Multinational IT Distribution Company
SITUATION
There are constant changes and pressures in all areas of the business world, and so are in distribution business. In B2B business, the changes in the way of doing business are even greater due to pressure from the competition on both sides of the equation. One of the biggest challenges is how to stand out from the competition.
Customers have changed the way they buy; a satisfied customer is not a measure of success or a guarantee that the customer stays with a particular supplier. Today the customer must be thrilled, not just satisfied about your service to stay with you. Customers always want better services, and the approach and level of operation of the seller is extremely important. With the classic way of selling it is, nowadays, difficult to create added value for the customer and differentiate themselves from the competition.
With the constant pressure on employees and constant bigger demand for profits It is very difficult to manage and keep people, especially in sales departments. People will usually believe that somewhere else is much better.
THE PROBLEM
The fact that the prices between competitors are very similar, and the portfolio is not significantly different, makes Competitiveness of company extremely hard.
Customers are no longer satisfied only with classic sales, but are increasingly looking for consultants who will solve their business problems (not just sell products)
Extremely rapid and major technological changes in the market affect the way customers buy
The company’s decision to reduce costs and at the same time increase sales by 38%
Lack of experienced sellers
Unplanned contractual changes and strategic decisions of vendors
IMPLICATION
Mediocre sales performance not providing enough growth to keep high profitability
Negative pressures on the profitability of department due to competition
Forced to reduce costs in all segments
Longer sales process
Due to cost reduction, hiring new and professional sellers is too expensive
Different buying habits of traditional customers
THE NEED
Increase sales and profitability by:
o Increasing sales efficiency
o Unification of the sales process for better control and agility of department
o Increase added value for the customer
o More precise and faster qualification of sales opportunities
o Recognize customer needs better and act as advisor instead of just another seller
o Increase customer satisfaction and loyalty
SOLUTIONS & BENEFITS
With Sales Director and Head of sales of specific department we identified gaps and focus areas and set clear goals for improvement:
o Improve customer needs recognition and understanding
o Build understanding on why customers are changing the way they buy and how technology is influencing the process
o Redefine added value of the company’s portfolio and services
o Defined how we can increase customer satisfaction
o Agree on common sales process that allows better control and unified company’s approach to the market
· We decided to have 3 x ½ day workshop with sellers:
o Day 1: Understanding and recognising customer needs and how to avoid objections
o Day 2: New and unified sales process
o Day 3: IT Trends today and tomorrow to understand changes on the market and how they influence customer’s decissions
o Follow on: 1:1 weekly coaching for 1 months to implement new sales habits
RESULTS
After 6 months:
o Increased overall sales by 8%
o Increased margin by 1.6%
o Increased percentage of win backs and competitive wins by 4%
o Unified sales process allowing better control of performance of sellers and unique identification on the market
o Unified understanding of market trends followed by clear strategy of department
o Decreased churn of sellers
o Increased customer satisfaction and loyalty
