Ending The War Between Sales Marketing (revised)

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Ending The War Between Sales Marketing (revised)

  1. 1. a guide to HBR Ending the war between Sales & Marketing By Philip Kotler, Neil Rackham, and Krishnaswamy - The HBR July-August 2006 • Recommended Audience 기자/기업실무자 CEO/임원 박사과정 입문자 교수 © 2006 by Chung, Chang kwon
  2. 2. 권고드립니다. 본 자료는 HBR의 내용을 재 구성한 것이기 때문에 의미전달상 왜곡이 있 을 수 있습니다. 온전한 이해를 위해 원문을 읽어보시길 권고 드립니다. - 정창권 Dream 정창권 - 서울대 사범대, 헬싱키 MBA(디자인경영) -아시아나항공 -휴넷(2000년부터 지금까지) (이사, 평생학습사업본부, 성공스쿨 마스터 코치) ckchung@Hunet.co.kr 2 ©2006 by C. K. Chung
  3. 3. In many companies, sales forces and marketers feud like Capulets and Montagues – with disastrous results. Here’s how to get them to lay down their swords. ©2006 by C. K. Chung
  4. 4. Blames To Marketing To Sales 4 ©2006 by C. K. Chung
  5. 5. Blames To Marketing - Be out of touch with customers. - Use too much budget. - only not to be proven effective - otherwise useful to hire more salespeople To Sales 5 ©2006 by C. K. Chung
  6. 6. Blames To Marketing - Be out of touch with customers. - Use too much budget. - only not to be proven effective - otherwise useful to hire more salespeople To Sales - No strategy - Myoptic - too focused on individual customer experience - blind to the future 6 ©2006 by C. K. Chung
  7. 7. Different roles for Marketing according to growing stages of company or product 7 ©2006 by C. K. Chung
  8. 8. Different roles for Marketing according to growing stages of company or product 1st stage , =Sales 2nd stage, an adjunct to the sales force 3rd stage , an independent player 8 ©2006 by C. K. Chung
  9. 9. 2nd stage, an adjunct to the sales force 1. Helping relieve the sales force of some chores 2. Conducting research to calibrate the size of the market 3. Choosing the best markets and channels 4. Working with outside agencies on advertising and promotion 5. Developing collateral materials to help the sales force attract customers and close sales 6. Using direct mail, telemarketing, and trade shows 9 ©2006 by C. K. Chung
  10. 10. 3rd stage , an independent player ( more than 4 P’ ) – continued.. 1. A marketing function inside Sales, a sales function inside Marketing 2. Each function takes on tasks it believes the other should be doing but isn’t. 3. The salespeople wish that the marketers worry about future opportunities (long-term strategy ) and leave the current opportunities ( individual and group sales ) to them. 10 ©2006 by C. K. Chung
  11. 11. 3rd stage , an independent player ( more than 4 P’ ) 4. More higher-level tasks like segmentation, more close with Strategic Planning, Product Development, Finance, and Manufacturing. 5. Brand managers become powerful. 6. A ‘marketing-led’’ company issue 7. Others question the marketers’ competencies, experience and understanding to lead the organization. 8. During economic downturn, more vulnerable to be cut than Sales 11 ©2006 by C. K. Chung
  12. 12. Why? • Economic friction comes from – Budget game – Different point of view of pricing, promotion, and product – Tangible vs. intangible – Long-term impact vs. short-term impact 12 ©2006 by C. K. Chung
  13. 13. Why? • Cultural friction relies on that 13 ©2006 by C. K. Chung
  14. 14. Why? • Cultural friction relies on that – Marketers are • Competitive advantage for the future. • More analytical, data oriented, and project focused. • Seemingly, not-in-action like, namely, behind a desk. 14 ©2006 by C. K. Chung
  15. 15. Why? • Cultural friction relies on that – Marketers are • Competitive advantage for the future. • More analytical, data oriented, and project focused. • Seemingly, not-in-action like, namely, behind a desk. – Salespeople are • Focusing on existing and potential customers. • Skilled relationship builders. • Used to rejection and it doesn’t depress them. • Living for closing a sale. 15 ©2006 by C. K. Chung
  16. 16. Why? • Very different performance evaluation 16 ©2006 by C. K. Chung
  17. 17. Why? • Very different performance evaluation – Salespeople • Satisfy quota goals, that’s it! – Marketers • Spend budget in program, not people, which takes much long time to know whether a program has helped to create long-term competitive advantage. 17 ©2006 by C. K. Chung
  18. 18. 4 Types of Relationship • Undefined – Independent – Conflict-resolution • Defined – ‘Good fences make good neighbors.’ – Process • Aligned – Flexible boundary – Joint planning and training • Integrated – ‘Rise or fall together’ – Deeply embedded in management of key accounts 18 ©2006 by C. K. Chung
  19. 19. Do We Need to Be More Aligned? Undefined The company is small. Don’t make The company has good informal relationships. any change Marketing is still a sales support function. if…… Tighten the Conflicts are evident between the two functions. relationship There’s duplication of effort between the functions; or tasks are falling between through the cracks. Sales and The functions compete for resources or funding. Marketing if…. move to Defined 19 ©2006 by C. K. Chung
