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Digg it UP - ROI Based Marketing and Sales Strategy
Recently, I attended a webinar with nearly 400 other Chief Learning Officers - during one polling period, we were asked what primary driving force pushes organization-wide or individual innovation - the majority agreed that leadership is that force.Indeed, those CLOs agreed innovation was the most important quality their organizations desire in teams, individuals and leaders.In today's fast-paced society, where images, ideas and ideals fly past through our minds at warp-speed, the only way to survive and succeed is to innovate as much and as often as possible.I don't mean that you innovate for innovation's sake, rather you must add value, improve quality and enhance competence in every one of your tasks, products and services and that work must be done in an highly innovative fashion.What strategies can leaders use to empower, propel and energize our innovative efforts?Strategy-1 - Empower the Quest!When we encounter inconsistencies, problems, difficulties, incongruities, dysfunction, myster
Why ROI?
Return on Investment is universally accepted because it is used by decision makers, executive management, shareholders, analysts, and investors.
ROI is the benefit of an investment divided by the cost, expressed in percentage terms, over some period of time. If you only use ROI as an end result number you cheat yourself, your customer and your company because the true benefit of a sales based ROI approach goes well beyond the numerical res
The Art of Business is the Art of Relationships. After all, wouldn't you rather do business with someone you know and like rather than with someone you don't know or don't like? So if that's the case, doesn't it make sense that the more relationships that you have, the more business that you will also have? So how do you create more relationships? Networking, that's how.I've said it many times, the art of networking is the most crucial skill to your sales career. Networking leverages your sales ability by maximizing the amount of eyes and ears that are working to send you recommendations and warm leads.Networking is not about using people. In fact, it's quite the opposite. Networking is about forming deep and long lasting relationships with people that hopefully can help you to achieve your goals. And the best way to get what you want is to help other people get what they want.I've been to networking functions and seen "sales professionals" walking around with a pocket full of business cards, just handing them out to anyone that will
Your company’s success could very well be dependent on your sales professionals taking the next step – from simply talking features and benefits, to making a financially viable business proposition to clients. Investing in the sales function with ROI tools and financial insight allows today’s sales professional to properly create a framework for understanding and quantifying the potential benefits your product or service can deliver. The Financial Contribution Value is the total actual value that a specific product generates for the customer’s business. This contribution value must be based on specified objectives and goals for the customer.
Determining the right metrics to conduct an ROI calculation is where the challenge really lies. Even successful sales professionals that are financially astute need proven ROI based sales tools that can show the short and long-term financial benefits of their products. It is also important to provide them with tools that allow them to individually tune the financials to meet the specific needs of each potential customer. Do your sales professionals know how to quantify the value based benefits of your product or service and do they feel comfortable answering basic business questions?
For instance do your sales professionals:
• Understand and explain ROI, NPV and other financial metrics?
• Investigate customer’s business needs and properly use the results?
• Conduct ROI analysis with “what-if” scenarios to gain customer buy-in? • Effectively incorporate ROI analyses into presentations and proposals?
• Easily handle customer skepticism and objections (e.g., low price)?
If the answer is no to any of the above questions you should leverage the expertise of an experienced ROI professional.
Why ROI?
Return on Investment is universally accepted because it is used by decision makers, executive management, shareholders, analysts, and investors.
ROI is the benefit of an investment divided by the cost, expressed in percentage terms, over some period of time. If you only use ROI as an end result number you cheat yourself, your customer and your company because the true benefit of a sales based ROI approach goes well beyond the numerical resu
It is an established fact that having a price list with individual or packaged prices is very useful in helping customers to make up their mind. There are circumstances that come up that need executive decisions on how they will be handled. Have you ever been to a restaurant and requested an extra entree or dessert with that take out meal? This request has three choices on how they handle the situation.1) "The menu, not what you want" Foolish! You were willing to pay more to get more, but, if you got refused, they lost money and probably a repeat customer.2) "If you want more, we can sell you an entire second dinner." This also is not what you wanted and will probably cost them money, short term and long. ("The customer is always right")3) "Sure, we can mix it up any way you want." Not only have you pleased them, and made more money, you have greatly increased the chances of repeat business. Take care of the customers! I know a business where the owners really don't care about making lots
Your company’s success could very well be dependent on your sales professionals taking the next step – from simply talking features and benefits, to making a financially viable business proposition to clients. Investing in the sales function with ROI tools and financial insight allows today’s sales professional to properly create a framework for understanding and quantifying the potential benefits your product or service can deliver. The Financial Contribution Value is the total actual value that a specific product generates for the customer’s business. This contribution value must be based on specified objectives and goals for the customer.
