the challenger ™ sale – how to take control of the sales process

Compete and Win in a

Customer Empowered World

The Challenger SaleTM

© 2016 CEB. All rights reserved

A Different Kind Of Buying

57%

Customer Due Diligence Begins

Customer Purchase Decision

The Commercial Experience Is the Single Most Important Customer Loyalty Driver

Loyal customers buy more products more frequently and also advocate for your business.

Company and

Brand Impact

Product and Service

Delivery

Value-to-Price

RatioSales

Experience

53%

9%19%

19%

Percentage of Contribution to Customer Loyalty



Unique, valuable perspectiveson my business and/or market

Help me navigate alternatives

Help me avoid potential mistakes

Teach me about new issues and outcomes

Be supported within my organization

What Customers Want From Sellers

Percentage of Contribution to Customer Loyalty

53%

More People, More Views

0%

40%

80%

12% 12%

75%

Disagree or Strongly

Disagree

Neither Agree nor

Disagree

Agree or Strongly

Agree

Q: “People from a Wide Variety of Roles, Teams, and Locations Were Involved in This Purchase.”


Stakeholder A

Mental Model

Goals

Priorities

Beliefs

Stakeholder B

Mental Model

Goals

Priorities

Beliefs

Stakeholder C

Mental Model

Goal

Priorities

Beliefs

The Lowest Common Denominator


Sample Attributes Tested

Attitudes

• Desire to Seek Issue

Resolution

• Willingness to Risk

Disapproval

• Accessibility

• Goal Motivation

• Outcome Focus

• Attachment to the

Company

• Curiosity

• Discretionary Effort

Skills/Behaviors

• Business Acumen

• Customer Needs

Assessment

• Communication

• Use of Internal Resources

• Negotiation

• Relationship Management

• Solutions Selling

• Teamwork

Activities

• Sales Process Adherence

• Evaluation of Opportunities

• Preparation

• Lead Generation

• Administration

Knowledge

• Industry Knowledge

• Product Knowledge

Potential Drivers Of High Performance


Five Dominant Approaches to Selling

The Lone

Wolf

The Relationship

Builder

The Problem

Solver

Follows own instincts

Self-assured

Difficult to

control

Builds advocates in

customer organization

Generous in giving time

to help others

Good interpersonal skills

Reliably responds to

internal and external

stakeholders Ensures that all

problems are solved

Detail oriented

The Hard

Worker

Strong process

management skills

Doesn’t give up easily

Self-motivated Interested in feedback

and development

The Challenger

Personalizes sales

message to the customer

Delivers new insight

to customers

Knows how to drive

the customer to a

decision

Although not mutually exclusive, our research has shown that sellers’ main strengths tend to fall into one of the following five behavioral profiles:


Profile of a High Performer

Percentage of Core Performers

Percentage of High Performers

The Lone

Wolf

The

Challenger

The Hard

Worker

The Problem

Solver

The Relationship

Builder

Pe

rce

nta

ge

of

Po

pu

lati

on

23%

39%

15%

25%22%

17%14%

12%

26%

7%


The Lone

Wolf

The

Challenger

The Hard

Worker

The Problem

Solver

The

Relationship Builder

Transactional Selling Complex Selling

54%

20%

25%26%

25%

10%18%

7%

4%11%

4.7xHigh performers are

more likely to be Challengers

in complex environments.

High Performers Use ChallengerTM Behaviors in Complex

Selling Environments

Even as sales interactions become increasingly more complicated, the Challenger continues to dominate as a top selling style. Challengers of all performance levels average 14% higher goal attainment.

Percentage of High-Performing Sales-Professionals


Replicating the new high performer requires implementing the Challenger™ model in your sales organization.

Takes ControlGuiding customers to recommendation by reinforcing the change’s

value

TeachesDifferentiating and delivering commercial insight through a dialogue

TailorsCustomizing sales messaging for businesses and

individuals

A Challenger...

