PARTNER KEY OFFER CUSTOMER CUSTOMER

NETWORK ACTIVITIES RELATIONSHIPS SEGMENTS

20 MIN

KEY DISTRIBUTION
RESOURCES CHANNELS

COST STRUCTURE REVENUE STREAMS

PARTNER KEY OFFER CUSTOMER CUSTOMER
NETWORK ACTIVITIES RELATIONSHIPS SEGMENTS

COMMERCIAL /
KEY
BUSINESS
DISTRIBUTION
RESOURCES
STRATEGY
CHANNELS

COST STRUCTURE REVENUE STREAMS

4
What type of relationships 4 1 What is the
do we want? customer’s buying
behaviour?
PARTNER KEY OFFER CUSTOMER CUSTOMER
NETWORK ACTIVITIES RELATIONSHIPS SEGMENTS

KEY DISTRIBUTION
RESOURCES CHANNELS
Who are we going to
3
target and why?

COST STRUCTURE REVENUE STREAMS

How are we going to

What is our value 5
2 do it?
proposition?
 1. What are their problems
and needs?
PARTNER KEY OFFER CUSTOMER CUSTOMER
NETWORK ACTIVITIES RELATIONSHIPS SEGMENTS

2. What type of “value” are

KEY
RESOURCES
DISTRIBUTION
CHANNELS
they looking for?

3. How do they typically buy

this type of product /
COST STRUCTURE REVENUE STREAMS

service?
1. What are their problems and needs?
 10 MIN

1. Who are the main players and role do they play? Select a
few key customers part of the segment.

2. What are the main problems / issues the customer is

facing? To uncover them discuss the following items in
group:

1. Information: What does he see and hear?

Where is that information coming from?
2. Emotions: What do they think and feel?
3. Behaviour: What do they do?

3. Based on your information map identify which are the

customer’s problems and which are the solutions (gains)
the customer is trying the achieve.

Source: Dave Gray, “GOGamestorming”

 What is their opinion on all these changes?

What do they fear?

What do they like?

What do they
think and feel?

Political / Legal Changes

What do they What do they What are their customers doing?
Technological Changes
hear? see?
What are their suppliers doing?
Economical Changes
What are their competitors doing?
Social Changes
What do they
Others ….
say and do?

What do they do more, less?

What have they stopped doing?

What have they started doing?

What are their main problems / pains? What do they try to achieve / gains ?
1. What are their problems and needs?

2. What type of “value” are they looking for?

 What is
the
price?

Extrinsic Value
Buyers

Strategic Value Intrinsic Value

Buyers Buyers
How will it How will it
improve our solve our
business? problems?

Source: Neil Rackham, “Rethinking the Sales Force”

1. What are their problems and needs?

2. What type of “value” are they looking for?

3. How do they typically buy this type of product /

service?
Strategic or cost importance of the supplier’s product

Leverage
Partner
Size

Manage
Shop
Risk

Low Difficulty of Substitution High

Source: Neil Rackham, “Rethinking the Sales Force”

 Which bank will give us the best rate? For which platform should we develop our app?
Strategic or cost importance of the supplier’s

Leverage Size Partner

product

Shop Manage risk

Which mobile phone should I buy? Which training organisation should we use?

Low Difficulty of Substitution High

Source: Neil Rackham, “Rethinking the Sales Force”
 1. What are the features,
PARTNER
NETWORK
KEY
ACTIVITIES
OFFER CUSTOMER
RELATIONSHIPS
CUSTOMER
SEGMENTS advantages and benefits
of your value proposition?
KEY DISTRIBUTION

2. What is your sales pitch?

RESOURCES CHANNELS

COST STRUCTURE REVENUE STREAMS

1. What are the features, advantages and benefits
of your value proposition?
 Benefits

“What is it for me?”

Ways how the product can be used to
Advantages
meet the needs of the user.

Features

“So what?”
Ways in which the features can be used
to help the user.

“What can your product do?”

