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Getting in Early: Shaping Demand Though Pre-Funnel Engagement
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Getting in Early: Shaping Demand Though Pre-Funnel Engagement
1.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 1 Getting in Early: Shaping Demand Through Pre-Funnel Engagement
2.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 2 GETTING IN EARLY: A DISCUSSION Critical Questions to Answer Three key questions frame our discussion. 1. How important is it for your sales organization to “get in earlier?” 2. What commonly prevents your salespeople from getting in earlier? 3. How has your salespeoples’ ability to get in early changed across the last several years? Source: Sales Executive Council research.
3.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 3 FINDING A READY CUSTOMER Customer Purchase Experience Illustrative Sales organizations ideally seek to engage customers with clear needs, who are ready to buy. ■ The primary commercial objective has been to engage an opportunity at the earliest moment business needs require action. Predominantly Marketing Predominantly Sales ■ Listening for new ideas ■ Evaluating current approaches ■ Deciding to take action ■ Clarifying needs ■ Searching for solution ■ Evaluating vendor capability ■ Creating vendor short-list IV. Make Decision ■ Vendor selection ■ Settling pricing and terms I. Learn II. Defi ne Needs III. Assess Options Sales targets and pursues customers with clear needs who are motivated to buy. Source: Sales Executive Council research.
4.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 4 A SHIFT IN BUYING: RELEGATED TO FULFILLMENT Customer Progress in Today’s Average B2B Purchase Experience Learn Defi ne Needs Make Decision Information proliferation has enabled the customer to more thoroughly assess needs and options without supplier support. ■ This information proliferation has resulted in customers gaining price leverage as they are simply looking for a supplier to fi ll their needs in a relatively low-cost way. ■ Most consumers purchase automobiles in a similar fashion today. Few go to a dealership without having done research, determined options, and knowing the price they are willing to pay. ■ This trend underscores how customers will (and always have) engage suppliers as late as possible. ■ This alarming trend raises a clear question—how does Sales get in early with a more informed customer? The average B2B purchase decision is 57% complete, and more than 10 information sources have been consulted, by the time a supplier is engaged. Key Question: How does Sales get involved with customers here? Predominantly Marketing Assess Options Predominantly Sales n = 1,460 customers. Source: 2011 MLC Customer Purchase Research Survey; Sales Executive Council research.
5.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 5 IN SEARCH OF ANSWERS Research Overview SEC conducted extensive research to identify what separates core and hi-per approaches to pre-funnel selling in today’s buying environment. ■ SEC surveyed more than a thousand reps across a variety of companies, representing multiple industries, across nearly 100 variables. ■ The use of careful control variables ensured data validity. ■ Interviews were conducted with high-performing and core-performing reps at numerous member organizations. ■ Interviews were conducted with sales leaders across the globe. ■ This research was confi ned to pre-funnel sales activities. ■ A variety of pre-funnel sales behaviors, environmental factors, and various control measures were surveyed. Quantitative Rep Survey ■ 1,078 participants from 23 companies ■ Questions on pre-sales activities, and company and manager support of such activities ■ Analysis conducted against rep performance data Sample Participating Companies Sample Variables ■ Sales Rep Behaviors – Infl uence-building behaviors – Customer-indentifi cation behaviors – Account-planning behaviors – Competitive analysis behaviors – Internal-outreach behaviors – Demand-orietation behaviors ■ Environmental Measures – Manager Support – Support resources ■ Control Measures (industry, channel, etc.) Structured Sales Rep Interviews ■ 60–90 minutes interviews ■ High-performing and core reps/account managers ■ Questions on pre-sales activities, opportunity selection, research on opportunities, and information gathering channels Sample Participating Companies ® Structured Sales Leader Interviews ■ 54 companies ■ 60–90 minute interviews ■ Head of Sales and Sales Enablement Source: Pre-Sales Diagnostic; Sales Executive Council research.
6.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 6 GATHER DEEP INTELLIGENCE Improvement in Probability of Being a High Performer n = 1,078. What this entails: Surfacing in-depth information about opportunities from outside experts, subject matter experts, operations teams, other sales people, partners, even customer employees, etc. What this is not: Determining basic information about opportunities from sources such as public fi lings, company overviews, traditional opportunity fi t scores, or brief conversations with peers. Example: Gen-i built formal communication channels between operations and sales teams to coordinate information sharing on growth opportunities within accounts. Representative Quote: “I try to triangulate my info sources for any prospect. The info I need is out there, you just have to be creative to get it.” Star Performer, Business Services Hi-pers conduct much deeper due diligence on opportunities using a variety of non-traditional information sources. ■ The information sources most commonly leveraged are those which are very closely associated with the customer organization. ■ Interviews with core and hi-pers surfaced tremendous diff erences in the information sources most commonly leveraged. ■ Hi-pers heavily relied on people close to the customer organization, including partners, SMEs, consultants, customer employees, and social media sources for this deep intelligence. ■ It was evident that many core performers quickly assessed opportunities, but did not probe or search for further information. Their searches were often limited to simple internet research. 6.20% Change in Probability Going from 25th Percentile to 75th Percentile Performer Conducts Non- Traditional Customer Due Diligence ■ Brainstorm with others to think of ways to approach customers ■ Network with internal subject matter experts to learn about diff erent customers ■ Understand the concerns of the buying group Source: Sales Executive Council Pre-Sales Diagnostic; Sales Executive Council research.
