“You can’t build a great building on a weak foundation.
You must have a solid foundation if you’re going to have a strong superstructure.”
–Gordon B. Hinckley
That’s exactly the same for a successful sales force enablement function, program, or initiative. The better your sales force enablement foundation, the more successful your results will be. The data from our CSO Insights 2016 Sales Enablement Optimization Study shows the impact of an enablement foundation on sales performance. Today, we discuss the three pillars of a solid enablement foundation. These are enablers for enablement success.
#1: Customer’s journey alignment drives win rates and quota attainment
Proven now for two years in a row: Focusing on the customer’s journey and aligning all internal processes accordingly is not merely a nice-to-have add-on. Instead, the degree of alignment between an organization’s internal processes and the customer’s journey is highly relevant for enablement success.
There is still a group of 9.4% that doesn’t consider the customer’s journey at all. Another 35.2% reported an informal alignment. This adds up to 44.6% who have not purposefully aligned their sales process to the customer’s journey. Then, 55.4% reported having either a formal (27.7%) or dynamic (27.7%) alignment.
An informal alignment means that the issue has been discussed and considered but not formally implemented. But this does not necessarily mean that sales processes have been adjusted or that there is a formal alignment or even implementation. A dynamic alignment goes even further: either deriving the sales process from the customer’s journey or dynamically aligning it to the customer’s journey and implementing modifications as soon as changes in the marketplace are detected.
Our study found an average win rate for forecast deals of 46.2%. With no alignment at all, the win rate went down to 40.5%, which is 14% worse than the average. But with a formal or dynamic alignment, the win rate improved significantly—up to 53%, which is a difference of 6.8 percentage points or an improvement by 15%.
Our study found an average quota attainment of 55.8%. Having no alignment led to a quota attainment of 54.2%, which is slightly below average. Interestingly, the informal and the formal alignment also led to 54.4%, which is also below average and is pretty much the same result as having no alignment. But a dynamic alignment led to 63.4%, which is an improvement by 13.6%.
#2: Create an enablement charter to improve revenue attainment
Looking at the data on how organizations approach enablement, it’s interesting to see that 49.1% of all global study participants still treat enablement in a one-off project manner (9.6%) or on an informal basis only (39.5%). Then, 35.7% reported having a formal enablement vision in place, and 15.3% have actually created a formal enablement charter that covers, for instance, vision, mission, purpose, target groups, enablement services, programs, roadmaps and how to measure success.
Our CSO Insights 2016 Sales Enablement Optimization Study shows that formality matters. If enablement is approached in a one-off project manner, sales performance suffers. Revenue attainment ended up at 84.2% (compared to the study’s average revenue attainment of 90.1%), and that’s a difference of 5.9 percentage points or an actual decline of 6.5%. Win rates ended up at 45.0%, which is below the average win rate of 46.2%.
Instead, if enablement was treated with a formal enablement charter, sales performance results were much better than average. Revenue attainment climbed up to 98.8% (compared to the average of 90.1%), which is a difference of 8.7 percentage points and an actual improvement of 9.6%. Win rates showed a positive impact as well. With a formal enablement charter, win rates climbed to 53.6% (compared to the study’s average win rate of 46.2%). That’s a difference of 7.4 percentage points or an actual improvement of 16%.
Improving the revenue plan attainment by almost 9.6% and the win rate by 16% show a performance impact that ambitious sales leaders cannot ignore.
#3 Getting cross-functional collaboration right to achieve enablement goals
Cross-functional collaboration does not exist for its own sake. The purpose of collaboration is achieving better results, ideally in a shorter amount of time. Sales force enablement is always a cross-functional discipline because no enablement team can provide integrated content, training, and coaching services throughout the entire customer’s journey for different user groups and powered by technology, alone. That’s why cross-functional collaboration is mandatory for three reasons. First, to provide the defined enablement services. Second, to achieve the enablement goals regarding sales results and productivity. And third, to keep enablement as cost-efficient as possible.
Informal and ad hoc collaboration (the least desirable forms) are still the leading approach (a combined 68.8%), but this is better than last year (83%). While there is overall good news, let’s be aware that 43% of all study participants, like last year, collaborate on an informal basis, and almost 10% don’t collaborate at all.
