Lead to Money Best Practices & Benchmarks

May 29, 2014

Today’s Featured Speakers

Giles House

CMO

CallidusCloud

Gerhard Geschwandtner

Founder & CEO

Selling Power

Mark Coleman

Principal, Sales Force 

Effectiveness

Deloitte Consulting

Chris Conley

Manager, Sales Force 

Effectiveness

Deloitte Consulting

Agenda

• Key Challenges Sales Organizations Face

• Panel: Best Practices & Benchmarks• Identifying Opportunities• Qualifying Leads• Optimizing Proposal Process• Negotiating/Closing Deals

• Q& A

Common Goals

1. Close More Deals

2. Close Larger Deals

3. Close Deals FasterQUALIFYQUALIFY

PROPOSEPROPOSE

IDENTIFYIDENTIFY

NEGOTIATE & CLOSENEGOTIATE & CLOSE

Identifying Opportunities

Poll

What is your top challenge with the Lead Identification process?

•Pinpointing the right buyers, right message, right time•Marketing and sales misalignment•Low quality leads •Too few leads•Reps not following up on leads

Identify

Qualify

Propose

Negotiate & Close

Identify: The First Step is Getting Through the Noise

“Prospects don’t engage with sales until 90% of the B2B purchase process is over, and to top it off, more than 50% of vendors are already eliminated

before

a sales

rep ever has a chance to engage.”-

Forrester Research

•Best Practices• Targeted multi-media campaigns• Specific campaigns with quantified target results

•Technology• Marketing Automation, Territory & Quota Management

Identify

Qualify

Propose

Negotiate & Close

Right Leads, Right Time

LEADS

ENGAGEATTRACT

QUALIFYDISTRIBUTE

Identify

Qualify

Propose

Negotiate & Close

Qualifying Leads

Poll

What is your top challenge when it comes to qualifying opportunities?

•Marketing & Sales: different definitions of qualified lead.•No standard sales process / methodology for qualification•Limited access to decision makers•Wasting time on sales that never close due to “No decision”•Wasting time on sales that never close due to “No budget”

Identify

Qualify

Propose

Negotiate & Close

Qualify: Protect your Organization’s Selling Capital

Best practice marketers pass only 12% of leads to sales.−

Marketing Sherpa

Technology•Sales Enablement, Sales Coaching

Identify

Qualify

Propose

Negotiate & Close

Turn Insights into Action

Identify

Qualify

Propose

Negotiate & Close

Optimizing Proposal Process

Poll

What is your top challenge with the Proposal process?

•Finding references that your prospect can relate to•Getting timely approvals from internal management•Access to subject matter experts / material•Inconsistent/low quality proposal documents killing credibility•Not knowing enough about the client

Identify

Qualify

Propose

Negotiate & Close

Propose: You Need to Know What to Sell

“85% of companies report an increase in product breadth…Only 10% of a salesperson’s time is actually spent selling.”

−

Harvard Business Review

•Best Practices• Unless you do government work, don’t respond to an unsolicited RFP• Leverage the best your firm has to offer through sales enablement• No surprises – you should have already covered off all key points of your solution

in dialogue, meetings and working sessions with the client. The proposal merely documents your discussions to date

•Technology• Sales Enablement, CPQ

Identify

Qualify

Propose

Negotiate & Close

Best In Class Performance – Using CPQ Process

432kaverage deal size or contract value

20.9proposals/month Average number of proposals, quotes, or RFP responses delivered per rep per month

3.42/month average sales cycle

58%of sales reps achieving quota

56%overall team attainment of sales quota

Identify

Qualify

Propose

Negotiate & Close

Negotiating/Closing Deals

Poll

What is your top challenge with the Negotiation and Closure process?

•Contracting takes too long•Concede price and accept suboptimal terms•Feels like we are column fodder far too often•Company terms are too rigid•Underprepared at the negotiating table

Identify

Qualify

Propose

Negotiate & Close

Negotiate & Close Responsive & Professional

“Place a higher priority on discovering what a win looks like for the other person.”

–

Harvey Robbins

•Best Practices• Attitude – its not a competition, its an arrangement where both parties are happy

with the terms• Have senior leaders from both firms agree to business terms before getting legal

involved. • Deliver general business terms as part of proposal. Many times these can be

executed in lieu of negotiating a master agreement

•Technology• Contract Lifecycle Management – collaborative redlining, version control and

approval workflow

Identify

Qualify

Propose

Negotiate & Close

Technologies to Accelerate Contract Negotiation

Best-in-class companies results when using Contract Lifecycle Management

25%Shorter Sales

Cycle

25%25%Shorter SalesShorter Sales

CycleCycle73%

Customer Renewal Rate

73%73%Customer Customer

Renewal RateRenewal Rate

Forrester 2011

Identify

Qualify

Propose

Negotiate & Close

Linking the Lead to Money Process

Identify

Qualify

Propose

Negotiate & Close

Q&A

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23© 2014 Deloitte Consulting LLP

Mark Coleman

Principal, Deloitte Consulting, LLP.macoleman@deloitte.com

+1.612.397.4272

Chris Conley

Manager, Deloitte Consulting, LLPcconley@deloitte.com

+1.860.324.1319