What Stories Are Your Numbers Telling You?

What Stories Are Your Numbers Telling You?

Your sales numbers tell a story. Your numbers paint a picture of what you believe, as well as the actions you take based on those beliefs.

If your pipeline is empty, your pipeline metrics tell the story of a salesperson (or sales organization) that isn’t prospecting. Or maybe it tells the story of someone struggling to effectively prospect in a day and age when business acumen, situational knowledge, and value creation are the price of admission.

If your pipeline is full of deals that are smaller than your target deal size, the story your average deal size tells might be about a salesperson that is calling too low because he doesn’t feel like he is producing results when he is working on the long sales cycle deals. Or maybe it’s the story of a salesperson that doesn’t call on large clients because he believes they already have partners in place, because they’re too difficult to win.

If the time your deals spend in a certain stage of your sales process is longer than it should be, your numbers tell the story of a salesperson that isn’t in control of the sales process. Your time in stage metric might tell the story of a salesperson that isn’t asking for or gaining the commitments she needs. Or it might tell the story of a salesperson that isn’t following a sales process at all.

In business-to-business sales, your numbers at the end of the quarter don’t often tell you anything about that quarter. The story your number tells at the end of the quarter is the story of what you did during the prior couple of quarters—maybe even the prior year. It might be the story of a salesperson that worked to make their number, taking action long before it was necessary. Or it might tell the story of someone who took a quarter off waiting for deals to come to them.

You are the hero in your story your numbers tell. The story your numbers tell provides you with a picture of your beliefs and your actions. Your numbers tell the story of where you are challenged, and where you are succeeding. They also tell you what you need to do more of and what you need to change. But this is only true if you let the numbers tell you your story.

Questions

What stories do your numbers tell?

What is the underlying belief that leads to your numbers?

What actions result in your numbers telling these particular stories?

Why is the story that you tell about your numbers a different story than someone else might tell about your numbers?

 

Your Clients Already Know You’re a Salesperson

Neither your dream clients nor your existing clients ever say, “You know, that Joe is really consultative. He’s never too salesy. I never think of him as a salesperson.”

It makes me cringe to hear salespeople say that they don’t want to come across as a salesperson. They say they don’t want to be perceived as being too “salesy.” Instead, they want to be perceived as consultative, mostly underestimating what that means of what it takes to get there. Almost none of the people you sell to have any idea what consultative selling is (in fact, most salespeople really don’t know what consultative selling is either). Your client’s don’t share the vocabulary we in sales use to describe that set of behaviors.

Salespeople who suggest that they want to be consultative especially talk about the idea of not being “too salesy” when it comes to commitment gaining. This is especially true around the opening commitment, the commitment for time to explore working together. They say the same thing when discussing the commitments that would allow them to gain information, as well as the commitment to access the buying committee. Without these commitments, you can’t produce the results you need.

But guess what?

Your Clients Already Know

Surprise! Your clients and dream clients already know that you’re a salesperson. They knew that from the first time you called them to request an appointment. And even though the signature line in your email says that you are in business development, your dream clients know that you intend to sell them something. In fact, if they let you through, they’re counting on it.

Here’s the fact. You aren’t being judged by your intention to sell your dream clients whatever it is that you sell. You’re being judged by something else, something far more important than that.

Your Dream Clients Are Judging Your Ability to Create Value

The test as to what kind of salesperson your clients perceive you to be is whether or not you create value at every stage of their buying process. Your clients and your dream clients expect you to ask them for commitments along the way. The more directly you can do so, and the greater your sales call value proposition, the easier you make it for your clients to agree to those commitments. You create value, and you get the commitment. You don’t create value and, well . . .

As a point of reference, consultants ask for access to far more information than most salespeople do. They also ask for far more access to the organization.

Which brings us to the real fear behind the resistance to asking for commitments. Your fear isn’t that you will reveal yourself to be a salesperson. Your real fear is that you haven’t created enough value to earn the commitment you’re asking for. Consultative salespeople don’t share that fear; they know that they can create value, and that is why they’re comfortable asking for whatever they need to do so.

Trust me, your dream client knows you are a salesperson. They’re fine with that. What they’re not fine with is you not knowing how to create value and your not having the confidence to ask for what you need.

Questions

What does it mean to be “too salesy?”

