B2B decision-maker preferences and behaviors have shifted dramatically since the onset of COVID. The GTM revolution is here and B2B sales is forever changed.

1. McKinsey & Company 1
24 27
38 41
46
50
43 43
30
23 19 16
ReorderingOrderingIdentifying and
researching
new suppliers
Considering
and evaluating
new suppliers
Most B2B supplier interactions are remote or
digital self-service
Current way of interacting with suppliers’ sales reps during different
stages1,2
% of respondents
1. Q: How do you currently interact with sales reps from your company’s suppliers during the following stages of interactions?
2. Figures may not sum to 100% because of rounding.
In-person
interactions
Remote human
interactions
Digital self-
service
interactions
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
of B2B decision makers have
in-person interactions with
company suppliers
~20–30%

2. McKinsey & Company 2
23 25
40 41
45
49
42 40
32 26
18 19
OrderingIdentifying and
researching
new suppliers
Considering
and evaluating
new suppliers
Reordering
This current remote and self-service sales model
is exactly what is preferred by B2B buyers
Preferred way of interacting with sales reps of company’s suppliers
during different stages1,2
% of respondents
1. Q: How would you prefer to interact with sales reps from your company’s suppliers during the following stages of interactions?
2. Figures may not sum to 100% because of rounding.
In-person
interactions
Remote human
interactions
Digital self-
service
interactions
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
of B2B decision makers prefer
remote human interactions or
digital self-service instead of
in-person interactions, citing
safety, ease of scheduling, and
a faster buying experience as
their top three reasons why
~70–80%

3. McKinsey & Company 3
Three in four B2B decision makers believe the new (mostly remote)
sales model is as effective or more so now than prior to COVID-19
Effectiveness of new sales model in reaching and serving customers1,2
% of respondents
13
18
29
34
7
11
23
31
28
7
60%
as effective
or more so
compared
to prior to
COVID-19 18
27
29
20
6
65%
as effective
or more so
compared
to prior to
COVID-19
74%
as effective
or more so
compared
to prior to
COVID-19
April 9 April 28 July 31
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/9/2020 (n = 622); McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/28/2020 (n = 607),
McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 (n = 602)
Much less effective
Somewhat less effective
As effective as before
Somewhat more effective
Much more effective
1. Q: How effective is your company’s new sales model at reaching and serving customers?
2. Figures may not sum to 100% because of rounding.

4. McKinsey & Company 4
Both SMB and enterprise B2B decision makers view the new
sales model as being just as effective or more so
1. Q: How effective is your company’s new sales model at reaching and serving customers?
2. SMBs are companies with annual revenue less than US $100 million.
3. Enterprises are companies with annual revenue equal to or more than US $100 million.
4. Figures may not sum to 100% because of rounding.
19
10
24
36
10
April 9
53%
65%
73%
Effectiveness of new sales model in reaching and serving customers1,4
% of respondents
SMB2 Enterprise3
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #1 3/30–4/9/2020 (n = 622); McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/28/2020 (n = 607),
McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 (n = 602)
11
23
31
27
8
April 28
19
26
28
21
6
July 31
12
19
29
34
6
April 9
60% 65%
as
effective or
more so
compared
to prior to
COVID-19
75%
11
23
31
28
7
April 28
18
28
29
20
5
July 31
Somewhat more effectiveMuch less effective As effective as beforeSomewhat less effective Much more effective

5. McKinsey & Company 5
B2B decision makers believe the new model is just as effective for
prospecting as it is for existing customers
Effectiveness of new sales model at reaching and serving customers and in acquiring new
customers1,2,3
% of respondents
19
27
27
22
4
July 31
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
Somewhat less effective
As effective as before
Somewhat more effective
Much more effective
Much less effective
73%
as effective or
more so
compared to prior
to COVID-19
1. Q: How effective is your company’s new sales model at reaching and serving customers?
2. Q: How effective is the new sales model in acquiring new customers (eg, those that have never purchased from your organization before)?
3. Figures may not sum to 100% because of rounding.
Current customers New customers
July 31
18
27
29
20
6
74%
as effective or
more so
compared to prior
to COVID-19

