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Finding the Path to Sales Effectiveness
10-03-05
RTO Online
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Selling effectively in today's business environment means building mutually valuable, long-term customer relationships -- the true differentiator in the sales process
Sharon Daniels, AchieveGlobal CEO

"Selling effectively in today's business environment means building mutually valuable, long-term customer relationships -- the true differentiator in the sales process," says Sharon Daniels, AchieveGlobal CEO. To help organizations build the kinds of customer relationships that ultimately win more sales, AchieveGlobal has identified a clear path to sales effectiveness, based on more than 40 years of research and experience. Steps along the path include:

advertise here

* Clarifying the organization's value proposition. "The role of a salesperson is to identify, understand and engage customers who need and value what a sales organization provides," says Daniels. This requires a clear view of the value proposition and the ability to communicate it to current and potential customers. While a company's value proposition previously might have been articulated from a product or solutions standpoint, Daniels observes that extensive commoditization has given the salesperson a crucial role in the value an organization offers its customers.

* Finding the right customers. However, with many customers moving toward self-service channels, reverse auctions, procurement committees and other arms-length buying models, sales organizations must identify those who are willing to entertain deep relationships with suppliers, Daniels says. Then the organization can segment and prioritize according to mutual value -- the value customers place on its services, as well as the value the organization places on them.

* Developing a relationship process. The next step is to define the types of relationships an organization's sales force should be building with customers. "A formal relationship process defines all of the selling activities and resources needed to acquire, grow and retain a connection with a specific kind of customer," says Daniels. "While long-term relationships can be costly, the payoff includes longer-term revenue streams, insulation from competition and less vulnerability to price pressures."

* Building a supportive sales organization. The ability to form higher- level customer relationships can be inhibited by a contradictory sales culture, misaligned compensation systems or nonintegrated software tools, Daniels notes. "To ensure sales effectiveness, organizations need to reexamine sales strategies, culture and infrastructure, all of which support relationship processes," she says.

* Equipping individuals to do their part. Although strategies and processes are important, customer relationships are built by individuals, notes Daniels. As such, organizations need to critically examine the behavior of their sales resources, all of whom must know, care about and be capable of performing their roles. "Skill development should be tied to the sales strategy, to compensation and rewards, to performance management and to coaching," says Daniels. "Sales leaders are an important part of this function, which is why many organizations are focusing on leadership skills."

A journey, not a destination
Above all, it's important to remember that customers change, as do their needs and expectations, says Daniels.

"Effective sales organizations will adjust their strategies, foster their cultures, examine their infrastructures and ceaselessly develop and monitor the knowledge, attitudes and skills demonstrated by their sales teams," she says. "Only through constant attention to these critical factors will sales organizations generate the organizational and individual effectiveness needed to acquire, grow and retain the kinds of customer relationships that yield mutual value."

 

 

 

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