Sales Transformation: 5 Steps to Capture More Cloud Customers

Industry Cloud Adoption

Customer Cloud Adoption

4

Digital Transformation - Obstacles and Challenges*

*Source: Saugatuck Technology, “Digital Business” Survey(Nov. 2014, N=102 “C-level” IT / Bus. / Finance Leaders)

Your job is this

“Change is difficult.Not changing is fatal”

New Sales Toolkit

“Fire your sales force”

The old Golden Rule in Sales was:

Find out what your customers

want, and give it to them.

Give your customers the ability to

do what they can’t currently do

but would want to if they only

knew it was possible.

The new Golden Rule in Sales is:

Capture their imaginations

“Reasons lead to conclusions.

Emotions lead to actions.”- Saatchi & Saatchi

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DecisionDrivers

Horizon 10 - 6 months

Horizon 26 - 12 months

Horizon 312 - 36 months

Selling at 3 Time Horizons

Closing Current

Opportunities:

• Winning Deals

• Pitching to Win

• ClosingBuilding Tomorrow’s

Business:

• Industry trends

• Industry competitive

challenges

• Collaborative strategy

Building the Pipeline:

• Solutions to Customer

business challenges

• Value Propositions

• Account Sales Plan

Get it right

Get it wrong

The status quo is not a growth strategy

Disruptive Opportunity Matrix

ExtendWhiteSpace

Defend ExtendCurrent

New

Current New

Source: Create Marketplace Disruption by Adam Hartung, Pearson Education, Inc. 2009

Products

Customers

Business Transformation

Operational Efficiency

CustomerCollaborationCreativityCo-creationChangeCulture

Delivery

© SalesChannel Europe, 2014

Strategic choices

DelusionalThinking

#1: Irrational complacency

#2: Catch the train

OLD THINKING

NEW TECHNOLOGY

FAIL

X

=

Think outside the box

Think outside the box

www.flickr.com/photos/12023825@N04/2898021822

Growth strategy

- Peter Drucker

“The greatest danger in

times of turbulence is not

the turbulence - it is to act

with yesterday’s logic”.

The Challenge of Change

Prisoners of the past

Destination Thinking

Compete for the future, not just

the present

You can’t teach an old dog new tricks

Old dog, new tricks

VP of GrowthVP of Sales

Rethink the sales funnel

Radically rethink the sales funnel

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Focus on Selling Above the Funnel

• Prospection

• Qualifying

• Needs

• Proposal

• Negotiation

• Close

Demand

Creation

Demand

Capture

• Market identification

• Requirements analysis

• Demand creating

• Lead Generation and

Management

• Engagement

The Sales Toolkit

Q1 Q2 Q3 Q4 Q1

Demand Generation Campaigns

Create Systems of Engagement1

Selling Business Outcomes2

Differentiate or Die3

Help your customers to join the dots4

Building a culture of growth5

“Customers are completing

57% of a buying cycle before

ever coming into contact with

a sales rep.”- A CEB study of more than 1,400 customers

Interruption Marketing:

Targeting Audiences with

messages through channels

to drive transactions

The OLD World

Engagement Marketing:

Engaging communities

with shared purpose

through experiences to

sustain relationships

The NEW World

Sales Transformation

Old Sales Model New Sales Model

Systems of Engagement

Creating Systems of Engagement

source: www.corporatevisions.com

Marketing Today = Sales Tomorrow

source: www.corporatevisions.com

1 32

Marketing Today = Sales Tomorrow

• Challenge them

• Destabilise them

• Challenge the status quo

• Get them out of comfort zone

• Take them to the negative

future

• Sell your insights

• Provide evidence

• Cost justify

• Lead them through the

process

• Take them to the beach

• Sell your insights

• Sell your experience

• Take them to the negative

future

• Create a sense of urgency

• Monetise the cost of delay

• Take them to the beach

• Guide them to take action

• Take the order

Create Systems of Engagement1

Selling Business Outcomes2

Differentiate or Die3

Help your customers to join the dots4

Building a culture of growth5

Game Changer

Purchase

before Adoption

Adoption

before Purchase

Access Assets

Educate

Inspire

Create a sense of urgency

Sales Transformation = Selling Business Outcomes

OLD NEWThe IT Buyer The Business Buyer

Selling into CapEx Budgets Selling into OpEx Budgets

Technical Expertise Business Expertise

Geographic Sales Territories Vertical Industry Territories

Selling Features Selling Results

Fixed-Price Contracts Outcome-Based Contracts

Demonstrating Features Business Process Discussions

Your Complexity and

Underlying Architecture

Your Consumption Model

and Service Capability

Maintenance Contracts "Apps Mindset"

Face2Face Sales Skills Social Media Knowledge

Source: Consumption Economics: The New Rules of Tech by J. B. Wood, Todd Hewlin and Thomas Lah, 2011

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Selling Business Outcomes

• Increased revenues or profitability• Faster time to market• Decreased costs• Improved operational efficiency• Revitalizing the organization• Enhancing customer loyalty• Increased market share• Decreased employee turnover• Improved customer retention levels• Increased competitive differentiation• Faster response time• Decreased operational expenses

• Increased sales per customer• Improved asset utilization• Faster collections• Reduced cost of goods sold• Minimized risk• Additional revenue streams• Improved time-to-profitability• Increased billable hours• Reduced cycle time• Increased inventory turns• Faster sales cycles• Reduced direct labor costs

Create Systems of Engagement1

Selling Business Outcomes2

Differentiate or Die3

Help your customers to join the dots4

Building a culture of growth5

http://tabernaclefortoday.files.wordpress.com/2012/03/cart_before_the_horse.jpg

Cart before the horse

Build a better mouse trap

www.flickr.com/photos/clementlivolsi/4596430458

“If I had asked people whatthey wanted, they wouldhave said faster horses.”

- Henry Ford

1863 - 1947

3 levels of clarity

Basic Product/Service:• Technology• Price performance• Product quality

E2E Customer Experience:• People• Perceived value• High touch• Exceed customer expectations• Delight and astound customers

12 Support Services

3E2E

Customer Experience

Differentiation: 3 Levels of Perceived Value

BasicProduct/Service

Support Services:• Levels of support• Quality of service• Systems• Processes

Your Cloud Services

Price vs Value

Products ServicesExperienceCustomer

Competitive separation

Create Systems of Engagement1

Selling Business Outcomes2

Differentiate or Die3

Help your customers to join the dots4

Building a culture of growth5

The problem is that customers don’t buy

the way we sell

The Buying Decision Process

Search

Find

Qualify

Try

Buy

Activate

Manage

Up-sell

Support

Refer

The Customer Adoption Cycle

The Adoption Cycle

Cloud Adoption starts here

Evolution

Devolution

Customer Adoption

Create Systems of Engagement1

Selling Business Outcomes2

Differentiate or Die3

Help your customers to join the dots4

Building a culture of growth5

Anticipate change

Business Agility

Adapting to change

Predictive Mindset

Adaptive Mindset

1. Create Systems of Engagement

2. Selling Business Outcomes

3. Differentiate or Die

4. Help customers to join the dots

5. Building a culture of growth

Quick Review:

Assets vs Access (to Assets)

Differentiation: 3 Levels of Perceived Value

Align all Sales & Marketing actions

Demand Generation Campaigns

Competing to remain relevant to tomorrow’s customers

Predictive -> Adaptive mindset

Get it right

www.flickr.com/photos/horacio/3781750

David R Ednie

President & CEO

SalesChannel Europe

Ph: +33 676 60 09 25 (FRA)

Email: [email protected]

Website: www.saleschannel-europe.com