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CEB Sales Leadership Council®
Getting in Early:
Shaping Demand Through
Pre-Funnel Engagement
July 2014
 2
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Finding A Ready Customer
Customer Purchase Experience
Illustrative
Sales organizations
ideally seek to engage
customers with clear
needs, who are ready
to buy.
■■ The primary commercial
objective has been to
engage an opportunity at
the earliest moment business
needs require action.
Predominantly
Marketing
Predominantly
Sales
■■ Listening for new
ideas
■■ Evaluating current
approaches
■■ Deciding to take
action
■■ Clarifying needs
■■ Searching for
solution
■■ Evaluating vendor
capability
■■ Creating vendor
short-list
■■ Vendor selection
■■ Settling pricing
and terms
IV.
Make Decision
I.
Learn
II.
Define Needs
III.
Assess Options
Sales targets and
pursues customers
with clear needs who
are motivated to buy.
Source:	Sales Leadership Council research.
 3
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC7517113SYN
57% Complete
Customer Due
Diligence Begins
Customer’s First
Contact with
Supplier
Customer
Purchase Decision
Customers
increasingly turn
to third-party
consultants
3
Customization
requests increase
1
Customer access
decreases
2
Price is all that’s left
to compete on
4
Source:	CEB analysis.
Source:	CEB analysis.
Through this period customer needs have been
well-scoped, priorities set, requirements largely
defined, solutions compared, and price is often
being initially benchmarked.
THE EMERGENCE OF THE INFORMED CUSTOMER
Customer Purchase Decision Timeline
Key Implications of Today’s Sale
Customers are engaging
suppliers relatively late in
the purchase process.
■■ Customers are now better
informed than ever before
and complete much of the
purchase due diligence on
their own—leaving only
one thing to discuss with
suppliers: price.
n = 1,460.
 4
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Make Decision
A Shift in Buying: Relegated to Fulfillment
Customer Progress in Today’s Average B2B Purchase Experience
Information proliferation
has enabled the customer
to more thoroughly
assess needs and options
without supplier support.
■■ This information proliferation
has resulted in customers
gaining price leverage as
they are simply looking for a
supplier to fill their needs in
a relatively low-cost way.
■■ Most consumers purchase
automobiles in a similar
fashion today. Few go to a
dealership without having
done research, determined
options, and knowing the
price they are willing to pay.
■■ This trend underscores
how customers will engage
(and always have engaged)
suppliers as late as possible.
■■ This alarming trend raises
a clear question—how does
Sales get in early with a
more informed customer?
The average B2B purchase decision
is 57% complete, and more than 10
information sources have been consulted,
by the time a supplier is engaged.
Key Question: How does
Sales get involved with
customers here?
Predominantly
Marketing
Predominantly
Sales
Source:	2011 MLC Customer Purchase Research Survey; SalesLeadership Council research.
n = 1,460 customers.
Define Needs Assess OptionsLearn
 5
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC7517113SYN
Make DecisionLearn Define Needs Assess Options
Source:	CEB analysis.
Challenger reps
leverage insight to teach
customers into the funnel.
Shape Demand
Reshape Demand
1
2
Teaching
SHAPING, NOT REACTING
Customer Purchase Experience
Illustrative
Challengers use insight
to effectively shape—
or reshape—customer
demand.
■■ Challenger reps use
commercial teaching to
disrupt the customer’s
perspective—whether it’s
how they are currently
managing their business or
how they are considering a
specific purchase.
 6
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
What this entails: Surfacing in-depth information about opportunities from outside experts, subject matter experts,
operations teams, other sales people, partners, even customer employees, etc.
What this is not: Determining basic information about opportunities from sources such as public filings, company
overviews, traditional opportunity fit scores, or brief conversations with peers.
Example: Gen-i built formal communication channels between operations and sales teams to coordinate
information sharing on growth opportunities within accounts.
Representative Quote:
“I try to triangulate my info sources for any prospect. The info I need is out there, you just have to be creative
to get it.”
Star Performer, Business Services
Gather Deep Intelligence
Improvement in Probability of Being a High Performer
Hi-pers conduct much
deeper due diligence on
opportunities using a
variety of non-traditional
information sources.
■■ Hi-pers heavily relied on
people close to the customer
organization, including
partners, SMEs, consultants,
customer employees, and
social media sources for this
deep intelligence.