Raw facts and information about the
product.
 FEATURE ADVANTAGE BENEFIT

This mobile phone has a colour screen.

This mobile phone has an agenda function.

You don’t have to keep two agenda up to date

because your phone’s agenda will synchronise with
your outlook.

You said you wanted to know whether you received

emails or phone calls during meetings, well with this
phone you can do that by setting it on vibrate mode.

This phone is very light don’t you think?

 The…(feature)…means
you…(advantage)…with the real
benefit to you being…(benefit).
 20 MIN

1. Select at least 5 features of your value proposition

2. For each feature identify at least one advantage and one

possible benefit.

3. Identify which 1 or 2 features really makes your company

and product stand out from your competition.
1 1 1

2 2 2

3 3 3

4 4 4

5 5 5

Note: Which features makes you really unique?

1. What are the features, advantages and benefits of
your value proposition?

2. What is your sales pitch?

 20 MIN

1. Based the information from the FAB and from the

customer intimacy map write down your own sales pitch.

HINT: A sales pitch is usually small. Do not try to put too much
information.
For <ideal customer>

who is unsatisfied with <current alternative>

Our product is a <product category>

that <key benefits/advantages>

unlike <competition>

we have assembled a product that <unique differentiators>

 1. What makes a customer
PARTNER
NETWORK
KEY
ACTIVITIES
OFFER CUSTOMER
RELATIONSHIPS
CUSTOMER
SEGMENTS attractive to us?

KEY DISTRIBUTION
2. What makes us attractive
to our customers?
RESOURCES CHANNELS

3. How to differentiate our

COST STRUCTURE REVENUE STREAMS

customer approach?
1. What makes a customer attractive to us?
 Nature of criteria
‘Soft’ ‘Hard’

Customer Customer Outcomes

attributes needs
Risk reduction: Opportunities for Financial
working together product/service outcomes/profit
differentiation
• Strategically important • Member of targeted • Spend
purchase segment • Turnover
• Appropriate decision- • Strategic fit • Volume
making structure
• Want non-standard • Cost to serve
• Right attitude to solutions
relationships • Profit

• Prepared to pay for • Specifics (e.g. Speed, • Contribution

value compatible systems) • Price
• Prepared to invest • Compatible services • Growth
 30 MIN

In groups of 5 people:

- Select 1 type / segment of customers

within your group.

- Select 5 to 6 criteria that define the

attractiveness of your customers.

- Attribute a weight to each of the criteria.

- Take 2 customers (preferably extremes)

and rate their attractiveness
Customer attractiveness factors (CAFs) 1) Relative 2) Customer A 3) Customer A 2) Customer B 3) Customer B
importance rating 1-10 Score (=1x2) rating 1-10 Score (=1x2)
rating

100% Total = Total =

1. What makes a customer attractive to us?

2. What makes us attractive to our customers?

Examples of customer criteria when looking at their suppliers:

• Product/service range
• Product/service quality
• Product/service adaptation to Customer’s needs
• Quality of support services
• Price
• Associated Services (e.g. technical advice)
• Expertise
• Joint projects, R&D etc.
• Reputation and image of supplier
• Past experience of working with supplier
• Quality of sales/KAM/Customer service staff
• Quality of relationships
• Easy to do business with
• Geographical spread
• Value for money
 30 MIN

In groups of 5 people:

• Select 5 or 6 criteria which you

believe are the most important for
your customers.

• Attribute a weight to each of the

criteria.

• Put yourself into the shoes of your

customers and see how they would
rate your own company.
Business Strength 1) Relative 2) Customer A 3) Customer A 2) Customer B 3) Customer B
importance rating 1-10 Score (=1x2) rating 1-10 Score (=1x2)
rating

100% Total = Total =

 30 MIN

In groups of 5 people:

• Select 4 or 5 of your customers.

Preferable small and large customers.