Determining the right metrics to conduct an ROI calculation is where the challenge really lies. Even successful sales professionals that are financially astute need proven ROI based sales tools that can show the short and long-term financial benefits of their products. It is also important to provide them with tools that allow them to individually tune the financials to meet the specific needs of each potential customer. Do your sales professionals know how to quantify the value based benefits of your product or service and do they feel comfortable answering basic business questions?
For instance do your sales professionals:
• Understand and explain ROI, NPV and other financial metrics?
• Investigate customer’s business needs and properly use the results?
• Conduct ROI analysis with “what-if” scenarios to gain customer buy-in? • Effectively incorporate ROI analyses into presentations and proposals?
• Easily handle customer skepticism and objections (e.g., low price)?
If the answer is no to any of the above questions you should leverage the expertise of an experienced ROI professional.
Why ROI?
Return on Investment is universally accepted because it is used by decision makers, executive management, shareholders, analysts, and investors.
ROI is the benefit of an investment divided by the cost, expressed in percentage terms, over some period of time. If you only use ROI as an end result number you cheat yourself, your customer and your company because the true benefit of a sales based ROI approach goes well beyond the numerical res
IntroductionThere are a group of people in the community that will some time in their career visit your business; the silent assassin.The silent assassin displays all the qualities of a serial killer as they silently wreck havoc in your business through unrest, sabotage, bullying and non-productivity.Modus OperandiThe silent assassin is a work of art! They stalk their victim/s purposely as they maintain an outward veneer of respectability towards management and those that have authority. They often undermine your business and wreck the careers of other employees through a vicious type of ‘office politics’ and ‘sabotage’?They love trouble and strife and seeing other colleagues disadvantaged! The feed the ‘grapevine’ with rumour gossip that is in their interests. But you wouldn’t necessarily know of course. They wear great camouflage.Detecting the Silent AssassinDetecting the Silent Assassin is not easy! They often go undetected for many months with employees afraid to confront them or approach management about th
Determining the right metrics to conduct an ROI calculation is where the challenge really lies. Even successful sales professionals that are financially astute need proven ROI based sales tools that can show the short and long-term financial benefits of their products. It is also important to provide them with tools that allow them to individually tune the financials to meet the specific needs of each potential customer. Do your sales professionals know how to quantify the value based benefits of your product or service and do they feel comfortable answering basic business questions?
For instance do your sales professionals:
• Understand and explain ROI, NPV and other financial metrics?
• Investigate customer’s business needs and properly use the results?
• Conduct ROI analysis with “what-if” scenarios to gain customer buy-in? • Effectively incorporate ROI analyses into presentations and proposals?
• Easily handle customer skepticism and objections (e.g., low price)?
If the answer is no to any of the above questions you should leverage the expertise of an experienced ROI professional.
Why ROI?
Return on Investment is universally accepted because it is used by decision makers, executive management, shareholders, analysts, and investors.
ROI is the benefit of an investment divided by the cost, expressed in percentage terms, over some period of time. If you only use ROI as an end result number you cheat yourself, your customer and your company because the true benefit of a sales based ROI approach goes well beyond the numerical res
In this fast paced knowledge economy, whether you are a business owner, employee, sales person, student or even a homemaker, success in your chosen field depends heavily on how you are received. How you are received depends on how you communicate or present. Based on how you present an idea, people may or may not buy something from you, may or may not learn something from you, may or may not give you high grades or worse may or may not choose to do business with you!The ability to get a message across clearly and convincingly can win business, enhance reputations and help people become more successful generally. Top business people rank presentation skills among the most important. Teachers in various educational institutions also observed that top achievers have excellent presentation skills. Making presentations is increasingly becoming more important in the workplace and schools. Increased competition has made the ability to influence diverse audiences positively a critical success factor in an individual's work and life in general.Lets look at
For instance do your sales professionals:
• Understand and explain ROI, NPV and other financial metrics?
