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Page 1: Executive program in sales management final

Executive Program in Sales ManagementMARKETING

Page 2: Executive program in sales management final

Nick’s Bio - Highlights Career:

ComputerLand Canada◦ 8 Years in Sales and Sales Management◦ Director of Marketing

Softchoice Corporation◦ VP of Sales◦ VP of Marketing◦ SVP of HR◦ SVP of Business Development

CultureByBrand

Personal:

Volunteering◦ Led teams to Ghana, Rwanda, Bali,

Sri Lanka, Kenya, Uganda and Guatemala

◦ Board Member for The Strongest Oak

Fitness◦ Master’s Swim Club member for 22

years◦ Club President

Married with one daughter

Page 3: Executive program in sales management final

AgendaMonday:

1. Accelerating sales force performance (in the Age of Social Media)2. The Crucial Connection between your Brand and your Company Culture3. Integrated Planning: Marketing, Sales and Customer

Friday:4. Fundamentals of Market Segmentation5. Developing and Implementing Sales and Customer Plans6. Conducting Effective Forecast Reviews7. Frameworks and tools to develop segment and customer-level value

propositions

Page 4: Executive program in sales management final

Shared Values

Page 5: Executive program in sales management final

Two ways to drive company financials:

Decrease Costs

Increase Revenue

Page 6: Executive program in sales management final

LeverageRevenue

Expenses

Productivity

Understand Customer

Needs

Create ValueDeliver

Manage

Page 7: Executive program in sales management final

What Challenges are you Facing Today?Internally and Externally

Page 8: Executive program in sales management final

Groups

Group 1 Group 2 Group 3 Group 4 Group 5Mike Martin Don Macfarlane Robert Greene Shaun Keogh Waylon SharpMurray Hunter Ricky Dowell Mark Karsseboom Lawrence Levinson Flavio FerreiraRob Lee Judy Williams Praveen Muruganandan Tim Hunt John BentonMarco Mathieu Doug Fox Lee Harney Rudy Mancini Michael Hachey

Joel Burton

Page 9: Executive program in sales management final

PriceCustomer Service

Product KnowledgeSupplying Information

Selling a ProductCommunicating Value

RelationshipsSelling

Presenting

ValueCustomer Collaboration

Customer Industry KnowledgeProviding Insight

Delivering Business outcomesLinking Challenges to solutions

Connection to Communities of InterestServing

Engaging

The Old Way-------The Continuum--------The New Way

Page 10: Executive program in sales management final

Accelerating Sales PerformanceIN THE AGE OF SOCIAL MEDIA

Page 11: Executive program in sales management final

Accelerating Sales Performance

Option 1:

Work HarderBe More AggressiveWork more HoursSkip Lunch

Option 2:

Work SmarterRight Place – Right TimeSystematic ApproachCreate Leverage

Page 12: Executive program in sales management final

Sales People

Marketing- Broad Appeal- Making the Phones Ring- Warming up the market

Sales- Where a knowledgeable

person makes the greatest impact

Does Cold Calling work these days?

Page 13: Executive program in sales management final

Do You Feel Like This?

Sales

Marketing

Page 14: Executive program in sales management final

Audit What are the 6 elements of marketing

Where are you strong? Weak?

What are the gaps

Something like the strategy canvas……

Plot ratings

What are the issues

Page 15: Executive program in sales management final

The Funnel

Everyone

Suspects

Prospects

Customers!

Page 16: Executive program in sales management final

The Old Way

Page 17: Executive program in sales management final

How Social Media Changes Everything

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Finding Information

Chevy Volt

Page 19: Executive program in sales management final

Advertising

Email Direct Mail

Cold Calling

Traditional Marketing

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Content Marketing Attracts

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In the future there will only be Content Marketing

- Seth Godin

Page 22: Executive program in sales management final

What do you have to say?

What is your company’s Unique perspective?

Why should prospective clients have an interest is what you think?

What are the real issues in your industry?

Whose thought leadership do you follow?

What help can you offer beyond what is obviously good for your company?