What makes someone too much of a salesperson and not consultative enough?

Do your clients have any confusion at all about why you are calling them? If so, why are they confused?

What’s the real test as to whether or not you are consultative? What does commitment gaining mean about your ability to create value?

 

On Science and Sales

On Science and Sales

When something is a science it comports with the scientific method. This means that you can prove that something is always true and, no matter how many times you try, you can’t prove it false. Gravity is a good example of something scientific. If you drop something, it falls towards earth with a Newtonian precision and certainty. You can never drop something and have it not fall towards Earth.

Just because you are measuring something doesn’t make it scientific. You can survey sales managers, sales people, and buyers, and you can capture some interesting and useful insights, but this isn’t science and the information shouldn’t be treated like it is. I use one cup of spinach, one cup of frozen berries, and two level scoops of Iso-Pure protein powder in the smoothie I make each morning. I measure carefully, but I am not doing science; I’m just making breakfast.

Why isn’t the kind of research you read on sales, selling, and business scientific proof? Why do we have conflicting views on what works and what doesn’t work?

One, because nothing that we capture is always true and often proven to be false. Gravity will never be proven to be false (unless you want to get into a discussion about mass traveling at the speed of light).

Two, we are dealing with human beings and human psychology. Human interests and motivations are unpredictable.

Gravity doesn’t ever have low blood sugar, it isn’t under stress at home, it doesn’t have financial problems, it isn’t concerned about its teenage daughter driving, it doesn’t fret that Jones might get the promotion it wants, and it doesn’t continually change it’s mind because it’s afraid of making the wrong decision and embarrassing itself. Gravity doesn’t have mood swings.

Gravity doesn’t prefer salespeople it knows, likes, and trusts over salespeople it doesn’t know. Gravity doesn’t play politics. Gravity doesn’t have personality conflicts, and it isn’t easily swayed by someone with excellent rapport-building skills. It doesn’t have preferences, motivations, and a history of experiences upon which it is drawing.

Gravity doesn’t like big companies over small companies, it doesn’t care about price, it hasn’t been lied to in the past, and it doesn’t care one way or another about the difference between price and cost.

All of the factors are sometimes true about your buyers. And they’re sometimes true about salespeople, too. Gravity doesn’t forget to prepare. It doesn’t stick its foot in its mouth in a big important meeting and blow a deal.

But this doesn’t mean that information and research isn’t valuable or that it doesn’t prove useful. To the contrary, what we capture are patterns and generalizations that are worth observing and worth our attention.

Right now, for example, you’re being told that the research tells you to lead with insight to challenge your clients. This is a sometimes useful pattern. It’s worth knowing when this approach is useful. It’s useful for developing latent dissatisfaction. It’s also useful for creating value after you’ve won a client to prevent becoming the status quo and exposing yourself to a competitive displacement. But it isn’t always useful, nor is it always the right approach.

Your also being told to expect that your buyers are 67% into their buying process before you ever speak with them. This is probably a useful generalization for sales organizations that sell B2C, but it is often proven false in B2B sales where buyers don’t even have a process they repeat (outside of purchasing, maybe). I have started touting the made up statistic that buyers are now 117% through their buying process before they engage you. The generalization is that buyers now have access to more basic information. Because this is generally true, you need to create a higher level of value to be useful as a salesperson.

So what should you do with the research you read that pretends towards science? You should read it. You should spend time thinking about it. You should talk with other smart people about the patterns and generalizations it represents. And then you should play with it and see where and when it is useful.

There is a certain confidence that comes with knowing something is true with an absolute scientific certainty. But in sales and business, especially in this Disruptive Age, you are better off being skeptical, being agnostic, being open to new ideas, and learning the patterns so you know when they are useful and when they are not

 

What We Can’t Measure

What We Can’t Measure

Did you create value during that sales call? How much value exactly? What was your dream client’s perception of the value that you created?

Did you influence the buying process? Did you create trust? How much trust?

Does your dream client like you? Are you more likable than your competitors? What is the depth of your relationship? Is it as strong as it should be? What metric are you using to determine the strength of your individual relationship?

Did you uncover your prospective client’s real motivations? Is the worldview they described really their view, or is it the company line? Is the buying criteria they described what will really be used to make the decision? Or is it really a price decision with the criteria serving to justify a lower price later?

This list could continue on interminably.

