Post on 17-Oct-2014
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© Canidium LLC 2014
How to Increase Sales Velocity: Enhancing Sales Process and Enabling Finance
Chris Lesar
Jeffry Swertfeger
Doug Erb
© Canidium LLC 2013
Lead to Money
© Canidium LLC 2014
Presenter Information
Doug Erb | Partner & Co-Founder, Canidium Guides Canidium’s vision to transform its customers sales operations into highly efficient
and analysis based sales organizations. Responsible for taking Canidium from start-up to a multimillion dollar organization, while
serving in a wide range of executive management roles including strategic business development, sales, finance and operations.
Jeffry Swertfeger | Director of Marketing & Inside Sales, TruStar Energy Seasoned veteran with 20+ years of experience representing large manufacturing firms,
developing and executing marketing and brand strategies to successfully grow market share and brand equity
Responsible for overseeing all outward facing marketing and communications, while merging cutting-edge tools with seasoned sales force to bring an enhanced dimension to TruStar sales efforts throughout North America
© Canidium LLC 2014
Agenda
Sales and Finance relationship
Sales Velocity
Automating your process How to leverage Configure, Price, Quote
Configure Price Quote
© Canidium LLC 2014
Friction Between Sales and Finance
Sales Wants
Reduced sales cycle
Closing deals
Increasing revenue
Increased Budget
Better contract process
Guidance
Differentiator
Finance Needs
Maintain Margin (profits while limiting cost) Reduce returns
Audit workflow
Visibility into deal, margin and process
Structure
Timely payment
Reports
© Canidium LLC 2014
The Scenario
Lack of visibility
Conflicting goals
System barriers Systems lack connection
Back office systems (receivables and GL)
Sales (CRM, order entry)
Glue is spreadsheets
Paper and email process and workflow
Provide consistent message
Collaboration
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Steps to Better Cooperation
Finance is the good guy Which sales programs have been most effective and profitable to focus on
What are the companies leading KPI’s
Can help develop dashboards
Provide pricing models to calc effect on customer profitability from price and/or volume changes
Share prospect information to determine if they can pass credit standards
Let us be the “bad guy” when negotiating with customers
Let us maximize sales incentive
© Canidium LLC 2014
CFO Speak
Attention to detail Pre approved contracts
Establish guidelines
Reduce risk
Customer Profitability Value is more important than volume
Special deals require a solid business case, not your gut
Visibility is key
© Canidium LLC 2014
What Finance Can See
Quote product type roll ups allow for quick assessment of margin health
Easy to audit and validate
Margin health indicators alert management of deviations
Entire project margin visibility, as well as individual attributes
© Canidium LLC 2014
Leadership Desire
Increased Revenue
• Upsell & Cross-Sell
• Bundling
Decrease Expense
• Reducing after point-of-sale churn
• Labor cost per deal
Increase Profitability
• Lower costs
• Increase in number and size of deals
Sales Velocity
• Reduce focus on funnel
• Increase productivity by focusing on sales process
© Canidium LLC 2014
Sale Velocity
• Sales Velocity is the time it takes for a lead to become a closed deal
• There are four levers to Sales Velocity • Increase number of opportunities
• Increase average deal value
• Increase win rate
• Reduce sales cycle
• Most people tend to focus on filling the pipeline by increasing the number of opportunities • Management tends to reinforce this by asking questions like “How many calls
did you make? Or “How much did you add to your pipeline last month?”
# Deals * Average $* Win Rate% Length of Sales Cycle
© Canidium LLC 2014
Sale Velocity – CPQ Style
• By automating the workflow of the sales process you increase the sales reps ability to increase deal size
• Traditional ROI in CPQ found in the reduction in errors and shortening of sales cycle • Enhancing Revenue
• Shortened cycle time • Increased win rate • Increased Upsell
• Lower Cost • By shortening cycle • More focused sales force
• Profit (Finance!) • Workflow to ensure margin maintenance • Customer knowledge
# Deals * Average $* Win Rate% Length of Sales Cycle
© Canidium LLC 2014
Automating Your Process
Guiding the Sales Process
Pipeline Management
System Automation and Workflow
© Canidium LLC 2014
Automate the Upsell
• “As top-performing selling teams continue searching for ways to reduce their sales cycles and increase their win/loss “batting average,” the use of contemporary technology tools holds significant promise for better sales team performance in 2012,” explained the Aberdeen Group in its 2012 Analyst insight paper – Lead-To-Win 2012: Managing People, Process and Technology to Optimize the Last Mile of the Sales Cycle.
© Canidium LLC 2014
Pipeline Management
• Bad data in SFDC or your CRM
• CPQ Manages data
© Canidium LLC 2014
Data Quality
We are on a solid growth trajectory
More quotes means more wins
© Canidium LLC 2014
System Automation and Workflow
Educating the Customer/
Guided Selling
Margin Health
Approvals Collaboration
© Canidium LLC 2014
Educating the Customer/ Guided Selling
Remove the guess work out of sales Error-free product bundling
Leverage historical trends to maximize deals
© Canidium LLC 2014
Educating Customers
Simple control over the proposal content
You control the look and feel to your customer
You develop document templates that resonate with your audience
You write the story you want your customers to read
You define the content that your organization wants to disseminate
© Canidium LLC 2014
Margin Health
Reporting margin health
Finance sees the margin
Sales knows that a call is coming
© Canidium LLC 2014
Approvals
Appropriate checks and balances in process Ensure margins are being maintained on key deals
Line of sight into deals in motion
© Canidium LLC 2014
Collaboration
Overarching theme is collaboration Allow multiple groups in the organization to discuss deals
© Canidium LLC 2014
CPQ
How long are your sales cycles? Are your sales margins where they need to be? How much time do you spend tweaking sales operations as opposed to selling? Canidium understands that for sales teams to be effective, they need the right tools. Canidium's Configure, Price, Quote service helps clients by picking the most optimal solution and by implementing it to best fit their needs. Our CPQ consultants have the technical expertise and the business acumen to make your project a success. Canidium's CPQ services result in accelerated sales cycles, and increases in margins per deal.
© Canidium LLC 2014
Success
We learned from our mistakes with other CPQ systems – they are not created equal
We have taken a complicated product with lots of moving pieces – and condensed it with simple fault-tree logic
We beat our competitors to the punch by taking a CPQ process that takes weeks – and deliver it in minutes
© Canidium LLC 2014
Questions?
© Canidium LLC 2014
Contact Us
Doug Erb Principal Partner, Canidium
Email: dougerb@canidium.com
Twitter: @erbdoug
Chris Lesar VP CPQ Sales, CallidusCloud
Email: clesar@calliduscloud.com
© Canidium LLC 2014
Canidium at a Glance
Based in Houston, TX with 50+ expert consultants across North & Central America, EMEA and APAC Partner with companies on a broad array of high value, ROI driving initiatives across the SPM lifecycle
Experience with all leading ICM / SPM solutions
Industry experience includes: Insurance, Financial Services, Banking, Retail, Telco, Healthcare, Pharmaceuticals