  20. 20. Do We Need to Be More Aligned? Defined The company’s products and services are fairly cut-and-dried. Don’t make Traditional marketing and sales roles work in this market. any change There’s no clear and compelling reason to change. if…… Even with careful definition of roles, there’s duplication of effort between the Tighten the functions; or tasks are falling through the cracks. relationship The markets is commoditized and makes a traditional sales force costly. between Sales and Products are developed, prototyped, or extensively customized during the sales process. Marketing if…. Products life cycles are short-ending, and technology turn-over is accelerating. move to Aligned 20 ©2006 by C. K. Chung
  21. 21. Do We Need to Be More Aligned? Aligned The company lacks a culture of shared responsibility. Don’t make Sales and Marketing report separately. any change if…… The sales cycles is fairly short. Tighten the A common process or business funnel can be created for managing and relationship measuring revenue-generating activities. between Sales and Marketing if…. move to Integrated 21 ©2006 by C. K. Chung
  22. 22. Do We Need to Be More Aligned? Undefined Defined Aligned The company is small. The company’s products and services The company lacks a culture of are fairly cut-and-dried. shared responsibility. The company has good Don’t make any informal relationships. Traditional marketing and sales roles Sales and Marketing report change if…… work in this market. separately. Marketing is still a sales support function. There’s no clear and compelling reason The sales cycles is fairly short. to change. Conflicts are evident between Even with careful definition of roles, A common process or business the two functions. there’s duplication of effort between the funnel can be created for functions; or tasks are falling through managing and measuring There’s duplication of effort the cracks. revenue-generating activities. between the functions; or Tighten the tasks are falling through the The markets is commoditized and cracks. makes a traditional sales force costly. relationship between Sales The functions compete for Products are developed, prototyped, or resources or funding. extensively customized during the sales and Marketing if…. process. Products life cycles are short-ending, and technology turn-over is accelerating. move to Defined move to Aligned move to Integrated 22 ©2006 by C. K. Chung
  23. 23. Moving from defined to aligned continued.. if .. ü your industry is changing in significant ways. ü the market is becoming commoditized, for example, a traditional sales force may become costly. ü the market is moving toward customization. 23 ©2006 by C. K. Chung
  24. 24. Moving from defined to aligned continued.. 1. Encourage disciplined communication next page 2. Create joint assignments; rotate jobs – Marketers → sit on important account-planning sessions – Salespeople → sit on product-planning reviews 3. Appoint a liaison from Marketing to work with the sales force 4. Colocate marketers and salespeople 5. Improve sales force feedback 24 ©2006 by C. K. Chung
  25. 25. Moving from defined to aligned continued.. ※ Encourage disciplined communication - Hold regular meetings. - Focus on action items. - Develop systematic processes and guidelines like ; - “You should involve the brand manager whenever the sales opportunity is above $2 million.” - “We will not go to print on any marketing collateral until salespeople have reviewed it.” - “Marketing will be invited to the top the critical account reviews.” 25 ©2006 by C. K. Chung
  26. 26. Moving from aligned to integrated continued.. 1. Appoint a chief revenue ( or customer ) officer. 2. Define the steps in the marketing and sales funnels. nest page 3. Split Marketing into two groups. ① Upstream : strategic • shares its insights with senior managers and product developers ② Downstream : tactical • help salespeople develop and qualify leads. 4. Set shared revenue targets and reward systems. 5. Integrate Sales and Marketing metrics. 26 ©2006 by C. K. Chung
  27. 27. Define the steps in the marketing and sales funnels. • Integrating Marketing into the sales – Solution collateral • organized templates and customizing guides – when customers are nearing a decision, Marketing ⇒ case study material, success stories, customers’ concerns – during contract negotiations Marketing ⇒ advice on planning and pricing • The upstream, strategic decision should be matched by Sales’ involvement 27 ©2006 by C. K. Chung
  28. 28. The Buying Funnel 28 ©2006 by C. K. Chung
  29. 29. How Well Do Sales and Marketing Work Together? Sales and Marketing Integration Checklist 29 ©2006 by C. K. Chung
  30. 30. 후기 • 듀퐁의 사례 Customer Interview를 할 때에는 꼭 마케터와 영업 그리고 생산담당이 같 이 한다고 합니다. 인터뷰이후에 다시 회사로 와서는 voice recording 된 것 을 토대로 각 자가 리포트를 작성하는데 놀랍게도 세 부서의 리포트가 다 르다는 것입니다. 자기가 보고 싶은 것만 보았기 때문이지요. 이런 단계에 서 다시 interviewee에게 판결을 내려달라고 합니다. 그 결과 모두가 틀렸 다는 것입니다. 이런 식의 feedback system을 통해서 타 부서와의 차이에 대해 알게 되고, 의견을 좁힐 수 있다는 것이지요. 이런 인터뷰 트레이닝 을 위해서 1년 반이나 투자한다고 합니다. • 본 아티클을 통해서 제일 가슴에 남는 것은 ‘영업과 마케팅은 서로 다르다’라는 것을 인정하는 것에서부터 모든 해결점을 시작되는 것이 아닌가라는 점입니다. 서로에 대한 인정은 열 린 마음을 가질 때에만이 가능할 것 같습니다. 30 ©2006 by C. K. Chung

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