The Top 12 Factors that Cause Delayed Closings and What to Do About Them

Posted by Dave Kurlan on Tue, Sep 25, 2018 @ 09:09 AM

delays

Over the past 3 months, my wife and I have been up and down the east coast driving our son to and from baseball tournaments and college showcases.  Invariably, each drive back home has taken twice the time it should have because of road construction.  On Sunday, Waze, my favorite navigation app, said that the drive would take just 2 hours and 32 minutes. 4 traffic delays because of road construction delayed us for another 2 and 1/2 hours.  Delays, delays, delays.  Nearly every coaching call with a salesperson is about a delayed closing.  Nearly every coaching call with a sales manager is about a salesperson with a delayed closing.  Everyone wants to know what to do about the delayed closing but that's the wrong question.  Everyone should be asking these two questions instead.

  1. Was it really delayed or were we overly optimistic about if and when this opportunity would close?
  2. What steps can we take to prevent delayed closings?

When I begin working with companies, most delayed closings are simply a case of the salesperson and sales manager deciding that the opportunity was closable and would close on a certain date.  This assertion was most often made up out of thin air with little to no facts to back it up.  Upon further inspection it was clear that these were not closable opportunities so the delays were not based in reality.

How can we prevent delayed closings?  I will list the 12 most important factors for preventing delays at closing time along with some links that further explain what I mean, how to do it more effectively, and/or provide statistics.  Please keep in mind that the list of factors is not a menu.  You can't choose the factor that seems easiest enough to fix and believe that anything will change.  You must fix all of them!  For example, suppose you need to loose 30 pounds, and are told to avoid breads, pastas, processed foods, snacks and pastries. If you decide to eliminate only bread, not much will change.  However, if you eliminate all of the processed foods the weight will come off quickly and easily.  The same is true with selling.  If you fix all 12 of the factors below, you will not only shorten your sales cycle, you will quickly and easily improve your win rate too.  Here they are:

  1. Not consistently executing a formal, structured, staged, milestone-centric sales process 
  2. Failing to get the prospect to "must have" or beginning the process with a demo, but failing to get beyond "nice to have"
  3. Not reaching the decision maker early enough in the sales process
  4. Failing to create urgency because compelling reasons to buy were not uncovered
  5. Failing to differentiate by not having the difficult conversation
  6. Needing prospects to like you.
  7. Failing to build a case and sell value instead of price
  8. Failing to uncover the actual budget
  9. Failing to thoroughly qualify the prospect's ability to buy from you
  10. Not bringing up potential objections earlier in the sales process
  11. Not learning about the competition and how you compare
  12. Not pushing back or challenging conventional or out-dated thinking

You probably noticed at least 3 common factors missing from the list above:

  1. Closing - closing is overrated
  2. Presentation skills - you already know how to do that well.
  3. Relationships - you are probably pretty good at this too.

We shouldn't be talking about delayed closings at all.  Instead, we should be talking about 2 things:

  1. How to shorten the sales cycle and improve the win rate by consistently executing these 12 factors to achieve greater success than ever before and how to coach salespeople up so that they can sell this way.
  2. How to select new salespeople that already have the ability to sell this way!

Image Copyright iStock Photos 

Topics: closing tips, Dave Kurlan, Consultative Selling, sales process, selling skills

Finally!  Science Reveals the Actual Impact of Sales Coaching

Posted by Dave Kurlan on Thu, Sep 06, 2018 @ 22:09 PM

science

You must have heard the joke that 73.6% of statistics are made up!

I have read and even reported that sales leaders who coach their salespeople see a boost in revenue of around 27%.  It sounds like a realistic number but I have not seen any science to back it up.  Until now.  Check this out!

OMG has evaluated and assessed nearly 1.8 million salespeople and sales managers from 25,000 companies.  The data in the table below is from a subset of that data where we looked at around 16,000 salespeople who reported to approximately 4,000 sales managers.  The title row shows the percentage of time the sales managers devoted to coaching their salespeople and the 6 rows below that show the average scores for the salespeople that report to those managers.  Sales Percentile is the percentile that a salesperson scored in.  Sales DNA is an overall score for 6 of the 21 Sales Core Competencies that OMG measures.  Hunter, Consultative, Qualifier and Closer are 4 of the 7 Tactical selling competencies that OMG measures.  If you're interested, you can see all 21 Sales Core Competencies and how salespeople score by industry and skill here.

coaching-increase-sales

Do you remember that 27% number?  The first row reveals that sales managers who devote at least 50% of their time to coaching salespeople (last column on the right) have salespeople whose sales percentile score is 28% higher than those managers who devoted little to none of their time coaching.  How is that for science to back up somebody's incredibly accurate wild-ass guess?