■■ It was evident that many
core performers quickly
assessed opportunities, but
did not probe or search for
further information. Their
searches were often limited
to simple internet research.
■■ Hi-pers aim to know things
about the customer that
the customer doesn’t know
about themselves.
12.81%
11.57%
10.00%
6.20%
ChangeinProbabilityGoing
from25thPercentileto75th
PercentilePerformer
Conducts Non-
Traditional
Customer Due
Diligence
■■ Brainstorm with others to
think of ways to approach
customers
■■ Network with internal
subject matter experts
to learn about different
customers
■■ Understand the concerns
of the buying group
Source:	Sales Executive Council Pre-Sales Diagnostic; Sales Leadership Council research.
n = 1,078.
 7
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN Source:	Sales Leadership Council research.
Own Lead generation
Improvement in Probability of Being a High Performer
Hi-pers build their own
pipeline—self-generating
leads and not overly
relying on Marketing
for lead generation.
■■ Interviews showed
considerable differences
between core and high-
performers within the same
companies regarding lead
generation.
■■ High performers devote
significant attention to
independently developing
their business pipeline.
12.81%
11.57%
10.00%
6.20%
ChangeinProbabilityGoing
from25thPercentileto75th
PercentilePerformer
Personally Owns
Lead Generation
Conducts Non-
Traditional
Customer Due
Diligence
What this entails: Lead generation and pipeline cultivation is viewed as an important individual responsibility.
What this is not: Depending on traditional marketing efforts and the company for leads.
Example: Eloqua encourages salespeople to maintain a strong social and event networking presence,
positioning salespeople as key industry influencers.
Representative Quote:
“Most of my peers wait for leads—they see lead generation as Marketing’s job. Then they wonder why they’ve got no
one to sell to.”
Star Performer, Business Services
■■ I devote considerable
personal time to
finding and nurturing
leads
■■ Working with
marketing falls within
my core responsibilities
■■ I always customize
collateral to ensure
relevance
■■ Brainstorm with others to
think of ways to approach
customers
■■ Network with internal
subject matter experts
to learn about different
customers
■■ Understand the concerns
of the buying group
THE POWER TO SUCCEED.
®
n = 1,078.
 8
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Lead with Insight
Improvement in Probability of Being a High Performer
12.81%
11.57%
10.00%
6.20%
ChangeinProbabilityGoing
from25thPercentileto75th
PercentilePerformer
Conducts Non-
Traditional
Customer Due
Diligence
Leads with InsightPersonally Owns
Lead Generation
Hi-pers willingly engage
in pushing the customer’s
thinking and highlighting
flawed assumptions.
■■ Leading with insight,
strongly echoes the
Challenger Rep’s traits.
What this entails: Taking a teaching posture with the customer and willingly challenging customer thinking.
What this is not: Leading with features, benefits, and overtly commercial messages.
Example: Cargill Pro Pricing arms salespeople with high-impact commercial messages which reframe how
customers think about their business, and highlight flawed assumptions customers frequently make.
Representative Quote:
“You’ve got to position yourself in the knowledge fabric, where customers and their consultants learn. You’ve got to
help the customer think differently to be part of that game.”
Star Performer, Healthcare
■■ Teaches the customer
insights
■■ Does not shy away from
highlighting flawed
assumptions
■■ Does not shy away from
obstacles in the way of
valuable business
■■ I devote considerable
personal time to
finding and nurturing
leads
■■ Working with
marketing falls within
my core responsibilities
■■ I always customize
collateral to ensure
relevance
■■ Brainstorm with others to
think of ways to approach
customers
■■ Network with internal
subject matter experts
to learn about different
customers
■■ Understand the concerns
of the buying group
Source:	Sales Leadership Council research.
n = 1,078.
 9
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Gain Presence and Influence
Improvement in Probability of Being a High Performer
ChangeinProbabilityGoing
from25thPercentileto75th
PercentilePerformer
Uses Social Media as
Critical Channel
12.81%
11.57%
10.00%
6.20%
What this entails: Positioning oneself as a key influencer within social networks to best leverage their scope and scale
to cultivate a business network.
What this is not: Using social media as a “spamming” or purely commercial channel.
Questions About Social Media
■■ Is social media really where customers are going for information?
■■ Is there evidence that real companies are successfully using social media for B2B sales?