• Complete the scorecard your just made

for each of them and plot the result on
your quadrant.
 10
9
8
7
attractiveness

6
5
4
3
2
1

1 2 3 4 5 6 7 8 9 10
Business strength
1. What makes a customer attractive to us?

2. What makes us attractive to our customers?

3. How to differentiate our customer approach?

 10 Strategic Star Segments
Segments or or Customers
9

Customers
8
7
Attractiveness

Invest Selectively Invest

5

Status Streamline
4

Segments or Segments or
Customers Customers
3
2
1

Maintain Manage for Cash

1 2 3 4 5 6 7 8 9 10
Business strength
 1. What type of
PARTNER
NETWORK
KEY
ACTIVITIES
OFFER CUSTOMER
RELATIONSHIPS
CUSTOMER
SEGMENTS relationships do we
have?
KEY DISTRIBUTION

2. What type of
RESOURCES CHANNELS

relationships do we
COST STRUCTURE REVENUE STREAMS want?
1. What type of relationships do we have?
 Collaborative

Integrated
Strategic Intent

Interdependent

Co-operative

Basic

Transactional Collaborative

Exploratory
Customer Strategic Intent

Adapted from Millman and Wilson 1994 by McDonald and Woodburn 2000
SONY CUSTOMERS / PARTNERS

Sales Key
Board Admin Ops Person Customer Ops Admin Board
Contact
You CUSTOMERS/PARTNERS

Managers Managers

Sales Operations Operations Customer

Person Key Contact
Administration Administration

Board Board
Does this statement apply to your relationship with your customer? Score
If our relationship ended, both parties would find it difficult and complicated to
exit
There is a real spirit of partnership and trust between our two companies
Together we have produced long-term strategic plans for the development of
our relationship and business together
Any information at all relevant to our business together is passed straight on to
the client
People at all levels in both organisations are in constant communication with
each other
We have both realised substantial benefits through working together
Total Score

Rating Score
Strongly agree 4
Agree 3
Disagree 2
Strongly disagree 1
 20 MIN

In groups of 5 people:

• For each of the customers you platted

on your quadrant complete the
customer relationships survey.

• Review with your colleagues if the

relationships is in line with the type of
customers.
1. What type of relationships do we have?

2. What type of relationships do we want?

 10
9
8
Integrated

Interdependent
attractiveness

7
6

Co-operative
5
4

Basic
3
2
1

1 2 3 4 5 6 7 8 9 10
business strength
 1. What type of sales
PARTNER
NETWORK
KEY
ACTIVITIES
OFFER CUSTOMER
RELATIONSHIPS
CUSTOMER
SEGMENTS approach do we need?

KEY DISTRIBUTION
2. Which channels should
we use?
RESOURCES CHANNELS

COST STRUCTURE REVENUE STREAMS

1. What type of sales approach do we need?
Strategic or cost importance of the supplier’s product

Leverage Size Partner

Shop
Manage risk

Low Difficulty of Substitution High

 Transactional Selling Consultative Selling Partnership Selling

Product and service -Well understood -Differentiated -High strategic and or cost
characteristics -Readily substitutable -Customisable importance
-Standard items -Hidden capabilities - Limited substitutability

Key buyer concerns and decision -Price -Importance of problem -Platform fit
criteria -Availability and risk -Solution fit -Value fit
-Ease of acquisition -Price performance trade off -Sustainability
-Sufficient value for effort

Time horizon -Event -Purchasing stream -Strategic plan

Nature of relationship -Cost based -Benefit based -Trust based

-Buyer seller -Client advisor -Business equals
-Confrontational -Cooperative -Insider

Prerequisites for success -Access to decision maker -Access to influencers -Access to strategy

Nature of sale - Doing the deal - Problem / Need solving -Agenda setting
- Simple Sales process - Long sales cycle - Boundaries blur – unclear who is
- Short sales cycle - Complex sales process selling and who is buying.
- One or few decision makers - Large DMU
Car Salesperson. Responsible for persuading customers to buy a
Suzuki car.