There's another interesting find in this data.  Average scores for hunting were not further improved after a manager is devoting at least 20% of their time to coaching.  This suggests that sales managers who coach more don't spend their coaching time helping salespeople work on their prospecting skills.

Another interesting takeaway can be seen in the Consultative scores.  This competency shows the smallest gain in average score.  Given how difficult it is to effectively take the consultative approach, this suggests that despite coaching more often, those sales managers lack the consultative skills needed to coach their salespeople on the consultative approach.

If Consultative scores show the smallest gain, where can the biggest gains be found?  Qualifying and Closing.  Sales managers who devote at least 50% of their time to coaching have salespeople who score 13% better in Qualifying and 24% better in closing than the salespeople whose sales managers rarely coach.

This data was not filtered by coaching effectiveness so their was no assumption that the coaching was good coaching; only that there was coaching.  What would happen if in addition to the time these managers devote to coaching, they were also becoming more effective at coaching?  The answer is revealed in this article by John Pattison.

Topics: sales data, Dave Kurlan, Sales Coaching, Consultative Selling, sales qualification, Closing Sales, sales core competencies, omg, sales growth, sales improvement

Do the Best Sales Managers Have the Best Salespeople?

Posted by Dave Kurlan on Mon, Aug 27, 2018 @ 17:08 PM

sales-team

We all see the effects that strong leaders have when they surround themselves with either strong, mediocre or weak people.  What happens when strong leaders inherit a mixed team?  What happens when they hire a mixed team?  What happens when we ask the same questions about weak leaders?

I dug into a subset of data from Objective Management Group's (OMG) evaluations of the salespeople who report to more than 15,000 sales managers to determine whether the best sales managers actually have the best salespeople.  I was surprised and disappointed by what I found.  Check this out!

In the first table, you'll notice that salespeople reporting to elite sales managers are 14% stronger overall than those who report to weak sales managers.  That's good, but why isn't there a larger gap?  I'll answer that question shortly.

mgrs-to-sp-comparison

The second table clearly shows that strong sales managers have 25% more elite and strong salespeople reporting to them than elite sales managers. How can that be explained? And the relatively small gap from the first table?

mgrs-w-elite-spI have a simple explanation that you may or may not agree with.  Elite sales managers have so much confidence in their abilities, that they refuse to give up on mediocre salespeople.  They believe that given enough time they can coach everyone up.  Along the same line of thinking, elite sales managers also tend to believe that they don't have to hire A players because as long as the salespeople they select have a great personality and industry knowledge, they believe they can train and coach them to become strong performers. Because of that, elite sales managers tend to take shortcuts at hiring time as evidenced by their lower scores for recruiting.  Without a doubt, they should be using an accurate and predictive sales-specific candidate assessment like OMG's award-winning tool.

While the best sales managers do tend to have better salespeople, the contrast is not nearly as sharp as most of us would expect it to be, but explains why leaders don't understand when strong sales manager's teams are not significantly more effective than weak sales manager's teams.

Image Copyright iStock Photos

Topics: Sales Coaching, sales performance, sales effectiveness, Consultative Selling, hunting, Dave Kurlan, objective management group

New Data Shows That Elite Salespeople are 700% Less Likely to Do This

Posted by Dave Kurlan on Mon, Aug 20, 2018 @ 15:08 PM

urgency-image

How effective are salespeople when it comes to creating urgency?  I'm not talking about salespeople who create urgency by telling their prospects that if they don't order today the price will go up or it won't be available.  I'm talking about salespeople who create urgency by asking questions to uncover problems, the consequences and cost of which, create urgency.

You probably know that most aren't great at it.  After all, with so few salespeople having mastered the consultative approach, it's unlikely that one can achieve urgency using a transactional approach.

The latest data below from Objective Management Group (OMG) shows sales effectiveness relative to sales percentile and ability to create urgency. The following 1-minute video explains the difference between a transactional sale and a consultative approach, along with the differing outcomes.