■■ Is this relevant to companies outside tech? What about regulated industries?
■■ Does social media help with global or key accounts?
Conducts Non-
Traditional
Customer Due
Diligence
Leads with InsightPersonally Owns
Lead Generation
Hi-pers leverage social
media to gain access to
business opportunities.
■■ Interviews highlighted that
high-performers deliberately
use social media to position
themselves where customers
learn.
■■ Social media channels such
as Twitter and LinkedIn
present tremendous scale
and reach benefits over
traditional networking
channels.
■■ Connect with potential
customers via social
media
■■ Use social networks such
as LinkedIn or Twitter
to share points of view
and news about your
company and products
■■ Use social media for lead
generation purposes
■■ Teaches the customer
insights
■■ Does not shy away from
highlighting flawed
assumptions
■■ Does not shy away from
obstacles in the way of
valuable business
■■ I devote considerable
personal time to
finding and nurturing
leads
■■ Working with
marketing falls within
my core responsibilities
■■ I always customize
collateral to ensure
relevance
■■ Brainstorm with others to
think of ways to approach
customers
■■ Network with internal
subject matter experts
to learn about different
customers
■■ Understand the concerns
of the buying group
Source:	Sales Leadership Council research.
n = 1,078.
10
© 2014 The Corporate Executive Board
Company. All Rights Reserved.
SEC4966813SYN
Social media is decidedly
part of the B2B buying and
selling experience.
THE ELEPHANT(S) IN THE ROOM
1. Is social media really where customers are
going for information?
2. Is there evidence that real companies are
successfully using social media for B2B
sales?
■ 78% started with informal info gathering
online
■ 59% engaged with peers who addressed the
challenge
■ 48% followed online industry conversations on
topic
■ 41% followed online discussions to learn more
about topic
■ 37% posted questions on social networking
sites looking for suggestions/feedback
IBM arms salespeople with “social soundbites”
which help sales reps engage social networks,
ultimately generating considerable sales.
Morgan Stanley allows 600+ advisors to use
LinkedIn and Twitter, generating considerable
leads and reinvigorating past client
relationships.
n = 100+ B2B buyers across industry.
Source: Genius.com.
Source: IBM; Chief Marketer; Morgan Stanley; Reuters.
3. Is this relevant to companies outside tech?
What about regulated industries?
4. Does social media help with global or key
accounts?
LinkedIn Contacts Across Industry
Construction
HighTech
Medical
Arts
Finance
Corporate
Educational
Manufacturing
Consumer
Recreational
13.2
9.5
8.1
5.4
“LinkedIn and Twitter give me access to the
whole ecosystem around that account—
consultants, other providers, my key
contacts…. Based on [my contact’s]
connections, it’s easy to see if competition
is lurking.”
Star Account Manager,
Telecommunications
APAC Membership by Industry Sector
Source: LinkedIn.com
Other Recent Headlines
Timken Adds
Automotive and
Heavy- Truck Focus to
Social Media
Conversation
Dun & Bradstreet Uses
B2B Social Media to
Bring Data to Life
Source: The Timken Company; Dun & Bradstreet,
SocialMediaB2B.com.
4.5 4.3 4.2
3.4 3.3
2.3
 11
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Shaping Demand
Improvement in Probability of Being a High Performer
ChangeinProbabilityGoing
from25thPercentileto75th
PercentilePerformer
Uses Social Media as
Critical Channel
12.81%
11.57%
10.00%
6.20%
Conducts Non-
Traditional
Customer Due
Diligence
Leads with InsightPersonally Owns
Lead Generation
Hi-pers embrace four
critical behaviors in their
pre-funnel selling activity
set.
■■ Connect with potential
customers via social
media
■■ Use social networks such
as LinkedIn or Twitter
to share points of view
and news about your
company and products
■■ Use social media for lead
generation purposes
■■ Teaches the customer
insights
■■ Does not shy away from
highlighting flawed
assumptions
■■ Does not shy away from
obstacles in the way of
valuable business
■■ I devote considerable
personal time to
finding and nurturing
leads
■■ Working with
marketing falls within
my core responsibilities
■■ I always customize
collateral to ensure
relevance
■■ Brainstorm with others to
think of ways to approach
customers
■■ Network with internal
subject matter experts
to learn about different
customers
■■ Understand the concerns
of the buying group
Source:	Sales Leadership Council research.
n = 1,078.