The world is ruled by invisible forces. Most of what effects our lives, including the outcome of a sales opportunity, can’t be seen. We can measure much, but what we can glean from those measurements doesn’t often reveal anything we can rely on with anything that resembles a scientific certitude.

Keep Your Processes and Methodologies

But none of this is to suggest that you shouldn’t follow a sales process and good sales methodologies. It doesn’t mean that generalizations and patterns aren’t valuable. There are many generalizations worth capturing and implementing. In fact, much of what we do in life is following patterns that work (or worked at some time).

If your dream client agrees to take the next step with you, then there is some good, even if less than scientific, evidence that you created value during a your sales interaction. If you are denied that future appointment, there is some evidence that you might not have crated value.

We capture this agreement to advance as proof positive that enough value was created. Scientific? No. Close enough for rock-n-roll? Absolutely.

If you ask for and obtain the information you need to help your dream client, then there is some good evidence that you have established some level of trust. If you are denied the information you need, then there may be some evidence that your dream client doesn’t trust you with the information–or they don’t trust you to do anything worthwhile with the information.

When you acquire information, it likely means you can close some gate in your sales process. Does this mean your dream client trusts you like their oldest friend? Well, not necessarily, but nor must it. It means that, as far as your sales process is concerned, you’ve earned enough to move forward.

We can’t measure most of what’s really important. But the questions at the beginning of the post, difficult as they are to answer, are the important questions. The best we can do is capture and measure some outcomes that give us some evidence that what we are doing is working–and what we are doing that isn’t.

Questions

Because something is difficult to measure does that make it unimportant?

What are the important factors that lead to a sale that can’t be measured?

What do we measure instead?

How do we align what we can measure with what we can’t measure?

 

Better Public Speaking

Whether we’re talking in a team meeting or presenting in front of an audience, we all have to speak in public from time to time.

We can do this well or we can do this badly, and the outcome strongly affects the way that people think about us. This is why public speaking causes so much anxiety and concern.

The good news is that, with thorough preparation and practice, you can overcome your nervousness and perform exceptionally well. This article explains how!

The Importance of Public Speaking

Even if you don’t need to make regular presentations in front of a group, there are plenty of situations where good public speaking skills can help you advance your career and create opportunities.

For example, you might have to talk about your organization at a conference, make a speech after accepting an award, or teach a class to new recruits. Public speaking also includes online presentations or talks; for instance, when training a virtual team, or when speaking to a group of customers in an online meeting.

Good public speaking skills are important in other areas of your life, as well. You might be asked to make a speech at a friend’s wedding, give a eulogy for a loved one, or inspire a group of volunteers at a charity event.

In short, being a good public speaker can enhance your reputation, boost your self-confidence, and open up countless opportunities.

However, while good public speaking skills can open doors, poor speaking skills can close them. For example, your boss might decide against promoting you after sitting through a poorly-delivered presentation. You might lose a valuable new contract by failing to connect with a prospect during a sales pitch. Or you could make a poor impression with your new team, because you trip over your words and don’t look people in the eye.

Make sure that you learn how to speak well!

Strategies for Becoming a Better Speaker

What’s great about public speaking is that it’s a learnable skill. As such, you can use the following strategies to become a better speaker and presenter.

Plan Appropriately

First, make sure that you plan your communication appropriately. Use tools like the Rhetorical Triangle, Monroe’s Motivated Sequence, and the 7Cs of Communication to think about how you’ll structure what you’re going to say.

When you do this, think about how important a book’s first paragraph is; if it doesn’t grab you, you’re likely going to put it down. The same principle goes for your speech: from the beginning, you need to intrigue your audience.

For example, you could start with an interesting statistic, headline, or fact that pertains to what you’re talking about and resonates with your audience. You can also use story telling as a powerful opener; our Expert Interviews with Annette Simmons and Paul Smith offer some useful tips on doing this.

Planning also helps you to think on your feet. This is especially important for unpredictable question and answer sessions or last-minute communications.

Tip:

Remember that not all public speaking will be scheduled. You can make good impromptu speeches by having ideas and mini-speeches pre-prepared. It also helps to have a good, thorough understanding of what’s going on in your organization and industry.

Practice

There’s a good reason that we say, “Practice makes perfect!” You simply cannot be a confident, compelling speaker without practice.

