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Aligning Sales & Marketing: Not Mission Impossible


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Aligning sales & marketing presentation along with a case study at the 2007 Chief Sales Executive Forum

Published in: Business, Technology

Aligning Sales & Marketing: Not Mission Impossible

  1. 1. 2007<br />2007<br />Aligning Sales & Marketing:<br />Mission Not Impossible<br />CHRISTINE CRANDELL<br />
  2. 2. Who Am I?<br />Vice President, Ariba<br />Global responsibility for marketing, strategy and sales productivity<br />20 year enterprise technology market strategist<br />SAP, Oracle, PriceWaterhouse<br />President of New Business Strategies<br />70 projects in N. America, Europe and Australia<br />Market strategy, organizational optimization, M&A<br />Slate of brand-names: Oracle, Nortel, Clarify, SatMetrix, Indus<br />
  3. 3. Even if you are on the right track,<br />you will get run over if you just sit there.<br />
  4. 4. The New World<br />The customer is smarter and she’s your boss<br />Customer have near total control of the buying process and marketing channels<br />The “purchase funnel” is the Web<br />Web is the primary influencer in the decision making process.<br />There is no secret sauce<br />Marketing is “Try, morph, toss, try again”. The rules are changing as fast as the costs are dropping. <br />Consumerization of B2B marketing<br />It’s all about entertainment-factor, interactivity and customer communities. <br />Success is defined by rapid adoption; stickiness defined by perceived value.<br />
  5. 5. 2007<br />Section 1<br />Case of Different<br />Missions<br />
  6. 6. Different Missions<br />Sales: <br />Focused on the individual<br />By closing sales<br />Month and quarter time horizon<br />Easy to see who and what is successful<br />It’s immediate and visible<br />Marketing:<br />Focused on projects<br />Multiple metrics and objectives<br />Differing time horizons – some short, some long term<br />Hard to see who and what is successful<br />Link between ‘lead and close’ not obvious or immediate<br />
  7. 7. Where Missions Collide<br />Economics<br />How budget is divided between Marketing and Sales<br />Price setting and packaging<br />Marketing’s promotion costs vs. more quality ‘feet on the street’<br />Product roadmaps and releases<br />Size of budget reflects political clout<br />ROI and how it fits to corporate objectives<br />Cultural<br />Attract different types of people<br />Marketing: analytical, long term oriented<br />Sales: relationship masters, short term/deal oriented<br />Spend their time differently<br />Marketing: desk jockeys that LOVE meetings <br />Sales: in the field making relationships actionable<br />Compensated differently:<br />Salary vs. commission/perks<br />
  8. 8. The Run Over<br />Where are my leads?<br />You aren’t sending prospects to events.<br />Sales management won’t make time to review marketing plans.<br />How is Marketing spending my money?<br />I need more leads.<br />Why haven’t you followed up on last month’s leads?<br />Why are 60% of deals disengaging?<br />I missed my quota because of Marketing.<br />Lead quality stinks.<br />Why aren’t the AEs using the CRM system?<br />Why are prospect contacts in Outlook?<br />You’re not using sales tools.<br />I didn’t learn anything at sales training.<br />Sales isn’t focusing the right features.<br />Marketing isn’t that hard;<br />I write my own copy.<br />I’m losing deals!<br />My prospect never heard of me; PR doesn’t work.<br />
  9. 9. 2007<br />Section 2<br />Path to Alignment<br />
  10. 10. Path to Alignment<br />Phase<br />Description<br />Actions<br /><ul><li>Focused on own tasks
  11. 11. No shared metrics
  12. 12. Conflict-based meetings
  13. 13. Independent Teams
  14. 14. Collaboration is ad-hoc</li></ul> I. Unstructured<br /><ul><li>Intersection processes
  15. 15. Common language
  16. 16. Roles defined
  17. 17. Stick to own tasks
  18. 18. Some collaboration</li></ul> II. Structured<br /><ul><li>Joint planning / training
  19. 19. Cross-border collaboration
  20. 20. Flexible but clear boundaries
  21. 21. One vocabulary
  22. 22. Participate in deals</li></ul> III. Aligned<br /><ul><li>Shared structure & metrics
  23. 23. Joint planning & execution
  24. 24. Blurred boundaries
  25. 25. Marketing embedded in sales
  26. 26. Up/downstream marketing</li></ul> IV. Unified<br />
  27. 27. Steps in the Path<br />Aligned to Unified<br /><ul><li> Integrated planning and value proposition definition
  28. 28. Common processes and metrics
  29. 29. Appoint Chief Revenue Officer
  30. 30. Define steps in marketing and sales funnels
  31. 31. Split Marketing into up- and down-stream groups