 12
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Hi-pers teach where
customers learn, shaping
customer demand in
the pre-funnel stage.
■■ Core performers largely wait
for business opportunities
to present themselves. They
depend on Marketing to
deliver leads, and qualify
opportunities based on
clarity of customer needs.
■■ High performers embody a
“micro-marketing” mindset
across their territory,
teaching customers into
their funnel.
Shaping, not Reacting
Variables Most Indicative of Performance
Comparison of Core and High Performers
Core
Performer
n = 766 of 1,078.
■■ Assesses opportunities based
on clarity of customer needs
■■ Believes lead generation is the
company’s responsibility
■■ Undiscerningly uses social media
(“spams” their network)
High
Performer
n = 312 of 1,078.
■■ Conducts non-traditional due
diligence
■■ Personally owns lead generation
■■ Leads with insight
■■ Uses social media as a critical
channel
Distinctive Core Performer Behaviors Distinctive High Performer Behaviors
Fills orders by reacting to existing
demand and settled customer needs
Teaches where customers learn.
Shapes demand by teaching
customers into the funnel.
Source:	Sales Leadership Council research.
 13
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
Shape Demand: teach where the customer
learns
Customer Purchase Experience
Sales must teach where
customers learn, shaping
demand to win profitable
business.
Shaping
Demand
Today’s Star
Performer
Reacting to
Demand
	 Incorrect Question
How can we get our salespeople to
sell where needs are initially defined?
	Correct Question
How can we get our salespeople
to teach where customers learn?
Source:	Sales Leadership Council research.
Make DecisionDefine Needs Assess OptionsLearn
 14
© 2014 The Corporate Executive Board Company.
All Rights Reserved. SEC4966813SYN
The wealth of information
available to customers is
crowding out traditional
marketing.
■■ Marketing has traditionally
driven awareness and
thought leadership in the
“learn” phase.
■■ However, the wealth of
information available to
customers has crowded
out traditional marketing
messages.
■■ Customers have applied
filters to the information
they consume, granting
access to few sources.
■■ Sales can earn the required
access to customers in this
state, helping them think
differently about their
business in ways traditional
marketing collateral cannot.
■■ Marketing must provide
worthy contributors that
enable sales in gaining
access to customers in
the learning stage.
Revising the Commercial Front
Critical Shifts in Sales and Marketing
Relative to the Customer Purchase Experience
Assess Options Make DecisionLearn Define Needs
Marketing ■■ Enable sales reps with
short messages to engage
customers while learning.
■■ Support sales reps’ personal
brand building.
■■ Identify unique differentiators.
■■ Develop and package commercial insights which highlight unique
differentiators.
■■ Enable further exploration of needs through interactive, yet scalable,
messages and content.
Sales ■■ Train sales reps to be
involved in channels where
customers learn (e.g., social
media).
■■ Teach reps to personalize
marketing messages.
■■ Adapt marketing insights for direct interaction with customers.
■■ Train sales reps to deliver commercial insights in compelling ways.
■■ Teach reps to target and identify the right stakeholders to carry
insight into customer business.
Source:	Sales Leadership Council research.

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APAC CEB & LinkedIn Webcast - Getting in early

  • 1. CEB Sales Leadership Council® Getting in Early: Shaping Demand Through Pre-Funnel Engagement July 2014
  • 2.  2 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Finding A Ready Customer Customer Purchase Experience Illustrative Sales organizations ideally seek to engage customers with clear needs, who are ready to buy. ■■ The primary commercial objective has been to engage an opportunity at the earliest moment business needs require action. Predominantly Marketing Predominantly Sales ■■ Listening for new ideas ■■ Evaluating current approaches ■■ Deciding to take action ■■ Clarifying needs ■■ Searching for solution ■■ Evaluating vendor capability ■■ Creating vendor short-list ■■ Vendor selection ■■ Settling pricing and terms IV. Make Decision I. Learn II. Define Needs III. Assess Options Sales targets and pursues customers with clear needs who are motivated to buy. Source: Sales Leadership Council research.
