hroffice user conference 2005 how to sell an integrated hris solution dennis pate president top line...
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HROFFICE USER CONFERENCE 2005
How to sell an integrated HRIS solution
Dennis PatePresident
Top Line Tactics, Inc.
HROFFICE USER CONFERENCE 2005
Winning market share in 2005
Competing against National Service
Providers
HROFFICE USER CONFERENCE 2005
Dennis PateMy Experience
• President/Founder - Top Line Tactics, Inc. Provider of revenue acceleration solutions for the Employer Services market
• ADP Major Accounts Southwest Area Vice President of Sales June 1987-December 2002
• Annual team quota $26,000,000 – ASP over $550,000
• Sales growth in last 5 years at ADP over 550%
• Qualified for ADP President’s Club 13 times• Won prestigious ADP Board of Director’s
award four times as a manager
Top Line Tactics, Inc. Our Clients
HROFFICE USER CONFERENCE 2005
Main Topics
• Employer Services market overview• Current market dynamics • Challenges in the marketplace• Understanding the competition• How to win market share in 2005• Sales Process for integrated
solutions
HROFFICE USER CONFERENCE 2005
The Employer Service Market Today
• Over $9,000,000,000 annually in Payroll and HR outsourcing revenue
• Over 60% of the market does not outsource• 3 largest competitors have 85% of the market
share• Over 5000 Sales Associates in the market • Competition is well trained. National firms spend
millions of dollars annually to create a highly tenured, professional, knowledgeable and effective sales force
• Critical need to drive new products and concepts into the future as well as reduce operating cost due to earnings pressure
HROFFICE USER CONFERENCE 2005
Current Market Dynamics
• Consolidated service centers are managed as call centers
• Public firms focused on share holder return not client satisfaction and adding value
• Earnings pressure has created pricing and service issues
• Clients do not understand services they are receiving
• Product line is fragmented due to add on products
• ADP, Paychex, and Ceridian client satisfaction is declining
Opportune time if your prepared!
HROFFICE USER CONFERENCE 2005
Current Market Dynamics
• Rapid change and consolidation of market• Larger market than ever before and growing
daily• Multiple opportunities (product, price,
service)• Are you prepared to seize this unique
opportunity?• How long will it last?• What’s Important Now? Market share
Opportune time if your prepared!
HROFFICE USER CONFERENCE 2005
Challenges in the marketplace
• Overcoming / level setting the national service providers messaging
• Competing effectively against well trained sales force of national service providers
• Successfully communicating key points of difference
• Maximizing profit from new accounts
HROFFICE USER CONFERENCE 2005
Understanding the Competition
• Motivation – Revenue growth (sales vs. retention)• Structure – Earnings focused • Process – Codified, tailored by market,
repeatable and measurable • Product – Fragmented product line, new
products released to win market share not for client enhancement
• Price – Varies by product and length of time on service. moving toward bundled approach
• Service – Measured by response time not value received by client
HROFFICE USER CONFERENCE 2005
Evolution of the Employer Services
Sales Associate
• Tellers- Features focused• Sellers- Needs focused • Farmers- Sell between the sales• Hunters-Fighter pilots of the sales world• Business Developers-Develop demand• Partners-Trusted advisor (large accounts
or 3rd parties)• I.N.C. Industry Networked Consultant-
Recognized for whom and what they know
• Enrollment & Eligibility• Flexible Spending Accounts• Tuition Reimbursement• (401)k Administration• Defined Benefits• COBRA / HIPAA• QDRO • Transit
Ceridian The Broadest Range of SERVICES from a Single Source Provider
• Performance Appraisals• Salary or Rate Changes
EmploymentLife Cycle
• Time & Attendance• Payroll Processing• CD-ROM• 3rd Party Interfaces• Tax Filing
• HRIS• Employment Law• Unemployment Comp.• EEO• HR Reporting• Training• Compliance
• Work/Life• Surveys• Training• Expatriate Service• Concierge Services• Change Mgmt.• Self Service• Wellness• EAP
• Recruiting• Background Checks• Drug Screening• Applicant Tracking• Exit Interviews
Tax Filing
Unemployment CompensationManagement
UCM
401k Administration and Record Keeping
401k Administration and Record Keeping
Banking Services
Banking Services
BackgroundChecks
BackgroundChecks
General LedgerInterface
General LedgerInterface
CD-ROMOutput
CD-ROMOutputTime & Attendance
HRMS Solutions
Internet Recruiting
Payroll Processing
Wage & Garnishment Processing
HROFFICE USER CONFERENCE 2005
How to win market share
• Setting the stage – Utilizing the correct sales process / building credibility
• Product functionality – Understanding the gaps
• Price comparison – Knowing the competitions strategy as well as feature functionality
• Service differentiation – Key points of difference / leveraging references
HROFFICE USER CONFERENCE 2005
Winning market share Prospects want to know the
following• Who is ABC Payroll/HR• How does ABC Payroll/HR provide value• How is ABC Payroll/HR different from the
competition• What does ABC Payroll/HR know about
the prospect• What is the projected ROI• How does ABC Payroll/HR do business• Recommended steps of engagement with
ABC Payroll/HR
HROFFICE USER CONFERENCE 2005
Winning Market share We need to uncover the following
• Will the prospect buy• Will the prospect buy from me• Will the prospect buy now
( within 90 days)
HROFFICE USER CONFERENCE 2005
The Solution Customized Complex Sales
Process• Involves multiple buyers• Buyers prefer integrated solutions
rather than products• Helps understand shifting buyer
requirements due to multi department buying committee
• Used to unhook competition• Flexible in approach• Overcomes objections prior to being
raised
HROFFICE USER CONFERENCE 2005
Complex SalePotential problems if not understood
• Rosy forecasts • Blind spots (missing info/assumptions)• Wasting time trying to sell unqualified
prospects – chasing the wrong rainbow• Quote and hope prospects• Dashing to the demo• Little white lies from prospects• Dead and don’t know it prospects
Complex Sales Process
First Call
Executive Overview
Analysis
Feedback
Demo
FinancialProp
10% - Casual Interest
30% - Prospect willing to set up a one on one meeting (Initial Overview call)
40% - Economic buyer is identified and will commit organization to a presentation.