Fleet Service Salesperson. Responsible for persuading Suzuki’s

resellers to promote their fleet services.

Distribution Salesperson. Responsible for persuading potential

resellers to become a Suzuki reseller.
DEFINE IDENTIFYING DEFINING IDENTIFY SELECT
STRATEGIC EXECUTION PROBLEMS AND SOLUTION SUPPLIER & PURCHASE
AGENDA GAPS NEEDS PRODUCT

Enterprise Selling Consultative Selling Transactional Selling

Source: Neil Rackham, “Rethinking the Sales Force”

1. What type of sales approach do we need?

2. Which channels should we use?

 10 MIN

In groups of 5 people:

• Identify what are the different sales and

servicing needs of your customers.

• How important are each of these

services for your customers?
Expert advise and hand holding
Training
Customisation to specifications
Integrated total solution
On site setup and installation
Self Service
Low prices
Fast Local Support
24 * 7 Support
 PERSONAL SELLING

Customer Needs Field Sales Value Added Volume Resellers Retail/mass Call Centres Internet
Force Partners and Distributors Merchants

Expert advise and hand holding √√√ √√√ √ √√ √√ √

Training √√√ √√√ √√ √ √ √

Customisation to specifications √√√ √√√ √ √ √ √√

Integrated total solution √√ √√√ √√ √ √ √

On site setup and installation √√√ √√√ √√ √√ √ √

Self Service √ √ √ √√√ √√ √√√

Low prices √ √√ √√ √√ √√√ √√√

Fast Local Support √√ √√√ √√ √√ √ √

24 * 7 Support √ √√ √ √ √√√ √√√

 SALES MANAGEMENT

SALES PEOPLE ACTIVITIES PERFORMANCE REWARD LOYALTY

SALES FORCE DESIGN

5
How should we manage our sales 3 What are the activities
people? part of our sales
process?

1 What type of sales

targets do we need?

What are the roles and

What type of sales people do we 2
4 responsibilities of our sales
need?
people?
1. What is our strategy
map?

2. What type of objectives,

targets and measures
are we going to use for
our strategy?

Instructions
• In groups by company map
your own strategy map.
• Focus on the sales &
marketing activities
• Start by identifying the type
of financial objectives you
use.
30 MIN
Examples
• Financial Perspective
• Sales Volume per period
• Profits per period
• Orders per period
• Customer Perspective
• Customer Acquisition
• Customer Satisfaction
• Customer Relationship
• Process Perspective
• Sales Process
• Account Planning process
• Account Servicing Process
• Learning Perspective
• Competitor Knowledge
• Selling Skills
• Customer Knowledge
• Market Knowledge
 Sales & Marketing Objectives Measures Targets
Perspective
Financial

• Increase sales revenue • Sales Revenue • 1.000.000 EUROS

Revenue

• More new customers • #contracts • 1 contract a week

• Create a customer
Perspective

Increase
Customer

experience
nbr of new
customers
Customer
must see
the added
value of
sales

• Standardised consultative • #leads follow up • 8 leads a week

Better sales approach • #proposal • 5 proposals a week
Perspective

sales • Increase follow up on • #proposal follow up • 5 follow up calls a week

Internal

approach leads
• More and better • #of leads per sales person • 400 leads by sales person
Better marketing campaigns to
marketing generate leads
campaigns

• New online tools to • #Training days • Not defined

Perspective

• #Coaching days
Learning

Online capture leads

Lead Find more Sales • Participate at new events • #Events Participation
generation events Training • Increase training days
Tools
 20 MIN

Instructions
For your own strategy
map:
• Complete the objectives
• Define how you are
going to measure it.
• Set the targets.
 Learning Internal Customer Financial
Perspective Perspective Perspective Perspective

Sales & Marketing

Objectives
Measures
Targets
1. What type
specialisation do we
need in our sales force?