  • 3.  3 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC7517113SYN 57% Complete Customer Due Diligence Begins Customer’s First Contact with Supplier Customer Purchase Decision Customers increasingly turn to third-party consultants 3 Customization requests increase 1 Customer access decreases 2 Price is all that’s left to compete on 4 Source: CEB analysis. Source: CEB analysis. Through this period customer needs have been well-scoped, priorities set, requirements largely defined, solutions compared, and price is often being initially benchmarked. THE EMERGENCE OF THE INFORMED CUSTOMER Customer Purchase Decision Timeline Key Implications of Today’s Sale Customers are engaging suppliers relatively late in the purchase process. ■■ Customers are now better informed than ever before and complete much of the purchase due diligence on their own—leaving only one thing to discuss with suppliers: price. n = 1,460.
  • 4.  4 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Make Decision A Shift in Buying: Relegated to Fulfillment Customer Progress in Today’s Average B2B Purchase Experience Information proliferation has enabled the customer to more thoroughly assess needs and options without supplier support. ■■ This information proliferation has resulted in customers gaining price leverage as they are simply looking for a supplier to fill their needs in a relatively low-cost way. ■■ Most consumers purchase automobiles in a similar fashion today. Few go to a dealership without having done research, determined options, and knowing the price they are willing to pay. ■■ This trend underscores how customers will engage (and always have engaged) suppliers as late as possible. ■■ This alarming trend raises a clear question—how does Sales get in early with a more informed customer? The average B2B purchase decision is 57% complete, and more than 10 information sources have been consulted, by the time a supplier is engaged. Key Question: How does Sales get involved with customers here? Predominantly Marketing Predominantly Sales Source: 2011 MLC Customer Purchase Research Survey; SalesLeadership Council research. n = 1,460 customers. Define Needs Assess OptionsLearn
  • 5.  5 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC7517113SYN Make DecisionLearn Define Needs Assess Options Source: CEB analysis. Challenger reps leverage insight to teach customers into the funnel. Shape Demand Reshape Demand 1 2 Teaching SHAPING, NOT REACTING Customer Purchase Experience Illustrative Challengers use insight to effectively shape— or reshape—customer demand. ■■ Challenger reps use commercial teaching to disrupt the customer’s perspective—whether it’s how they are currently managing their business or how they are considering a specific purchase.
  • 6.  6 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN What this entails: Surfacing in-depth information about opportunities from outside experts, subject matter experts, operations teams, other sales people, partners, even customer employees, etc. What this is not: Determining basic information about opportunities from sources such as public filings, company overviews, traditional opportunity fit scores, or brief conversations with peers. Example: Gen-i built formal communication channels between operations and sales teams to coordinate information sharing on growth opportunities within accounts. Representative Quote: “I try to triangulate my info sources for any prospect. The info I need is out there, you just have to be creative to get it.” Star Performer, Business Services Gather Deep Intelligence Improvement in Probability of Being a High Performer Hi-pers conduct much deeper due diligence on opportunities using a variety of non-traditional information sources. ■■ Hi-pers heavily relied on people close to the customer organization, including partners, SMEs, consultants, customer employees, and social media sources for this deep intelligence. ■■ It was evident that many core performers quickly assessed opportunities, but did not probe or search for further information. Their searches were often limited to simple internet research. ■■ Hi-pers aim to know things about the customer that the customer doesn’t know about themselves. 12.81% 11.57% 10.00% 6.20% ChangeinProbabilityGoing from25thPercentileto75th PercentilePerformer Conducts Non- Traditional Customer Due Diligence ■■ Brainstorm with others to think of ways to approach customers ■■ Network with internal subject matter experts to learn about different customers ■■ Understand the concerns of the buying group Source: Sales Executive Council Pre-Sales Diagnostic; Sales Leadership Council research. n = 1,078.
  • 7.  7 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Source: Sales Leadership Council research. Own Lead generation Improvement in Probability of Being a High Performer Hi-pers build their own pipeline—self-generating leads and not overly relying on Marketing for lead generation. ■■ Interviews showed considerable differences between core and high- performers within the same companies regarding lead generation. ■■ High performers devote significant attention to independently developing their business pipeline. 12.81% 11.57% 10.00% 6.20% ChangeinProbabilityGoing from25thPercentileto75th PercentilePerformer Personally Owns Lead Generation Conducts Non- Traditional Customer Due Diligence What this entails: Lead generation and pipeline cultivation is viewed as an important individual responsibility. What this is not: Depending on traditional marketing efforts and the company for leads. Example: Eloqua encourages salespeople to maintain a strong social and event networking presence, positioning salespeople as key industry influencers. Representative Quote: “Most of my peers wait for leads—they see lead generation as Marketing’s job. Then they wonder why they’ve got no one to sell to.” Star Performer, Business Services ■■ I devote considerable personal time to finding and nurturing leads ■■ Working with marketing falls within my core responsibilities ■■ I always customize collateral to ensure relevance ■■ Brainstorm with others to think of ways to approach customers ■■ Network with internal subject matter experts to learn about different customers ■■ Understand the concerns of the buying group THE POWER TO SUCCEED. ® n = 1,078.