  32. 32. Set shared revenue targets and reward systems
  33. 33. Integrate sales and marketing metrics</li></ul>Structured to Aligned<br /><ul><li>Encourage disciplined communication
  34. 34. Create joint assignments
  35. 35. Job rotation
  36. 36. Co-locate marketers / sales
  37. 37. Assign liaisons
  38. 38. Improve sales force feedback</li></ul>UnStructuredto <br />Structured<br /><ul><li> Clear rules of engagement
  39. 39. Investment rationale and metrics</li></li></ul><li>2007<br />Section 3<br />How Ariba Did It<br />
  40. 40. Two Year Evolution to Aligned<br />Aligned<br />Structured<br />To <br />Aligned<br /><ul><li> Global, local marketing
  41. 41. Defined common, global processes
  42. 42. Defined steps in mktg / sales funnel
  43. 43. Shared targets
  44. 44. Integrated planning
  45. 45. Integrated sales / marketing metrics
  46. 46. MBOs set to revenue metrics
  47. 47. CRO established
  48. 48. Integrated campaign
  49. 49. Processes Redefined
  50. 50. Embedded Field Marketing
  51. 51. Campaigns and lead tracking in SDFC
  52. 52. Limited disciplined communication</li></ul>Structured<br /><ul><li>Regional marketing
  53. 53. Random acts of marketing
  54. 54. Reactive to Sales
  55. 55. No metrics / lead tracking</li></ul>2005<br />2006<br />2007<br />
  56. 56. Ariba Organization<br />Highly decentralized and matrixed – and lean organization.<br />
  57. 57. Marketing Focusis Good for Customers and Ariba<br /><ul><li>Creation of innovative solutions focused on specific needs of our customer segments
  58. 58. Delivery of more, qualified leads through focused marketing programs and a channel partnership program
  59. 59. Focused employee development and productivity enhancement plans</li></ul>Better understanding of customer needs and wants<br />Innovation tied to specific customer segments<br />Right resources always engaged with customer objectives<br />Improved customer satisfaction<br />Expand Ariba as the leading Spend Management business solution provider<br />
  60. 60. Global Marketing Strategy &Goals<br />Make Ariba the leading Spend Management business solution provider<br />Global Sales<br />Vision<br />Become the market share and thought leader by anticipating customer needs before they articulate them and fully satisfying them.<br />Marketing<br />Vision<br />Customer Success<br />Inc. # of references<br />Rebuild effective customer communication<br />Launch ACE community and 1:1 customer marketing partnerships<br />Market Expansion<br />Update new messaging / vision<br />Drive global demand programs in key markets and new initiatives<br />Drive new thought leadership in new sectors<br />Operational Excellence<br />Implement improved lead processes globally<br />Shift branding, collateral and digital marketing to persona marketing<br />Rebuild training to decrease AE ramp<br />Build deep, rich<br /> customer relationships<br />Improve AE<br />productivity<br />Double net new<br />Demand<br />Strategic Goals<br />Operating Goals<br />
  61. 61. Customer Centric Marketing Structure<br />Legal<br />Council<br />Finance<br />Procure<br /> / <br />Sourcing<br />IT<br />Supplier<br />Strategy<br />& Content<br />Market Perception - Media<br />Shared Service /<br />Agency Model<br />Demand Generation - Campaigns<br />Execution<br />ACU / Enablement<br />Customer Relationships - References<br />
  62. 62. CCMO Process Cycle<br />Attracting<br />Market<br />Perception<br />Shaping<br />Persona / <br />Segmentation<br />Marketing<br />Customer<br />Relationship <br />& Enablement<br />Growing<br />Winning<br />&quot;Customer&quot;<br />Demand <br />Execution<br />Winning<br />
  63. 63. Path To CCMO<br />Start small by determining ‘ideal’ customers and develop test micro-segments<br />Test offers and communication streams<br />Segment and profile customers and target audiences <br />Expand SDFC to micro-segment on 20 criteria <br />Align processes around continuous performance measurement and process refinement<br />Build models of ‘personalized’ interactions for unique personas (6)<br />Begin automating precision marketing processes <br />Establish a robust marketing technology framework<br />Provide a seamless multi-channel experience unique for each micro-segment based on profitability<br />
  64. 64. Marketing Scorecard<br />
  65. 65. What do You have to do Today…<br />…To be Successful 12 months from Today<br /><ul><li>Common Understanding
  66. 66. Exceptional Staff on Both Teams
  67. 67. Have a Passionate Vision
  68. 68. Change Everything including Policy
  69. 69. Shared Rewards Especially CLUB
  70. 70. Extreme Technology
  71. 71. Relentless Repeatability and Refinement</li></li></ul><li>Thank you<br /><br /><br />