2. What type of roles and

responsibilities will we
assign to our sales
people?
 5
SIMILAR Customer Needs

Market Driven Product / Market Driven

Specialisation Specialisation
4
3
2

Geography Driven Product Driven

Specialisation Specialisation
1

1 2 3 4 5

Complex RANGE of Products

 Customer Needs
Simple 1 2 3 4 5 Complex
All our customers and prospects have very
All our customers and prospects have very
specific needs depending on the type of
similar needs.
organisation and sector their operate it.

Product Range
Simple 1 2 3 4 5 Complex
Our products are very different and each of
All our products are very similar allowing one
them require highly specific knowledge from
person to easily sell their all.
our sales force.
They seek out new channels
and support existing ones.
Main activities are channel
management, Prospecting,
Training and Recruiting and
entertaining. Additionally some
relationship selling
Retail sales assistant, customer
chooses freely the product.
Sales person only handles the
transaction. Telemarketing
taking orders from customers
how are calling in.
Salesperson predominantly
delivers the product. Selling
skills as secondary to good
servicing skills. Main activities
are stock shelving, writing up
orders, and checking inventory
. contracts.
Maintaining close long-term
relationships with
organisational customers. They
are often involved in team
selling. Main activities are
providing product support,
maintenance and installation
and entertaining.
Position where the salesperson
is predominantly an order taker
Helping the customer to make
their choice and complete the
transaction.
Their objective and main
activities are providing support
to the sales people who are in
the field.
They manage large scale and
value of sale. Long negotiation,
complex purchase decision,
usage of the product is different
from consumer sale. Main
activities are relationship
selling, and prospecting.
They provide support to the
retailers and wholesales to
ensure that their product is well
represented and displayed.
Main activities are promotion
activities and servicing.
The objective is to win new
business by identifying and
selling to prospects.
Main activities are Prospecting
and Relationship selling.
Sales person is not permitted or
expected to take orders. The
objective is to create goodwill or
educate the customer Main activities
are delivering samples, education ad
promotional activities and sales
service.
They are involved in complex and
highly technical sales as support of
the sales team. They play a dual
role of sales person and advisor.
Main activities are analysing the
customer’s problems and needs and
proposing a tailored solution.
Identifying potential business
opportunities by analysing market
trends and developing strategies.
Closing new business opportunities
by coordinating requirements;
developing and negotiating
1. What type of activities
should our sales people
do?

2. What does our sales

process look like?
LEADS

DEAL
 AWARENESS
Consists of activities that
enable the customer to
become aware of the
needs for your product or
services.
Applicable for:
- Short sales cycles (1 to 2 visits to close a sales)
- Consumer sales
- Product Based Sales
INTREST DESIRE ACTION
Consists of the activities Consists of the activities Consists of the activities
that will stimulate that are likely to that will get the customer
interest with the stimulate your customer to actually purchase your
customer for your to desire / want your product or service.
product or service. product or service.
 Prospecting Qualification Presenting Negotiating Closed Follow-up

Consists of Consists of Consists of showing Consists of agreeing Consists of all the Consists of all the
activities such as understanding the the customer how the terms of the final contractual activities the sales
generating, needs and problems the supplier’s purchase with the activities to close the force provides during
qualifying and of the customer and produces and customer. deal. the after sales of the
distributing new determining whether services will enable product.
leads. the sales person’s them to solve their
products and services problems and
can be of value to the needs.
customer.

Applicable for:

- Long and complex sales cycles

- Project Based Sales

- Business to Business sales

 EXPLORATION BASIC CO OPERATTION ALLIGNED INTEGRATED

Consists of activities that
enable the customer to
become aware of the
needs for your product or
services.
Consists of the activities Consists of the activities Consists of the activities Consists of the activities
that will stimulate that are likely to that will get the customer that will get the customer
interest with the stimulate your customer to actually purchase your to actually purchase your
customer for your to desire / want your product or service. product or service.
product or service. product or service.

Applicable for:

- Long and complex relationships

- Key Account based Sales

- Business to Business sales

 30 MIN

Instructions
In groups of 4 or 5:

1. Select the sales stages

tat are more appropriate
for your sales process.