With increasing enablement maturity, enablement leaders have to define which functions they need to collaborate with, and why. This step is often overlooked, but it is essential. If we can achieve our goals on our own, we won’t collaborate in the first place. We collaborate because we need others to help us provide our services and achieve our goals. How other functions can help has to be specifically defined for each enablement area and with each involved function.
The data in our CSO Insights 2016 Sales Enablement Optimization Study shows that cross-functional collaboration has an important impact on enablement success. With ad hoc collaboration, only 36% could achieve all or most of their enablement goals. With formal collaboration approaches, 59% could achieve all or most of their enablement goals. So, an effective cross-functional collaboration process is an important pillar for enablement success.
Questions for you:
- How did you design your enablement foundation?
- How mature is your customer’s journey alignment?
- How did you set up your cross-functional collaboration?
This article was initially published in the November edition of Top Sales Magazine.
This interview, conducted by Jonathan Farrington, CEO of Top Sales World with my colleague Jim Dickie and myself, was initially produced for the October issue of Top Sales Magazine.
Jonathan: Tamara, may I begin by asking you to share your definition of “Sales Enablement?”
Tamara: Yes, of course. At CSO Insights, we define sales force enablement as a “strategic, cross-functional discipline designed to increase sales results and productivity by providing integrated content, training, and coaching services for salespeople and frontline sales managers along the entire customer’s journey, powered by technology.”
Jonathan: Why is sales enablement such a growing discipline? Is enablement now growing up?
Tamara: B2B sales is in a period of transformation. How to sell becomes more important than what to sell. In the age of the customer, old product centered selling formulas don’t work anymore. Modern selling is about creating value at each stage of the customer’s journey for all stakeholders to influence their decisions along their customer’s journey. And successful salespeople involve more stakeholders (5.8 on average) at the customer and also internally than mediocre performers. Our data shows these transformational challenges. Quota attainment is decreasing since 2012, from 63.0% down to 55.8% in 2016. But trying harder doesn’t work anymore. Instead, sales forces need smarter support. And this is where sales force enablement comes into play, orchestrating all efforts across functions to equip salespeople and their managers with the necessary training, content and coaching services in an integrated and consistent way so that they can be more successful in an ever-changing world.
Jim: An interesting trend the CSO Insights 2016 Sales Enablement Optimization Study found was where sales enablement fits within the organization structure. In 52.5% of the cases, the discipline reports to executive sales management, another 25.3% of the time it reports to sales operations. So this is not being seen as a marketing, HR, or training responsibility; this is truly something linked directly to the sales organization. While we are clearly seeing growing interest in sales enablement, how companies implement this discipline varies. The study found that 12.1% of the participants surveyed said that their company viewed this as a series of one-off projects, 39.4% said they had an informal vision of what sales enablement could or should be, and the remaining 48.5% told us they had taken the time to define a formal vision for sales enablement’s role within their organization.
Jonathan: That’s interesting; the organizational aspect underlines enablement’s growing up. Now, what are the major goals they are focusing on achieving?
Jim: Study participants reported two top objectives for sales enablement programs: increase not just sales efficiency and but sales effectiveness as well. But how to do that comes in a lot of flavors. Key areas of focus the study surfaced were increasing new account penetration, increasing sales to existing accounts, optimizing cross and upsell, improving margins, minimizing customer churn, improve win rates of forecast deals. The key to success is what you do after you prioritize the specific challenges your sales enablement organizations needs to address. Work needs to be done to clearly define the causes of suboptimal performance so you can then craft a comprehensive sales transformation vision, which in turn can be broken into management steps so that we can engineer evolutionary change that doesn’t overwhelm the organization.
Tamara: All these various goals that enablement leaders are pursuing cannot be achieved all at once. Some of the goals depend on an organization’s current state of enablement maturity; others on an organization’s context and priorities. But wherever you are on your enablement journey, effective cross-functional collaboration is always an essential key to success. And it’s not just marketing you have to collaborate with. Instead, there are, for instance, sales management, sales ops, product management, HR, L&D, and also IT. According to our data, 66.8% of the participants collaborate in an ad hoc or informal manner. Only 21.7% have a formal collaboration approach. So, getting cross-functional collaboration right leverages a huge productivity potential. And that requires to defining collaboration goals with each other function. Setting up a collaborative production process and defining the relevant roles for each enablement service (e.g., content types and training services) is a prerequisite for productivity. With other functions such as sales management or IT, collaboration should be formalized to ensure executive buying, exchange, and structured decision making.
