you?

Cash flow to survive the 18 month Valley of Death.

Sales revenue will be lost if their product does not have this.

Marketing drives sales such that your product will be spec’d in by their Product Manager


OEM Service and Support?Sales effort can be less than direct.Revenues increase as you add

professional services.Your support drives OEM product

adoption rate:Satisfaction is up.Rejection rates are down.Revenues accrue earlier.


Rocket Builders Rules for OEM sales

1 in 20 deals survives and works.It’s work the big partner does not

want to do.You do all the dirty, difficult work.They make the most money.


Dell model.Customer tells you what they

want to buy.Simple, configurable – a tough

business.Drive to operational excellence.

Customer as Salesman


100% selling through Partners

YKK model.Patent on locking zipperNo manufacturing, license only

Be the gorilla.Have the critical mass.


Direct (Internet) Marketing

Internet spam is an example.E.g. Mini webcam.Lots of documentation on how to

do.Strong Simple Value Proposition. Handle with telesales.


Product as SalesmenQuicktax

If you want to access this feature – upgrade.

Activestate – “free” product until it is in a commercial release.

Pilot projects that give a daily indicator of the ROI.


Co-Marketing OneFind companies with

complimentary products or services that need information /leads from the same target market. Eg. If two customers shared the

same resource, you could do market research sales for both.


Co-Marketing TwoDevelop alliances/partnerships

where each company represents the other in business development efforts in the same market. You may share channels, business

development and or complimentary products.


ContraThe exchange of services or

products that mutually benefit both companies.Once the domain of large distributors,

it is not always a monetary exchange.


Use your Technical SpecialistThis obtains trust at the technical

level and work as you move to the 2nd and 3rd level of the sale.

We call this the service manager sale


Websales You need to touch each customer nine

times before they say yes Use products to facilitate demos,

conference calls and product walkthoughs Placeware, Webex, Genesys, Netmeeting. for

demos Tagline for conference calls Hidden pages on your website for customer

presentations


Target Lighthouse accountsPure Geoffrey Moore

Looking for validation and proofClients who swing a big influence

stick


Leverage the tradeshowDo more than just go. Plan to win. You do not always need a booth


Use your customersHave them help you find new

customersUse them in good and bad timesGo back to the tableReferences, references


Use your small sizeYou are nimbleThey are talking to the decision

makerThere is no need to waitOutrageous service starts with you


Free trial (dying)Use the free trial that partly dies

after 90 days method. Eg Protexis or The 2 hr Palm


ClosingSurvival requires:

Innovation. Maintenance of unfair

competitive advantage.Operational excellence in your

own house. Climbing the sales margin ladder

with help from others.


References

Mike Sattterfield. Driving the OEM Deal. R&R March 2002

Wyatt Mullin and Colin McWhinnie, Sales on a Shoestring , R&R May 2003

Geoffrey Moore. March 2003. Acetech 2003.

Clayton Christenson – March 2003. HBS Working Knowledge paper


Reg Nordman

[email protected] 1122 Mainland Ave. Vanc.www.rocketbuilders.com

Better sales , better partners, better products.

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