7.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 7 OWN LEAD GENERATION Improvement in Probability of Being a High Performer Hi-pers build their own pipeline—self-generating leads and not overly relying on Marketing for lead generation. ■ Interviews showed considerable diff erences between core and high-performers within the same companies regarding lead generation. ■ High performers devote signifi cant attention to independently developing their business pipeline. 10.00% 6.20% Change in Probability Going from 25th Percentile to 75th Percentile Performer Personally Owns Lead Generation Conducts Non- Traditional Customer Due Diligence ■ I devote considerable personal time to fi nding and nurturing leads ■ Working with Marketing falls within my core responsibilities ■ I always customize collateral to ensure relevance ■ Brainstorm with others to think of ways to approach customers ■ Network with internal subject matter experts to learn about diff erent customers ■ Understand the concerns of the buying group n = 1,078. What this entails: Lead generation and pipeline cultivation is viewed as an important individual responsibility. What this is not: Depending on traditional marketing eff orts and the company for leads. Example: Eloqua encourages salespeople to maintain a strong social and event networking presence, positioning salespeople as key industry infl uencers. ® Representative Quote: “Most of my peers wait for leads—they see lead generation as Marketing’s job. Then they wonder why they’ve got no one to sell to.” Star Performer, Business Services Source: Sales Executive Council research.
8.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 8 LEAD WITH INSIGHT Improvement in Probability of Being a High Performer 11.57% 10.00% 6.20% Change in Probability Going from 25th Percentile to 75th Percentile Performer Conducts Non- Traditional Customer Due Diligence Personally Owns Leads with Insight Lead Generation Hi-pers willingly engage in pushing the customer’s thinking and highlighting fl awed assumptions. ■ Leading with insight, strongly echoes the Challenger Rep’s traits. ■ Teaches the customer insights ■ Does not shy away from highlighting fl awed assumptions ■ Does not shy away from obstacles in the way of valuable business ■ I devote considerable personal time to fi nding and nurturing leads ■ Working with marketing falls within my core responsibilities ■ I always customize collateral to ensure relevance ■ Brainstorm with others to think of ways to approach customers ■ Network with internal subject matter experts to learn about diff erent customers ■ Understand the concerns of the buying group n = 1,078. What this entails: Taking a teaching posture with the customer and willingly challenging customer thinking. What this is not: Leading with features, benefi ts, and overtly commercial messages. Example: Cargill Pro Pricing arms salespeople with impactful commercial messages which reframe how customers think about their business, and highlight fl awed assumptions customers frequently make. Representative Quote: “You’ve got to position yourself in the knowledge fabric, where customers and their consultants learn. You’ve got to help the customer think diff erently to be part of that game.” Star Performer, Healthcare Source: Sales Executive Council research.
9.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 9 GAIN PRESENCE AND INFLUENCE Improvement in Probability of Being a High Performer Change in Probability Going from 25th Percentile to 75th Percentile Performer 12.81% Uses Social Media as Critical Channel 11.57% 10.00% 6.20% Conducts Non- Traditional Customer Due Diligence Personally Owns Leads with Insight Lead Generation n = 1,078. What this entails: Positioning oneself as a key infl uencer within social networks to best leverage their scope and scale to cultivate a business network. What this is not: Using social media as a “spamming” or purely commercial channel. Questions About Social Media ■ Is social media really where customers are going for information? ■ Is there evidence that real companies are successfully using social media for B2B sales? ■ Is this relevant to companies outside tech? What about regulated industries? ■ Does social media help with global or key accounts? Hi-pers leverage social media to gain access to business opportunities. ■ Interviews highlighted that high-performers deliberately use social media to position themselves where customers learn. ■ Social media channels such as Twitter and LinkedIn present tremendous scale and reach benefi ts over traditional networking channels. ■ Connect with potential customers via social media ■ Use social networks such as LinkedIn or Twitter to share points of view and news about your company and products ■ Use social media for lead generation purposes ■ Teaches the customer insights ■ Does not shy away from highlighting fl awed assumptions ■ Does not shy away from obstacles in the way of valuable business ■ I devote considerable personal time to fi nding and nurturing leads ■ Working with marketing falls within my core responsibilities ■ I always customize collateral to ensure relevance ■ Brainstorm with others to think of ways to approach customers ■ Network with internal subject matter experts to learn about diff erent customers ■ Understand the concerns of the buying group Source: Sales Executive Council research.
