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Sales Effectiveness – How to Reach New Levels of Sales Performance

Thursday, December 10th, 2009 by info@streetsmarts.com (Dave Batt)

The business headlines in 2009 have been littered with earnings releases stating sales are down year-over-year and confirming corporate lay-offs, cutting bonus pay programs and slashed budgets.

Companies went to great lengths to reduce their cost structure to align expenses with declining revenues. Now with another financial reporting period and earnings season looming, the word on the street is that while companies have managed to adjust their costs they are struggling to achieve sales and revenue targets.

Probably the most daunting trend is the one we collectively need to address. In their 2009 Sales Performance Optimization Survey of more than 1800 firms, industry analysts CSO Insights found that the percentage of salespeople meeting their quota dropped in 2009 from the previous two years to only 58.8%, signaling difficult times ahead. The top two initiatives Sales Executives called out for 2009 were to increase sales (hardly surprising) and to increase sales effectiveness.

The same survey posed some interesting conclusions on this point: “We do not believe that success in 2009 will be achieved by making more sales calls. The number of calls—face-to-face meetings or on the phone—has already been increasing over the past few years with minimal impact on sales results. The real objective is going to be how to make great calls: motivating stakeholders to meet with you; creating a sense of urgency that moves evaluating your solutions to the top of their priority list; differentiating yourself from the competition; selling value rather than discounting prices; creating a compelling business case to get the project approved now. These will require your salespeople to be more effective at selling than they were in 2008.”

Sales Effectiveness: How to Reach New Levels of Sales Performance,” written by Dave Batt, StreetSmarts CEO, outlines the challenges organizations currently face with delivering top line sales performance and how to address these challenges head on. Plus, it includes step-by-step methods for improving sales effectiveness and the business impact it can provide sales-led organizations.

Download your free copy by visiting http://www.streetsmarts.com/solutions/sales-effectiveness. There is no registration required.

StreetSmarts® Nominated as Finalists for Two Knowledge Management Awards

Tuesday, November 3rd, 2009 by info@streetsmarts.com (Dave Batt)

It is really great news and a testament to our business approach that StreetSmarts® has been nominated as finalists for both the KMWorld Promise and Reality Awards 2009. These are prestigious awards and demonstrate the value our customers have received through the use of StreetSmarts in their multiple lines of business initiatives. Heartland Payment Systems®, one of the largest payment processors in the world, uses StreetSmarts® to improve sales effectiveness across a distributed workforce and The Premier Inc. healthcare alliance, a cost and quality improvement alliance of more than 2200 hospitals nationwide use the on-demand knowledge and collaboration platform to share clinical knowledge amongst members. They have demonstrated significant cost savings and raised quality standards through the use of the StreetSmarts® platform. More information on The Premier Inc Healthcare Alliance can be found here. The original press release about our nominations and the KM Awards can be found here.

New Survey Outlines Continued Sales Effectiveness Challenges

Thursday, October 1st, 2009 by info@streetsmarts.com (Dave Batt)

I reviewed some interesting findings from the Corporate Visions Inc. Quarterly Sales Messaging Report Q3 FY09 (www.corporatevisions.com) which surveys thousands of business to business marketing and sales professionals. The survey highlights the continued challenges around sales effectiveness, in that 74% of salespeople publicly admit to rewriting messages and tools created by marketing.  There still seems to be a divide amongst many sales and marketing teams and the fact that selling time is being absorbed by sales people recreating marketing assets is not only inefficient but potentially dilutes or even damages a brand. It means sales professionals don’t feel confident in the messages they are being asked to deliver or don’t feel they are credible or compelling enough within the rapidly evolving competitive landscape.

Another key area of concern highlighted in the survey findings is that a staggering 87% of salespeople are looking for more coaching from their managers. The key area where sales teams felt there were gaps was how best to differentiate the company and communicate what makes the company’s solution different. Clearly classroom training alone is not the answer as things change quickly and most people will not contest that what is learned in the formal training environment is not used indefinitely or quite quickly forgotten. And one on one coaching is not really a scalable answer either. How can sales managers hold the hands of each and every sales person though each and every stage of the sales cycle?

The key to better enable sales teams and drive higher overall sales effectiveness is a more holistic approach to the whole sales and marketing function. What is needed is self help in an ongoing manner for sales and empowerment of the sales force to continue to learn and develop at their own pace. Marketing and sales are so often considered as separate functions in many organizations but customers assume they are dealing with a company and not a set of departments. What is needed is better collaboration to close the sales and marketing divide, where marketing assets are ranked and rated by the sales recipients so marketing have the insight from the field to make corrective action and build stronger business alignment.  Though the use of enabling technologies this is now entirely possible and also means that consistent market messages are achieved, rather than recreating assets and creating several versions of the truth.

