Avoid A Lethal Disconnect Between Sales And Marketing Springs 2010


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Have you ever looked back and seen
the tension between marketing and
sales teams in your company?
Does it sometimes feel like they
are speaking different languages?
Do you sometimes wonder if they
ever talk with each other? Do you
listen to each of them complain
about the other?

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Avoid A Lethal Disconnect Between Sales And Marketing Springs 2010

  1. 1. The International Magazine of Spring Manufacture g p g Wi Winter 2010,Volume 49 Number 1 Number mber e A Publication of the S i M f bli i f h Spring Manufacturers I i Institute Sales and Marketing AVOIDING A LETHAL DISCONNECT— GETTING SALES AND MARKETING OUT OF THEIR SILOS 20 MANUFACTURERS’ REPRESENTATIVES — THE ORIGINAL OUTSOURCING SOLUTION 24 TURNING ANGRY CLIENTS INTO HAPPY ONES 29
  2. 2. Table of Contents FEATURES 20 Avoiding a Lethal Disconnect— Getting Sales and Marketing Out of Their Silos By Tom Marx 24 Manufacturers' Representatives: The Original Outsourcing Solution By Gary McCoy 29 Turning Angry Clients into Happy Ones 33 When is a Sale Complete? By Frank Fazio 20 38 So,You Want to Buy a Used Conveyor Oven! By Daniel Pierre III 41 Repair or Replace, Depreciate or Write Off? By Mark E. Battersby COLUMNS 15 Spotlight on the Shop Floor More Trickery — Lowering Spring Rate By Randy DeFord 17 Be Aware Safety Tips The OSHA Hexavalent Chromium Standard is Being Enforced 24 By Jim Wood 52 IST Spring Technology Cautionary Tale: Marketing of Extension Springs By Mark Hayes 55 Technically Speaking Showcasing ASD 7.0: Springs in Series By Luke Zubek, PE DEPARTMENTS 2 President’s Message Take Care of the Little Things 33 7 Global Highlights 12 Regional Spring Association Report 34 Flashback Manufacturers’ Representative Versus Direct Salesman: A Panel Discussion 44 Springmaker Spotlight Winamac Coil Spring: A Family Business Built Through Hard Work 49 Inside SMI 2010 SMI Annual Meeting to Convene in St. Thomas; Springs Managing Editor Receives Education Award 58 New Products 63 Advertisers’ Index 44 64 Snapshot William Lathrop, Colonial HanDee Spring 4 SPRINGS Winter 2010
  3. 3. ©Istock.com/kutay tanir Avoiding a Lethal Disconnect – Getting Sales and Marketing Out of Their Silos By Tom Marx Have you ever looked back and seen t The Marx Group we’ve witnessed this disconnect the tension between marketing and A between sales and marketing teams countless times. Each one points his or her finger at the other. sales teams in your company? We often see this when sales and marketing teams work in the same building, right next to each other. Does it sometimes feel like they But we’ve also observed this with larger multi-national are speaking different languages? companies that have corporate and regional marketing and sales teams. Do you sometimes wonder if they We believe that the relationship between marketing ever talk with each other? Do you and sales is critical for the success of a company’s sales strategy. In the course of our marketing planning for listen to each of them complain clients, we continue to experience a potentially lethal about the other? disconnect between these two teams. When sales and marketing teams are aligned in their purpose, mission, messages and methods, and both teams have open channels of communication, the power—and resulting leverage that becomes available— is formidable. The company connects directly to the heart of its target audience. Internal communications are in line with company goals and the drive to be territorial is completely eclipsed by a substantial increase in revenues and new business. Most companies spend their budget on a variety of marketing initiatives, such as creating or increasing awareness, lead generation and promotions. Within 20 SPRINGS Winter 2010
