5 Critical steps for selling Managed Services + Bonus -
‘What to sell them’
@freshmindset1@transmentum
Agenda
• Capex Vs Opex• Value Proposition• Decision Making Unit• Process + Managing Sales people• People on the bus
• What to sell them
Introducing Transmentum
• Who are we? – A group of experienced senior managers with proven track records for
facilitating rapid growth in profit, turnover & people. All of our team are accredited high growth specialists.
Paul FilemanStrategy
Marketing &Demand Generation
Adam HarrisFacilitator
Entrepreneurial Coach
Steve PottsSales StrategyManagement &
Execution
Paul Smith GTI Coach
Jim WigginHigh Growth Coach
Andrew BaileyGA/GTI Coach
Dr John CollinsGA/GTI Coach
Martin King-TurnerGA/GTI Coach
Ian SkidmoreInterim manager
Mike Butler IT Recruitment Specialist
Tony BrookesManagement Training
Introducing some of our team
Pam JohnsonInterim Manager Tim Anderson
GA/GTI Coach
Our Mission
To facilitate the development, growth andempowerment of European Technology and ICT
businesses such that their business revenues, profits and skills continually increase.
Our Values
• Professional in everything we do• Friendly and Honest• Specialist and Focussed• Committed to delivering value• Respect
MINDSET
• LEARN and or RE-LEARN
• What we know that we know• What we know that we don’t know• What we don’t know what we don’t know!
What is the purpose of a business?
“The ONLY purpose of a business is to attract, maximise and retain customers.
Everything which contributes to this is an investment.
Anything which doesn’t is a cost!”Royston Guest
“Are your sales team an investment or a cost?”
The Importance of Vision Mission and Values
• Vision – where you are going
• Mission – what you do to get there
• Values – how you do it
Further reading on this subject can be found here http://www.members.transmentum.com
Change and causes
• Recent global recession • Reduction in available
CAPEX move to OPEX• New technology
(Managed Services)• Fall in the cost of
bandwidth
Which means
• Today Financial Directors make the decisions
• IT directors and IT managers position may be under threat
• Your sales team may be talking to the wrong people
SO, WHO MAKES THE DECISIONS AROUND HERE THEN ?
Who are the decision making unit?
InfluencerUsersPayer
The “person” with the Means Authority & Need (M.A.N.)
Choosers Authoriser
Identifying target markets
• Geography/Sector B2B or B2C• Most likely to buy • May have bought from you before• Case studies and references• Specialist products/services
and/or expertise
Value Proposition
ChallengeProblemPain
I need to buy thousands of pencils for use in my university.The ones we bought last term often broke and needed sharpening. The exams start next week.
Value Proposition
Value Proposition
PerceivedValue
PerceivedCost
Further reading on this subject can be found here http://www.members.transmentum.com
Identifying routes to market
• Directly employed sales team• Distributors/resellers• Sales agents• On-line• Referrals programme• Retail presence on the high street• A combination of the above
Supplier strategy
Its no longer about beating your suppliers up for the best price
You are looking for a “partnership” that will endure for years to come!
Understanding what selling is all about
Solution selling is different
• Beware of unmet need – do they know that there is a solution to their pain?
• Agree the solution with the prospect
• Always agree the next step at every stage
Five Critical Steps
1. Establish credibility – Provide evidence2. Qualification – Identify their needs & motivations3. Present a solution – demonstrate the value of your
solution and why it is different from alternatives4. Present the price – Confirm clearly & confidently that
you can meet their needs5. Sign the contract – Confirm that they understand
what they have bought and collect the cash
Delivering WOWs
Product
Expected
WOW
HotelRoom
Bed
BathShower
Minibar
Towels
Bar
Restaurant
WiFi
Kettle
TV
PersonalParking
FreeInternet
Chocolates
ConciergeService
SpaSessions
OvernightCarwash
PillowChoice
FreeUmbrella
A COMPELLING EVENT HAS A TIME COMPONENT AND FORCES A CHANGE OF BEHAVIOUR
Compelling events
• ALWAYS HAVE THESE THREE COMPONANTS• Time, Cost, Quality
– And sometimes these days • Compliance
DMU
Qualification
BudgetMAN
What is the compelling event and when is the next step?