10.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 10 Social media is decidedly part of the B2B buying and selling experience. THE ELEPHANT(S) IN THE ROOM 1. Is social media really where customers are going for information? 2. Is there evidence that real companies are successfully using social media for B2B sales? ■ 78% started with informal info gathering online ■ 59% engaged with peers who addressed the challenge ■ 48% followed online industry conversations on topic ■ 41% followed online discussions to learn more about topic ■ 37% posted questions on social networking sites looking for suggestions/feedback IBM arms salespeople with “social soundbites” which help sales reps engage social networks, ultimately generating considerable sales. Morgan Stanley allows 600+ advisors to use LinkedIn and Twitter, generating considerable leads and reinvigorating past client relationships. n = 100+ B2B buyers across industry. Source: Genius.com. Source: IBM; Chief Marketer; Morgan Stanley; Reuters. 3. Is this relevant to companies outside tech? What about regulated industries? 4. Does social media help with global or key accounts? LinkedIn Contacts Across Industry Millions 5.2 4.3 3.7 3.2 2.9 2.6 2.4 2.0 1.7 Construction 13.6 High Tech Non-Profi t 9.1 8.3 7.7 7.1 6.5 Medical Arts 11.7 Finance Service Corporate Government Transportation Educational Media Manufacturing Legal Consumer Goods 0.36 Agriculture Recreational “LinkedIn and Twitter give me access to the whole ecosystem around that account— consultants, other providers, my key contacts…. Based on [my contact’s] connections, it’s easy to see if competition is lurking.” Star Account Manager, Telecommunications n = 92,000,000+. Source: LinkedIn.com; Sales Executive Council. Other Recent Headlines Timken Adds Automotive and Heavy- Truck Focus to Social Media Conversation Dun & Bradstreet Uses B2B Social Media to Bring Data to Life Source: The Timken Company; Dun & Bradstreet, SocialMediaB2B.com.
11.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 11 SHAPING DEMAND Improvement in Probability of Being a High Performer Change in Probability Going from 25th Percentile to 75th Percentile Performer 12.81% Uses Social Media as Critical Channel 11.57% 10.00% 6.20% Conducts Non- Traditional Customer Due Diligence Personally Owns Leads with Insight Lead Generation Hi-pers embrace four critical behaviors in their pre-funnel selling activity set. ■ Connect with potential customers via social media ■ Use social networks such as LinkedIn or Twitter to share points of view and news about your company and products ■ Use social media for lead generation purposes ■ Teaches the customer insights ■ Does not shy away from highlighting fl awed assumptions ■ Does not shy away from obstacles in the way of valuable business ■ I devote considerable personal time to fi nding and nurturing leads ■ Working with marketing falls within my core responsibilities ■ I always customize collateral to ensure relevance ■ Brainstorm with others to think of ways to approach customers ■ Network with internal subject matter experts to learn about diff erent customers ■ Understand the concerns of the buying group n = 1,078. Source: Sales Executive Council research.
12.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 12 Hi-pers teach where customers learn, shaping customer demand in the pre-funnel stage. ■ Core performers largely wait for business opportunities to present themselves. They depend on Marketing to deliver leads, and qualify opportunities based on clarity of customer needs. ■ High performers embody a “micro-marketing” mindset across their territory, teaching customers into their funnel. SHAPING, NOT REACTING Variables Most Indicative of Performance Comparison of Core and High Performers Distinctive Core Performer Behaviors Distinctive High Performer Behaviors Core Performer n = 766 of 1,078. ■ Assesses opportunities based on clarity of customer needs ■ Believes lead generation is the company’s responsibility ■ Undiscerningly uses social media (“spams” their network) High Performer n = 312 of 1,078. ■ Conducts non-traditional due diligence ■ Personally owns lead generation ■ Leads with insight ■ Uses social media as a critical channel Fills orders by reacting to existing demand and settled customer needs Teaches where customers learn. Shapes demand by teaching customers into the funnel. Source: Sales Executive Council research.
13.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 13 SHAPE DEMAND: TEACH WHERE THE CUSTOMER LEARNS Customer Purchase Experience Sales must teach where customers learn, shaping demand to win profi table business. Learn Defi ne Needs Assess Options Make Decision Today’s Star Performer Shaping Demand Reacting to Demand Incorrect Question How can we get our salespeople to sell where needs are initially defi ned? Correct Question How can we get our salespeople to teach where customers learn? Source: Sales Executive Council research.
14.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 14 The wealth of information available to customers is crowding out traditional marketing. ■ Marketing has traditionally driven awareness and thought leadership in the “learn” phase. ■ However, the wealth of information available to customers has crowded out traditional marketing messages. ■ Customers have applied fi lters to the information they consume, granting access to few sources. ■ Sales can earn the required access to customers in this state, helping them think diff erently about their business in ways traditional marketing collateral cannot. ■ Marketing must provide worthy contributors that enable sales in gaining access to customers in the learning stage. REVISING THE COMMERCIAL FRONT Critical Shifts in Sales and Marketing Relative to the Customer Purchase Experience Learn Defi ne Needs Assess Options Make Decision Marketing ■ Enable sales reps with short messages to engage customers while learning. ■ Support sales reps’ personal brand building. ■ Identify unique diff erentiators. ■ Develop and package commercial insights which highlight unique diff erentiators. ■ Enable further exploration of needs through interactive, yet scalable, messages and content. Sales ■ Train sales reps to be involved in channels where customers learn (e.g., social media). ■ Teach reps to personalize marketing messages. ■ Adapt marketing insights for direct interaction with customers. ■ Train sales reps to deliver commercial insights in compelling ways. ■ Teach reps to target and identify the right stakeholders to carry insight into customer business. Source: Sales Executive Council research.
