peter strohkorb consulting international introducing the oneteam method
TRANSCRIPT
© 2014 Peter Strohkorb Consulting, all rights reserved
Introducing the
OneTEAM Method
“How to stop losing sales in today’s challenging
business environment.”
© 2014 Peter Strohkorb Consulting, all rights reserved
Poor Sales and Marketing team collaboration:
What are some of the Symptoms ?
Too many sales reps
are not hitting their
targets
Sales reps can’t find the right
content and are creating their
own marketing material,
instead of selling
Too many sales are lost, or
are stuck at ‘Wait and See’
New sales reps take
6 months+ to ramp up
There is too much price
discounting
Marketing has poor
visibility of what collateral
the sales reps use, or how
they use it
Marketing is reactive to the
more vocal sales reps
instead of supporting all
Us and Them’ attitude creates
an unattractive work
environment with poor staff
morale creeping in
© 2014 Peter Strohkorb Consulting, all rights reserved
What do other Experts say ?
“67% of sales professionals do not achieve their
personal sales quota.”
- The TAS Group
“~60% of sales pipeline is stuck with no decision
pending.”
- Qvidian
"Only 25% of sales leads and collateral that Marketing
creates is ever used by Sales teams.“
- IDC
“Less than 35% of a sales rep’s time is spent selling.”
- CSO Insights
“Almost 78% of newly hired sales reps take 6 months
or longer to become fully proficient at selling.”
- Accenture, Connecting the Dots on Sales
Performance
© 2014 Peter Strohkorb Consulting, all rights reserved
Our Research shows:
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Non-Growth Organizations Growth Organizations
65%
35%
Comparison of Business Success in Organizations with Poor Sales+Marketing Collaboration
“Organizations with low
Sales + Marketing Collaborationalmost double their risk of declining sales.”
© 2014 Peter Strohkorb Consulting, all rights reserved
Some Outcomes of
Sales Productivity Improvement Initiatives
Better communicate value
in selling process
Making selling resources
more accessible and
aligned to buyers
Make sales process more
consistent
Improve top rep retentionImprove customer
retention
Visibility into what’s not
working
© 2014 Peter Strohkorb Consulting, all rights reserved
So, how can we raise Sales Productivity?
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87% is forgotten within 30 days (Ebbinghaus)
Risky, and ramp up time is costly ($60k+ for the first 6 months) (Forrester, et al)
Stuffing more leads into the sales funnel will not resolve a sales productivity problem (Peter Strohkorb Consulting)
MOREsales training?
MOREsales reps?
MOREsales leads?
NO
NO
NO
© 2014 Peter Strohkorb Consulting, all rights reserved
So, how can we raise Sales Productivity?
We need a holistic Program that addresses all three dimensions of
the issue:
The “Productivity Trinity” of
• People first,
• Processes second, and
• Technology third.
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© 2014 Peter Strohkorb Consulting, all rights reserved
Introducing the OneTEAM Method
A holistic Framework to vastly improve Sales
Productivity through tighter Collaboration
between Sales and Marketing teams.
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© 2014 Peter Strohkorb Consulting, all rights reserved
© 2014 Peter Strohkorb Consulting, all rights reserved
Marketers now understand what they need to do to better supportSales. They have stopped spending time and effort on things that Salesdon’t use or value. They now feel appreciated by Sales.
Sales people can now focus on selling. They have recovered the timethey used to spend on creating their own marketing collateral and onsearching for the right marketing content. They feel supported byMarketing.
Sales Reps become more effective. Having the right collateral at handwhen they need it makes them more credible in the market, resulting inmore closed sales, higher margins and better retention.
Everybody wants to work in a collaborative organisation. Your newteam environment attracts high performers, lifting quality and moraleacross the entire organisation.
OneTEAM Method Results
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© 2014 Peter Strohkorb Consulting, all rights reserved
What is the Business Potential?
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Sample Calculation 1: Lift lower tier sales reps’ productivity by just 5%
1st Year 2nd Year 3rd Year 3 year Total
Annual Sales Target (assuming 8% growth p.a.) $100,000,000 $108,000,000 $116,640,000
# of Salespeople 40 40 40
Sales Team Performance Categories
Top Sales Team Revenue Contribution 50% $50,000,000 $54,000,000 $58,320,000
2nd Rate Sales Team Revenue Contribution 35% $35,000,000 $37,800,000 $40,824,000
Bottom Sales Team Revenue Contribution 15% $15,000,000 $16,200,000 $17,496,000
Total Actual Sales 100% $100,000,000 $108,000,000 $116,640,000
Sales Effectiveness of the 2 bottom teams increased by just 5% p.a.
