There were Brands and then, there were Brands! How this has changed in the post internet age? How the Brand ownership has moved away from Brand owners to Brand users? How the Brand Relationship has evolved?
It’s a sad fact that today’s average B2B sales person is still far more comfortable talking about their products than they are discussing business issues or customers’ problems. However the average B2B buyer regards a sales person’s relevant business knowledge and the understanding of his business problem as being far more valuable than their ability to regurgitate product features, functions and benefits.
This terrible mismatch has profound consequences - on average 87% of the revenues in complex B2B sales environments are being generated by just 13% of the sales population. So what these best-in-class sales organizations do differently ?
Very simply put they have mastered the technique to systematically create unique value to their customers through the disciplined application of value-based selling across their entire sales and marketing organisation. And the results can be seen in top line revenue growth that far exceeds market averages.
Value based selling is delivering value to a customer rather than just selling a product / service to them. However, as some early definitions suggested – it’s not just about maximising the value of your solution to the customer. In fact focusing on your value too early in the development of a sales opportunity can actually compromise your chances of success. Because if there is no problem, there can be no solution.
Therefore, before the value of your solution is in any way relevant to yourpotential customer, they must first - hopefully with your help - recognise the value of solving the problem the first place, and acknowledge the cost of inaction and the urgent need for change. Otherwise, the most likely outcome is that they will simply decide to stick with the status quo.
Value-based selling requires in-depth understanding of how the customer uses the product and the contribution the product makes to his business operations. It also requires that service sales personnel understand cost behaviour and their customer’s P&L structure. They need easy-to-use tools to help demonstrate and quantify the financial contribution and service value to senior customer management.
It, therefore, demonstrates how this contractually assured service can make a significant contribution toward increasing customer productivity, profit, and in some instances, capacity. Rather than resorting to price reductions to avert contract cancellations, the sales force actually can sell premium products /service at a higher price.
To sum it up : The Value Based Sales equips the sales force with the skill to identify each customer’s problem areas and then offer a unique solution to that problem with their respective products.
To build sufficient VBS capability, a framework of sales effectiveness drivers must be evaluated and addressed.
Value Based Sales Workshop Objectives:
Improve average order values
Increase the take of ‘Wallet Share’
Move further up the value chain away from 'commodity hell'
Improve your reputation as a value adding salesperson
Analyse their personal performance, and through increased self-awareness reduce weaknesses and maximise strengths in their sales approach
Build their confidence in presenting value rather than costs
Develop business relationships which ensure customers want to do more business with them
Review difficult sales situations and construct more effective sales presentations / pitch
Develop greater opportunities for closing more business
Increase job satisfaction and improve customer service scores through professional and effective needs alignment.