15.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 15 ROAD MAP FOR THE PRESENTATION 1 How can reps earn permission to engage customers where they learn? GAIN CREDIBILITY AND INFLUENCE IN SOCIAL MEDIA CHANNELS ® Profi le of a Social Media Star 1 Ready-Made Social Messages 2 How do reps teach customers into the funnel? REFRAME CUSTOMER THINKING TO VALUE YOUR SOLUTION Deconstructed World-Class Commercial Insights Other Profi les Customer Intelligence Pipeline Demand Shaping Coaching Guide Social Proximity Lead Distribution Stage Zero Selling 1 Pseudonym. Summary of Key Learnings High Performer Demand Shaping Toolkit Source: Sales Executive Council research.
16.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 16 ENGAGING CUSTOMERS WHERE THEY LEARN Customer Purchase Experience “Social soundbites” help engage customers where they learn. Learn Defi ne Needs Assess Options Negotiate Deal “Social soundbites” are used here to gain access to customers, engaging them in a credible fashion while they learn. Source: Sales Executive Council research.
17.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 17 FILTERING OUT THE NOISE Nature of Information Surrounding Customers Illustrative Customers, bombarded with a near constant fl ow of learning opportunities, are becoming increasingly descerning of information sources. ■ Today customers are exposed to considerable and near-constant learning opportunities. ■ In response, customers are very selective about which content they engage. Industry Insiders Consultants Industry Insiders Sales Reps SMEs Peers Industry Insiders Customer Consultants Sales Reps SMEs Peers Customer Consultants Sales Reps SMEs Peers Customer Customer Information Filtering Illustrative Source: Sales Executive Council research. Consumed Information General Information General Information General Information Customers have become increasingly descerning about the information sources and content from which they choose to learn. Customers are increasingly exposed to information excess. Screen 1 Screen 2 Credible Relevant and Topical Screen 3 Non- Commercial Screen 4 Off ers Unique Perspective
18.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 18 GAINING INFLUENCE Levels of Social Media Maturity in Sales The best salespeople earn permission to be infl uencers within their customers’ social networks. ■ The best reps are not just present in social media, they position themselves as credible and infl uential sources in customer networks. This aff ords them more access to customers. ■ The approaches on this page range from passive to actively involved. ■ While advanced behaviors may initially appear to require signifi cantly more time, reps claim effi ciencies emerge quickly. Time is required to initially build such a network. ■ The fundamentals of gaining acceptance and infl uence in such channels include being credible, being topical, off ering perspective, and generally being involved. Basic Intermediate Advanced Individual Presence I am a profi le I am a company rep I am a personal brand consistent with my company Network People I personally know Thought leaders and key infl uencers Prospects and connections who have access to those prospects Groups Organizations I belong to (alumni, company, etc.) Groups related to my company’s industry or product set Groups where my customers exchange info and seek advice Involvement Monitor discussions Pass along interesting information and company updates Information broker, curating engaging content Immediate Goal Be Findable Exchange Information Earned Permission to Infl uence Within Customer Networks Source: Sales Executive Council research.
19.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 19 EARNING INFLUENCE Representative Behaviors from a Social Media Star Top performers cultivate a strong social network, allowing better customer access and credibility. ■ Simple approaches to social media engagement help top performers to establish a signifi cant presence. Get Personal: Leverage other connections or personal information to make connections. Learn Openly and Share It: Show your network you’re learning and show customers you’re “in the know.” Give to Give: Share information to engage the broader network and establish followership in social media. Engage Others: Directly interact with connections, credit others, ReTweet interesting posts, and generally involve yourself. Be an Infl uencer, Not a Seller: Gaining access to customers and building a deep network is a function of contribution, not commercialism. “We encourage our sales teams to get on the social bandwagon and develop their own professional brands. We have to join the online conversation to be credible and eff ective.” Melissa Madian Sr. Dir. Worldwide Field Enablement Eloqua ® http://www.linkedin.com/in/motherofmarketingautomation Source: Eloqua; https://twitter.com/#!/jill_rowley; Sales Executive Council research.
20.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN READY-MADE SOCIAL MESSAGES 1 20 OVERVIEW Marketing enables low-burden and relatively immediate social presence by sales team. SOLUTION HIGHLIGHTS Ready Made Social Messages Marketing provides sales with the ready-made messages and suggested networks to engage. Personalized Touch by Salespeople Sales reps individualize messages being sent into their networks. SCENARIO ■ Beta Company found that traditionally eff ective methods of engaging “white space” B2B customers in a new market did not work well for web-based services. ■ Beta’s research showed that 75% of buyers were likely to use social media to infl uence their purchasing decisions. COMPANY SNAPSHOT Beta Company Industry: Diversifi ed Computer Systems 1 Pseudonym. Source: Sales Executive Council research.
