Presented by
© Copyright 2016 The Sales Management Association. All rights reserved.
Sales Management Association Webcast
2 November 2016
Account Segmentation and Scoring2016 Sales Performance Management Webcast Series, Session 1
Rowan TonkinPractice Lead, Sales and Marketing [email protected]
Tony YeungPrincipalZS [email protected]
© Copyright 2016 The Sales Management Association. All rights reserved.
Today’s Speakers
2
Rowan TonkinPractice Lead, Sales and Marketing [email protected]
Tony YeungPrincipalZS [email protected]
Presented by
© Copyright 2016 The Sales Management Association. All rights reserved.
Sales Management Association Webcast
2 November 2016
Account Segmentation and Scoring2016 Sales Performance Management Webcast Series, Session 1
Rowan TonkinPractice Lead, Sales and Marketing [email protected]
Tony YeungPrincipalZS [email protected]
Account
Segmentation
and Scoring Capacity Planning and Management
Marketing
Budget
Allocation Marketing
Campaign
Planning
Compensation Planning
Deal Desk Commissions
Marketing
Attribution
Territory Planning and ManagementQuota Planning and Management
Forecasting Crediting
Campaign
Performance
ManagementMarketing
Spend
Management
Account
Planning
Pathway from planning to performance
Account Segmentation and Scoring
Capacity Planning and Management
Marketing Budget
Allocation
Marketing Campaign Planning
Compensation Planning
Deal Desk Commissions
Marketing Attribution
Territory Planning and Management
Quota Planning and
ManagementForecasting Crediting
Campaign Performance Management
Marketing Spend
Management
Account Planning
Pathway from planning to performance
In B2B, often you don’t see the full pictureWhat you see:Internal data, Systems, Intuition, Experience etc.
Everything else
Poll question #1
How well do you understand your customer level potential today?
1. Don’t understand where our growth potential is at all2. Know what markets have potential but don’t know at customer level3. Measure potential at account level but are untrustworthy estimates4. Measure of potential at account level for customers, but NOT prospects5. Measures of potential at account level for customers AND prospects
Effectiveness starts with customer insight…
SALES FORCE DESIGN
Effective & efficient coverage of the full target account universe with a structure and deployment that best fit the
value proposition and sales process
strategies
SALES STRATEGY
Customer focused strategy targeting the best growth opportunities
with differentiated and mutually
valuable offerings
CUSTOMER ENGAGEMENT
PROCESS
Customer focused and expertly
executed sales processes and
planning that maximize mutual value
and trust
PEOPLE AND SKILLS
Sales managers and sales people
with the knowledge, skills
and attributes required to excel
at their respective roles and
responsibilities
MOTIVATION
Highly motivated, performance focused and
accountable sales force committed to “getting it done”
and “doing it right”
SALES OPERATIONS Highly efficient support capabilities that provide the sales force with the information, expertise,
speed-to-market and efficiency needed to achieve superior performance
sfenavigator.com
SFE NavigatorTM
…and a granular & integrated perspectiveCustomers &
Prospects
• Firmographic & industry data
• Historical sales performance
• CRM profiling insights
• CX & buying process insights
• Engagement and position status
• Sales growth sources & priorities
• Customer segmentation
• Solution fit & value proposition
• GTM model
• Sales resource allocation
Sales Strategy & Solutions
Opportunity insights drive sales strategy
Large Companies>1,000 employees# companies = 5k
Market = $22B
Medium Companies>100 to <1,000 employees
# companies = 135kMarket = $37B
Small Companies>5 to <100 employees# companies = 3,057k
Market = $54B
Reach Share of Wallet
81% 15%
28% 26%
7% 54%
Acquisition
Cross-sell
Illustration
Poll question #2
For those of you who do not have confidence in your understanding of account potential, what are the reasons? (Select all that apply)
1. Lack defined organizational roles to model potential2. Lack of confidence in our data3. Lack of systems and tools to model the potential4. Lack of analytics to develop complex potentialization models5. Other
Sales Potentials
Data Selection & Integration Clustering & Analytics
3 steps for measuring sales opportunity
Account or geography-level sales
Account profile information collected by the sales force
Internal data
Account level potential proxies / firmoraphics
Geography-level proxies
Secondary data
Segment Potentialization Analysis Determining data
elements most predictive of potential
Grouping accounts into ‘like’ clusters
Development of account potential estimates
Insights gathering
Integrating opportunity is transformational
2Account assignments
3Capacity planning
4Territory design
5 Sales process execution
1Sales force structure
6Account targeting
7Account planning
8Coaching
10Goals & incentives
9 Performance evaluation
Potentialization insights help focus sales effectiveness improvement efforts
Sales Penetration by Territory
Oversized TerritoriesImplications for sales force resourcing and territory design
Underpenetrated TerritoriesImplications for sales engagement processes, talent and motivation
0 50 100 150 200 250 3000.0
1.0
2.0
3.0
4.0
5.0
Territory Potential Index
Terri
tory
Sal
es ($
MM
)
Effectiveness Frontier
Account potentialization can start simple and provide more value over time
Data integration
Descriptive analytics
Simple ‘points’ based account scores based on history, industry, and customer size
Addressable potential estimates
Propensity to buy / churn analytics
Machine-learning approaches
Real-time, cloud-based analytics
0.0
1.0
2.0
Where to start applying…
~5% revenue growth, simply from balancing
workload & opportunity
Territory Design Account Targeting
Up to 10% revenue growth, based on
better visibility and targeting
Quota SettingUp to 5%
performance, motivation (fairness),
& financial predictability
How can you start the journey now?
1
Take an inventory of your customer and prospect level data to identify your most accurate sources of sales history, firmographic, and segmentation
2
Develop your hypothesis on what factors or attributes are likely to differentiate potential3
4Identify the tools you have to conduct the potential models (depending on the size of your customer base it may need to be able to handle large volumes of data!). Start modeling!
Gather a cross-functional team (sales, marketing, finance especially) to engage in the potentialization process and define the key outcomes you plan to achieve with your investment in this work
© Copyright 2016 The Sales Management Association. All rights reserved.
Thank You
Thank You