  • 8.  8 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Lead with Insight Improvement in Probability of Being a High Performer 12.81% 11.57% 10.00% 6.20% ChangeinProbabilityGoing from25thPercentileto75th PercentilePerformer Conducts Non- Traditional Customer Due Diligence Leads with InsightPersonally Owns Lead Generation Hi-pers willingly engage in pushing the customer’s thinking and highlighting flawed assumptions. ■■ Leading with insight, strongly echoes the Challenger Rep’s traits. What this entails: Taking a teaching posture with the customer and willingly challenging customer thinking. What this is not: Leading with features, benefits, and overtly commercial messages. Example: Cargill Pro Pricing arms salespeople with high-impact commercial messages which reframe how customers think about their business, and highlight flawed assumptions customers frequently make. Representative Quote: “You’ve got to position yourself in the knowledge fabric, where customers and their consultants learn. You’ve got to help the customer think differently to be part of that game.” Star Performer, Healthcare ■■ Teaches the customer insights ■■ Does not shy away from highlighting flawed assumptions ■■ Does not shy away from obstacles in the way of valuable business ■■ I devote considerable personal time to finding and nurturing leads ■■ Working with marketing falls within my core responsibilities ■■ I always customize collateral to ensure relevance ■■ Brainstorm with others to think of ways to approach customers ■■ Network with internal subject matter experts to learn about different customers ■■ Understand the concerns of the buying group Source: Sales Leadership Council research. n = 1,078.
  • 9.  9 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Gain Presence and Influence Improvement in Probability of Being a High Performer ChangeinProbabilityGoing from25thPercentileto75th PercentilePerformer Uses Social Media as Critical Channel 12.81% 11.57% 10.00% 6.20% What this entails: Positioning oneself as a key influencer within social networks to best leverage their scope and scale to cultivate a business network. What this is not: Using social media as a “spamming” or purely commercial channel. Questions About Social Media ■■ Is social media really where customers are going for information? ■■ Is there evidence that real companies are successfully using social media for B2B sales? ■■ Is this relevant to companies outside tech? What about regulated industries? ■■ Does social media help with global or key accounts? Conducts Non- Traditional Customer Due Diligence Leads with InsightPersonally Owns Lead Generation Hi-pers leverage social media to gain access to business opportunities. ■■ Interviews highlighted that high-performers deliberately use social media to position themselves where customers learn. ■■ Social media channels such as Twitter and LinkedIn present tremendous scale and reach benefits over traditional networking channels. ■■ Connect with potential customers via social media ■■ Use social networks such as LinkedIn or Twitter to share points of view and news about your company and products ■■ Use social media for lead generation purposes ■■ Teaches the customer insights ■■ Does not shy away from highlighting flawed assumptions ■■ Does not shy away from obstacles in the way of valuable business ■■ I devote considerable personal time to finding and nurturing leads ■■ Working with marketing falls within my core responsibilities ■■ I always customize collateral to ensure relevance ■■ Brainstorm with others to think of ways to approach customers ■■ Network with internal subject matter experts to learn about different customers ■■ Understand the concerns of the buying group Source: Sales Leadership Council research. n = 1,078.