To get practice, seek opportunities to speak in front of others. For example, Toastmasters is a club geared specifically towards aspiring speakers, and you can get plenty of practice at Toastmasters sessions. You could also put yourself in situations that require public speaking, such as by cross-training a group from another department, or by volunteering to speak at team meetings.

If you’re going to be delivering a presentation or prepared speech, create it as early as possible. The earlier you put it together, the more time you’ll have to practice.

Practice it plenty of times alone, using the resources you’ll rely on at the event, and, as you practice, tweak your words until they flow smoothly and easily.

Then, if appropriate, do a dummy run in front of a small audience: this will help you calm your jitters and make you feel more comfortable with the material. Your audience can also give you useful feedback, both on your material and on your performance.

Engage With Your Audience

When you speak, try to engage your audience. This makes you feel less isolated as a speaker and keeps everyone involved with your message. If appropriate, ask leading questions targeted to individuals or groups, and encourage people to participate and ask questions.

Keep in mind that some words reduce your power as a speaker. For instance, think about how these sentences sound: “I just want to add that I think we can meet these goals” or “I just think this plan is a good one.” The words “just” and “I think” limit your authority and conviction. Don’t use them.

A similar word is “actually,” as in, “Actually, I’d like to add that we were under budget last quarter.” When you use “actually,” it conveys a sense of submissiveness or even surprise. Instead, say what things are. “We were under budget last quarter” is clear and direct.

Also, pay attention to how you’re speaking. If you’re nervous, you might talk quickly. This increases the chances that you’ll trip over your words, or say something you don’t mean. Force yourself to slow down by breathing deeply. Don’t be afraid to gather your thoughts; pauses are an important part of conversation, and they make you sound confident, natural, and authentic.

Finally, avoid reading word-for-word from your notes. Instead, make a list of important points on cue cards, or, as you get better at public speaking, try to memorize what you’re going to say – you can still refer back to your cue cards when you need them.

Pay Attention to Body Language

If you’re unaware of it, your body language will give your audience constant, subtle clues about your inner state. If you’re nervous, or if you don’t believe in what you’re saying, the audience can soon know.

Pay attention to your body language: stand up straight, take deep breaths, look people in the eye, and smile. Don’t lean on one leg or use gestures that feel unnatural.

Many people prefer to speak behind a podium when giving presentations. While podiums can be useful for holding notes, they put a barrier between you and the audience. They can also become a “crutch,” giving you a hiding place from the dozens or hundreds of eyes that are on you.

Instead of standing behind a podium, walk around and use gestures to engage the audience. This movement and energy will also come through in your voice, making it more active and passionate.

Think Positively

Positive thinking can make a huge difference to the success of your communication, because it helps you feel more confident.

Fear makes it all too easy to slip into a cycle of negative self-talk, especially right before you speak, while self-sabotaging thoughts such as “I’ll never be good at this!” or “I’m going to fall flat on my face!” lower your confidence and increase the chances that you won’t achieve what you’re truly capable of.

Use affirmations and visualization to raise your confidence. This is especially important right before your speech or presentation. Visualize giving a successful presentation, and imagine how you’ll feel once it’s over and when you’ve made a positive difference for others. Use positive affirmations such as “I’m grateful I have the opportunity to help my audience” or “I’m going to do well!”

Cope With Nerves

How often have you listened to or watched a speaker who really messed up? Chances are, the answer is “not very often.”

When we have to speak in front of others, we can envision terrible things happening. We imagine forgetting every point we want to make, passing out from our nervousness, or doing so horribly that we’ll lose our job. But those things almost never come to pass! We build them up in our minds and end up more nervous than we need to be.

Many people cite public speaking as their biggest fear, and a fear of failure is often at the root of this. Public speaking can lead your “fight or flight” response to kick in: adrenaline courses through your bloodstream, your heart rate increases, you sweat, and your breath becomes fast and shallow.

Although these symptoms can be annoying or even debilitating, the Inverted-UModel shows that a certain amount of pressure enhances performance. By changing your mindset, you can use nervous energy to your advantage.

First, make an effort to stop thinking about yourself, your nervousness, and your fear. Instead, focus on your audience: what you’re saying is “about them.” Remember that you’re trying to help or educate them in some way, and your message is more important than your fear. Concentrate on the audience’s wants and needs, instead of your own.