6. McKinsey & Company 6
The effectiveness of the new model has some variations across
industries and customer interaction types
1. Effectiveness: % of companies that report new sales model is as effective or more effective.
2. Q: How effective is your company’s new sales model at reaching and serving customers overall (eg, those that have never purchased from your organization before)?
3. Q: How effective is the new sales model in acquiring new customers (eg, those that have never purchased from your organization before)?
4. SMBs are companies with annual revenue less than US $100 million.
5. Enterprises are companies with annual revenue equal to or more than US $100 million.
Effectivenesss1 of new sales model in reaching and serving customers, and acquiring new customers2,3
% of respondents
Effectiveness: % of companies who think new sales model is as
effective or more effective
<60% 61% to 70% 71% to 80% 81% to 90% >90%
Consumer/retail
Global finance, banking, and insurance
Travel, transportation, and logistics
Pharma and medical products
Global energy and materials
Technology, media, and telecom
Advanced industries
Overall effectiveness
Reaching and serving
customers
Reaching and serving
customers
Acquiring new
customers
Acquiring new
customers
SMB4 Enterprise5
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)

7. McKinsey & Company 7
29
41
14
14
1
$500,000 to < $1 million
under $50,000
I would not make a purchase via
end-to-end digital self service
$50,000 to < $500,000
$1 million or more
Remote and self-service is not just for low-value
purchases; a majority spend $50K or more
Maximum order value that you would purchase through end-to-end digital self-
service and remote human interactions for a new product or service category1,2
% of respondents
1. Q: What is the maximum order value that you would purchase through end-to-end digital self-serve and remote human interactions for a new product or service category?
2. “I don’t know” option was offered but not included in analysis.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
would spend more than
$50,000 on a completely
self-service or remote
interaction
99%
of B2B buyers might
make a purchase in a
fully end-to-end, digital
self-service model
~70%

8. McKinsey & Company 8
Before COVID-19 During COVID-19
The majority of B2B companies have shifted their go-to-market
model from traditional to digital, with heavy reliance on video
1. Q: In what ways was your company’s product or service sold before COVID-19?
2. Q: Now today, in what ways is your company’s product or service sold during COVID-19?
Go-to-market sales model during COVID-191,2
% of respondents
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
64
54
13
38
50
46
55
33
51
11
55
54
52
53
Traditional
Digital interaction
with sales rep
Digital self-
serve
In-person
Via videoconference (eg, sales reps interacting
with customers via Zoom, Teams, Skype, etc.)
Phone
Email
Online chat (eg, chatting with customers via web
chat, email, etc.)
E-commerce (eg, products/services sold directly
online with no sales rep involved)
Fax
X% % change
% change
-49%
-4%
-15%
44%
8%
14%
-5%

9. McKinsey & Company 9
1. Q: Approximately what percentage of your company’s revenue before COVID-19 was driven by…/during COVID-19 is now driven by…
2. Figures may not sum to 100% because responses under “Other” option not included in analysis and rounding.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
Before COVID-19 During COVID-19
E-commerce, videoconferencing, and online chat now drive the
bulk of revenue
-54%
8%
-5%
85%
14%
30%
9%
X% % change
Source of revenue before and during COVID-191,2
% of revenue % change
29
13
2
10
13
12
19
14
14
2
18
15
15
20
Traditional
Digital interaction
with sales rep
Digital self-
serve
In-person
Via videoconference (eg, sales reps interacting
with customers via Zoom, Teams, Skype, etc.)
Phone
Email
Online chat (eg, chatting with customers via web
chat, email, etc.)
E-commerce (eg, products/services sold directly
online with no sales rep involved)
Fax