21.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 21 MASS CUSTOMIZATION Overview of Social Selling Marketing delivers social media engagement messages to Sales, which takes those to the customer. ■ Marketing brings both the benefi ts of information scale and on-target messaging to social selling. ■ Arming inside sales with social messages presents a scalable, yet individualized channel to interact with customers. ■ Beta Company has initially used Inside Sales for this approach. The principles of this practice largely hold true for fi eld-based (both direct and indirect) sales forces. Marketing Inside Sales Customers and “Considerers” in Social Networks Marketing builds ready-made social messages and suggested social networks for sales. Sales individualizes these messages and engages social networks on a more personal basis. 1 2 Source: Sales Executive Council research. 1 1 Pseudonym.
22.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 22 RELEVANT, READY-MADE MESSAGES Principles of “Social Soundbites” Messages have pre-written introduction, bit.ly links2, and hashtags3 already embedded. Locate messages within rep workfl ow, in this case in an RSS feed integrated with rep e-mail Allow message choice with new content pieces published on a production schedule Marketing ensures that Sales’ burden to participate in social media channels is relatively low, yet highly relevant. ■ The marketing-led approach eases both rep concerns of additional work, and company concerns of rep-generated content. Ground in Trending Issues Ensure message relevance by monitoring trending issues among users and considerers Couple with External Content Non-commercial content better permeates social media and generates more network interest. Give a Short Reason to Care Messages are intentionally short and meant to garner interest in less than 15 seconds. Lead to Beta Company Messages must lead back to Beta capabilities, even if indirectly. Fundamentals of Low-Burden Social Messaging 1 Pseudonym. 2 Shortened URL links. 3 “#” Mark in front of a word, which links to currently-trending social discussions on Twitter. Marketing builds “prefabricated” messages to ensure a low-burden experience for the sales reps who push these messages through social media. Social soundbites are grounded in four principles, ensuring relevance without requiring extensive customization. Source: Twitter.co; Sales Executive Council research. 1 1 2 3 4
23.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 23 READY-MADE NETWORK Social Network Recommendations from Marketing to Sales Marketing recommends social media contacts and networks to keep Sales’ burden initially low. ■ Reps are expected to continue building their own personal network, despite these initial suggestions from Marketing. Key Infl uencers Prominent and active subject matter experts positioned well within verticals. Identifi ed by involvement in groups, number of followers, and amount of citing (ReTweeting). Critical Social Groups Groups dedicated to, or discussing, various types of products and services off ered by Beta Company. Recommendations for Engaging Key Infl uencers “ReTweet” and Credit Infl uencers Gain credit with key infl uencers by broadcasting their messages, particularly ones relevant to the rep. Thank Infl uencers Who Credit You Social capital matters signifi cantly in online social networks, and it helps key infl uencers build their own personal brand. Marketing researches and recommends ready-built social networks within LinkedIn and Twitter for sales reps to initially follow. Source: Twitter.com; Sales Executive Council research. 1 1 Pseudonym.
24.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 24 PERSONALIZING THE TOUCH Rep Contextualization of Messages Reps’ personal touch helps ensure customer receptivity and engagement. ■ Reps are granted far more access to social networks than the company. ■ Encouraging minimal editing of messages helps mitigate likelihood of networks socially rejecting or ignoring messages. ■ Company-provided websites allow reps to create their own online presence. This serves as a digital business card, of sorts. ■ This customized website is particularly important for inside sales, who rarely engage in-person with customers. Keys to Authentic Messages Topical Messages must fi t within the broader context of the current discussions occurring in social media channels. Current and Well-Timed Messages must be current in order to be accepted as part of network dialogue. Language Messages must match the “native” language in each social group or network. Reps are encouraged to individualize the social soundbites by simply changing a few words. LinkedIn account Twitter account Personal website, with integrated Twitter feed, personal video, and Beta Company product overviews Channels for Individual Rep Social Presence Source: Sales Executive Council research. 1 1 Pseudonym.
25.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 25 Providing sales reps SPEEDY AND IMPRESSIVE RESULTS with ready-made social networking opportunities has yielded fast and signifi cant results. ■ The speed with which Beta Company has seen results is remarkable, and can be attributed to Marketing’s eff orts to make this low-burden for the sales force. Twitter Followers Pilot Team (North America), Indexed Seller Personal Page Views Pilot Team (Global), Indexed 1x 12x 2.06x 1x Pre-Pilot Post-Pilot Pre-Pilot (Seven Months) Post-Pilot (Two Weeks) “We’ve seen considerable growth through our pilot and are now working to roll this program out across our many sales forces.” Beta Company Source: Sales Executive Council research. 1 1 Pseudonym. Product Orders Pilot Team (North America), Indexed Quarterly Orders Placed in 2010 (Pre-Pilot) Quarterly Orders Placed in 2011 (Pilot) 1x 4x
26.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 26 ROAD MAP FOR THE PRESENTATION 1 How can reps earn permission to engage customers where they learn? GAIN CREDIBILITY AND INFLUENCE IN SOCIAL MEDIA CHANNELS ® Profi le of a Social Media Star 1 Ready-Made Social Messages 2 How do reps teach customers into the funnel? REFRAME CUSTOMER THINKING TO VALUE YOUR SOLUTION Deconstructed World-Class Commercial Insights Other Profi les Customer Intelligence Pipeline Demand Shaping Coaching Guide Social Proximity Lead Distribution Stage Zero Selling 1 Pseudonym. Summary of Key Learnings High Performer Demand Shaping Toolkit Source: Sales Executive Council research.