  4. 4. these categories are multiple tactics like advertising, do their job. At the end of the day, the two teams have promotions, direct marketing, web sites, e-commerce, no one to blame but themselves. point-of-sale (POS), and sales support materials. The Let’s be clear — we know sales and marketing lethal disconnect is when sales and marketing lack people have an ongoing dialog concerning goals, agreement on focus with regard to deliverables or initiatives and success. What we are talking about is a benchmarks for these programs. rigorous discussion, with clear-cut strategic planning and a mutual focus on results. The Problem Here are a couple of proven solutions to help The problem occurs when various divisions of prevent this disconnect: a company, such as R&D, manufacturing, Ànance, Establish an institutionalized communication marketing, sales and customer service develop and process between marketing and sales. execute these initiatives without working together on Initiate a comprehensive and flexible working mutually agreed benchmarks and timelines. relationship between the two departments, called “The When a particular product launch or campaign is Cartridge Marketing Model.” successful, a signiÀcant level of inquiries and leads can be generated. The leads are passed on to the sales team, but marketing has no idea what sales intends to do Solution #1: READY with them nor have they provided guidance (consistent with the marketing strategy) on how to do follow-up. Communication Process The result? Sales is left holding the bag and everyone Designing and institutionalizing an ongoing points Àngers at marketing. communication process between sales and marketing The problem is then compounded because sales will bring rigor to the conversation and clarify mutual is focused on getting the business in for the running quarter. If the information coming from marketing isn’t complete, there is little value to the leads. If they do accept the leads, sales will often procrastinate on Our precision shaped wire – follow-up because they are “too busy.” The leads end up where your great products begin. getting older and colder, and so does the relationship between marketing and sales. Radcliff custom rolled wire Unfortunately, the ultimate loser in this “weakest is at the heart of the link” process is the potential customer. They have superior springs and taken the time and made the effort to respond to the other products our marketing activity. In some cases they’ve invested customers make. valuable time to attend a seminar or exhibition and With the best then they are left behind. Chances are this potential service, on-time customer will not make the same effort again — no delivery and matter how compelling the value proposition! competitive pricing, we’re the The Result industry leader. When the right hand does not know what the left ISO 9001:2000 hand is doing, the result is often a dis-investment certified and RoHS by management of both sales and marketing. The compliant. Credit marketing budget is not realizing an acceptable cards accepted. return on investment (ROI). Next thing you know, the Call: 860-583-1305. marketing budget is slashed (Isn’t that what most companies do when times are tough?). In the worst-case scenario, an impassioned decision is made to just stop marketing! This decision does double harm to the company. It destroys credibility and makes it that much harder for sales and marketing to www.radcliffwire.com SPRINGS Winter 2010 21
  5. 5. expectations. Think of this as “READY-AIM-FIRE” — politics, departmental differences and private agendas, rather than what often happens, such as ready-Àre-aim. to one of cohesion and consistency. First, get sales and marketing out of their silos and on to the same playing Àeld. Second, we urge The Process you to include your outside marketing/advertising/ Essential is a (minimum) one-day, closed-door, PR partner as part of your team. Involve them with head-to-head meeting with sales and marketing (and your core values, your company vision and your sales ideally, your marketing/advertising/PR partner). and marketing goals. This should happen from start Minimum is a yearly major strategy session and to Ànish. The power in this collaboration is especially quarterly review and readjust meetings. To eliminate potent when your marketing/advertising partners interruptions, the meeting should be off-site. To ensure are seen as an integral element of your marketing no biases, an outsourced, skilled facilitator should department. manage the conversation (this could be someone What’s the advantage? You’ll have an objective from your marketing/advertising/PR team or another voice in the conversation and someone to help you consultant). focus on your mutual goals. They will listen intently Keep on track and focus on providing solutions from a deeply experienced marketing perspective, and that support the goals of both marketing and sales. An will be solely dedicated to growing your business. effective guideline for managing