Growing the Top Line Without Growing the Sales Force

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  • 1. Growing the Top Line without Growing the Sales Force Dave Roberts, The TAS Group York Baur, Zango Track: Sales Executive
  • 2. Safe Harbor Statement
    • “ Safe harbor” statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements the achievement of which involves risks, uncertainties and assumptions. If any such risks or uncertainties materialize or if any of the assumptions proves incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make.  All statements other than statements of historical fact could be deemed forward-looking, including any projections of subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services.
    • The risks and uncertainties referred to above include - but are not limited to - risks associated with the integration of Sendia Corporation’s technology, operations, infrastructure and personnel with ours; unexpected costs or delays incurred in integrating Sendia with salesforce.com, which could adversely affect our operating results and rate of growth; any unknown errors or limitations in the Sendia technology; any third party intellectual property claims arising from the Sendia technology; customer and partner acceptance and deployment of the AppExchange and AppExchange Mobile platforms; interruptions or delays in our service or our Web hosting; our new business model; breach of our security measures; possible fluctuations in our operating results and rate of growth; the emerging market in which we operate; our relatively limited operating history; our ability to hire, retain and motivate our employees and manage our growth; competition; our ability to continue to release and gain customer acceptance of new and improved versions of our CRM service; unanticipated changes in our effective tax rate; fluctuations in the number of shares outstanding; the price of such shares; foreign currency exchange rates and interest rates.
    • Further information on these and other factors that could affect our financial results is included in the reports on Forms 10-K, 10-Q and 8-K and in other filings we make with the Securities and Exchange Commission from time to time, including our Form 10-K for the fiscal year ended January 31, 2006. These documents are available on the SEC Filings section of the Investor Information section of our website at www.salesforce.com /investor .
    • Any unreleased services or features referenced in this or other press releases or public statements are not currently available and may not be delivered on time or at all.  Customers who purchase our services should make purchase decisions based upon features that are currently available.  Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements, except as required by law.
  • 3. Agenda Why? - It’s about Growth – again! What? - Intelligent Sales Effectiveness Platform How? - Zango – a Success Story What if? - Making it Happen Q&A So What? - Business Impact 1 2 4 5 6 3
  • 4. 2006 - Issues facing Sales Companies
    • Fill the Pipeline – Create New Business
    • Drive adoption of installed CRM
    • Achieve sustainable Competitive Advantage
    • Demonstrate ROI to the buyer– Prove Value
    • Win Profitable, Predictable (Visible) Business
    • Maximize the Effectiveness of the GTM strategy – coverage and cost
    • Leverage internal (silo’d) functions
    • Standardize on sales process(es) and language
  • 5. 2006 - Issues facing Sales Companies
    • Fill the Pipeline – Create New Business
    • Drive adoption of installed CRM
    • Achieve sustainable Competitive Advantage
    • Demonstrate ROI to the buyer– Prove Value
    • Win Profitable, Predictable (Visible) Business
    • Maximize the Effectiveness of the GTM strategy – coverage and cost
    • Leverage internal (silo’d) functions
    • Standardize on sales process(es) and language
    • … and Grow !!
  • 6. People are focused on Growth – again!
  • 7. Growth Strategy WHERE HOW WHAT
  • 8. Growth Strategy WHERE HOW WHAT
    • Exists / Defined
    • Communicated
    • Acted Upon
  • 9. Limited Strategic Growth Options
    • Develop and Sell New Products
    • Move into New Markets
    • Generate Pull via Marketing : achieve more “self-selection”
    • Form Strategic Partnerships
    • “ Change” the sales organization
    • Recruit LOTS of new people
    • Improve Sales Productivity
      • Coverage
      • Effectiveness
  • 10. Agenda Why? - It’s about Growth – again! What? - Intelligent Sales Effectiveness Platform How? - Zango – a Success Story What if? - Making it Happen Q&A So What? - Business Impact 1 2 4 5 6 3
  • 11. Achieving Growth
  • 12. Knowledge Components
    • Sales Methodology
      • Time
      • Say
    • Sales Process
      • Map to Buyer’s Process
      • Where am I?
      • How am I doing?
    • Sales Skills
      • Execute the Plan
    • Language
      • Coaching
      • Predictability
  • 13. Technology Platform Components
    • Encapsulates Best Practice
      • Value to the sales person/manager
      • Sales Coach/Recommendations
      • Just-in-time; just-enough; just-for-me
    • Real-time Analytics
      • Actionable Insight
    • Enterprise–wide
      • Easy to adopt / use / share
    • Systems Integration
  • 14. TAS Assessment View Integration with CRM Critical competitive position Configurable Assessment Criteria Configurable detail qualifiers – drives objective closure probability
  • 15. Qualifier Assessment View Opportunity automatically placed in the ‘right’ place in the pipeline Pipeline structure determined after sales process re-engineering – customized to your business Closure probability and close date calculated Easy to use, click and go! Configurable qualifiers for each pipeline stage, linked to assessment
  • 16. Political Relationship Strategy What’s the strategy for each buyer relationship? What’s the political map? Are the key players on your side?