Page 23: Executive program in sales management final

Groups

Group 1 Group 2 Group 3 Group 4 Group 5Flavio Ferreira Rudy Mancini Praveen Muruganandan Don Macfarlane Mike MartinJudy Williams Shaun Keogh Joel Burton Lawrence Levinson Ricky DowellWaylon Sharp Michael Hachey Rob Lee Tim Hunt Mike KarsseboomMarco Mathieu Robert Greene John Benton Murray Hunter Doug Fox

Lee Harney

Page 24: Executive program in sales management final

Intersection

Page 25: Executive program in sales management final

The Marketing to Sales Funnel

Awareness

Consideration

Hit Rate

Traditional Marketing Content Marketing

PUSHMktg Interrupts

Sales Cold Calls

Sales Discovery & Advocating

Marketing Offers Sales

Closes

PULLProvide Value

that Spreads

Warm Lead Transfer from Marketing to

Sales

Marketing Offers Sales Closes

Social Media

Page 26: Executive program in sales management final

X $6k Annual GP = $1.3M GP

New Customer Acquisition Funnel (Example)

Identified

MQL (Mktg Qualified Lead)

SAL (Sales Accepted Lead)

SQL (Sales Qualified Lead)

New Customer Sale Close 216

Unique Views15%

Conversion %Sales Stage Volume

30%

80%

60%

20%

50,000

7,500

2,250

18001080

Page 27: Executive program in sales management final

The Role of MarketingDepartment Understand Customer

Needs Create Customer Value Deliver Customer Value Manage Customer Value

Marketing

Conduct formal marketing research

Monitor Communities

Understand Customer Pains

Customer visits

Market segmentation matrix

Competitive analysis

Measure, segment customer and product

attractiveness

Develop Marketing Plan

Develop Segment Specific value propositions

Pricing strategy and tactics

Write Blogs

Create Content (Buyer’s Guides, White-Papers)

Train Sales People on strategy, tactics,

products, etc.

Buying Keywords for search

Accompany sales on periodic sales calls

Manage Events, Webinars and Seminars

Seed Content

Customer Satisfaction measurement and

reporting

Customer listening (twitter, etc.)

Marketing Automation (Mailing Lists, campaign

lists)

Sales ReviewsSegment, customer, product mix review

Brand and Culture Alignment

Website Processes

Manage Segments for Profitability

Page 28: Executive program in sales management final

The Role of SalesDepartment Understand Customer

Needs Create Customer Value Deliver Customer Value Manage Customer Value

Sales

Sales Calls

Develop specialized knowledge of

customer’s industry and business

Join Industry forums or LinkedIn Groups

Go where they are sharing info or looking

for solutions online

Develop Sales Plans

Develop Key Account Plans

Develop customer specific value propositions

Collaborate with Marketing re: new ideas

Customer Value Proposition delivery

Establishing service level agreements

Forward, Like or Post valuable content

Invitations to webinars, seminars

Participate in Customer Sat measurement

Be the voice of the Customer to product

management

Conduct Sales Reviews with Marketing

Get Paid for Value being delivered to customer

Manage Customer relationships for long

term profitability

Page 29: Executive program in sales management final

Marketing and Sales United

Marketing Activities

Content

Promotion

EventsSales Engagement

Sales Training

• ‘Like’ content• Email & Promote• Team Contests• Win Funds

• Webinars• Local Events

• Email • Social Media• Search Marketing

(Google Adwords)• Digital Advertising

• Sales Meetings• Regular Training• Certifications

• Blogs• eBooks • Web• Print

Page 30: Executive program in sales management final

Branding“A PROMISE CONSISTENTLY KEPT”

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Page 32: Executive program in sales management final

Who do you trust?

Page 33: Executive program in sales management final

Build Culture & Brand Alignment

Values Behaviours

Culture Brand

Me

We

Internal External

Page 34: Executive program in sales management final

What Brands do you Love?

Why?

Page 35: Executive program in sales management final

Culture is the Elusive Link

Company A Company B

Page 36: Executive program in sales management final

Emotions Rule our Choices

Page 37: Executive program in sales management final

Branding Model (Example from Level5 Strategy Group – BrandMapTM )

Page 38: Executive program in sales management final

Personality/Emotional Attributes of Your Brand

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Your Brand Identify 3 words that describe your brand

Find a partner – share your 3 words

Review your partner’s company (Anything you can find on the web)◦ What are the consistencies?◦ What are the inconsistencies?

Page 40: Executive program in sales management final

Desired Culture Values

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Espoused Values What are your Company’s Espoused Values? Are they real for you?