Jonathan: In the age of the customer, what’s the role of the customer’s journey in sales enablement?
Tamara: As buying decisions are still made by customers, the entire customer’s journey has to be the main design point for sales force enablement. Aligning the internal processes, namely the sales process, to the customer’s journey is still a challenge for many organizations. There is still a group of 9.4% that doesn’t consider the customer’s journey at all. Another 35.2% reported an informal alignment. This adds up to 44.6% who have not purposefully aligned their sales process to the customer’s journey. Then, 55.4% reported having either a formal (27.7%) or dynamic (27.7%) alignment. Our data shows that the better the customer’s journey alignment, the better the sales performance: win rates, for example, can be improved by 15%. With no alignment at all, the win rate went down to 40.5%, which is 14% worse than the study’s average of 46.2%. But with a formal or dynamic alignment, the win rate improved significantly—up to 53%, which is an improvement of 15%.
Jim: Many companies seem to struggle with mapping the customer’s journey. That doesn’t need to be the case because to really understand what that journey entails all we have to do is ask the customer. To do that, we have long been advocates of doing buy cycle reviews. This starts with taking a group of past opportunities – wins, losses, and no decisions – and interviewing the customer about what happened from their side. What issues caused them to consider doing something, who was assigned to the project team, what tactics did they go through to assess alternatives solutions, how did the cost justify the investment, etc. You also want to know what happened after they bought something and started using it. We have outlined in detail a process for how to accomplish this in our ebook, The CSO’s Guide to Transforming Sales, which anyone can download.
Jonathan: Enablement services: What’s the state of training and content services and how do they impact performance?
Tamara: Sales training is still the top enablement service for salespeople, followed by sales tools, process improvements, onboarding, and content services that are actually the foundation for almost every other enablement service. For sales managers, enablement analytics and coaching are most important. The quality of enablement services impacts sales performance. Content quality, for example, impacts quota attainment in two ways: Content that meets or exceeds expectations drives quota attainment up to 59.3%, which is an improvement of 6.3% compared to the study’s average of 55.8%. Content that requires major redesign or improvement impacts quota attainment negatively: 53.1%, which is a decline of 9.5%. The same patterns apply for training. Training services that meet or exceed expectations improve quota and revenue attainment and win rates in a remarkable way. But if these services lack quality, the consequence is a negative impact on performance. Examples for onboarding and social selling with exact data are included in our 2016 Sales Enablement Optimization Study.
Jim: W. Edward Deming’s observation that “You can expect what you inspect” has a lot of applicability to training and content management services. Providing training and content to sales teams needs follow-up with analyzing how they are leveraging those skills and sales tools when they are actively selling. Are salespeople really trying out new sales techniques with customers, or falling back to old habits? What content are they actively using when engaging clients, and what materials are effective and which are not? And also, what content have salespeople created themselves? How do we find those materials, synthesize them into best practices, and share them across the sales force? We need to put together the processes and technologies to get answers to these questions. If we do, we can significantly increase the impact that sales enablement has on performance, because we can ensure the services are really being used.
Jonathan: Enabling salespeople is not enough. What does sales manager enablement mean and what’s the role of coaching?
Jim: Too often when we have discussions around enablement, the focus is on what salespeople need to be doing differently. That is only half the equation. Sales management needs to evolve as well. If you have a Sales 2.0 sales force reporting to Sales 1.0 managers, you are setting the stage for conflict. We need to bring a whole new level of science to the art of sales management. The CSO Insights 2016 Sales Enablement Optimization Study found that the average win rate of forecast deals is only 46.2%. Think about that. The odds of winning on a “pass bet” at the craps tables in Las Vegas are 49.3%. The forecast is created by sales management, with input from their salespeople. Nothing gets into the forecast unless management puts it there, and we are wrong more than half the time! That is indicative of a broken, or at least suboptimal, coaching process. So optimizing sales management performance needs to be part of the sales enablement charter from day one.