  • 17. PRIME Activities What needs to be done, by when, by whom, with whom – to progress the opportunity?
  • 18. Forecast Foresight View summary data for each sales executive View detail data for each sales opportunity
  • 19. Pipeline Insight Identify gaps in future pipeline, for each stage, for each sales executive, sales process or division
  • 20. Experience Components Measuring Results
  • 21. Agenda Why? - It’s about Growth – again! What? - Intelligent Sales Effectiveness Platform How? - Zango – a Success Story What if? - Making it Happen Q&A So What? - Business Impact 1 2 4 5 6 3
  • 22. The Sales Equation $ = (Opportunities) (Length of Sales Cycle) % * (Deal Size) * (Win Rate) 100 100 100 100 100 100 100 100 100 100
  • 23. The Environment TIME Sales Cycle Potential Customers Opportunities WIN CREATE $ Revenue Deals
  • 24. The Power of 0.1 $ = 1.1 * 0.9 % 1.1 * 1.1 100 100 100 100 100 100 100 100 100 100
  • 25. The Power of 0.1 $ = 1.1 * 0.9 % 1.1 * 1.1 = 48% increase 100 100 100 100 100 100 100 100 100 100
  • 26. The Sales Equation – Impact of Create $ = (Opportunities) (Length of Sales Cycle) % * (Deal Size) * (Win Rate) Create 100 100 100 100 100 100 100 100 100 100
  • 27. The Sales Equation – Impact of Win $ = (Opportunities) (Length of Sales Cycle) % * (Deal Size) * (Win Rate) Win 100 100 100 100 100 100 100 100 100 100
  • 28. The Intelligent Sales Effectiveness Platform
  • 29. Agenda Why? - It’s about Growth – again! What? - Intelligent Sales Effectiveness Platform How? - Zango – a Success Story What if? - Making it Happen Q&A So What? - Business Impact 1 2 4 5 6 3
  • 30. York Baur EVP, Business Development Zango [email_address]
  • 31. Zango – Company Overview
    • Founded in 1999
    • $70M annual revenue
    • 200 employees in 5 offices (Seattle, New York, Montreal, London, Tel Aviv)
    • 16 straight quarters of profitability
    • Pioneers and market leaders in the desktop advertising market
    • Two major acquisitions in the last 18 months
  • 32. Zango – Situational Analysis
    • 45 total sales heads
      • 15 Business Development
      • 30 Advertising Sales
    • Sales challenges
      • Merger integration – sales heads in 4 locations
      • Lack of defined market segments
      • Sales process transmitted by lore and osmosis
    • Existing MS CRM implementation
      • Low adoption due to poor UI and no sales process integration or reinforcement
      • High internal soft-dollar cost due to dev and ops maintenance and enhancement resources
  • 33. Zango Solution/Implementation
    • Define and implement sales process
      • Institutionalize knowledge from the best players
      • Segment market clearly
      • Give sales people authority over and accountability for their own segment of our business
    • Switch to salesforce.com
      • Internal dev and ops resources freed up
      • Vastly improved usability and adoption
      • Remote access
    • Implementation of Dealmaker
      • Sales process in software = daily reinforcement
      • Granularity minimizes sales IC arm-waving
      • Forecasting accuracy dramatically improved
    • Results
      • Monthly revenue doubled in 6 months, install rate tripled in 6 months
      • Sales headcount reduced by 20%
  • 34. Zango – what to do differently
    • Don’t fall prey to “fix and forget”
      • Sales process is never static
      • Implementation needs to be updated to remain relevant
    • Do it sooner
      • Internal decision-making process was cumbersome
    • Let the data speak louder than the emotion
      • While gut-level assessment is necessary, consistently poor numeric performance is undeniable
    • Remember that automation is no substitute for good sales management
  • 35. The Sales Equation $ = (Opportunities) (Length of Sales Cycle) % * (Deal Size) * (Win Rate) 100 100 100 100 100 100 100 100 100 100
  • 36. The Intelligent Sales Effectiveness Platform
  • 37. Agenda Why? - It’s about Growth – again! What? - Intelligent Sales Effectiveness Platform How? - Zango – a Success Story What if? - Making it Happen Q&A So What? - Business Impact 1 2 4 5 6 3
  • 38. Making it Happen Self External Easy Difficult Stick and Carrot ? Train Coach 30-35% 10-15% 30-35% Motivation Ability
  • 39. Dave Roberts Director, Customer Solutions York Baur EVP, Business Development QUESTION & ANSWER SESSION The TAS Group Zango
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