How do you represent them on a Sales Call?

Do you refer to them in presentations?

Page 42: Executive program in sales management final

Culture

What is your role in building a strong Culture?

CultureA Promise

ConsistentlyKept

Brand

Page 43: Executive program in sales management final
Page 44: Executive program in sales management final

What Are Our Basic Needs and Growth Needs

Evol

ution

of P

erso

nal C

onsc

ious

ness

Satisfying your physiological needs for security;staying alive and keeping your body healthy.

Satisfying your emotional need for belonging, protection and connection.

Satisfying your emotional need to be recognized for your skills, talents or qualities.

Satisfying your need for autonomy, freedom, independence and adventure.

Satisfying your need for authenticity and finding meaning and purpose in your life.

Satisfying your need to actualize your purpose by influencing or impacting the world around you.

Satisfying your need to leave a legacy—to have led a life of significance that will be remembered.

Growth Needs

Basic Needs

At any given moment in time, our values are a reflection of our unmet basic needs, and the growth needs associated with the stage of psychological development we have reached.

Page 45: Executive program in sales management final

Marketing PlanningTHE KEY TO SALES EXECUTION

Page 46: Executive program in sales management final

Meaningful Vision

Page 47: Executive program in sales management final

• Revenue Growth• SGA as % or

RevenueKPI • Cost of Customer Acquisition

• Business MixKPI• Sales % of Plan• Growth Rate• Sales Comp as % of

Revenue KPI

• Customer Retention

• Customer Satisfaction

KPI

Planning

Strategic Plan

Marketing Plan Sales Plan Customer

Plan

VisionOverall Business View

3-5 Year HorizonFinancial GoalsCompany StructureLeverageInvestment

Market-Centric- 1 Year HorizonWhat Segments?What Offers?What Competition?DifferentiationMarketing Spend

Execution-Centric- 1 Year HorizonTerritoriesCoverageSales CompBusiness MixBiz plan for each market

Customer-Based- Quarterly or AnnuallyCustomer Value PropositionGrowth GoalsObjectives

Page 48: Executive program in sales management final

Planning Dynamics – B2B

1. High Volume Transactions – Each has a Small $ value◦ Target Prospects are unknown

2. Moderate volume of Transactions with Moderate $ Value◦ Roles of people who are target prospects

3. Low Volume of Transactions – Each has a High $ value◦ Target Prospects can be named

Marketing PlanSales PlanCustomer Plan

Page 49: Executive program in sales management final

Marketing Plan Elements

Section 1: Market Analysis

Section 2: Situation Analysis

Section 3: Marketing Strategy

Section 4: Implementation

Section 5: Financial Summary - Outcomes

Page 50: Executive program in sales management final

Section 1: Market Analysis

Macro Environment

Economy

Legal

Technology

Market Analysis

Industry

Competitors

Market Trends

Market Size and Share

Customer

Buying Decision

Demographics

Problems

Internal

Vision

Co. Culture

Resources

Page 51: Executive program in sales management final

Section 2: Situation Analysis

Situation

Opportunities

Threats

Strengths

Weaknesses

Key Issues

Critical Success Factors

Page 52: Executive program in sales management final

Section 3: Marketing Strategy

What are we Selling?

• Products• Services• Mix and Lifecycle• Portfolio Analysis

Who do we sell it

to?

• By Product• By Segment• By Geography• By Channel

Value Proposition

• Pricing Strategy• Margin Objectives• Angel Customers• Demon Customers

How do we Sell it?

• Sales Force• Social Media Plan• Website • Advertising

Page 53: Executive program in sales management final

Section 4: Implementation

People

• Hiring• Training• Incentives

Process

• Changes in Workflow

• Approvals• In-Process

Measures

Systems

• Systems Requirements

• Reporting

Contingencies • What-if Scenarios

Page 54: Executive program in sales management final

Section 5: Financial Summary

Desired Outcomes

• Measurements• Timing

Assumptions • Explicitly stated

Numbers

• Revenue and Margin• Costs• By Segment/Geo

/Product Line

P&L• Profit(Loss) Impact• Balance Sheet

Page 55: Executive program in sales management final

Planning Benefits Creating Alignment

Locking in on Strategy

Clearly defining roles and responsibilities

Agreement on Objectives, key measures and desired outcomes

Making the goals (numbers) add up

Page 56: Executive program in sales management final

SegmentationIDENTIFY MEANINGFUL GROUPS OF CUSTOMERS

Page 57: Executive program in sales management final

1. Understand Customer

Needs

2. Group Customers

3. What are the Most Attractive

Groups?