If time allows, use deep breathing exercises to slow your heart rate and give your body the oxygen it needs to perform. This is especially important right before you speak. Take deep breaths from your belly, hold each one for several seconds, and let it out slowly.

Crowds are more intimidating than individuals, so think of your speech as a conversation that you’re having with one person. Although your audience may be 100 people, focus on one friendly face at a time, and talk to that person as if he or she is the only one in the room.

Watch Recordings of Your Speeches

Whenever possible, record your presentations and speeches. You can improve your speaking skills dramatically by watching yourself later, and then working on improving in areas that didn’t go well.

As you watch, notice any verbal stalls, such as “um” or “like.” Look at your body language: are you swaying, leaning on the podium, or leaning heavily on one leg? Are you looking at the audience? Did you smile? Did you speak clearly at all times?

Pay attention to your gestures. Do they appear natural or forced? Make sure that people can see them, especially if you’re standing behind a podium.

Last, look at how you handled interruptions, such as a sneeze or a question that you weren’t prepared for. Does your face show surprise, hesitation, or annoyance? If so, practice managing interruptions like these smoothly, so that you’re even better next time.

Key Points

Chances are that you’ll sometimes have to speak in public as part of your role. While this can seem intimidating, the benefits of being able to speak well outweigh any perceived fears. To become a better speaker, use the following strategies:

Plan appropriately.

Practice.

Engage with your audience.

Pay attention to body language.

Think positively.

Cope with your nerves.

Watch recordings of your speeches.

If you speak well in public, it can help you get a job or promotion, raise awareness for your team or organization, and educate others. The more you push yourself to speak in front of others, the better you’ll become, and the more confidence you’ll have.

My Dog Lou Lou

The One B2B Buyer Tactic Salespeople Must be Prepared for – but Most Aren’t

My dog Lou Lou gets her dinner every night at 6:00. At 5:55 on the nose, she starts her cajoling to get us up off our home-office chairs and onto the important business of providing chow. How she knows that it’s time, I don’t understand. But everyone with a dog will be shaking their heads right now in recognition of the phenomenon.

As soon as she’s done eating her own dog food, she’ll look to see whether the cat has left any tasty morsels behind that she can sink her teeth into.

The expression “eating your own dog food” in the business world means something else entirely. It means that a company uses their own products–the very products and services that they ask their customers to buy and use.  There’s an obvious reason for that. Imagine an Apple executive at a customer meeting excusing herself to take a call–on her android mobile phone. Or Pepsi choosing to serve Coke in their cafeterias instead of Pepsi. It’s just not going to happen.

It isn’t reasonable to expect customers to use your products if you don’t use them yourself.  It would be an indication that you don’t believe in your own products or that they’re so complicated even you can’t figure out how to use them. Buyers know to look for this. If you’re a salesperson you had better watch out for a new tactic that your prospects are using to weed out companies that don’t eat their own dog food.

It happened to Etien D’Hollander, CEO of Front Row Solutions and he recounted the story in an interesting blog post, “Dogfooding: Is it part of your CRM Selection Process.” Seems he was calling on a very savvy prospect who had given great thought to the 4 features he felt were most important. Then, he proceeded to meet with his prospective suppliers including Front Row and put them each to the test.

When Etien’s meeting with the prospect came to the end the prospect said, “Ok, so you just had a sales meeting with me. I want to watch you submit your sales report from your mobile device into your CRM system.” Gasp! Not to worry. Etien promptly retrieved his cell phone from his suit pocket, tapped a few buttons, and the call report was completed. The prospect was duly impressed and shared the results of his experiment. Turns out seven CRM reps were asked to perform the same task and only 5 of the 7 could do it.

It’s not surprising to me. Many products only work the way they’re described when it’s a perfect world scenario. In a perfect world, those CRM reps would be intimately familiar with their call reporting system because they use it all day, every day. But the perfect world isn’t often the case.

If your salespeople are proposing a product or service that they themselves should be using, they better be prepared to be tested. Fortunately, this is also the case for your competitors. And that’s where you can gain a competitive advantage if you play your cards right. Unlike the prospect Etien called on, many prospects don’t know what or how to quiz the salespeople that call on them. Use that to your advantage.