 

The table below is derived from nearly 1.8 million salespeople assessed or evaluated by Objective Management Group, Inc. (OMG).  These findings make up some of the attributes of the Consultative Seller competency.  You can see and interact with data from all 21 sales Core Competencies here.  
urgency-stats

The 1st column in the table above shows the distribution by Sales Percentile, the next 3 columns show the percentage of salespeople in each group and how wide and deep they penetrate to find reasons to buy.  The last 3 columns show the state of buying readiness they achieve and the last column on the right shows the percentage of salespeople who are able to create urgency.

While only half of Elite salespeople are strong at creating urgency, elite salespeople create urgency 326% more often than their weaker counterparts, fail to uncover anything more than interest 700% less often and fail to get beyond "nice to have" 329% less often.

Unfortunately, weak salespeople make up 50% of the sales population and in the US alone, that's 8 million weak salespeople!

Make sure you don't hire any of that group by using OMG's accurate and predictive, sales-specific Sales Candidate Assessments.

Image Copyright iStock Photos

Topics: sales data, Consultative Selling, Dave Kurlan, sales assessements, creating urgency

Discovered - Data Reveals the Second Biggest Obstacle to Closing More Sales

Posted by Dave Kurlan on Mon, May 07, 2018 @ 06:05 AM

compelling

Whichever way you turn, wherever you look, and whatever you listen to there is data.  Polls, surveys, metrics, analytics, analyses, white papers, graphs, charts, infographics, tables, spreadsheets and more.  There is data everywhere.  5 of my last 10 articles were based on data and I know that my regular readers love the articles that are based on data so I am writing about data again today.

Objective Management Group (OMG) recently expanded the Consultative Seller competency which represents 1 of the 21 Sales Core Competencies.

I took a look at the first thousand rows of data that came through and made some more cool discoveries that I will share below.

Let's start with the Consultative Seller Competency.  As you can see in the image below, the average score for all salespeople is 44%, which means that the average salesperson possesses fewer than half of the necessary attributes of the Consultative Seller.  As you can see from the green slice of the pie chart below, only 22% of all salespeople have this competency as a strength.  Even the top 10% of all salespeople only score an average of 65%.  This is the competency where most salespeople are the crappiest.

cons-comp

The question is why are most salespeople so ineffective at this competency?  If they aren't being professionally trained and coached, that would explain a lot of the bad scores because only around 7% of all sales managers are capable of providing the kind of coaching that would help their salespeople become effective consultative sellers.  I'm guessing that even some outside trainers and coaches aren't effective enough to move the needle on this competency.  But there is more to this than meets the eye.  Let's look at what happens when salespeople are being effective versus ineffective at consultative selling.

Please look at the next image below.

issues-1

These 3 pie charts show how effective these 1,000 salespeople are at uncovering issues by looking at 3 specific sales process milestones:

  1. Whether reasons to buy are uncovered or not
  2. Whether those reasons are actually compelling enough to buy or they only created interest
  3. Whether the salesperson created enough urgency so that the prospect must buy or it was simply nice to have.

This tells us A LOT!

While 84% of these B2B salespeople are able to uncover business issues or reasons, only 33% are able to continue asking questions long enough to uncover compelling reasons to buy as shown in the second pie chart.  There is an enormous difference between a business issue and a compelling reason to buy something to solve it.  As you can see from the third pie chart, uncovering business issues leads to a condition where 73% of prospects find the offering is simply nice to have, while 12% of these salespeople leverage those compelling reasons to a condition where prospects must have the solution.  There is a huge difference between nice to have and must have.

Consider this recent article on reaching decision makers where the data showed that only the opportunities where salespeople met with the actual decision makers reach the proposal ready and closable stages.  We have a similar scenario here where the salespeople who uncover compelling reasons to buy are 56% more likely to move their opportunities to the proposal ready and closable stages.

This huge selling gap can be fixed but it isn't one of the easy ones.  Uncovering compelling reasons to cause prospects to believe they must have your solution requires advanced active listening and questioning skills, as well as Sales DNA to support its use.  The best trainers, coaches and consultants who offer their expertise in this area agree that it will usually take 8-12 months for a sales team to make the transition from where they are today to the kind of selling I described above.  However, the return on that investment of time and money is amazing!  When salespeople are finally able to sell in this manner, sales always sky rocket!