27.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 27 TEACH CUSTOMERS INTO THE FUNNEL Customer Purchase Experience Illustrative Sales must reframe how customers think about their business to best initiate a role. While “soundbites” help initially engage customers, teaching compelling insights is required for the customer to take action. Teaching Learn Defi ne Needs Assess Options Make Decision Source: Sales Executive Council research.
28.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 28 INSIGHTS GO BEYOND THOUGHT LEADERSHIP Hierarchy of Information Conveyed Through Sales Messages Illustrative Be Credible/ Relevant 1 General Information Be Newsworthy 3 Thought Leadership Be Frame-Breaking 4 Insight Lead to Supplier Commercial Insight 5 2 Accepted Information True commercial insights meet a high bar and go well beyond traditional thought leadership. ■ Many mistakenly present newsworthy information as if it were frame-breaking. ■ While newsworthy information may attract initial customer attention, it has little lasting customer impact. ■ Commercial insight leads customers to appreciate unique capabilities. ■ Common examples of thought leadership module white papers, newsletters, industry research, and survey reports. Litmus Test for Commercial Insight: If you took your logo off of your pitch deck or presentation, would your competition truly be able to use it? Source: Sales Executive Council research. Commercially insightful messages lead back to the supplier exclusively.
29.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 29 THREE WAYS TO REFRAME Types of Reframes There are three distinct types of reframes. ■ Approaches should be selected based on the customer’s current level of familiarity with the problem at hand, as well as whether or not they have already developed an understanding of the solution. ■ While sales messages that focuses on customer problems tend to drive the greatest urgency, these approaches could also be used to teach customers about untapped opportunities. Do Customers Tend to Be Familiar with the Problem Your Solution Solves? Do Customers Often Have an Understanding of the Solution? How Customers Present Themselves Customers often appear content in dealing with the issue. Underestimated Problem Teach customer that the problem is far greater in magnitude, or needs to be appreciated diff erently, and therefore warrants an alternative approach. Customer often accepts the problem as a “cost of doing business.” Unrecognized Driver Teach customer that a problem is driven by a diff erent root cause than they had realized, allowing the problem to be better managed. Customer appears ignorant or completely ill-informed of the issue. Unanticipated Problem Teach customer that an unrecognized problem is fast approaching, and will have a detrimental impact if not addressed. While these are portrayed in light of business challenges (as most successful commercial teaching examples are), this framing equally applies to upside opportunities. Source: Sales Executive Council research.
30.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 30 MORE THAN MEETS THE EYE Case in Point: Underestimated Problem Cargill magnifi es an existing problem that customer’s haven’t fully appreciated. ■ The company teaches farmers who continue to market their grains independently the numerous factors that contribute to market volatility making it harder for them to interpret and action information on their own. ■ Cargill’s solution allows farmers to tap into its global resources and expertise to stay on top of market information and consistently sell grain at peak prices even in a volatile market. Source: Cargill; Sales Executive Council research. COMPANY SNAPSHOT Cargill, Inc. Industry: Diversifi ed Products and Services 2011 Sales (USD): $119,469M Employees: 138,000 Acknowledge the customer problem: Marketing grain used to be so much simpler, only a few factors aff ected pricing. Once grain prices marginally varied, now pricing volatility is the norm. Teach customers how they’ve underestimated the problem: Today market factors are too numerous to count: global food demand, geopolitical issues, debt crisis, energy, etc. And every market factor is increasingly complex, infl uenced by a seemingly endless number of dynamics. Present a new way forward, that only Cargill can off er: The customer needs deep expertise and understanding of global markets and crop conditions. Only Cargill has this such a broad, and deep, understanding of market infl uences to help farmers market grain. 10-Year Average of Dec Corn Futures - Daily Market Close 1999-2009 10 Year Futures Average MARKET UNCERTAINTY Producer planting intentions South American crop size Global demand PLANTING Planted acres Planting progress Planting conditions Weather (moisture & temps) Crop emergence GROWING SEASON Weather (moisture & temps) Pollination Crop disease(s) HARVEST Yield Grain condition (moisture, test weight, etc.) South American planting intentions & progress January February March April May June July August September October November December 12 Months But Today? Market Factors Are Almost Too Numerous to Count. $3.30 $2.80 $2.30 Average Futures Price PAGE 4 ProPricing Contracts CargillProPricing.com PAGE 5 $6.30 $5.80 $5.30 January February March April May June July August September October November December Average Futures Price 12 Months PRIME TIME AVERAGING PERIOD $4.80 Your final price is equal to the average of the daily close during the Prime Time Pricing Period.