• Investigate customer’s business needs and properly use the results?
• Conduct ROI analysis with “what-if” scenarios to gain customer buy-in? • Effectively incorporate ROI analyses into presentations and proposals?
• Easily handle customer skepticism and objections (e.g., low price)?
If the answer is no to any of the above questions you should leverage the expertise of an experienced ROI professional.
Why ROI?
Return on Investment is universally accepted because it is used by decision makers, executive management, shareholders, analysts, and investors.
ROI is the benefit of an investment divided by the cost, expressed in percentage terms, over some period of time. If you only use ROI as an end result number you cheat yourself, your customer and your company because the true benefit of a sales based ROI approach goes well beyond the numerical res
After the seventh snowstorm in seven weeks, people in Denver, Colorado, are beginning to feel that Mother Nature must have been looking for Buffalo or Minneapolis but got lost. Folks here just aren't used to having three feet of snow piled up on their yards, driveways and streets for almost two solid months. Even kids, who usually greet each snowflake with glee, now look at the leftover piles of mush with something akin to disgust. "Is spring ever going to come back?" one despondent ten year old was heard lamenting. (It was easy to hear her; she's my daughter.)The reason for Denver's collective unhappiness is that the city traditionally enjoys over 300 days of sunshine a year. During the winter months, snow will make an appearance for one day, leave perhaps four or six inches of white, enough to make everything look beautiful, then it will gracefully depart, like the perfect houseguest who never overstays her welcome. The sun returns the next morning and immediately commences housekeeping; the snow is gone from the streets and sidewalks by noon. Not thi
Why ROI?
Return on Investment is universally accepted because it is used by decision makers, executive management, shareholders, analysts, and investors.
ROI is the benefit of an investment divided by the cost, expressed in percentage terms, over some period of time. If you only use ROI as an end result number you cheat yourself, your customer and your company because the true benefit of a sales based ROI approach goes well beyond the numerical result, and includes:
• Reducing ‘No Decisions’
• Reducing Price Discounts by Showing True Value
• Reducing Long Sales Cycles
• Reducing “No Decisions”
For one reason or another, some opportunities never seem to conclude because the customer makes no decision. One of the main reasons customers end up making no decision is that they don’t see enough of a compelling reason to act (don’t see the quantifiable value of the solution).
A study by Customer Centric Systems showed that between 60-80% of all prospect/customer losses are due to ‘No Decision.’ This is supported by the findings by Thomas & Company Inc., where the results from 707 proposals produced 30% wins, 15% losses and 55% no decision/pending. Of the ‘no decisions’ only 2% became wins (98% became losses). This means that the sales professional is spending more than 50% of the time providing a selling service to prospects that will not buy in the future.
ROI can be used to improve prospect selection and prioritization at early stages in the sales cycle to effectively eliminate the ‘no decisions’. By communicating a compelling and objective value based product or service justification, you can eliminate excuses and instead encourage customer informed decision making. What would it have been worth it to you and your organization if you could have reduced your last quarter ‘No Decision’ losses by 10%, 30% or even 65%?
Think of these as lost opportunities! Even if the sale wasn’t lost to a direct competitor, it is clear that these potential customers made another decision and invested their money elsewhere. Customers don’t sit on money, they invest budgeted money to get a return on their investment and if you don’t show them a strong quantifiable value then they will spend their money with someone that does show them results.
If your company has been successful, it is because your customers have been making either an emotional purchase or they have been doing the financial valuation on their own. If this is the case you have probably already picked the low hanging fruit and getting future customers probably will not be as easy.
Reducing Price Discounts
IDC found that early adopters of ROI selling methodology have reduced discounting by 20-30% and
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