Create a handy list of suggestions—a “guide”—that can be given to each prospect. The list should include the key activities they should ask each vendor under consideration to show them. If you happen to know that your CRM’s sales call reporting capability is the slickest on the market, that should go on the list of must-see-in-action features.

If you can encourage prospects to ask specific questions or require the demonstration of certain features important to the prospect and which, coincidentally are ones that you triumph in, that’s a good thing. It’s not enough for your reps to demo the features alone. The handy guide is key to the strategy because your prospect WILL NOT remember. Reps can even use the guide as a talking point to learn which areas are the most important for the prospect. It’s a helpful exercise for prospects and it will help your reps know where to focus the conversation as well as the demo. At the end of the meeting, the rep should suggest that the prospect use the list with each vendor they’re considering. This is a great technique to trip up your competition and possibly cause them to reveal their weak points or the fact that they don’t eat their own dog food.

Think about your products and your salespeople. Are they eating their own dog food? Can they readily demonstrate that to prospects? What would happen if prospects asked your salespeople to prove it to them like Etien’s prospect did? Would they be able to rise to the occasion with equal aplomb?

 

Sales Managers: Why Are They Different?

Sales Managers: Why Are They Different?

We recently completed fascinating research on corporate training and development programs for sales managers. In a recent webcast (Research Update: Developing Sales Managers), research underwriter Business Efficacy’s Kurt Theriault joined me for a preliminary review of the study findings.

The research show that firms spend less, per-person, on sales manager training and development than they do on similar salesperson investments. Unsurprisingly, companies rate their sales manager bench strength – the ready pool of promotable manager candidates – as very poor. Both findings are concerning, given the critical impact on firm performance of the first-line sales manager – and even more surprising given respondents’ expected sales manager headcount increases.

How good is the training sales managers do receive? Not good, according to our study: among those skills ratings ranked lowest were those most fundamental to the sales management role: leadership skills, delivering effective coaching, and assessing salesperson performance. Yikes.

To net this out: sales managers – despite their outsized impact on performance – are disadvantaged by low levels of training investment, waste time in training that doesn’t deliver on the sales managers’ most basic developmental requirements, and are unprepared for the role when they start. Oh yes, and we plan on adding more – 14% more sales managers, on average, over the next 18 months. As this unhappy convergence of challenges indicates, training and developing sales managers is something companies find very difficult.

Are these issues unique to sales managers? Compared to say, other managers in the firm? Most likely not; my hunch is that manager development and training is generally lousy in many, many firms. I would submit, however, that training sales managers is harder than training other managers; and that it matters more.

Kurt and I pulled up from the research findings to speculate on this question: Why is training sales managers harder? Our thoughts are available below in the webcast excerpt (Sales Management Association members can view the full webcast archive here). In a nutshell:

Salespeople are harder to manage. They are often paid to be independent actors, an autonomy they value and even seek out. They may therefore be less warm to group think, management initiatives du  jour, or close supervision.

Sales teams are distributed. Direct salespeople are often not within arm’s reach of management. This forces managers to improve communication quality and leverage non-direct media (e.g., phone, web meetings), and consistent management processes.

Salespeople are highly focused on achievement, and are held accountable as such. The lights are brighter, the stakes higher, and the rewards are greater than in other firm functions. On top of that,    they’re competitive.

The sales function is a change-intensive environment. Disruptive sales organization change now seems pervasive. Managers must therefore be adaptable and nimble.

Sales managers are harder-pressed to develop their direct reports. The need to improve salesperson performance is a critical skill for managers, who must manage up low-performers up fast, and    maintain constant team improvement to meet productivity goals.

Our list is likely not half-complete. What would you add? Be sure to check out the full research report and webcast archive (for Sales Management Association members) for more detail on our research on Developing Sales Managers.

 

Why a Shorter Sales Cycle Isn’t Always a Better Sales Cycle

Why a Shorter Sales Cycle Isn’t Always a Better Sales Cycle

I recently had occasion to pick up an old copy of Spin Selling, still one of my favorites – which I’d recommend to Sales Management and Sales reps alike. Something caught my attention that I didn’t see the first time around — fast sales cycles are not always the goal. Now, if you’ve been managing your team by providing KPIs around the timing or linearity of deals; your might take pause at a counter-intuitive idea such as this one.

But it stands to reason, doesn’t it?