Revenue $102,500,000 $110,700,000 $119,556,000 332,756,000
Revenue Increase $ $2,500,000 $2,700,000 $2,916,000 $8,116,000
© 2014 Peter Strohkorb Consulting, all rights reserved
What is the Business Potential?
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Sample Calculation 2: Reduce reps’ discounting by just 2%
1st Year 2nd Year 3rd Year 3 Year Total
Annual Sales Target (assuming 8% growth p.a.) $100,000,000 $108,000,000 $116,640,000
How many Salespeople ? 40 40 40
Avg Discount Given before OneTEAM Method 5% 5% 5%
Avg Discount Given with OneTEAM Method 3% 3% 3%
Additional Sales Revenue p.a. $2,000,000 $2,169,000 $2,332,800 $6,501,800
Improved Profit p.a. (assuming 40% sales margin) $800,000 $867,000 $933,120 $2,600,720
© 2014 Peter Strohkorb Consulting, all rights reserved
What is the Business Potential?
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Sample Calculation 3: Just 5% more sales deals won, or 5% fewer ‘Stuck’ deals
1st Year 2nd Year 3rd Year 3 Year Total
Annual Sales Target (assuming 8% growth p.a.) $100,000,000 $108,000,000 $116,640,000
Avg Sales Price per Solution $20,000 $20,000 $20,000
Avg. Sale Closing Rate (assuming 5% improvement p.a.) 33.3% 35.0% 36.7%
Additional Sales Revenue p.a. $3,333,350 $3,510,019 $3,688,761 $10,532,130
Improved Profit p.a. (assuming 40% margin) $1,166,673 $1,228,507 $1,291,067 $3,686,246
© 2014 Peter Strohkorb Consulting, all rights reserved
© 2014 Peter Strohkorb Consulting, all rights reserved
What is the Business Risk ?
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Sample Calculation 4: Just 5% fewer sales deals won, or 5% more ‘Stuck’ deals
1st Year 2nd Year 3rd Year 3 Year Total
Annual Sales Target (assuming 8% increase p.a.) $100,000,000 $108,000,000 $116,640,000
Number of Sales People 40 40 40
Avg Sales Price per Solution $20,000 $20,000 $20,000
Avg. Sale Closing Rate (assuming 5% decrease p.a.) 33.33% 31.67% 30.08%
Lost Sales Revenue p.a. $3,333,350 $3,690,017 $4,077,558 $11,100,925
Lost Profit p.a. (assuming 40% margin)$1,333,340 $1,476,007 $1,631,023 $4,440,370
© 2014 Peter Strohkorb Consulting, all rights reserved
© 2014 Peter Strohkorb Consulting, all rights reserved
Greater Sales Productivity delivers the following Outcomes:
• Financial : Faster closing rate, higher margins, fewer lost sales, higher revenue, more profit
• Strategic : More responsive, nimble and competitive business, ready to deal with change at lower risk
• Operational : More efficient processes, lower cost, fewer errors, less delay
• Cultural : High performing teams in more collaborative environment, better staff engagement, higher job satisfaction and staff retention
© 2014 Peter Strohkorb Consulting, all rights reserved
OneTEAM Outcomes
© 2014 Peter Strohkorb Consulting, all rights reserved
CSO Insights 2013 Study*
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*CSO Insights 2013 Sales Performance Optimization Study
During the coming year what, if any,
sales effectiveness initiatives will your
company be undertaking to improve
sales performance
© 2014 Peter Strohkorb Consulting, all rights reserved
The OneTEAM Method At a Glance
NOWSales feels
under-supported by
Marketing and is not achieving
the targets
Blame and finger-pointing
disengage your high
performers
Marketing produces sales collateral but
is uncertain of what really
works
FUTURE Marketing understands what works and is now
highly appreciated
The new collaborative
team environment attracts high performing
talent
Sales now hits the targets and
feels better supported
High Level
• Benchmarking
• ROI Estimate
• Opportunities
High Level
• Situation
• Problems
• Opportunities
360 detailed Snapshot
• Sales
• Marketing
• Customers
Remediation
• People
• Processes
• Technology
• Ongoing Improvement
Free 5 minute online
OneTEAM Method ROI Check and Self-
Assessment Test
Free 1 hour face-to-face
OneTEAM Method
Discovery Session ($695 value)
60-90 days
OneTEAM Method Opportunity Assessment
3-12 months
OneTEAM Method
Implementation
Free Services Assessment Implementation
© 2014 Peter Strohkorb Consulting, all rights reserved
+61 411 865 301
More information is at
www.ps-consulting.com.au
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