4. Develop Value

Propositions for Target

Groups

5. Develop Go To Market Strategies

Segmentation Principles

Businesses Need to beProfitable

Different customers

have different value drivers

Who do you

choose to serve?

Page 58: Executive program in sales management final

Understanding Customer Needs

Page 59: Executive program in sales management final

What are you looking for?

How have you grouped your customers today?

How do you know that what they are asking for is a “market”?◦ What is an attractive group?

Geography

Demographics (age, gender, etc)

Buying Patterns

Size of Customer

Value of Customer

Industry

Benefits

Customer Needs

Interests

Values

Attitudes

Behaviour

Page 60: Executive program in sales management final

Segmentation Matrix

Market Segments

Customer Segments

Page 61: Executive program in sales management final

Segmentation Matrix (Example)

Premium Performance Value

Professional • Willing to pay top dollar for top quality and features

• Risk averse

• May consider price premium if features are relevant

• Is price conscious but will not accept low quality

• Accepts fewer features

Hobbyist • Willing to pay top dollar

• Willing to pay more if there is a reason

• Wants competitive pricing

Casual User • Will pay for the cool factor

• Product quality and reliability are drivers

• Price is a big factor in what to buy

Mar

ket S

egm

ents

Customer Segments

Page 62: Executive program in sales management final

Customer Value Propositions

Premium Performance Value

Professional • Top of the line Pro Full Frame SLR Cameras with top of the line lenses

• Service Plan

• Not top of the line but next level down

• Product One generation old

• Refurbished lenses?• Service: pay as you go

Hobbyist • Top of the line Compact System w/ interchangeable lenses

• Instructional classes

• Top of the line with one good general purpose lens

• The best combination of features and a great price – a bundle

Casual User • Compact Pocket Camera with all the Bells and Whistles (Wifi)

• Good Product – good warranty – good price

• Basic Camera for occasional use

Mar

ket S

egm

ents

Customer Segments

Page 63: Executive program in sales management final

Segmentation Demands Data

Premium Performance Value

Professional • Number of Customers• Revenue• Growth• Profitability• Market Share

• Number of Customers• Revenue• Growth• Profitability• Market Share

• Number of Customers• Revenue• Growth• Profitability• Market Share

Hobbyist • Number of Customers• Revenue• Growth• Profitability• Market Share

• Number of Customers• Revenue• Growth• Profitability• Market Share

• Number of Customers• Revenue• Growth• Profitability• Market Share

Casual User • Number of Customers• Revenue• Growth• Profitability• Market Share

• Number of Customers• Revenue• Growth• Profitability• Market Share

• Number of Customers• Revenue• Growth• Profitability• Market Share

Mar

ket S

egm

ents

Customer Segments

Page 64: Executive program in sales management final

Group Work - Segmentation

What are the variables in your industry?◦ What are the driving needs?

Page 65: Executive program in sales management final

PersonaREAL EXAMPLES THAT FIT YOUR SEGMENTATION

Page 66: Executive program in sales management final

Shaun B.IT Manager, ABC & Partners

Existing Account | 35 Seats | Canada

Key demographics:- Single, 33 years old

- Middle class Vancouverite- University graduate

Key psychographics:- Hates wait

- Prefers websites over people- Early technology adopter

- Driven by price and promos

Key marketing insight:- Price & availability trumps value-add

message

Emer

ging B

usines

s

( Sub

-50

PCs )Shaun works at ABC & Partners, a fast-paced entertainment law firm in the lower mainland of Vancouver. Because he’s the only IT employee in the office, he often wears many different hats – one day, he’s the primary IT decision maker. Some days, he’s tech support. But one thing is constant – he’s always the IT purchaser.

Shaun has his favorite sites for IT – bestbuy.ca for the one-off retail purchases, and XYZ.com for more sophisticated IT products like servers and software licenses. It’s not uncommon for Shaun to use Google to search for product too. His cousin works at Microsoft, and suggested he give Softchoice a try for his IT needs.

Off the bat, he wasn’t impressed that he had to wait for a buying account. When he received his confirmation email the next day, he visited his new customer portal page.