Tamara: I always recommend that companies enable sales managers first, based on my own experience and our data. Investing in sales managers impacts, for instance, revenue attainment by 18.4%. And the specific impact of developing the managers’ coaching skills can improve, for instance, win rates by 27.9% and quota attainment by 10.2%, if the coaching approach is a dynamic one. Yes, the coaching approach itself makes a huge difference. It’s still the biggest challenge that 47.5% of the study participants reported that coaching is left up to each manager. Such a random approach is not scalable and has no positive impact on performance at all. The abovementioned results can only be achieved with a formal, or even better, a dynamic approach. That means the coaching areas and the coaching process have been defined and implemented, and the sales managers are up to speed and are required to use it. In a dynamic approach, the coaching framework is connected to the enablement framework to reinforce the initial enablement efforts and to drive adoption.
Jonathan: Now, let’s look forward: What are your top three recommendations?
Tamara: My first recommendation is to create an enablement charter. With buy-in from the senior executives, such a charter is a very powerful internal selling tool for enablement leaders. The charter has to be based on a clear vision, mission, and purpose statement. It defines the enablement target groups, goals, strategies and activities to get there. The provided enablement services and how to measure success also have to be defined.
Second, content and training services have to be aligned. It’s still a challenge, especially when sales training and sales content services are created from different departments. In that case, enablement should establish an alignment process to ensure that the messaging is consistent. No content without training. No training without content.
Third, social selling is an enablement issue. Marketing’s social strategy and the social selling strategy have to be aligned. And enablement services involve more than training on how to use LinkedIn. Instead, social selling methods have to be integrated into the sales process and powered by technology. And social selling requires shareable social content that salespeople can use to connect and engage with prospects and customers.
Jim: You need to establish a sales culture that embraces change. That means that the first sale you need to make with any sales enablement initiative is an internal sale. Everyone who is going to be impacted by the changes you are making to training, process, technology, coaching, etc., needs to understand what is happening and why.
Second, realize that that sales enablement is an investment, not an expense. If you take the time to figure out the cost-of-doing-nothing associated with sales ineffectiveness, in terms of low revenue attainment, poor margins, high customer churn, and so on, you will quickly find that the cost of fixing these problems is orders of magnitude less than letting them continue.
Finally, understand that sales enablement is an ongoing journey of continuous improvement, versus a single event. Adapting to changes in the marketplace will require unending changes in how you engage customers.
“The Principle of Priority states (a) you must know the difference between what is urgent and what is important, and (b) you must do what’s important first.”
― Steven Pressfield
Investments in sales productivity are often a significant budget item, and sales leaders need to tailor these investments to achieve their business goals. As the results of our CSO Insights 2016 Sales Enablement Optimization Study show, most investments in sales productivity are focused on salespeople, and investing in frontline sales managers is still not a top priority. In the main investment categories of $500-$2,500 per person per year, 53.6% of all training investments are targeted to salespeople; and 41.4% for sales managers. Furthermore, 18.6% of all respondents reported not investing in their sales managers at all, compared to only 6% who reported not investing in their salespeople.
At CSO Insights, we encourage our clients to look at it this way: If an investment in one person can impact the performance of six, eight, or ten salespeople, why would you not prioritize this investment?
Frontline sales managers: key role but poorly developed
Frontline sales managers have a greater impact on sales execution, productivity, and transformation than any other role. What makes this role so demanding is the need to continually balance three often-competing areas – customer, business, and people – in constantly changing and complex selling and buying environments.
Furthermore, frontline sales managers are almost always sandwiched between the competing goals and motivations of their team and corporate executives as well as between those of customers and the internal organization. Their performance is judged on their ability to achieve multiple, often-competing goals at the same time.
Having been the best sales professional in the organization does not automatically qualify an individual to be a top-performing frontline sales manager. The root cause of poor performance is the failure to develop frontline sales managers in their new role. Poorly developed frontline sales managers drive top performers out of the organization and promote mediocre performance from those who remain. This is something sales leaders with ambitious growth and performance goals simply cannot afford.
Investing in frontline sales managers drives results if done the right way!
