selling to the c-suite

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Selling to the C-SuiteThe Groundbreaking New Book

for Professional Salespeople

Stephen J. Bistritz, [email protected]

www.sellxl.com

Linked to


Selling to the C-Suite

“The new salespeople are highly skilled value creators, who live by ingeniously solving customer problems.

The measure of these new salespeople is the value they create, and to create maximum value, they must understand the issues and concerns of their C-Suite customers.

This book is timely and essential reading for them!”

Neil Rackham Author of Spin Selling


Presentation Outcomes

At the end of this presentation, you will be able to…

Describe when executives get involved in the decision process for major purchases

Discover the best approaches to use for that initial call on the relevant executive for the sales opportunity

Determine how to become perceived as a trusted advisor to the executive, thereby securing return access

Select the appropriate time to communicate value to executives


Presentation Outcomes

Those outcomes may sound like common sense…

however, in many cases, they are not common practice!


http://www.wcremembered.co.uk/63_p12.html

Challenges Salespeople Have in Calling on Executives

Identify some of the challenges salespeople encounter when calling on senior executives…

“If not you, perhaps a friend of yours.”


Challenges

• Identifying the right executive to call on

• Getting past the gatekeeper• Understanding the executive’s key

business issues• Intimidated by the questions that

could arise• Lack of understanding of the politics

of the client organization• Jeopardizing lower level relationships


Hewlett-Packard | Kenan Flagler Business School, UNC Georgia State University | Target Marketing Systems

Research on Selling at the Executive Level

When and why did executives get involved in the decision process for major purchases?

What has to happen in meetings with salespeople for the executive to feel it was effective?

How do salespeople establish trust and credibility at the executive level, thereby securing return access?

What are executives looking for in “strategic relationships” with suppliers?

Selling to the C-Suite. By Nicholas A.C. Read and Stephen J. Bistritz, Ed.D. McGraw Hill.


Executive Involvement in the Buying Cycle

A

When and why do senior executives get involved in the decision process for major purchases?

Q

Measure Results

Plan Implemen-

tation

Examine Alternatives

Set Vendor Criteria

Explore OptionsSet StrategyEstablish

Objectives

Understand Current Issues

Executive

Involveme

nt

Steps in the Buying Cycle

Early Middle Late


Executive Involvement in the Buying Cycle

Executive

Involveme

nt

Steps in the Buying Cycle

Measure Results

Plan Implemen-

tation

Examine Alternatives

Set Vendor Criteria

Explore OptionsSet StrategyEstablish

Objectives

Understand Current Issues

When and why do senior executives get involved in the decision process for major purchases?

Q



“I meet with professional salespeople because often they can offer me solutions that even people within my own organization can’t develop.

They’ve seen these problems in other organizations and I want the benefit of their experience.”

— CXO-Level Executive


The executive who initiated the project or application associated with the sales opportunity

This is the relevant executive for the sales opportunity

Defining the Relevant Executive

The executive who stands to gain the most or lose the most by the

outcome of the project or application associated with the sales opportunity


Calling on the Relevant Executive

“The tasks our clients were asking us to take on were

spreading beyond the domain of the CIO – places where IBM

[salespeople] had not, in general, ventured and where

we lacked strong client relationships.”

- Lou Gerstner


RTC Technologies Executive Team

Cultivating Client Relationships

Who has the formal power for an IT-based customer service solution?

Who has the informal power for

that same decision?

Who is the relevant executive for this opportunity?


FormalPower








Who has the informal power for that same decision?

Informal Power


RelevantExecutive


Cultivating Client Relationships Who has the formal power for an

IT-based customer service solution?

Who has the informal power for that same decision?

Who is the relevant executive for this opportunity?

Informal Power


Four Approaches to Gaining Access

Implement an

overt approach

via the

telephone or

using a phone

call, preceded

by a letter

Overt

Use a credible

sponsor within

the client’s

organization to

help secure

access

Sponsor

Treat the

gatekeeper

(AA, secretary

or the like) as a

resource and

use them to

help secure

access

Gatekeeper

Use a referral

(someone

outside the

client’s

organization),

such as a

consultant,

business

associate or

friend

Referral


Research on Selling to Executives

A

Assuming your company was considering a major purchase, how likely would you be to schedule a meeting with a salesperson if the request came from…

Q

A recommendation from someone 16% 68% 16% 0%inside your company

A referral from outside the company 8 36 44 12

A letter from a salesperson followed 4 20 40 36by a direct call

A direct telephone call from a 0 20 36 44salesperson

Always Usually Occasionally Never


Gaining Access

84% of the time executives said they would grant the salesperson a meeting…

provided the recommendation came from someone inside the company!