For the past month or so, Shaun has been using softchoice.com for some of his IT needs. He really liked how peppy the search results were – Shaun is notoriously impatient, and has often left websites (and not returned) if it took longer to load a page than he thought it should.

One of the things Shaun found lacking was a central location for *real* deals and offers - he looked at the promotions section, but wasn’t impressed – it looked like static content.

Sean spends more time online than off – he views most online ads as clutter, but does look at (and sometimes clicks) sponsored links in search engines and sites like linkedin.com.

Unique user goals:- Locate sweet deals ASAP- Self-service tools- Email/txt notifications

Marketing opportunities:- Focus on price point & push run-rate- Notification system for best offers- Feed ego (small biz like to think of themselves as big biz)- Create EB destination point- Viral/WoM

www

scc.com

@scc

@www

g

Key customer touch points:

Page 67: Executive program in sales management final

Sharon C.Lead Purchaser, DDX , INC

Existing BA | 650 Seats | North America

Key demographics:- Married, 37 years old

- Middle class working mother- University graduate

Key psychographics:- Prefers people over websites

- Views technology as a means to an end-- Worried about budget- Driven by saving time

Key marketing insight:-Find them a better way and they’ll stay

Smal

l-Mid

-size

d Busi

ness

( 50-

999

PCs )Sharon has been in the IT industry for nearly 15 years, but has always viewed technology as a means to an end. Sharon leads the team that is responsible for procuring IT product for her entire organization. DDX, INC is a leading North American provider of window fashions. On average, Sharon and her team place 15 orders a week, mostly off their standards list.

A people-person through and through, Sharon has a solid relationship with her Softchoice account team. She rarely used the old softchoice.com – she didn’t mind how it looked, but she could never find what she needed, and ended up calling her ISAM Billie for pretty much everything.

Because her orders are typically off a standards list, Billie has politely been encouraging Sharon to move most of her ordering online.

As a result of her past experience with the website, she was wary to try the new softchoice.com. Billie encouraged her to join a web demo to learn about what the new site has to offer.

Sharon took the tour, and although she agreed to try the site out for the next few weeks, she continued to call Billie for most of her purchasing needs. Sharon did try using Active Quotes with Billie, and enjoyed the simplicity of the tool.

Sharon takes great pride in her relationship with Softchoice. She recently saw an ad in Computer World, and cut it out to hang in her cubicle because her outbound rep was featured. She subscribes to a number of industry trade publications, and sometimes subscribes to IT company newsletters to keep abreast of market trends.

Unique user goals:- On-demand help- Strong order & reporting tools

Marketing opportunities:- Try-and-buy incentives- Webinars- Ads within transactional emails- Create brand advocate- Viral/WoM

.com

@scc

@www

Key customer touch points:

Page 68: Executive program in sales management final

Matthew H.Senior IT Manager, Delta Enterprises

Existing BA | 2,250 Seats | North America

Key demographics:- Married, 41 years old

- Middle class Suburbanite- University graduate

Key psychographics:- Appreciates simplicity

- Sensitive to the realities of IT- Has multiple vendors

Key marketing insight:-Prove that Softchoice is right for my

business

Enterp

rise

( 100

0+ P

Cs )Matthew has been with Delta Enterprises for nearly 10 years, and last year was promoted to Senior IT Manager. Delta in an internationally known manufacturer of networking equipment, and has a presence across North America. As a result of his promotion, Matthew now has a much greater influence on how Delta procures IT products, and from whom.

Because of the over 50 locations Delta has across North America, Mathew has worked hard to design and implement a procurement system that has workflow and approvals. Among other benefits, this gives his remote team a central source for ordering and reporting on the day-to-day IT resources they need. Anything over $5,000 requires Mathew’s approval, and anything over $15,000 needs senior management’s approval.

Delta recently renewed their Microsoft EA, and chose Softchoice to facilitate the renewal. Mathew in particular was impressed with the knowledge of the Softchoice team as it relates to navigating the complex world of software licensing. Until recently, Delta has used Dell for hardware and on-site service support. Over lunch one day with his Outbound rep Jamie, Mathew mentioned they were looking at a large technology refresh next year. Jamie encouraged Mathew to look at HP or Lenovo as options as well. Mathew asked Jamie if softchoice.com could connect with his procurement system. Jamie wasn’t sure, but promised to follow up with him later that day with an answer.

