Improving Sales Productivity of Team Pursuing Very
Large Deals
Situation
The clients of this corporation's business unit were
primarily the Fortune 500 companies. Deals ranged in
size from $500 Million to $2 Billion and up to 10
years in term. Complex in nature, deals involved
selling at multiple levels including at times the
Board of Directors.
The business unit was struggling with long sales
cycle-time (an average of 18 months) and low
close-ratio. Turn-over rate among the highly
experienced group of sales professional (15 years of
average work experience) was high, in spite of the
potential for significant earnings.
Solution Approach
1. Unearth the techniques employed by the successful
sales reps
2. Evaluate if the unsuccessful sales reps were
employing the successful techniques
3. Incorporate the successful techniques into the
selling process
4. Measure and track the use of the successful
techniques
Solution and Results
Interviewing sales management and the successful
sales reps brought up several ideas and factors -
approaching the right level (C-level executive),
focusing on solution-selling, leveraging existing
relationships, demonstrating value in concrete
terms, listening to the client and many others.
However, the unsuccessful sales reps also quoted the
same factors and professed to use them. It was not
immediately clear what made the successful sales
reps succeed.
After more analysis the answer became clear.
Successful sales reps developed an executive-level
champion in the client organization - one with “skin
in the game”. What did “skin in the game” mean? It
meant an executive who had stuck their neck out and
said they were going to see this deal through; or
had committed to their board 1 to 2 cents additional
earnings per share (through savings) due to this
deal.
On evaluating the opportunities in the pipeline, it
was found that only 15% of the opportunities had
champions identified and the sales reps were working
actively towards empowering the champions. This
metric was an eye-opener. It was now clear what the
successful reps were doing to win opportunities.
The sale process was modified to include “champion
development” as one of the main litmus tests during
opportunity reviews. Metrics were setup to track and
measure the % of opportunities with champions and
the quality of the champions developed.
Opportunities where it was difficult to develop a
champion began to be eliminated earlier in the sales
process, focusing sales rep efforts on only the most
promising deals. Win-ratio and sales cycle-time
began to improve as more sales reps developed
champions.
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