The data from our 2016 Sales Enablement Optimization Study shows that organizations that make little to no investment in sales manager development fail to achieve even average results. Conversely, those study participants who invested more than $2,500 per sales manager per year experienced far better results. For example, by investing in sales managers, the win rate for forecasted deals could be improved by 9% up to 50.5%.
However, modest investments were not enough. Those respondents who reported making only minor investments in sales manager development saw a win rate of only 43.7%, which was 5.5% below the reported average of 46.2%.
Investments in frontline sales manager development correlated to an even bigger impact in the area of revenue plan attainment, which could be improved by 18.4% up to 106.7%, compared to the average revenue plan attainment of 90.1%.
Coaching is the key to leveraging salespeople’s full potential, but it has to be formalized to be effective!
Coaching does matter. The impact on sales performance metrics, such as quota attainment or win rates, is remarkable. But the impact depends on the coaching approach. And the way organizations approach coaching their salespeople remains an interesting data point. Only 27% of all study participants reported having a formal or dynamic coaching approach. “Formal” means that there is a coaching process defined and that sales managers are trained this way and required to coach accordingly. Dynamic means that in addition to the formal approach, the coaching framework is also connected to the sales force enablement framework.
Almost half of the study participants (47.5%) reported leaving coaching up to their sales managers. But this laissez-faire approach creates no performance impact whatsoever. When coaching is left up to managers, quota attainment was only 53.4%, as compared to the study’s average quota attainment of 55.8%. An informal coaching approach improved quota only slightly better than average. In our study, a formal coaching approach resulted in significantly better than average performance, and a dynamic approach improved quota attainment by an astounding 10.2% up to 61.5%.
These findings show that investing in less than a formal coaching approach is a waste of money if sales leaders want to get better than average.
Investing in frontline sales managers leverages the investments made in a sales force enablement foundation
The CSO Insights 2016 Sales Enablement Optimization Study highlighted another interesting correlation that could be used to leverage synergies between sales performance initiatives. Organizations with an enablement function invest more in their sales managers than those without an enablement function.
Sales force enablement’s foundation provides a great starting point for sales manager development. Based on an existing sales force enablement framework, a coaching framework should be developed, sitting between the customer’s journey and the internal processes. To make frontline sales manager enablement successful, especially coaching enablement, it helps to design the coaching framework as a mirror image of the enablement framework. This connects coaching to the enablement services and promotes adoption and reinforcement.
Coaching is a vital skill that has to be learned from scratch, and a dedicated, formal sales manager development program is a must-have for any ambitious sales organization. This sales manager development program must cover all three areas of the frontline sales manager triangle: customers, business, and people. And, while coaching is only one aspect of the people side of the triangle, it is the most impactful and differentiating one.
Related blog posts:
Frontline Sales Managers: Key Role, but Poorly Developed and Enabled
Why Effective Coaching Requires A Coaching Framework
Coaching Isn’t Just Coaching: Which Coaching Areas Have To Be Considered
How World-Class Frontline Sales Managers Coach Differently To Drive Performance
This article was written for Top Sales Magazine, September issue.
When designing a kitchen, you need to consider your available space as well as your cooking style and the types of meals you most often cook. This allows you to create your culinary masterpieces most effectively by optimizing the processes you follow.
In cooking, just as in sales, technology matters, too. Choosing appliances, such as an oven or refrigerator, with features that support your approach to meal preparation, makes a big difference.
“A fool with a tool is still a fool”
Unfortunately, sales leaders often look at tools differently than do master chefs. They sign contracts for expensive sales technology that promises to deliver results before defining what those results look like in their business context and how the organization needs to prepare. These investments almost never pay off. But, just like a poorly designed kitchen, it isn’t the technology that failed. It is the sales organization that failed to take the time to think through how the technology needs to support their strategy. According to the data from our 2016 Sales Best Practices Study, these systems often fail to deliver. For example, only 28% of All Respondents reported a significant increase in sales productivity due to the use of sales tools as compared to 78% of World-Class Sales Performers.
The functional layer sits between the customer’s journey and the salesperson’s journey.