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From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 31 • Easy application and splatter-free • Optimum blend of polishing and c excellent stain removal ment.3 Nearly one-third y of dental health professionals cite musculoskeletal disorders as the reason for early retire – Burke FJT et al. Br Dent J. m IT’S WITHIN YOUR CONTROL Case in Point: Unrecognized Driver Dentsply teaches customers about a problem that customers’ previously thought was unsolvable. ■ The company teaches dentists how the previously accepted problem of hygienists having Carpel Tunnel issues is controllable. COMPANY SNAPSHOT Dentsply International Inc. Industry: Health Care Products 2011 Sales (USD): $2,537M Employees: 11,800 Acknowledge the customer problem: Dentists have struggled with hygienist absenteeism and early retirement due to Carpal Tunnel Syndrome. Source: Cargill; Sales Executive Council research. That has long been considered a cost of business in the dental industry. Teach customers how the problem is more manageable than previously thought: While most dentists believe such wrist conditions are unavoidable, in most cases, they are preventable. Recent studies have demonstrated that a very specifi c cause: the weight and ergonomics of the instruments hygienists use. Present a new way forward, that only Dentsply can off er: To solve these challenges, hygienists need tools that are lighter and more comfortable. Only Dentsply off ers ergonomically correct and light enough dental tools. g g f Unmatched lightness in the palm of your hand A lightweight hygiene handpiece system designed with your comfort in mind NEW Midwest® RDH® Featherweight Hose • Designed to work exclusively with the Midwest® RDH® Hygienist Handpiece • Reduces cord drag • Improves user comfort with ergonomic design
32.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 32 YOU DIDN’T REALIZE IT, BUT YOU NEED TO ACT NOW Case in Point: Unanticipated Problem Bunchball teaches an unrecognized problem that customers have failed to accounted for in their website operations. ■ The company picks an emerging trend—fi ght for internet user mindshare—to teach web managers on the challenges associated with retaining online customers in the near future. ■ To win online user mindshare, Bunchbell proposes gamifi cation solutions—a new way to drive customer engagement and retention on the web. COMPANY SNAPSHOT Bunchball, Inc. Industry: Online Service Provider 2011 Sales (USD): $7M Employees: 50 Teach customers about a problem they’ve failed to recognize: There are a number of familiar day-to-day challenges that occupy web managers’ attention. But the greatest problem is one very few realize: crowded web user mindshare. Teach customers that this problem is worse than it seems and unlikely to disappear: While engaging existing web visitors is already diffi cult, attracting new visitors will be more daunting. The growing number of websites competing for new user attention continues to grow, drowning out your website. Present a new way forward, that only Bunchball can off er: Leading websites rely on gaming principles to engage web users continuously. Only Bunchball can help web managers incorporate gamifi cation into their website.
33.
From the SALES
EXECUTIVE COUNCIL ® of the SALES, MARKETING, AND COMMUNICATIONS PRACTICE www.sec.executiveboard.com © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN 33 CHALLENGER MESSAGING SUPPORT OPTIONS SEC Membership: An Introduction to Challenger Messaging SEC Solutions: Challenger Messaging Engagement What It Is A day-long workshop (included in your membership) arming your team to take initial steps in developing an organizational capability to build commercial insights When ■ Session 1: 17 July 2012, Chicago ■ Future sessions to be announced Who It Is For Members companies may send up to a total of three attendees from Sales Leadership, Sales Enablement, Marketing, and/or Product What It Will Cover ■ An exploration of unique diff erentiators—what they are, and what they aren’t using real examples to ground the teaching ■ An exploration of reframing techniques for various insights ■ Frameworks for determining company-level, segment-level, and solution-level insights ■ Message tailoring approaches for diff erent segments and functional stakeholders ■ Interactively improving existing sales messaging What It Is Expert support to create an insight-led message for a selected product or segment, and tools that improve your team’s understanding of Challenger Messages When Four-month engagement with workshops at your company location Who It Is For ■ Commercial organizations who need to equip their sales team with insight that helps them diff erentiate ■ Sales and Marketing leaders and their teams (Product Managers and Sales Operations are common participants) What It Will Cover ■ Build Challenger Messages—Equip your team with messages for a key product, service, or segment. ■ Teach Your Team how to Build Messages—Enhance the organization’s ability to source insights and develop messages for your customers. ■ Gain CEB Insight on Your Customers—Capture the most pressing needs of your customers using CEB consumer data and best practice research. ■ Deploy Structured Pre-Work and Interviews—Information gathering led by Solutions team to prepare for the Workshop ■ Participate in Messaging Workshop—Two-day session for sales and marketing leaders, reps, and product managers to collaborate on message creation ■ Receive the Message Guide and Toolkit—For participants’ future reference Source: Sales Executive Council research.