10. McKinsey & Company 10
Revenue from e-commerce and videoconference has increased
across both SMBs and enterprise companies
Source of revenue before and during COVID-191
% of revenue
1. Q: Approximately what percentage of your company’s revenue before COVID-19 was driven by…/during COVID-19 is now driven by…
2. SMBs are companies with annual revenue less than US $100 million.
3. Enterprises are companies with annual revenue equal to or more than US $100 million.
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
17
11
19 19
VideoconferenceE-commerce
Pre-COVID-19
During COVID-19
20
9
21
18
E-commerce Videoconference
7% and 76% 10% and 91%
increase in revenue
from e-commerce and
videoconference,
respectively, for SMBs
during COVID-19
compared to
pre-COVID-19
increase in revenue from
e-commerce and
videoconference,
respectively, for
enterprises during
COVID-19 compared
to pre-COVID-19
SMB2 Enterprise3

11. McKinsey & Company 11
Video is almost always ‘more helpful’ than audio
alone
82
79
80
80
13
16
13
13
5
5
7
7
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
1. Q: How much more or less helpful is it to use video (eg, Zoom, WebEx, Teams) vs. phone only in the following situations?
2. Q: What percentage of your customer meetings now take place via videoconference (eg, Zoom, Teams, Skype, etc.) where participants can see each other via video?
3. Q: If you are unable to physically meet in-person, for which of these commercial activities do you prefer video in addition to audio?
Helpfulness of video (eg, Zoom, WebEx, Teams) vs
phone-only in different situations1
% of respondents
Meeting with others
in your company
Meeting with
existing customers
Meeting with
prospects
Meeting with
vendors/suppliers
More helpful to use video Neutral Less helpful to use video
of B2B customer
meetings now take place
via videoconference (eg,
Zoom, Teams, Skype,
etc.) where participants
can see each other via
video2
56%
B2B buyers also
believe video is
preferred for:3
Demonstration of
products/services
Pricing negotiations
Customer support/trouble
shooting
Day-to-day account
management

12. McKinsey & Company 12
Screensharing and seeing one other are the most helpful features of
videoconferencing
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
1. Q: What features/functionality of video conferencing are most helpful for you?
80
68
50
34
32
Most helpful features/functionality of videoconferencing1
% of respondents ranking in top 3
Screensharing
Breakout rooms
Whiteboards
Annotation
Seeing one other

13. McKinsey & Company 13
17
15
32
19
16
One in three B2B companies have already reduced both their
in-person sales FTEs and number of physical locations
15
15
42
14
1335%
companies reduced their
numbers of people (FTEs)
on their in-person sales
teams by more than 4%
due to COVID-19
27%
companies reduced their
number of physical locations
using in-person sales by more
than 4% due to COVID-19
Number of in-person salespeople (FTEs)
Number of physical locations3 using in-person
sales
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
1. Q: How has your organization changed your in-person sales team structure?
2. Figures may not sum to 100% because of rounding; “not applicable” option was given but not included for analysis.
3. Dealerships, stores, branches, etc.
Reduced +11%
Reduced 4–10%
About the same
(within ±3%)
Increased 4–10%
Increased +11%
Changes in in-person sales team structure (changes already made)1,2
% of respondents

14. McKinsey & Company 14
-25
25
0-30 -10-20 -15 -5
0
5 10 15 20 25 30
5
-15
-25
-20
-10
-5
10
15
20
Pharma and
medical products
Consumer/retail
Technology, media, and telecom
Advanced industries
Global energy & materials
Travel, transportation,
and logistics
Global finance, banking, and insurance
The travel, transport, and logistics industry is seeing the sharpest
reduction in FTEs for in-person sales and physical locations
Number of
physical
locations
using
in-person
sales
Number of people (FTEs) in in-person sales
Net addition1 of people (FTEs) in in-person sales and number of physical locations (changes already made)2
% of respondents
1. Net addition: % of respondents reporting reduction subtracted from % of respondents reporting increase.
2. Q: How has your organization changed your in-person sales team structure?
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)

15. McKinsey & Company 15McKinsey & Company 15
Contents
The next normal of sales is here to stay—what it will take to succeed