Before sales enablement can drive performance from enablement technology, the organization must have a deep understanding of the customer’s journey and align internal processes (marketing, sales, and service) to it. As showed in our 2015 Sales Enablement Optimization Study, the better this alignment, the more successful organizations have been across several key performance metrics such as quota attainment (+13 %) or revenue plan attainment (>10%).
There are as many customer’s journeys as buying situations. The key to success is to identify the relevant gates on an aggregated level. When world-class sales performers map their internal processes to the customer’s journey, they ensure that every gate on the customers’ side has an equivalent gate in the internal process chain.
Sales force enablement’s core responsibility is to equip the sales force with the required skills and competencies, the right knowledge, and the right strategies to create more and better business. Within the functional layer, there are three sublayers, each with unique requirements for enablement services:
- Skills and Competencies or “How to Sell”: This bottom layer is independent of the organization’s products and services portfolio and includes all of the general skills that impact sales success, such as communication, listening and questioning, negotiation, presentation, and social skills. These skills are relevant throughout the entire customer’s journey. Training services are the primary enablement service in this layer.
- Expertise: Capability and Situational Knowledge or “What to Sell and How to Sell”: The capability knowledge focuses on what salespeople need to know about the organization’s portfolio of products and services. These knowledge prerequisites should center on what these products and services mean to a customer rather than what they are or what they do. This understanding translates “what to sell” into “how to sell.” Enablement services include various internal enablement tools (playbooks, value messaging guidelines, briefings, etc.) as well as client-facing content assets (success stories, references, presentations, etc.).Situational knowledge is based on the organization’s methodologies and processes. Acquiring situational knowledge salespeople have to connect the dots between their research and the information they get from conversations with buyers in the particular context of a buying situation to draw the right conclusion for the right moment.
- Sales Insights or “How to Coach”: The sales insights layer covers all information regarding the specific customer situation and the analytics related to the current interactions with the prospect or customer. Once sales managers have mastered the coaching skills, the better the data, the better the impact they can make through coaching.
The technology layer is derived from the functional layer by translating the functional areas into different technology categories and creating a set of systems capability requirements.
- Learning Management Systems: This layer includes training and learning management systems for all available learning formats. Capabilities should include content creation for the training services to be provided as well as functionality for assigning, conducting, and tracking sessions and the issuing of certifications.
- Sales and Marketing Technology Solutions: The next layer includes a variety of technology solutions. The focus here is on enablement technology, but marketing automation and SFA/CRM systems are essential as well, and ideally, all three systems are integrated.
- Sales enablement content management solutions (SECM) handle a wide array of content types from internal enablement content up to client-facing content. The best content management systems provide a broad range of functionalities including management, distribution, and access, as well as analytics for content usage and effectiveness in sales interactions. SECM solutions handle a wide array of content types from internal enablement content up to client-facing content. These solutions should also provide a broad range of functionalities including management, distribution, and access, as well as analytics for content usage and effectiveness in sales interactions. However, to drive world-class performance, the system must go beyond and adhere to the “Be Inspired” principle. This mechanism provides content suggestions to the salesperson—when they need it; where they need it—based on the particular selling scenario and customer’s journey stage.
- Sales Analytics Systems: There are three types of analytics in this layer: descriptive, predictive, and prescriptive. In dynamic, ever-changing B2B sales environments, sales analytics become more and more important. They improve strategic decision-making among sales leadership. And they also help salespeople gain as much relevant information as possible about targeted prospects and existing customers so they may engage them in the most meaningful, relevant, and valuable way.
Sales enablement technology is a significant investment. To make the most of it and drive the performance improvements they are looking for; sales enablement leaders must collaborate with their colleagues in sales operations. Before purchasing any system, they must define the functional layers to derive their technology requirements.
Questions for you:
- How do you make decisions on sales technology in your organization?
- How do you connect the dots to create a bigger sales technology vision?
Related blog post:
This article was initially published @ Top Sales Magazine, August 2016
What is world-class? In sports, it is easy to define. World champions and Olympic medalists are world-class. But what is world-class in sales? Revenue performance? Maybe, but how do you get there? What are the behaviors that drive world-class sales performance?
At CSO Insights, we are passionate about all things sales performance. We research sales performance from different perspectives, including behavioral and metric perspectives. We investigate, for instance, the roles of sales process and sales management, the growing impact of strategic sales force enablement, and the roles of technology and compensation.