Topics: Consultative Selling, closing more sales, listening and questioning, sales excellence, Dave Kurlan, OMG Assessment

Discovered - Data Reveals the Biggest Obstacle to Closing More Sales

Posted by Dave Kurlan on Mon, Apr 30, 2018 @ 05:04 AM

decisionmaker

Humans have been waiting for thousands of years to discover the secrets of life.  Why are we here?  Why do bad things happen?  What happens after we die?  Is Heaven real?  What is God's plan for us?

While many experts have attempted to answer all of these questions, most of us lack proof. There's no data.  If we wake up tomorrow morning and suddenly there are not only answers to these questions, but science-based proof, that would be a game-changer for us.

Likewise, every day most companies try to determine why their salespeople don't close more business, why so many opportunities die on the vine, and what they need to do differently to change change their results.  They try everything!  Most leaders think it's an issue of closing skills.  It's not.  Others think it's about prospecting.  While that has an impact on the size and quality of the pipeline, it has little to do with results.  But I have discovered the cause, will show you the data, and discuss how to fix it.

Recently, Objective Management Group (OMG) integrated its sales force evaluation and its pipeline analysis.  Previously, the pipeline analysis was a separate chapter and while very revealing, the data was standalone.  OMG also expanded its analysis of salespeople's ability to reach decision makers and rather than a finding as it once was, it is now a full competency with 8 attributes.

I have reviewed several dozen sales force evaluations conducted since the change and discovered something very revealing.  Look at the bar graph shown below:

DM's

This is VERY representative of every sales force evaluation I reviewed for this article. There is a lot going on in this graph so let me walk you through it.

This sales force averages 54% of the attributes for reaching decision makers but only 13% (green slice of the pie) are strong at this competency.  The overwhelming majority of the salespeople believe in the importance of reaching decision makers and use their skills to attempt that.  Let's focus on the first two attributes which are both Calling on Actual Decision Makers but show contradicting data.

DM2

Let's start with the second attribute.  We ask each salesperson to identify 4 late-stage, proposal-ready or closable opportunities and we ask them 19 questions about each of those opportunities.  Nearly 90% of the salespeople met with the actual decision makers on these late-stage opportunities.  That's pretty good.

The first attribute comes from each salesperson's personal evaluation.  It shows that only 10% of them are reaching actual decision makers overall.  That's pretty bad.

Now that we have these two opposing data points, it should be clear what the problem is, both for this company and for many of the companies showing the same contradiction.

When salespeople successfully reach the actual decision makers, opportunities move through the pipeline and reach the closable stage, often resulting in a win.  However, MOST salespeople are NOT reaching the actual decision makers and those are the opportunities that lose traction and/or result in a loss.

Remember, for the most part, these are salespeople who believe it's important to reach the decision maker, have that as a milestone in their sales process, have the sales skills to reach decision makers, but still fail to reach the decision makers. 

Let's take a closer look at a few of the other attributes.

DM3-1

Half of their salespeople are calling on buyers at the start of the sales process.  Why are they doing that?  Nearly half aren't comfortable meeting and talking with the target decision makers, and a third need to be liked and can't push back on buyers who won't introduce them to or allow them to meet with decision makers.

Clearly, this is not the only problem that sales organizations are facing by a long shot.  However, this data shows that if they could fix just one thing today, the consistent ability to reach decision makers would make a huge difference.

It's one thing to know what the problem is and its impact on results.  However, fixing this problem is not  simple. Reaching decision makers is made possible by having advanced listening and questioning skills in an effective consultative selling process, an ability to differentiate, and being perceived as a trusted advisor.  Reaching decision makers is time sensitive in that the timing must be perfect to consistently succeed at getting the decision makers to engage.  Let me use my expert ability to combine baseball and sales for the perfect analogy.  Have you read Baseline Selling?

If the batter swings too early he will probably miss the pitch or perhaps hit a weak ground ball.  If the batter swings too late he will probably miss the pitch or perhaps hit a pop fly ball.  If the batter times his swing perfectly and squares the bat to the ball he will crush it.  Salespeople need to crush it when it comes to reaching decision makers.  They must time their ask perfectly or they will probably strike out.  You can also use comedy as an analogy where the comedy writer provides the same routine to a professional comedian and an amateur.  The words coming out of each person's mouth would be identical but the professional comedian gets the laughs because of having mastered the timing and cadence of the delivery.