The reason sales cycles are fast is usually that there are fewer total individuals involved. That includes fewer of your sales team, and fewer unique individuals on the customer end of the engagements.  Fewer people involved usually indicates that deals are smaller. That which can be approved by one or two people is usually smaller than that requiring six or eight people.

Would it then be prudent for Sales Management to analyze sales cycles within their organizations and keep trying make them shorter? I don’t expect that this is the right goal. In and of itself, a consistently diminishing sales cycle mean is probably not a good thing. Why? Because it is probably accompanied by a diminishing total average deal size within your sales organization. This could mean your sales reps are selling the solution short, going for the quick win.

How much bigger could the deal be if you allowed them the extra time? There are many variants on this question. Generally speaking, for sales cycles, the goal for sales management needs to be – watching for patterns – determining how long most sales cycles are. And how do sales managers, in this regard, determine how one individual rep compares to the average for the organization, the region or the product?

How do your new reps compare to your existing reps? This is key for sales managers in reorganizing sales teams or in hiring new reps. Most sales organizations will have some rule of thumb about how long it takes for a new rep to “get up to speed.” But this measurement is very likely tribal and anecdotal. To measure sales cycles by rep, by product; would be a great judge of how long it REALLY takes to get up to speed. I’ll bet most sales organizations would be surprised.

Net/net, it is a great idea for sales management to measure sales cycles, especially if you can compare it apples to apples across your organization. The question is why? You can motivate your sales teams, better enable them, and better and gauge pipeline – as a result.

 

Why Most Demos Are Useless

When you’re selling B2B solutions, at some point in the sales process you’re likely to end up doing a demo.

Too bad. Most demos are useless.

They usually don’t help the prospective customer make a good choice. They just confuse and bore them.

And they don’t help the vendor make the sale, either. That’s especially true for software-as-a-service (SaaS) solutions.

A demo isn’t a sprint

When most vendors prepare a demo for a prospect, they treat it like it’s the speed round on a game show.

The Account Rep or Sales Engineer – all wired up and ready to go – look at the demo as a sprint. How many features can they show in whatever amount of time the prospect has allocated?

The demo they put together is all about the features… and as many of them as possible.

Lost in this approach is one fundamental notion:

The customer doesn’t care about features. They care about solving their problems.

Even the label, “demo,” is all wrong. Demo means “we’ll demonstrate our product to you.”

Instead, it should be called something like “solve,” as in “we’ll show you how to solve your problems using our solution.”

For SaaS, feature fixation is especially pointless

For SaaS companies, in particular, demonstrating one feature after another is especially pointless.

For one thing, many SaaS companies will add new features regularly over the life of the subscription. Whatever you demo today will be out of date in a few weeks or months anyway.

Besides that, customers are buying more than a set of features. With SaaS, they’re buying support, reliability, performance, integration, and security as well.

Prospects are making their purchase decision based on whether they think you understand their problems and you have the knowledge, resources and commitment to solve them.

They’re buying into a relationship, not a set of features.

Build trust, solve problems

Demos don’t have to be useless… but you need to show prospects more than feature, feature, feature.

You need to talk about your experience in their industry, about other customers you’ve worked with and their results, about the entire scope of your solution.

In short, you need to solve their particular problems, address their particular concerns, and help their business.

Stories beat features every time

I’m not saying you can avoid showing the product. If you’re selling an enterprise solution, you’ll invariably get pulled into shoot-outs and bake-offs.

I’ve been through lots of these, sitting on both sides of the table. Most of the time, every provider does a good job ticking through the complete list of tasks that the customer has specified.

In fact, after 3 or 4 of these demos – “We can do this. We can do that, We can do this too.” – all of them look the same. The prospective customer can’t tell one solution from another based on the features.

Here’s what sets the winner apart:

They provide context. They explain how the solution helps the business, how it solves problems, why it will make the customer more successful.

The winner doesn’t do it with features alone. They win with the story that goes with them.

 

AIDA: Attention-Interest-Desire-Action

“Free gift inside!”

“Dear Jim, You have been specially selected.”

“Calling all Parents.”

Every day we’re bombarded with headlines like these that are designed to grab our attention. In a world full of advertising and information – delivered in all sorts of media from print to websites, billboards to radio, and TV to text messages – every message has to work extremely hard to get noticed.

