March 2009 Newsletter

SEDC logo Newsletter
                                                  for the Pre-Sales Community
March 2009
Quick Links
Dear Pre-Sales Colleague:
This Month:
  • MIT Sloan Sales Conference
  • Webinars and Skill Sharpeners
  • Emerging Trends:  The Science of Sales 
MIT Sloan Sales Conference April 17
Late breaking news!  We are pleased to announce that salesengineering.com will provide a workshop at the MIT Sloan Sales Conference April 17th at the Cambridge MA Hyatt Regency Hotel.  The conference theme is:  Sell or Sink: Navigate the Crisis.

"New Thinking:  Empowering Pre-Sales to Drive Business" is a one hour hands-on workshop to assess the pre-sales process maturity of a team or individual, calculate their potential for incremental revenue generation, and describe how quality engineering and project management principles can be used in pre-sales to impact business.
 
MIT Sloan Sales Conference Registration.  The 10% discount code is PARTNERS.
 
Webinars and Skill Sharpeners
Webinars:  Watch for Salesengineering.com's twice monthly webinar series.  These one hour sessions will cover best practices that help SEs prioritize their time, cleanse funnels, grow deals, and get faster technical decisions faster. 
 
Some webinars will be for specific audiences, for example, pre-sales leadership practices for managers, financing skills training for Sales VPs, and discovery techniques for post-sales personnel.  Each webinar will provide immediately applicable tools and take-aways.
 
If you have ideas for webinar pre-sales topics you would like to see, please Contact Us.
 
Skills:  As Abe Lincoln said, "If I had 8 hours, I would spend 6 of them sharpening my axe."
The down time is a good time to sharpen skills.  Be sure to check out:
Emerging Trends in Sales Revenue Generation
Sales methodologies have not changed much in 40 years, and sales remains largely a black art.  Sales process is fraught with missed forecasts, waste, inconsistency, and inefficiency.  We shrug it off as "just the way it's always been".
 
"Without exception, all of my biggest mistakes occurred because I moved too slowly", John Chambers, Cisco CEO, BusinessWeek, March 23, p 32.  In this economic winter, it never hurts to (a) consider some new thinking, and (b) do something to improve your situation.
 
 
New Thinking:  Leverage Pre-Sales SMEs Sooner Than Later
 
Pre-sales subject matter experts (SMEs) are historically one of the most neglected areas of sales operations, so they are ripe for process quality improvement.  Acknowledging this, some companies are now empowering the SMEs' technical credibility with enabling skills to become lower-cost highly-productive resources that consistently and repeatably drive revenue, reduce cost of sales, cleanse funnels, and grow margin.
 
We have a case study where a $1B company did a $25k pilot for a 12 SME team.  They achieved six figure payback in 60 days, and grew projected annualized revenue by $8.5M in 5 months.  Sales leaders chose to defer a general rollout until a new CRM came online.  One year later, nothing has happened and sales has lost about $8.5M for each SME team.
 
"Without exception, all of my biggest mistakes occurred because I moved too slowly".  There can be a large cost for doing nothing.  A few dollars on a pre-sales initiative can generate millions in annualized incremental revenue.  If you Contact Us, we have a tool that shows your specific potential, and your lost opportunity cost of doing nothing.
 
 
New Thinking:  The Emergence of "The Science of Sales"
 
Weighing yourself daily does not lose weight.  Yet as a recent study showed, measuring the calories from eating activities takes off the pounds regardless of your choice of diet.  Likewise measuring revenue does not grow revenue.  Yet measuring the quality of sales activities grows revenue regardless of the choice of sales methodology.
 
In manufacturing, quality and value-add drive revenue, so they are religiously measured.  Recently, manufacturing-like processes have been applied to sales.  Leads are raw materials.  Qualified deals are products in assembly.  Forecasts become very accurate.  Activity times and costs are fed into simulations for what-if and bottleneck analysis.
 
A recent case detailed a company with 2 years of revenue decline despite many marketing and sales initiatives.  A simulation showed that revenues fell when leads or sales reps increased.  It concluded that the bottleneck was low quality lead qualification.  A low cost simulation and religiously measured qualification quality yielded millions in new revenue.
 
As our case studies show, take care of sales process quality, and revenue just happens.
Just like in manufacturing.
 
 
New Thinking:  Sales Science for SMEs
 
SMEs, given their technical nature, are eager and willing to apply science to the black art of sales.  In alignment with your existing sales methods, they quickly embrace structured quality engineering and project management techniques for acquiring technical decisions. 
 
SMEs quickly drive revenue, get faster decisions, improve funnel quality, and grow margin contribution.  They become a lower-cost resource that can produce high margins.  Using proven quarterly 7 figure payback data, CFOs become open to pre-sales skills investment.
 
In this economic winter, it never hurts to consider some new thinking and do something.
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Please feel free to email me your comments and stories at sedc_philjanus@salesengineering.com

Sincerely,

Philip Janus
Founder & CTO
salesengineering.com