50% - Good interest shown. Client will commit to our Analysis.
70% - Successful executive exchange and Formal Feedback Session. Business Case Details mutually agreed upon.
80% - Presentation to Senior Management made. Your product is favored.
90% - Prospect states your product will be selected, pending management board, or committee approval.
100% - Order in briefcase.
95% - Management has approved your solution.
HROFFICE USER CONFERENCE 2005
Profile
• Part of gaining access.
• Organizing and targeting.
• Foundation of our information gathering process.
• Find out the high level issues, concerns and trends in the industry, and identify key players.
• Developing your strategy.
• Pick two or three client related industries as references.
HROFFICE USER CONFERENCE 2005
Gaining Access
• Get in the door--gain access.
• Determine the business issues and initiatives of the C-level executive.
• How do we do that?
• Be accurate.
• Put yourself in the C-level executive’s shoes.
HROFFICE USER CONFERENCE 2005
First Call
First Call
• Conversation should be based on your insights from profiling.
• This is a two way conversation.
• Reference clients in similar industries.
• Determine the buying criteria.
• Be prepared.
• Competition is always present.
HROFFICE USER CONFERENCE 2005
Executive Overview
First CallFirst Call
Executive Overview
• Identify key staff members involved in the buying decision.
• Used to gain acceptance.
• Third party evaluation of what they are currently doing.
• Outsourcing non-strategic services can bring value to each functional area.
HROFFICE USER CONFERENCE 2005
Analysis
First Call
Analysis
First Call
Executive Overview
• Partnership and Accountability
• Continuation of building the business case.
• Create the need.
• Conduct a business analysis.
• Look for which initiatives have the highest priority.
HROFFICE USER CONFERENCE 2005
Feedback
First Call
Analysis
Feedback
First Call
Executive Overview
• Response to the C-level buyers decision criteria.
• Business case for investment.
• Developed by using the data gathered in the analysis.
• Information creates impact.
• Collaborative effort.
• Must be conducted face-to-face.
• Opportunity to qualify.
HROFFICE USER CONFERENCE 2005
Demo
First Call
Analysis
Feedback
Demo
First Call
Executive Overview
• Address the needs of the Users.
• The demo should include the company initiatives and benefits to the users.
• Recap the current situation, incorporate the company vision.
• “Why it’s important to change”.
• Competition is always present.
• Demo is a proof source.
HROFFICE USER CONFERENCE 2005
Financial Proposal
First CallFirst Call
Executive Overview
Analysis
Feedback
Demo
FinancialProp
• Present our pricing, business case, solutions suite, and Implementation plan to begin the conversion.
Sales Process
First Call
Executive Overview
Analysis
Feedback
Demo
FinancialProp
10% - Casual Interest
30% - Prospect willing to set up a one on one meeting (Initial Overview call)
40% - Economic buyer is identified and will commit organization to a presentation.
50% - Good interest shown. Client will commit to our Analysis.
70% - Successful executive exchange and Formal Feedback Session. Business Case Details mutually agreed upon.
80% - Presentation to Senior Management made. Your product is favored.
90% - Prospect states your product will be selected, pending management board, or committee approval.
100% - Order in briefcase.
95% - Management has approved your solution.
HROFFICE USER CONFERENCE 2005
What is the funnel
• The funnel is a metaphor for all of our sales activity
• Identifies where we are in the process• Provides visual clues to make sure we
have enough in the pipeline• Defines where we should spend our time• Provides a reality check• Helps us plan• Helps us determine if something is worthy
of the Pipeline report
HROFFICE USER CONFERENCE 2005
Tools for success
• Business plan that addresses desired income, sales goals, product mix, unit productivity, and seasonality of business
• Structured, measurable, repeatable gaining access program with multiple strategies for different industries and competitors as well as a maintained database
• Comprehensive knowledge of your product line and ability to demo every feature
• In-depth understanding of competitors product line, pricing strategy, and service offering
• Ability to guide prospects through the Complex sales process
• ROI tools / Analysis tools / Feature comparison tools
• Client base to reference!!!!
HROFFICE USER CONFERENCE 2005
The number one buying sign ?
Agree to meetingBe Prepared!
EXPECT TO WIN!
[email protected] Pate 972-390-7700