And it’s not just advertising messages that have to work hard; every report you write, presentation you deliver, or email you send is competing for your audience’s attention.

As the world of advertising becomes more and more competitive, advertising becomes more and more sophisticated. Yet the basic principles behind advertising copy remain – that it must attract attention and persuade someone to take action. And this idea remains true simply because human nature doesn’t really change. Sure, we become increasingly discerning, but to persuade people to do something, you still need to grab their attention, interest them in how your product or service can help them, and then persuade them to take the action you want them to take, such as buying your product or visiting your website.

The acronym AIDA is a handy tool for ensuring that your copy, or other writing, grabs attention. The acronym stands for:

Attention (or Attract)

Interest

Desire

Action.

These are the four steps you need to take your audience through if you want them to buy your product or visit your website, or indeed to take on board the messages in your report.

A slightly more sophisticated version of this is AIDCA/AIDEA, which includes an additional step of Conviction/Evidence between Desire and Action. People are so cynical about advertising messages that coherent evidence may be needed if anyone is going to act!

How to Use the Tool:

Use the AIDA approach when you write a piece of text that has the ultimate objective of getting others to take action. The elements of the acronym are as follows:

1. Attention/Attract

In our media-filled world, you need to be quick and direct to grab people’s attention. Use powerful words, or a picture that will catch the reader’s eye and make them stop and read what you have to say next.

With most office workers suffering from e-mail overload, action-seeking e-mails need subject lines that will encourage recipients to open them and read the contents. For example, to encourage people to attend a company training session on giving feedback, the email headline, “How effective is YOUR feedback?” is more likely to grab attention than the purely factual one of, “This week’s seminar on feedback”.

2. Interest

This is one of the most challenging stages: You’ve got the attention of a chunk of your target audience, but can you engage with them enough so that they’ll want to spend their precious time understanding your message in more detail?

Gaining the reader’s interest is a deeper process than grabbing their attention. They will give you a little more time to do it, but you must stay focused on their needs. This means helping them to pick out the messages that are relevant to them quickly. So use bullets and subheadings, and break up the text to make your points stand out.

For more information on understanding your target audience’s interests and expectations, and the context of your message, read our article on the Rhetorical Triangle.

3. Desire

The Interest and Desire parts of AIDA go hand-in-hand: As you’re building the reader’s interest, you also need to help them understand how what you’re offering can help them in a real way. The main way of doing this is by appealing to their personal needs and wants.

So, rather than simply saying “Our lunchtime seminar will teach you feedback skills”, explain to the audience what’s in it for them: “Get what you need from other people, and save time and frustration, by learning how to give them good feedback.”

Feature and Benefits (FAB)

A good way of building the reader’s desire for your offering is to link features and benefits. Hopefully, the significant features of your offering have been designed to give a specific benefit to members of your target market.

When it comes to the marketing copy, it’s important that you don’t forget those benefits at this stage. When you describe your offering, don’t just give the facts and features, and expect the audience to work out the benefits for themselves: Tell them the benefits clearly to create that interest and desire.

Example: “This laptop case is made of aluminum,” describes a feature, and leaves the audience thinking “So what?” Persuade the audience by adding the benefits”.giving a stylish look, that’s kinder to your back and shoulders”.

You may want to take this further by appealing to people’s deeper drives”… giving effortless portability and a sleek appearance and that will be the envy of your friends and co-workers.”

4. Conviction

As hardened consumers, we tend to be skeptical about marketing claims. It’s no longer enough simply to say that a book is a bestseller, for example, but readers will take notice if you state (accurately, of course!), that the book has been in the New York Times Bestseller List for 10 weeks, for example. So try to use hard data where it’s available. When you haven’t got the hard data, yet the product offering is sufficiently important, consider generating some data, for example, by commissioning a survey.

5. Action

Finally, be very clear about what action you want your readers to take; for example, “Visit www.mindtools.com now for more information” rather than just leaving people to work out what to do for themselves.

Key Points:

AIDA is a copywriting acronym that stands for:

Attract or Attention

Interest

Desire

Action.

Using it will help you ensure that any kind of writing, whose purpose is to get the reader to do something, is as effective as possible. First it must grab the target audience’s attention, and engage their interest. Then it must build a desire for the product offering, before setting out how to take the action that the writer wants the audience to take.