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Advance to Sales
Funnel www.executiveboard.com SALES, MARKETING, AND COMMUNICATIONS PRACTICE SALES EXECUTIVE COUNCIL® Pre-Funnel Demand Shaping Toolkit Gaining Permission and Access Qualifying Teaching 1 4a General Listening While direct leads can be surfaced by simply listening in social media, the more immediate intent is to understand the nature of the conversation happening, allowing you to best position yourself in that conversation. General Social Media Listening ■ Join LinkedIn groups where customers and prospects are having conversations. These are not groups about your products/solutions, but about business challenges your customers tend to face. Read at least weekly updates on signifi cant conversations taking place in those groups. ■ Leverage technology your marketing team likely already has—social listening tools. Ask a favor of your marketing colleagues: have them search for social activity based on a handful of keywords relevant to the problems your solution solves. ■ Involve yourself in the social conversation, providing your own perspective and “giving to give.” Overtly commercial involvement will not be welcomed and may harm your personal brand. Gaining infl uence within the network is a product of earning trust and delivering insight to the network. ■ For Key Accounts, follow your customer’s company group. Identify Change Change should happen, or is likely to happen (but the customer has not yet taken action). Action Step (Gather Deep Information) ■ Brainstorm with other salespeople to think of ways to approach customers ■ Network with internal subject matter experts to learn about diff erent customers ■ Understand the concerns of the buying group Key Tells of Potential Change ■ Stakeholders show discontent with status quo ■ General customer awareness of underperformance ■ Multiple stakeholders seeking advice (live or social networking) ■ Key stakeholder or consultant turnover ■ Renewal decision upcoming (and customer is unlikely to have started assessment) Customer has a poor understanding of the problem or is unaware of it altogether. Customer is aware of the problem (and potentially has an action plan/solution in the works). OVERVIEW OF TOOL This tool was constructed with the help of various high-performing sales people within the SEC membership. This tool is not meant to be a comprehensive guide, but rather, a helpful set of reminders to ensure sales and sales operations teams are shaping demand, not just reacting to demand. Special thanks to the following companies for allowing the SEC access to their high-performers. ® Recommended Uses ■ Reps: Use the tool as reminder of actions you can take to help shape demand in new and existing accounts ■ Managers: Use the tool as a coaching guide to sharpen reps’ pre-funnel sales activities ■ Sales Enablement: Use the tool to inform your sales processes and enablement support Teach to Shape Demand Teach customer about the problem. Action Step (Teach) ■ Select and deliver a message about an unanticipated problem that is fast approaching and will have a detrimental impact if not addressed. Key Tells Indicating You’ve Infl uenced Customer Thinking ■ Customer asks clarifying questions and seeks additional information ■ Customer acknowledges that they have overlooked the problem ■ Customer grants access/refers you to additional stakeholders ■ Customer agrees to follow-up conversation/expresses desire to learn more Teach to Re-Shape Demand Teach customer about a better way to solve the problem. Action Step (Teach) ■ If customer appears content with current solution to problem, teach them that the problem is far greater in magnitude than they’ve realized, and therefore warrants an alternative approach. ■ If customer accepts the problem as a “cost of doing business,” teach them that the problem is driven by a diff erent root cause than they’ve realized, and can be eff ectively managed. Key Tells Indicating You’ve Infl uenced Customer Thinking ■ Customer initially pushes back or shows healthy skepticism, but is engaged ■ Customer has an “aha” moment, demonstrating their thinking has been reframed ■ Customer begins to openly question their existing approach ■ Customer grants access/refers you to additional stakeholders ■ Customer agrees to follow-up conversation/expresses desire to learn more 4b 3 Narrowing Listening and Gaining Access Listen in a deliberate fashion to opportunities with potential to move into your funnel, gleaning as much information as possible. Targeted Social Media Listening ■ Your opportunities engaging in social conversation can provide highly valuable information. They may reach out to their network for advice, or signal change may be happening in other ways. They may off er others advice, revealing valuable information about their business approaches. Monitor these conversations closely. ■ Directly connect with any and all prospects and known infl uencers associated with those prospects (consultants, purchase infl uencers, end-users, technical users, etc.). Follow key contacts in Twitter. ■ Off er advice and a point of view to potential prospects who are actively learning in social media channels. Follow up directly. ■ For Key Accounts, track key stakeholders’ networks scanning for competitive connections, new relationships with purchasing consultants, or other signs that may indicate the customer is seeking other options. Targeted Listening Outside Social Media ■ Conduct aggressive loss analysis, understanding what factors contributed to the customer’s decision. This is particularly useful in service or contract-based sales. ■ When appropriate, establish relationships with purchase consultants. Arm consultants with insights on the industry and information that will help them provide value to your shared customers. These relationships can yield important information about your customer and other potential leads. ■ Glean information from internal peers (sales or other) and partners for information on prospects. ■ For Key Accounts, establish a regular business planning session, bringing operations teams and other internal teams supporting your customer together to gain deep account intelligence. Arm these ops teams with insights to teach to end-users or other potential infl uencers for whom you do not have immediate access. 2 Source: Sales Executive Council. © 2012 The Corporate Executive Board Company. All Rights Reserved. SEC2936212SYN Client Site: www.sec.executiveboard.com
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