2. For each of the stages

identify all the key
activities that the sales
people will need to
perform.
 SALES PROCESS: ….....

Stages

Activities

Tasks /
Working
procedures
1. What type of sales
people do we need?
RELATIONSHIP CONSULTANT
BUILDER
9
8
7
6
5
4
3
2
1 2 3 4 5 6 7 8 9

DISPLAY SALES CLOSER

PERSON
Personality: Personality: Personality: Personality:
High energy Team Leader Likable, fun Happy, outgoing
Manipulative Professional Hard working Service oriented
High Need to achieve Enjoys challenges Team Player Not an overachiever
Risk Takers Highly Educated Likes his autonomy Pleases the customer
Calculated Risks Avoids Risks Avoids Risks

Skills: Skills: Skills: Skills:

Prospecting Problem Solving Developing Service driven
Presenting Relationships

Motivation: Motivation: Motivation: Motivation:

Status Mastery Autonomy Recognition
Recognition Purpose Sense of Belonging
 Customer Needs

New Product Established System

Sales Person Profile New System Buyers Commodity Buyers
Buyers Buyers

85% 40% 25% 20%

50% 82% 46% 30%

15% 55% 89% 35%

10% 9% 18% 70%

Source: HR The Chally Group: « How to Match the Type of Salesperson to your customers? »
1. What type of sales
approach to adopt ?

2. How will we coach our

sales people?
 MARKET BASED
The market / customer sales revenues
MARKET BASED determine whether the sales people are doing
a good job or not.

BEHAVIOUR BASED
Adherence to our sales process and activity
targets determine whether the sales people
are going a good job or not.

CLAN BASED
Adherence to our company’s values and
norms determine whether the sales people
BEHAVIOUR BASED CLAN BASED are going a good job or not.

97
ADVANTAGES DISADVANATAGTES

- Keep sales people focus on results. - Focus on the end rather then the
means
- Easy to apply.
- Fails to stimulate growth of
- Promote initiative professionalism

- Consistent across different people in the - Short term focus

organisation

- Requires very little management - Requires sales people whit a risk

attention taking profile
Tupperware ladies Self Employed Sales Agents
“Jerry Maguire Movie”
ADVANTAGES DISADVANATAGTES

- Greater opportunity for behaviour - Requires management ability to

modification. observe and diagnose

- Encourage customer relationships. - Require time for observation

- Recognize the difference between - Requires impartiality

cause and effort.
- Likely to be implemented with some
- Encourages risk averse people to start inconsistency across the organisation
a career in sales.

- Applicable where sales people need

very specialised knowledge and skills.
Retail Salesperson
ADVANTAGES DISADVANATAGTES

- Requires very little management - Difficult to measure, very subjective

effort

- Encourages loyalty - Lack of outcome focus

- Recognises that selling is a team - Requires impartiality

based effort.
- Lacks real accountability
- Promotes autonomy and initiatives

- Applicable where sales people need

very specialised knowledge and skills

- Applicable in highly volatile markets

Sales Team
 Process Knowledge
Perfect Imperfect

High
Ability to measure accurately

Behaviour or Outcome
Outcome Based
and completely

Based

Behaviour Clan
Based Based
Low
 20 MIN

Instructions
You probably will combine all
three approaches in your
management style. The question
is:
1. How important is each going
to be. Draw a line connecting
the three legs indicating their
relative importance.

2. Describe how you are going

to implement the approach
in terms of management
activities, rewards and
targets.
 MARKET BASED

BEHAVIOUR BASED CLAN BASED

 20 MIN

In groups of 2 participants:

• GOALS: What are your goals for the this

period?

• REALITY: How far are you from realising

your individual goals? For which goals are
you lagging?
Why?

Why? • OBSTACLE: Why are you lagging? Ask 3

Why?
times the why question.

• WAY FORWARD: How can we remove the

obstacle?