When he got back to the office, Mathew decided to visit softchoice.com on his own to see if he could answer his own question about workflow integration. Matthew couldn’t find any information on workflow integration at all, and wondered if Softchoice would be able to handle his hardware needs after all…

Unique user goals:- Custom workflow integration- Control over website UI

Marketing opportunities:- Clear articulations of our capabilities- Value-add services and solutions- Create Enterprise destination point

scc.com

@.com

@www

Key customer touch points:

Page 69: Executive program in sales management final

Start Simple – Manufacturing Example

Phase I Phase II Phase III

Academic

K-12Library Lab

School Automation

Higher EdUniversities

Vocational Colleges

Corporate

EnterpriseFinancial Services

Oil and Gas

Mid-MarketConsulting

Retail

Page 70: Executive program in sales management final

Segmentation Mistakes Picking the Largest Segment

Failing to identify and invest in emerging segments

Developing Segmentation schemes that are not actionable or the same actions as another segment

Market Disruptions change segments◦ Are Cell phones changing the point and shoot camera market?

Page 71: Executive program in sales management final

More Segmentation Mistakes

Segmenting by product and not by market

Using the same segmentation scheme as you competitors◦ Your offerings will be more alike and harder to justify price differences

Relying on the easiest demographics

Products being the only segmentation

What is easiest from a sales perspective driving segments

Getting too complex – sales organization cannot execute

Page 72: Executive program in sales management final

Customer Profitability Are all your customers equally valuable to your company?

Do you have Angel Customers? and Demon Customers?

Page 73: Executive program in sales management final

Market Segmentation Efficiency is the driver

Without Segmentation:

- you are treating all customers the same

- wasting resources

- trying to be all things to all people

- not giving your sales force any direction

Page 74: Executive program in sales management final

Sales and Customer Plans

Page 75: Executive program in sales management final

So FarWe Know what we Value

We have identified that a Unique Perspective is required

We Know what our Brand is about

We have an overall Marketing Plan

We have Segmented our Customers and know who we want to pursue

Page 76: Executive program in sales management final

So what is a Sales Plan? Looks similar to a Marketing Plan

Marketing language translated into◦ Sales Opportunities◦ Sales Objectives◦ Sales Resources required

Do you have an 80/20 Reality?- 80% of your revenue or profit comes from 20% of your customers

Page 77: Executive program in sales management final

Practical Planning(Back of the Napkin)

1. What will my current customers buy this coming year? Any Annuity?◦ Revenue◦ Profit◦ Products◦ Services What does that add up to?

2. What is my Quota for the coming year?

3. What is the GAP I have to fill?

Page 78: Executive program in sales management final

Fill the Gap (spreadsheet) What is our track record for adding new customers in a year?

What is each new customer worth?

Should I plan for customer attrition?

What new products do we have to sell?

Where can we sell new products to existing customers?

Do I have uncovered territories (segments) that I need additional coverage for? What Quota will I assign?

Page 79: Executive program in sales management final

X $6k Annual GP = $1.3M GP

Remember this?New Customer Acquisition Funnel (Example)

Identified

MQL (Mktg Qualified Lead)

SAL (Sales Accepted Lead)

SQL (Sales Qualified Lead)

New Customer Sale Close 216

Unique Views15%

Conversion %Sales Stage Volume

30%

80%

60%

20%

50,000

7,500

2,250

18001080

Page 80: Executive program in sales management final

Integrated Planning

Key Customers

•Account Plan•Account Plan•Account Plan•Etc.

The Rest

•Territory A•Territory B•Etc.

Segment A

•Key Customer•Key Customer•Etc.•The Rest

Segment B

•Key Customer•Key Customer•Etc.•The Rest

80% 20%

Option 1 Option 2

80%

20%

Page 81: Executive program in sales management final

Key Customer/Account Plan

What is your Strategic position in the account?◦ Why do you win? (Strengths)◦ What could happen that could cause you to lose? (Threats)◦ What competitors are gaining strength in the account? (Weaknesses)◦ What big problems does the customer have that you would like to be solving?

(Opportunities)◦ Where can you make money in this account? (Differentiation)◦ Where are your relationships? What are they based on?

If your company went bankrupt tomorrow what would the customer have to do to keep going?