Preparing Your Approach

Brief introduction to why you’re contacting the executive

Explain your connection to the person who referred you to the executive, if appropriate

Introduction

Be clear and specific as you explain the purpose of the call Purpose

Explain the homework you’ve done on their organization

and communicate how you’ve helped other companies

address similar challenges

Credibility

Propose a clear and specific action for the executive Commitment and Action

Outline for the Initial Telephone Call on the Executive


Components of Credibility

Adapted from: Clients for Life. Jagdish Sheth and Andrew Sobel. Simon and Schuster.

Integrity

Capability


Client Value Zone

Trusted Advisor Collaborative

Relationship

Adapted from: Clients for Life. Jagdish Sheth and Andrew Sobel. Simon and Schuster.

Extra Pair of Hands

Expert for Hire

Reliable Trustworthy Consistent

Integrity

Capability

Components of Credibility


Interactions with Executives

Each interaction with an executive either dilutes or enhances your credibility!


Different Perspectives

Executive

Management

Operations


Different Perspectives

Executive

Management

Operations

ProjectView

Department/FunctionView

Company Wide ViewOther

Uses of Funds

Solution Fit

Price/Discounts


A


What has to happen in meetings with salespeople for the executive to feel it was effective?

Q

1. Demonstrated responsibility

2. Understood my business goals

3. Listened before proposing a solution

4. Displayed knowledge of my industry



A


How does a salesperson establish credibility and trust with a high-level executive?

Q

1. Ability to marshal resources

2. Understands my business goals/objectives

3. Responsive to my requests

4. Willing to be held accountable

5. Knows company’s products



Ask questions that confirm your level of preparation Discuss the issues and implications using the client’s metrics Confirm the importance of their key business initiative(s)

Issues and Implications

Refer to your initial telephone call with the executive Cite your past experience

Introduction

Making the Initial Face-to-Face Call on the Executive

Explore potential solutions Develop a vision of the optimal solution Confirm the value of the solution

Solution Options

Re-connect with the executive to secure return access Have an action plan that involves the executive

Moving Forward


Four Major Objectives of an InitialFace-to-Face Call

Establish rapport quickly

Confirm your understanding of the executive’s key business issues

Demonstrate some level of capability

Create next steps that involve the executive

Adapted from All for One: 10 Strategies for Building Trusted Client Partnerships by Andrew Sobel


Creating a Value Proposition

You, Your Company and Your Solution

Client’s Key

Business Initiative

Your Specific Business

Value


Creating a Value Proposition

Key Elements of a Value PropositionAddresses the client’s issue(s) and focuses on payback or consequences as it relates to the client’s business initiative

What’s important to them?

Describes how we can help, in both a qualitative and quantitative form How does our solution create value for

them?Might include an example of how we addressed a similar problem at another company How can we demonstrate our capability?


Format of a Value Proposition

You should be capable of ______________ by _________

through the ability to ___________________________ . This

will require an investment of _________________ ,

which will be returned within _____________________.

describe the impact monetary units or %

describe the new situation

state the cost of the solution

estimate the time frame for return


Value Proposition Example

You should be capable of reducing annual travel

expenses, resulting in annual savings of $5.9M, by

implementing our Telepresence System. This will

require an investment of $5.3M, which will be returned

in 11 months.

We implemented a similar solution at Acme Transfer

Company, who began achieving an annual savings of

$7.5M during the first year of installation.

Specific Client Example


Summarizing Our Findings

Executives get involved early in the decision process for major purchases to set the project’s strategy – but also get involved late to monitor the implementation and measure the results

Identifying the relevant executive and aligning with that executive should be key elements of your sales process

The best approach to use for the initial call on the executive is to work with a credible sponsor inside the client organization

to help you gain access

Demonstrating both capability and integrity over the long term helps you become perceived as a trusted advisor

Consistently communicating your value to executives should be an integral part of your relationship strategy


Summary and Close

When calling at the executive level, make certain that you…

Have done your homework and understand the industry as well as the client

Can conduct the conversation using the client’s metrics

Are specific, but concise

Are prepared to discuss the specific business value you can deliver to their company, and to them personally

Don’t ask the executive a question whose answer could have been obtained from another source

Leave with the perception of owning the relationship (from your company’s perspective)



“There is a refreshing realism about the author’s advice. No gimmicks, no tricks, no smoke and mirrors.

Selling to the C-Suite is hard, thoughtful and strategic – the book offers none of the usual unrealistic silver bullets.

The ideas are based on research, not on anecdotes. “

Neil Rackham

Author of Spin Selling


Selling to the C-SuiteThe Groundbreaking New Book

for Professional Salespeople

Stephen J. Bistritz, [email protected]

www.sellxl.com

selling to the c-suite

Education

right executive

cxolevel executive

sales opportunitythe

new salespeople

challenges salespeople

ibm salespeople

decision process

major purchases