This problem can be fixed but the trainer or coach providing the help must have a mastery of the nuances of how these pieces all come together.  If your salespeople can reach even 25% more decision makers, think about the impact that will have on revenue.

You can see all of OMG's data for all 21 Sales Core Competencies, by industry and even see how your company compares.

Image Copyright iStock Photos

Topics: closing more sales, win rates, Dave Kurlan, sales process, Consultative Selling, reaching decision makers, sales pipeline

Improper Use of BANT Will Cause You to Kill Opportunities

Posted by Dave Kurlan on Thu, Apr 26, 2018 @ 13:04 PM

talking-on-the-phone

I received an email asking me to check out an article on the Salesforce.com blog that features an infographic they hoped I would promote.

The article focuses on the middle of the funnel and the handoff between marketing and sales.  In doing so, they discuss MQL's (Marketing Qualified Leads) and SQL's (Sales Qualified Leads).  While I don't have an issue with the infographic, I have huge issues with the content of the article and if you follow the advice in this article, you'll have far fewer MQL's that your salespeople can turn into SQL's.

Here's why.

They are promoting the use of an adapted form of BANT - in this case, BANTA.  BANT was introduced by IBM in the 60's as a way to qualify opportunities.  It stands for Budget, Authority, Need and Timeline.  This article adds Attitude.  These are important milestones in the sales cycle so what's wrong with BANT?  As a tool for qualifying, there is nothing wrong with BANT.  My issue is with WHEN BANT is used.

Most of you are familiar with Solution Selling.  That was one of the earlier sales processes for selling consultatively.  Technology companies loved Solution Selling but every time my company was asked to help a tech company the second thing we always had to do was replace Solution Selling as the standard sales process. (The first thing is evaluate the sales force) Why?  Solution Selling called for salespeople to qualify too early in the sales process and that was still AFTER the opportunity had been handed off from Marketing. 

This short video explains the importance of sequence and timing in the sales process and especially why you can't qualify too early.

The second stage of the sales process is too early for salespeople to qualify an opportunity because at this point the potential customer has no incentive to answer any qualification questions!  YOU WILL LOSE AN OPPORTUNITY IF YOU ATTEMPT TO QUALIFY TOO EARLY!  If that is true, then what business do we have asking Marketing to qualify opportunities before turning them over to sales?  

There are 2 sets of qualifiers required:

  1. Are they qualified to meet with us?
  2. Are they qualified to buy from us?

These are two completely different issues.  In the first case, we want to know how close the opportunity is to the profile of our ideal customer.  In the second case, we want to know if they can actually buy from us.  BANT provides a framework for the second and as you no doubt saw in the video, the components of BANT don't come into play until the third stage of the sales process.

This is simply the latest from several years of fake news declaring that:

  • Cold calling is dead
  • Consultative Selling is dead
  • SPIN Selling is dead
  • Salespeople are dead
  • Sales process is dead
  • Inbound is King

So who comes up with this crap?  Usually it's marketers with something to sell, who have little actual expertise in sales, sales strategy or sales process in all their variations.

What should you do? 

You can't go wrong if you focus on perfecting sales process and consultative selling. As for Marketing, let marketing do what they do best and generate leads.  If there are too many crappy leads for your salespeople to waste time on, add dedicated BDR's (Business Development Reps) to identify the good ones and hand them off which brings us back to MQL.  What is a Marketing Qualified Lead?  They are willing to have a conversation about whether we can help.  Period.  Let your salespeople convert interest to opportunities.

Image Copyright iStock Photos

Topics: sales process, Consultative Selling, Dave Kurlan, solution selling, BANT, salesforce.com

10 Ways to Determine if Your Sales Prospect was Engaged

Posted by Dave Kurlan on Wed, Mar 07, 2018 @ 22:03 PM

engagement.jpg

It was like losing my favorite pair of gym shorts, forgetting where I parked my car, or not being able to get my computer to restart.  The past week presented me with its share of technology challenges.  A single instance of my Mac not being able to connect to iCloud had a ripple effect on that and other devices that affected me for a week.

But none of those issues bothered me more than what LinkedIn did.