Builds

Constructive

TensionCompelling customers to act on an opportunity

ChallengerTM Behaviors That Lead to Commercial Success


Challenger

• Offers unique perspective

• Two-way communication skills

• Knows customer value drivers

• Can ID economic drivers

• Comfortable discussing money

• Can pressure the customer

Relationship Builder

• Forms good relationships

• Builds customer advocates

• Builds cross-functional relationships

• Can work with anyone

• Is genuine

• Accessible to the customer

• Gives time to help others

• Respects the customer’s time

Build Constructive Tension Reduce Customer Tension

Tailors

Asserts

Control

Teaches Gets along with

Others

Likeable

Generous

with Time

The Challenger Fingerprint


Challenger Selling™ Is a Clear Path to Disruption

To alter customers’ purchase direction, suppliers must teach them something new about their own business and plot a clear course of action.

Drivers of Changing a Buyer’s Direction

n = 545.Source: CEB analysis.

• Changing a customers’ direction is

positively correlated with greater purchase satisfaction, recognition of

value, likelihood to recommend, and likelihood of viewing the supplier as a

strategic partner.

• Importantly, “representing a smart

or expert perspective,” which lies at the heart of most thought

leadership, did not alter customers’ direction.

Representing a Smart or Expert

Perspective

Teaching the Customer

Something New About His/Her Ow n

Business Needs or Challenges

Providing the Customer w ith

Compelling Reasons Why It

Was Necessary to Take Action

Being Easy to Understand

Containing Interesting Facts

or Anecdotes

Being Accessible or Quick to Find

0.446

0.302

0.013

(0.047)(0.096)

(0.132)

Statistically Significant

Drivers

Non-Statistically Significant

Drivers

Customers are most likely to reset buying criteria when

confronted with surprising information about their business.

Mag

nit

ud

e o

f

Dri

ve

r Im

pact


Thought Leadership or Commercial Insight?

To find the right messaging for teaching and tailoring, Challengers must cut through layers of information types and their relevance, ultimately landing on a core commercial insight.

Commercial Insight

Be Newsworthy

Be Frame-Breaking

Lead to Supplier

General Information

Accepted Information

Thought Leadership

Be Credible/Relevant

Insight

Commercially insightful messages lead back to the supplier exclusively and also challenge conventional wisdom.


Lead to, Not With

Commercial Teaching Choreography

Negative

Neutral

Positive

Business Problem and What

Customer Is Currently Doing

New Customer Approach

(Leading to Your Solution)

“E

mo

tom

ete

r”:

Le

ve

l of C

usto

me

r E

xcit

em

en

t

Highlight What

Customer Is Missing

Warmer

Building credibility by reading their mind; demonstrating empathy

Reframe

First reframe of unrecognized problem, need, or assumption

Emotional

Impact

Psychological features of the problem or its presence in the individual’s workflow; humanizing the problem

A New Way

Forward

A new framework for addressing the problem, implicitly tied to the supplier value proposition

Our Solution

Supplier services or solutions linked back to key teaching points; highlighted path to implementation

Rational

Drowning

Gradual intensification of the problem, both in degree and closeness to the customer


A B

Challenger™ Development at Statoil Fuel & Retail

Statoil Fuel & Retail (SFR) sought to enable greater success in increasingly complex deals. Through partnership with CEB, the company implemented the Challenger™ model to teach its customers something new and deliver a differentiated sales experience. This led to an increase in B2B fuel sales and allowed SFR customers to save

money.


CHALLENGER

SELLING™

The Keys To Success


Win a Challenger Sale book!

cebglobal.com/uk

The_Challenger Sale from CEB@CEB_Challenger

Drop your business card off to me or drop it in the bowl. We will

draw out 10 lucky winners and send them a free copy of The

Challenger Sale.

Thank you

Delfim Pereira

[email protected]

mailto:[email protected]