What do you plan to grow your relationship?◦ Revenue

◦ Products◦ Services

Page 82: Executive program in sales management final

Territory Plans (rep=territory)

What Quota will I assign?

What is a basic expectation of revenue from that set of customers?

What growth does this identify?

What activities will need to happen to:◦ Drive new business?◦ Drive growth in existing accounts?

◦ Selling stuff we have not sold in the past

Page 83: Executive program in sales management final

What Use is the Sales Plan? 2

014 M

arke

ting P

lan

201

4 S

ale

s Pla

n

Consp

iracy

Theorie

s

Bucke

t List

Page 84: Executive program in sales management final

Forecast Reviews1. If the planning process made sense than a commitment to the Goal

is mutual

2. The Territory Plan or Account Plan makes the Objectives for the year very clear

3. The Forecast review is as much about the actions and steps as it is about the $ Forecast. If the rep is not taking the steps can you reasonably expect the results to follow?

◦ Sales Management is about keeping reps on track with the right activities or adjusting based on new information

◦ Every Sales Call therefore has an objective relative to the monthly forecast discussion and the annual Sales Plan

Page 85: Executive program in sales management final

Sales ManagementFORECAST REVIEWS – MONTHLY PLANNING

Page 86: Executive program in sales management final

October ForecastCustomer Opportunity Probability 30 Days 60 Days 90 Days

ABC Co. HR Project 30% $12,000 $19,500 -

Jones Bros. Dist. Refresh 90% - - $100,000

B-Town Inc. Brampton Expansion

50% $ 9,000 - -

GrowTown International Services

70% - $19,000 -

Tower Vendor of Record 75% - - $15,000

Run Rate $11,000 $11,000 $11,000

Forecast $32,000 $49,500 $126,000

Probability is mapped to Sales Stage that is relevant to your company

Page 87: Executive program in sales management final

November ForecastCustomer Opportunity Probability 30 Days 60 Days 90 Days

ABC Co. HR Project 40% $12,000 $19,500 -

Jones Bros. Dist. Refresh 90% - - $100,000

GrowTown Vendor of Record 75% - $10,000 $10,000

Google Creative Building 20% $55,000 - -

City of Dallas Property Project 90% $17,000 - -

Run Rate $11,000 $11,000 $11,000

Forecast $95,000 $40,500 $121,000

Page 88: Executive program in sales management final

CompareO

ctob

erN

ovem

ber

Page 89: Executive program in sales management final

November Action LogAction Who Owner/Help By When Purpose

Meet ABC Co. Project Lead Me – take SME

Nov 10 Figure out why this project is stuck

Send Invites All Customers

Me Nov 3 New Product Launch

Post thought leadership Buyer’s Guide - LinkedIn

Me Nov 7 Support Awareness

Page 90: Executive program in sales management final

December ForecastStarts with Review of NovemberCustomer Opportunity Probability 30 Days 60 Days 90 Days

ABC Co. HR Project 40% $12,000 $19,500 -

Jones Bros. Dist. Refresh 90% - - $100,000

GrowTown Vendor of Record 75% - $10,000 $10,000

Google Creative Building 20% $55,000 - -

City of Dallas Property Project 90% $17,000 - -

Run Rate $11,000 $11,000 $11,000

Forecast $95,000 $40,500 $121,000

Nov

embe

r

Page 91: Executive program in sales management final

Sales Management See your job as:

“Getting People Done Through Work”

Not

“Getting Work Done Through People”

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Frameworks for Value Props

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Price vs. Cost Ever heard this?

◦ Q: Why did we lose? A: Our Price was too high.

Is anybody really a price-only buyer?

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How a Sales Rep sees it:

Price

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How a Customer Sees it:Total Cost of Ownership

Price

- Upgrade or Replacement

- Switching Costs- Ease of Purchase

- Paperwork and Processing/- Website

-Storage Space- Interest

- Shrinkage and Obsolescence- Depreciation

- Training

- Internal Handling- Labour Costs

- Disposal- Recycling

TCO = Acquisition Costs+ Possession Costs+ Usage Costs+ Disposal Costs

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What Value does your company bring that you are not getting

paid for?

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Make it Personal

What Value can your customer put on what you bring to the party?