16. McKinsey & Company 16
The next normal is here to stay—companies
expect the new sales model to persist
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #2 4/20–4/28/2020 (n = 607), McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 (n = 602)
1. Q: Which of the following statements best describe the changes your company has made to its commercial and go-to-market model during COVID-19? Figures
may not sum to 100% because of rounding.
Staying power of new sales models1
% of respondents
91%
are “very likely” and “somewhat
likely” to sustain these shifts
12+ months after COVID-19,
up from 80% in
April 2020
33
47
17
3
50
41
7
2
April 28 July 31
Very likely to sustain 12+ months after
Somewhat likely to sustain 12 months after
Unlikely to sustain 12 months after
Made no GTM changes

17. McKinsey & Company 17
14
34
28
17
6
In-person meetings might not return at scale until 2021;
even then, more than half are expected to remain virtual
15
47
31
8
48%
of B2B companies
expect to have
in-person meetings
again in 2021
62%
of B2B companies
expect to have less
than 50% in-person
interactions even
when their sales
force is capable of
having in-person
meetings again
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
Quarter when sales force is expected to have in-person
meetings again1
% of respondents
In-person vs remote interactions (when your sales
force is capable of having in-person meetings)2
% of respondents
1. Q: When do you expect your sales force to have in-person meetings again? Figures may not sum to 100% because of rounding.
2. Q: When your sales force is capable of having in-person meetings, what percent of interactions do you think will be in-person vs remote? Figures may not sum to 100% because of rounding.
76–100% in-person
51–75% in-person
26–50% in-person
1–25% in-person
Aug–Sep 2020
Oct–Dec 2020
Jan–Mar 2021
Apr 2021 or later
Already having
in-person meetings

18. McKinsey & Company 18
Most companies believe that their sales teams need both
skill building and technology for effective remote selling
1. Q: How much do you agree or disagree with the following statements?
2. Q: Thinking about your company’s future in the context of COVID-19, how much do you agree or disagree with the following statements?
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
77% 82% 78%
Tech beyond
videoconference
Basic video technologyAdditional skills
for in-person to
remote transition
“Strongly agree,” “agree,” and “somewhat agree”
58%
74%
New profiles
of sales reps
Redesigned
sales trainings
of B2B companies
believe that they
have both
capabilities and
technology to sell
today, however…
91%
87%
Have both capabilities
and technology to
effectively sell today
Need both skill building
and technology
90% companies
believe that they
need to further
develop both
capabilities and
technology
~90%
US B2Bs believe that their sales teams need to adjust
to the following terms1
% of respondents
Skills and technologies needed2
% of respondents

19. McKinsey & Company 19
Three in five B2B companies are looking to potentially reduce their
numbers of sales reps as they refine their overall sales model
35
60
Expect to reduce
going forward
Have already reduced
2X
1. Thinking about your company’s future in the context of COVID-19, how much do you agree or disagree with the following statements?
2. How has your organization changed your in-person sales team structure?
3. For example, ability to shift sales rep territories or quotas mid-year to target higher-value opportunities.
60%
67%
84%
86%
Will be redefining sales roles to
focus on different sales methods
Will be decreasing the number
of sales reps
Need to switch to a different,
more dynamic resourcing model
Will introduce a more agile sales
planning process3
US B2B companies believe that they need to
adjust to the following terms as a new normal1
% of respondents
…and as an implication, future reductions
in the number of sales reps are expected1,2
% of respondents
“Strongly agree,” “agree,” and “somewhat agree”
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)

20. McKinsey & Company 20
Companies expect to make other adjustments in addition to shifting
their sales model
1. How much do you agree or disagree with the following statements?
Source: McKinsey COVID-19 B2B Decision-Maker Pulse #3 7/27–7/31/2020 US (n = 602)
US B2B companies believe that they need to adjust to the following terms as new normal1
% of respondents
% of respondents who agree (includes “strongly
agree,” “agree,” and “somewhat agree”) <60% 60% to 70% 70% to 80% 80% to 90% >90%
Overall US
(all
industries)
Advanced
industries
Technology,
media, and
telecom
Global
energy and
materials
Pharma and
medical
products
Travel,
transport,
and logistics
Consumer/
retail
Will shift geographic
focus to areas of
lower risk for
COVID-19
Will introduce new
products or services
as a result of
COVID-19
Will increase focus
on long-term
sustainability of
products and services
Global
finance,
banking, and
insurance