Sales Audit · Sales Change Management · Sales Consultancy · Sales Innovation · Sales Leadership · Sales Management · Sales Strategy · Sales Turnaround

What Happens When the Decimal Point Disappears

Imagine the scene, 3 pm, Thursday afternoon in March. Bright blue sky visible through the boardroom window, cold and changeable weather, but not bad for the time of year.

I sit opposite a Managing Director of a business I’d been working with for a few weeks.

The desk held a single piece of paper. On that paper, just 6 numbers…large and in red, and he looked for the decimal point…again.

There wasn’t one.

Watching, he wiped his hand across his face, and swallowed hard – twice.

‘So you mean to tell me that this is pure profit – profit I’ve lost this quarter.

‘No, no, no – that’s not the profit. That’s the size of the dividend cheque you won’t be able to write…that’s your money, not the firms’

And that’s the sad fact – when the sales team gets it wrong, there is only one ultimate loser. The business owner.

But it doesn’t start there – inefficient sales operations, whilst they ultimately cost the business owner millions of pounds over the years, will start by asking the Buyers to pay for their inefficiencies. And that’s dangerous.

Why would you expect your Buyers to pay for your sales inefficiencies?

The majority of firms in the UK today look at how much profit they can make out of their Buyers without looking at how much profit they could make by having more efficient sales processes!

FACT – your Buyer is paying for your inefficiencies, and when the Buyer won’t pay any more then, you, the Business Owner has to start paying…

Suffice it to say, I can guarantee that your competitors are doing very nicely out of your sales process being so costly and inefficient, your competitors will love anything that means you are forced to sell at a higher price.

But – it’s even worse than that. You may be dropping good quality and ‘potentially’ profitable business because your inefficient sales processes are costing you too much, meaning you are forced to charge higher prices without being able to demonstrate any additional value to the Buyer.

This has ‘doomed’ written all over it. It also has diminished profits and firm decline on the horizon.

Inefficient sales processes will be taking you out of the game for no other reason that you aren’t making profit at every step of the sales process – instead you want the Buyer to compensate you for your lack of efficiency.

Does that seem the right thing to do?

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PLUS I can GUARANTEE you that the minute you start looking at your

sales processes, you will uncover better ways to serve your Buyers.

When you have better ways to serve your Buyers, you add more value for the Buyer,

when you add more value you can charge higher prices because your Buyer is happy to pay

for the extra value…which typically means you increase your profits

both from running a tighter sales operation AND from higher prices.

You win twice!!!

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Are you guilty of doing this in your business?

I’m not just talking about how much you charge, not talking about how much profit is in each piece of business you sign, I’m thinking about the steps you go through in your sales process, organising each step in the sales process so you are maximising the results you get at each stage.

Look at it this way – the amount of profit you make in each sale is not just as a result of the price you charge your buyer. There is another – equally powerful but often forgotten – force at work too – the COSTS associated with generating that sale.

To many firms concentrate on the profit that is generated at the END of the selling cycle, yet profit needs to be grasped at all stages in the sales generation process.

Of course, this will mean different things to different types of businesses from service providers to manufacturers – however there are some key gates in any sales process that are appropriate to all organisations and are under the control of the sales function.

Introducing a more efficient management of your sales process and sales teams will allow you to demonstrably

  • Increase the speed at which you close deals
  • Increase the conversion of sales opportunities
  • Increase the effort  and time you can apply to real sale prospects instead of time wasters
  • Identify market opportunities
  • Build value where your competitors can’t – making your more competitive
  • Play to your own strengths and exploit the competitors weaknesses
  • Dramatically reduce your sales and marketing costs.
  • Define how you construct the commercial terms of any business contract – including helping you to decide what to charge
  • Segment your sales pipeline into those prospects that can be dropped immediately
  • Build high levels of certainty into your sales process from the first interaction
  • Define how you manage your leads through the sales pipeline
  • Improve cash flow
  • Build, profile and continue to profile perfect prospects for your business
  • Feed you with unlimited graded leads in your market sector
  • Populate your CRM system with pre-graded and profiled prospects

If you are not continually evaluating how you can improve your sales process, increase efficiencies and effectiveness. driving for customer excellence, increasing the value delivered to the Buyer and minimising the impact of your competitors in the market then you are leaking profit where you should be making it.

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For an opportunity to discuss how you would like to increase your profits (and dividend payment) this year – call Carol Griffiths – 0779 002 1885

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CEO – BPO

Carol is the most dynamic and energetic Consultant I have ever worked with.
She has helped me re-shape our entire sales process which resulted in a 50% leap in profits!
Carol has the flair and imagination to add measurable value to any business.
I look forward to working with her until the day she retires!

Business Outsource Partner

I had the pleasure of working with Carol for 12 months where her contribution and direction helped deliver a double digit growth.

Carol designed and implemented a sales strategy that developed the team that ensured we were targeting the right types of opportunity, delivering the correct pricing strategy and then closing the deal at a success rate of over 80%.

Carol coached the team on a one to one basis, utilised the classroom approach effectively and developed the team by attending prospect meetings.

Her contribution to the success of the business was excellent.

 

Carol Griffiths – Director and Lead Consultant

Morton Kyle Limited

carol@mortonkyle.com

0779 002 1885

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