You probably didn't notice the LinkedIn change because it doesn't effect you.  Over the long term it may not effect me either but the change is affecting me right now.  At the top of this article there are 3 share buttons: 

buttons.jpg

The inshare.jpg button used to have a counter along side of it that tallied the number of times an article was shared on LinkedIn.  I used the number that appeared there as the key metric to measure engagement with my articles.  I believe that the number of views of an article is meaningless because an article could be viewed 20,000 times but that doesn't mean that 20,000 readers liked it.  People might feel moved to comment but commenting is down overall. Much of the commenting has moved onto LinkedIn and I typically receive more comments via email than on the Blog itself.  When the counter on the inshare.jpg button reached hundreds and thousands it meant that the article resonated strongly enough for people to share it on LinkedIn.  Based on what I was told, LinkedIn discontinued the counter because they didn't think it was an accurate reflection of how frequently the article was shared.

I know what you're thinking at this point. What does that have to do with the article title and selling?  It actually has much in common.  It relates to a sales manager asking, "So, how did your meeting go?"

The salesperson always replies, "It went great."  It's the same response a retail clerk gets when they ask shoppers if they need any help.  "Just looking."  "It went great."  It's the default answer.

The sales manager says, "Good, good."

I wish that sales managers wouldn't ask how meetings and calls went.  They should say, "Tell me about your meeting."

When a salesperson indicates that the meeting went well, their sales manager should ask, "Why do you think it went well?"  This question should lead to an exploration of exactly how engaged the prospect was.  As with the old inshare.jpg button, engagement is the best measurement of the quality of the sales call.  That begs the question, how does one measure engagement?  Here are ten examples:

  • The prospect shared information freely
  • There was little to no resistance
  • The salesperson was able to uncover the prospect's compelling reason to buy
  • The prospect was receptive to alternate ideas, approaches and solutions
  • The prospect shared something personal, told a story, or confided to the salesperson
  • There was mutual authenticity
  • The prospect viewed the salesperson as a trusted advisor
  • The salesperson received compliments on the questions, discussion or meeting that was led
  • The salesperson and prospect legitimately enjoyed their time together
  • The prospect indicated his/her desire to work together

Your ability to create engagement relies on how effective you are in the Consultative Seller competency which is one of the 21 Sales Core Competencies measured by Objective Management Group This article is a good example of how ineffective sales management impacts their salespeople.  This roundtable discussion focuses on why sales managers are so ineffective.  And this article discusses how sales management heroics must be replaced by consistency.

Focus on engagement and you'll be rewarded by how much your revenue grows this year.

Image Copyright iStock Photos

Topics: Dave Kurlan, Consultative Selling, customer engagement, linkedin

Is the Sales Force Getting Dressed Up or are Real Changes Taking Place?

Posted by Dave Kurlan on Wed, Feb 07, 2018 @ 15:02 PM

garage.jpg

Recently, I installed vented plastic garage floor tiles like those in the picture above to improve the look of our garage.  It's the same garage, but now it looks awesome.

Yesterday I received an email from Richardson Training, letting me know that they have completed their 2018 Selling Challenges Study.  The data in the report, which you can download here, hasn't changed a great deal since 2017, but the report's new look is awesome.  I reported on last year's report in detail here, but my conclusion for 2018 is the exact same conclusion I came to in 2017.

In 2017, the biggest challenge that companies faced was selling value and that continues into 2018.  It's no surprise.  Most sales organizations that Objective Management Group (OMG) evaluates appear to be quite challenged when it comes to selling value. For example, if you visit OMG's public stats page and scroll down to the Selling Value competency, you'll notice the following:

stats-value.jpg

  • Only 35% of all salespeople have the competency as a strength.
  • All salespeople have an average score of only 56.

In order to effectively sell value, salespeople must also take a consultative approach and use a sales process that supports consultative selling and selling value.  If you scroll from the Selling Value competency to the Consultative Selling competency and then the Sales Process competency, you will find that:

stats-consultative.jpg

  • Only 22% of all salespeople have the Consultative competency as a strength
  • All salespeople have an average score of only 46 in the Consultative Competency

stats-process.jpg

 

  • Only 26% of all salespeople have the Milestone-Centric Sales Process as a strength
  • All salespeople have an average score of only 49.

By contrast, if you scroll to the Presentation Approach competency, you will find that:

stats-present.jpg

  • 69% of all salespeople have Presentation Approach as a strength
  • All salespeople have an average score of 73.