Our CSO Insights 2016 Sales Best Practices Study has just been released. “Drawing Back the Bow” is this year’s cover story. It creates an umbrella theme for the 12 behaviors that have the greatest impact on sales performance.
For the thirteenth year, this study identifies those behaviors that have the biggest impact on sales performance, measured by well known key performance indicators such as quota attainment, qualified opportunities, new account acquisition, YOY existing customer growth or average account billing. Top performers in these areas do a few things differently. They focus on what matters. They focus on the top behaviors that have the greatest impact on sales performance, collectively and consistently. And that makes a huge difference.
The world-class segment is only 7.7% of the overall study population of more than 1,700 respondents, 1,200 of whom work in complex sales. But they achieved 21% better sales performance.
A sales performance difference this large cannot be ignored by any sales leader. Now, what are these top behaviors that drive sales performance, and what does it take to become excellent at those behaviors, to become a world-class performer?
From the top 12 behaviors we have three behaviors that were also top behaviors last year:
Sales and marketing are aligned in what our customers want and need (World-Class 94%, All Respondents 39%)
The key differentiator to successful sales and marketing alignment is this: being aligned to “what our customers want and need.” And that means beginning with the customer’s journey as the main design point when addressing this challenge. Here are four steps to improve sales and marketing alignment in a “customer-core” way:
- Shared vision of success: A shared vision describes how the organization creates value for the customers and how success will be measured. Following the customer’s journey makes it easier to create this vision, and revenue contribution has to be one of the measures of success for both sales and marketing.
- Shared strategy to create value in every interaction: A shared strategy for creating and delivering customer value is necessary―from first contact and all the way through the buying decision and the customers using the products, services, and solutions successfully.
- Shared marketing, sales, and service processes: Based on this shared vision and strategy, sales and marketing have to agree on a shared sales and marketing process, ideally powered by integrated engagement and selling methodologies. It is essential that these efforts continue after the buying decision has been made.
- Shared technology: Integrated processes require integrated technology from the website to marketing automation to sales enablement to the CRM system. Integration is mandatory to leverage the potential of successful sales and marketing alignment.
Our organization is highly effective in allocating the right resources to pursue large deals (World-class 94%, all respondents 40%)
Allocating the right resources to the right opportunities is a challenge for most organizations because resources are like budgets—there is never enough to go around. In many organizations, it’s still the loudest voice that gets the biggest share. But the right resources should only be placed on the most valuable deals to increase the probability of winning those deals. For example, sales managers evaluating deals should consider the strategic value for the customer and the value for the sales organization. It is exactly this deal evaluation process that is often missing in many sales management approaches. When decisions about investments and resource allocation have to be made, the process of making those decisions should be tied to the sales process and the decision gates the customer must go through.
When coaching sales professionals on leads and opportunities, sales managers should always investigate where the customer is along their customer’s journey. As soon as a deal comes close to the customer’s “change the status quo” decision, the sales manager and salesperson should also evaluate this deal against others. Ideally, this step takes place in a funnel coaching session, as it’s about evaluating this deal in the context of other opportunities being worked by the salesperson or the sales team.
We know why our top performers are successful (World-class 94%, all respondents 44%)
Look at the performance rankings of any sales team, and it becomes evident that not all salespeople are created equal. There are often key performers who regularly appear on the top of the chart. Just how valuable are these individuals?
Firms that excel at knowing who their top performers tend to focus on assessing three things. First, they determine the skills and competencies that sales professionals apply in their daily workflow. Doing so, they not only assess what top salespeople are doing, but also how they do it. And that’s a key finding for any sales force enablement approach, especially for onboarding and coaching. Second, they assess talent, the “behavioral DNA.” Third they assess the cultural fit because not every A-player is an A-player in every culture.
The key benefits of this approach are to understand what makes your top performers successful (we all know who they are!). Then, sales force enablement has to ensure that best practices can be shared and that the hiring process is consistently adjusted based on the latest assessment findings. Furthermore, enablement leaders have to ensure that their onboarding process is tailored accordingly.
Click here, download your copy and check out the other top behaviors!
This article was initially published @ Top Sales Magazine, July 2016