Stage of Development Cause of Happiness/Joy What We Value

7 Service Leading a life of selfless service for the good of the community, nation or the planet.

Opportunities to leave a legacy by serving the needs of humanity and building a better world for future generations.

6 Making a difference Actualizing our sense of purpose by collaborating with others to make a difference in the world.

Opportunities to leverage our impact in the world by forming alliances with others who share the same values, and a similar purpose.

5 Internal cohesion Finding a sense of meaning and a purpose in life that is larger than meeting our own needs.

Opportunities to lead a values- and purpose-driven life that is meaningful to us and valuable for others.

4 Transformation Experiencing a sense of freedom, autonomy and responsibility for our lives and the environment in which we live.

Opportunities to use our gifts and talents by being made accountable for challenging projects or processes of significance to ourselves or others.

3 Self-esteem Feeling acknowledged and recognized by those who we respect and our peers.

Opportunities learn, grow and develop our skills and talents with support, feedback and coaching from people we trust.

2 Relationship Feeling accepted, cherished and nurtured by our family, friends and colleagues.

A caring environment, free from conflict and discrimination, where people are loyal to the group, and respect and care about each other.

1 Survival Feeling safe and secure, and being able to meet our physiological needs at home and in the workplace.

A safe environment and pay and benefits that are sufficient to take care of our needs and the needs of our families.

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Economic Comparison (Example)

Category DetailsCustomer’s

CostOur Price

Our Competitor

Acquisition Costs Price $ 899.00 $ 899.00 $ 875.00

Purchasing Process $ 4.00 $ - $ 10.00

Order Quality/Returns $ 4.00 $ - $ 5.00

Possession Costs Storage $ 15.00 $ - $ -

Interest $ 2.00 $ - $ -

Quality Control $ - $ -

Insurance $ 3.00 $ - $ -

Shrinkage/Obsolescence/Depreciation

$ 7.00 $ - $ -

Usage Costs Training $ 15.00 $ - $ 10.00

Internal Handling & Labour Costs

$ 2.00 $ - $ -

Product Replacement $ 3.00 $ - $ -

End-of-life Disposal $ 5.00 $ - $ -

Recycling $ 17.00 $ - $ -

Repurchase or Lease Buyout

$ 4.00 $ - $ -

Switching Costs $ - $ - $ 10.00

TOTAL $ 980.00 $ 899.00 $ 910.00

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Segmentation Matrix

Premium Performance Value

Professional • Willing to pay top dollar for top quality and features

• Risk averse

• May consider price premium if features are relevant

• Is price conscious but will not accept low quality

Hobbyist • Willing to pay top dollar

• Willing to pay more if there is a reason

• Wants competitive pricing

Casual User • Will pay for the cool factor

• Product quality and reliability are drivers

• Price is a big factor in what to buy

Mar

ket S

egm

ents

Customer Segments

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Value Propositions At our company we value ______________________________

This means we ______________________________

We seek to help Customers who ______________________________

Unlike our Competitors we ______________________________

Answering these questions:

Why should someone purchase your offering?

Why should someone purchase your offering instead of your competitors?

What is most worthwhile for someone to keep in mind about your offering?

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Summary

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ContactNick Foster

Cell: 416-275-0776

Email: [email protected]

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© 2 0 1 3 B Y N I C K F O S T E R O N B E H A L F O F S C H U L I C H E X E C U T I V E E D U C A T I O N C E N T R E ( S E E C ) . A L L R I G H T S R E S E R V E D . N O P A R T O F T H I S P U B L I C A T I O N M A Y B E R E P R O D U C E D , S T O R E D I N A R E T R I E V A L S Y S T E M , O R T R A N S M I T T E D I N A N Y F O R M O R B Y A N Y M E A N S , E L E C T R O N I C , M E C H A N I C A L , R E C O R D I N G , P H O T O C O P Y I N G O R O T H E R W I S E , W I T H O U T W R I T T E N P E R M I S S I O N O F T H E C O P Y R I G H T H O L D E R .

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In the future there will only be Content Marketing

- Seth Godin

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Where are the fish biting?

Marketing’s Questions

What tackle are they using?

Is it more work then the size or value of the fish?

Can we teach people to use the same principles in their own rivers?

Do we have to compete with other fishermen?

Why will we be more successful than anyone else?

Sales Leadership’s Questions

How do we motivate the fishermen?

How many fishermen are the right number?