So the question is, why does selling value continue to be such a problem for so many companies?  

It takes me and my team at Kurlan & Associates about 8 months, training twice per month, to move salespeople to the point where they are confidently, effectively and efficiently selling value.  That's 16 training sessions, reinforced by at least 32 coaching conversations from their sales managers over the same 8 months.  And prior to those 8 months it takes some time to get sales managers to the point where they can handle the heavy lifting that coaching requires.  So it brings me back to my opening.

Do most companies do the sales training equivalent of laying down the garage tiles by finding non-disruptive training so they can say they provided training?  Or do they refurbish the entire garage - find training like Kurlan provides and make the decision to require their sales managers to become great sales coaches?

Only the refurbishing option will cause change.

Sales Managers won't find better training at turning them into great sales coaches than the training we provide at my annual Sales Leadership Intensive.  I have 5 seats left for the training on May 22-23 outside of Boston.  You can learn more here and register here.

Topics: value selling,, Consultative Selling, sales process, Richardson, Dave Kurlan

Predictions for 2018 - The Sales Triad Will Provide Record Sales Growth

Posted by Dave Kurlan on Mon, Jan 29, 2018 @ 06:01 AM

prediction.jpg

The economy is doing well, unnecessary regulations have been rolled back, the stock market is soaring, unemployment is low, consumer confidence is up, manufacturing has returned, companies are investing in the American economy, businesses are confident about the future and tax cuts are about to make paychecks bigger for about 90% of all Americans.  What will consumers do with that extra money?  They'll spend it of course!  As a result of these positive developments, what should you expect to happen from a sales perspective in 2018?

Companies are spending money, so that's a good thing.  Executives whose past actions suggested that your product or service was nice to have, but not a must have, might want to buy it this year!  Companies that didn't have budgets during the past few years might have budgets this year.  Decision makers who didn't have enough in their budgets may have a surplus this year.  There will be plenty of money to go around.  Hallelujah!

Warning: Don't get too excited.  While companies will be buying and spending, it doesn't mean that your company will get the business.  More buying and spending means more competition and with the internet, companies need not be local in order to compete for and win that business.  

With the availability of money and additional competition, I can tell you this.  If you aren't the low price leader, the best-known company, or the safest decision that a buyer can make, you will have to do some real SELLING to get that business.  And not just selling, but thoughtfully, effectively, efficiently, and articulately selling value.  What?  You already sell value?  Really?  I'll bet you don't.  I'll bet the salespeople in your company talk about value and justify your pricing, but talking about value is not selling value.  Do you ever tell prospects that you will be competitively priced?  Then you're not selling value.  Do you ever discount your price?  Then you're not selling value.  Do you ever make exceptions to your pricing?  Then you're not selling value.

Selling value is extremely challenging for most companies because on it's own, it doesn't translate to a sale.  Selling value is an approach in a sales process with a consultative methodology that supports selling value.  You are undoubtedly familiar with the nuclear triad, and the combination of a consultative sales process, value selling approach and a consultative selling methodology is the selling equivalent.  It's the sales triad!

Companies that still take a transactional approach to selling may have very difficult year when it comes to acquiring new business and retaining existing business.  This will be the year that sales dinosaurs become extinct.  In 2015 I wrote that 1 million salespeople would become obsolete by 2020. Not only has the time come, it has come earlier than expected and it came for many more than 1 million salespeople.  This year, I predict that 3 million salespeople will either lose their jobs to the internet or to salespeople who can sell consultatively and sell value.

Whether it's professional sales training or sales coaching, your sales managers will play a major role in this transition.  Your sales managers can get a jump start on this by attending my annual public Sales Leadership Intensive on May 22-23 outside of Boston.  As of this writing (January 29) there are just 7 seats remaining so you'll need to act quickly.  Learn more at http://kurlanassociates.com/sales-leadership-event.  Register here

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Topics: Dave Kurlan, selling value, sales process, Consultative Selling

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About Dave

Best-Selling Author, Keynote Speaker and Sales Thought Leader.  Dave Kurlan's Understanding the Sales Force Blog earned a medal for the Top Sales & Marketing Blog award for six consecutive years. This article earned a Bronze Medal for Top Sales Blog post in 2016 and this one for 2017. Read more about Dave.

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