ASTD video on training reinforcement for sales professionals

Monday, August 17th, 2009 by info@streetsmarts.com (Dave Batt)

Brian Lambert, Director of Sales Training Drivers for the American Society for Training and Development (ASTD) shares valuable insight in his video on how they enabled knowledge automation and encouraged informal learning and collaboration for sales professionals and sales training professionals for their training reinforcement and sales effectiveness initiatives. He discusses how his organization looked to unify information across their knowledge silos to ensure that information was distributed with agility and speed in a manner that sales professionals like to consume. Brian also discusses how they ensured content was of quality and relevance to their users, how they overcame traditional IT and operational concerns during deployment and also outlines the speed of deployment of the StreetSmarts® solution. View the video at http://www.streetsmarts.com/solutions/training-reinforcement

Chicagoland Companies Discuss Informal Learning for Sales Effectiveness

Monday, August 3rd, 2009 by davebatt

Last week I facilitated peer group sessions with more than 100 learning leaders and sales managers in Chicago.  A special thanks to Mr. Dirk Tussing of Chicagoland Learning Leaders for organizing an event that included representatives from Chicagoland’s top companies.   The purpose of the sessions was to discuss the findings from ASTD’s in-depth research of the ‘State of Sales Training‘.   Dr. Brian Lambert of ASTD and Sales Training Drivers presented the findings to participants, which launched the room into active discussion.

The research findings drove discussions about one finding in particular, that 49% of organizational knowledge is actually acquired through informal learning.  And further ASTD research calls out how little is invested in developing informal learning programs.

To ground us around a common definition for informal learning and how it applies specifically to sales enablement and improved sales effectiveness, this is the knowledge necessary for sales professionals to learn on the job.  It is not learning acquired through the training classroom or by the use of courseware but learning by doing.

There were great discussions around this topic.  The learning professionals wanted to know how to tap into the collective experiences of successful outcomes in the field and share the best practices through the use of informal learning.  They also discussed methods for capturing these great lessons from the field in a manner that could be leveraged across a broader workforce.

These questions were contrasted by the sales management representatives, as they discussed the burden informal learning places on their day to day workload.   In order for their staff to learn through trial by fire, the sales manager plays a significant role in mentoring and coaching the sales rep to achieve the best outcome.  Questions sales reps often have that sales managers mentor them on include, “How to positioning against the competition?”  or “What client can I use as a reference for my prospect?”  Of course there are many other examples but the point remains, sales management is burdened with addressing redundant questions for their sales staff every day.   The sales managers spoke a different language than their learning professional peers but they both shared a common goal in finding a more meaningful way to harness informal learning than the typical water cooler conversations, phone call inquiries and email requests.

The breakthrough moment for the group was when Dirk Tussing asked “What tangible outcomes can an organization realize when it harnesses informal learning?”  One example was presented where a sales organization was able to cut ramp time in half for their new sales hires.  This translates to rookie sales reps generating revenue quicker and reaching sales targets sooner.  In one case, the reduced ramp time generated $50 million of incremental sales.  I presented a case study of Heartland Payment Systems that provided similar examples.  Another case study example showed how Premier, Inc. (network of hospitals, clinics and acute care centers) shared procedural best practices and lessons learned - This level of collaboration and know-how has helped Premier lower the cost of healthcare delivery across its network group.

The lessons from these interactive sessions were two-fold.  Sales management and learning leaders must build alignment in their efforts to address informal learning.  And also, technology solutions can play a key role in facilitating informal learning within Sales Departments and also across the enterprise.  There are still significant opportunities for the learning and sales functions to build greater alignment in a manner that is meaningful and very real to the overall performance of any business - The example of generating $50 million of incremental sales by cutting ramp time of new hires in half is a perfect illustration.  But to do so, the learning function must work with the front line of the business to bring learning beyond the classroom or eLearning courseware.

There are now technologies available that provide the collaborative tools to better enable the informal learning capture and dissemination of knowledge and information.  Even better, these new tools go beyond the limits of wikis and public-facing social Web 2.0 tools.  They take into account the needs of an organization and their requirements for security, quality of knowledge, and compliance and control.

Please share your views, challenges and success stories of addressing informal learning in your organization.  We are interested to hear how you are addressing this challenge.  Each blog poster will receive a free copy of StreetSmarts® report around informal learning that is planned for release next week.