Need
Who are the competition and can they do it?
Managing Sales Teams
Achieving Outstanding Sales Performance
The Dating and Marriage Analogy
• “Commodity” type sales (Dating)– Simple– Short sale cycle– Compelling event driven– ROI easy to demonstrate– Within budget expectations– Limit to long term commitment
The Dating and Marriage Analogy
• “Managed Service” sales (Marriage proposals)– More Complex– Longer sales cycle– Need creation required– ROI demonstrated through consultative selling– Longer term commitment based on trusted
relationship
ProfessionalSales Team Behaviour
You cannot educate the market
• They don’t care• They don’t have time• They don’t want to
know• They won’t understandAnd that’s why they invited you in to see them
What is a Closing Ratio
A closing ratio is defined as the number of completed sales that a
person makes in relation to the number of sales presentations that he or she
makes to a QUALIFIED prospect.
What closing ratios should I expect?
• Business Owner 1 in 2• Sales Manager/Major accounts 1 in 2• Account manager (Farmer) 1 in 3• New Business (Hunter) 1 in 4-5• New starter (first couple of months) 1 in 7
SIMPLES
Pipeline Value
Closing Ratio
= this months business results
Hunters
Focus on the acquisition of new clients
Farmers
Focus on retaining clients and winning incremental business
STOP Don't expect one sales person to be both
So how do I recruit the right sales people?
• Write a clearly defined job description for hunters and farmers
• Have a clearly defined set of values and build them into your recruitment process
• Develop incentive schemes that encourage the behaviour you require
Sales People
• Know your numbers– Selling is a numbers game more than any other business discipline
• Do your team communicate• Planning and organisation
– Successful sales people are highly organised and pro-active• Attitude
– The most important thing anyone can give you is their time so respect it• Listening
– Successful people use their ears more than their mouth– Losers tell people what they want
• Successful sales people take the time to establish their own credibility and that of the company– Losers dive straight in and talk about products
Remember verbal orders areNOT worth the paper they are written on
People – You need to Lead, Let Others Manage
• You alone are responsible for Culture
• Ensure the Coaching is continual
• Be visible– Communicate
“As we look ahead into the next century, leaders will be those who empower others.”
Bill Gates
How Engaged Are Your People?
10% increase in engagement = 1% increase in customer satisfaction
Rational Commitment Discretionary Effort Performance Emotional Commitment
Intent to Stay Loyalty
Gallup Employee Engagement Index Survey - repeated every 2 years since 2001 - 27m employees in GB
Measure Engagement – 12 Q’s
ENGAGED“Loyal, productive, find work satisfying”
NOT ENGAGED“Not psychologically committed to their role,may leave if the opportunity presents itself”
ACTIVELY DISENGAGED“Disenchanted, vocal or militant in showingtheir negative attitude towards work”
19%
61%
20%
The 12 Questions1. Do I know what is expected of me at work?2. Do I have the materials and equipment I need to do my work right?3. At work, do I have the opportunity to do what I do best everyday?4. In the last seven days, have I received recognition or praise for doing good work?5. Does my manager or someone at work seem to care about me as a person?6. Is there someone at work who encourages my development?7. At work, do my opinions seem to count?8. Does the mission/purpose of my company make me feel my job is important?9. Are my co-workers committed to doing quality work?10. Do I have a good friend at work?11. In the last six months, has someone at work talked to me about my progress?12. This last year, have I had the opportunity at work to learn and grow?
Get the Right Peopleon the Bus
• Hire for attitude, train for skills
• Are your hiring managers trained in interviewing techniques?
• Ensure there is a robust appraisal processes
And the Wrong OnesOff the Bus
“My main job was developing talent. I was a gardener providing water and other nourishment. Of course, I had to pull out some weeds, too“
Jack Welch
What to Sell Them
• TOLD• UNTOLD• UNSOLD• SOLD
• List of Features Check List
Thank You
• BONUS
• 8 Top Tips for IT Companies – please give me your Business card or send me an E-mail and I will send through
Top Related