conversations is “every When you win, they win. Their grounded, objective complaint must include a request.” and professional viewpoint will keep the conversation As a result of this brainstorming session, a strategy focused: Growing your brand, making more sales and can be developed ofÁine by a designated management generating more proÀt. The internal dialog shifts from group and presented back to the teams. We call this a Marketing RoadMap™. Once the teams agree on the strategy, a tactical plan and budget guidelines will follow. With sequential buy-in from all parties throughout the process, the tactics can be successfully launched, with speciÀc benchmarks and a clear picture of ROI. Would you Rather Spend Time Brainstorming or “Blamestorming”? Here’s the clincher. Consistency is the key to effectiveness and longevity for your marketing communications. Everyone has to speak the same language: To each other, to your customers and to your prospects. That means the same team that meets to take part in the process outlined above, needs to be the team that continues to manage your successful ROI. Solution #2: AIM Define the Marketing Model Marketing is based on the age-old principle that there is a market and from that market you want to get customers. Sounds simple, and it is. Now that marketing and sales are on the same page, marketing can do its research and come up with a plan that calls out the various marketing tactics it will use to fulÀll Precision Quincy / 1625 West Lake Shore Dr. / Woodstock, IL Made in USA / 800.338.0079 / www.precisionquincy.com the goals and objectives. 22 SPRINGS Winter 2010
  6. 6. Inconel X750 Inconel 600 Inconel 601 Inconel 625 Inconel 718 Incoloy 800 Incoloy 800HT Incoloy 825 Incoloy A286 Monel 400 Monel K500 Nimonic 90 Nimonic 80A Nimonic 75 Nickel 200 Nickel 201 Nickel 205 Nickel 212 Nickel 270 Nispan / C902 Nilo 36 Nilo 48 Nilo 52 sizes range: 0.827”- 0.001” 205 Hallene Road, Unit 317C, Nilo ‘K’ Hastelloy B-2 Warwick, Rhode Island, RI 02886 USA Hastelloy B-3 quantities: from 10ft Call Toll Free: 1-866-48-ALLOY Hastelloy C-4 Hastelloy C-22 profile: any shape 1-866-482-5569 Hastelloy C-276 Hastelloy C-2000 fax: 401-384-6757 Hastelloy G-30 resistance wire: all materials email: sales@alloywire.com Hastelloy ‘X’ Haynes 25 Haynes 214 Phynox MP35N RENE 41 Alloy 20 Cb3 Beryllium Copper Waspaloy Included may be research or market intelligence, Bottom Line? trade or consumer shows, e-commerce, lead generation, You’ll have faster decision making based on advertising, web development or trafÀc building, public coherent marketing, sales and communications relations, co-op marketing with distributors or retailers, strategies — which means improved sales. Isn’t that promotions and customer relations. the goal in the Àrst place? X Once the marketing tactics are delineated, marketing meets with sales and presents the plan, in Tom Marx is the president and CEO of The Marx Group, a full service advertising agency that specializes in business development, order to ensure that the sales objectives can be met. marketing strategy and communications support services primarily Once approved, the next step is implementation. to the automotive and heavy duty aftermarket. Marx brings a depth of marketing and business knowledge from 25-plus years of experience in lead generation, direct mail, public relations and almost every Solution #3: FIRE AND EVALUATE discipline of marketing and advertising. He support his clients with highly strategic marketing planning and the implementation of marketing programs that create breakthrough results. This includes It’s now time to get going with messaging, innovative processes such as Contract With Sales™ and The Cartridge creative development and placing media, doing news Marketing Model™, which are highlighted in his book “Marketing conferences and news releases, designing collateral, Sucks! (And Sales, Too!).” To contact Marx, phone (415) 453-0800 publishing catalogs, creating new packaging, and more. ext.106, or e-mail tmarx@themarxgrp.com. By launching these marketing tactics now, marketing will get valuable and grounded feedback from sales on how the marketing programs are working. Both marketing and sales can evaluate and redesign on the Áy. This will be far more satisfying and successful since marketing and sales have developed trust, respect, accountability and commitment — all with the “we’re in this together” attitude. SPRINGS Winter 2010 23