  • 10. 10 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Social media is decidedly part of the B2B buying and selling experience. THE ELEPHANT(S) IN THE ROOM 1. Is social media really where customers are going for information? 2. Is there evidence that real companies are successfully using social media for B2B sales? ■ 78% started with informal info gathering online ■ 59% engaged with peers who addressed the challenge ■ 48% followed online industry conversations on topic ■ 41% followed online discussions to learn more about topic ■ 37% posted questions on social networking sites looking for suggestions/feedback IBM arms salespeople with “social soundbites” which help sales reps engage social networks, ultimately generating considerable sales. Morgan Stanley allows 600+ advisors to use LinkedIn and Twitter, generating considerable leads and reinvigorating past client relationships. n = 100+ B2B buyers across industry. Source: Genius.com. Source: IBM; Chief Marketer; Morgan Stanley; Reuters. 3. Is this relevant to companies outside tech? What about regulated industries? 4. Does social media help with global or key accounts? LinkedIn Contacts Across Industry Construction HighTech Medical Arts Finance Corporate Educational Manufacturing Consumer Recreational 13.2 9.5 8.1 5.4 “LinkedIn and Twitter give me access to the whole ecosystem around that account— consultants, other providers, my key contacts…. Based on [my contact’s] connections, it’s easy to see if competition is lurking.” Star Account Manager, Telecommunications APAC Membership by Industry Sector Source: LinkedIn.com Other Recent Headlines Timken Adds Automotive and Heavy- Truck Focus to Social Media Conversation Dun & Bradstreet Uses B2B Social Media to Bring Data to Life Source: The Timken Company; Dun & Bradstreet, SocialMediaB2B.com. 4.5 4.3 4.2 3.4 3.3 2.3
  • 11.  11 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Shaping Demand Improvement in Probability of Being a High Performer ChangeinProbabilityGoing from25thPercentileto75th PercentilePerformer Uses Social Media as Critical Channel 12.81% 11.57% 10.00% 6.20% Conducts Non- Traditional Customer Due Diligence Leads with InsightPersonally Owns Lead Generation Hi-pers embrace four critical behaviors in their pre-funnel selling activity set. ■■ Connect with potential customers via social media ■■ Use social networks such as LinkedIn or Twitter to share points of view and news about your company and products ■■ Use social media for lead generation purposes ■■ Teaches the customer insights ■■ Does not shy away from highlighting flawed assumptions ■■ Does not shy away from obstacles in the way of valuable business ■■ I devote considerable personal time to finding and nurturing leads ■■ Working with marketing falls within my core responsibilities ■■ I always customize collateral to ensure relevance ■■ Brainstorm with others to think of ways to approach customers ■■ Network with internal subject matter experts to learn about different customers ■■ Understand the concerns of the buying group Source: Sales Leadership Council research. n = 1,078.
  • 12.  12 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Hi-pers teach where customers learn, shaping customer demand in the pre-funnel stage. ■■ Core performers largely wait for business opportunities to present themselves. They depend on Marketing to deliver leads, and qualify opportunities based on clarity of customer needs. ■■ High performers embody a “micro-marketing” mindset across their territory, teaching customers into their funnel. Shaping, not Reacting Variables Most Indicative of Performance Comparison of Core and High Performers Core Performer n = 766 of 1,078. ■■ Assesses opportunities based on clarity of customer needs ■■ Believes lead generation is the company’s responsibility ■■ Undiscerningly uses social media (“spams” their network) High Performer n = 312 of 1,078. ■■ Conducts non-traditional due diligence ■■ Personally owns lead generation ■■ Leads with insight ■■ Uses social media as a critical channel Distinctive Core Performer Behaviors Distinctive High Performer Behaviors Fills orders by reacting to existing demand and settled customer needs Teaches where customers learn. Shapes demand by teaching customers into the funnel. Source: Sales Leadership Council research.
  • 13.  13 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN Shape Demand: teach where the customer learns Customer Purchase Experience Sales must teach where customers learn, shaping demand to win profitable business. Shaping Demand Today’s Star Performer Reacting to Demand Incorrect Question How can we get our salespeople to sell where needs are initially defined? Correct Question How can we get our salespeople to teach where customers learn? Source: Sales Leadership Council research. Make DecisionDefine Needs Assess OptionsLearn
  • 14.  14 © 2014 The Corporate Executive Board Company. All Rights Reserved. SEC4966813SYN The wealth of information available to customers is crowding out traditional marketing. ■■ Marketing has traditionally driven awareness and thought leadership in the “learn” phase. ■■ However, the wealth of information available to customers has crowded out traditional marketing messages. ■■ Customers have applied filters to the information they consume, granting access to few sources. ■■ Sales can earn the required access to customers in this state, helping them think differently about their business in ways traditional marketing collateral cannot. ■■ Marketing must provide worthy contributors that enable sales in gaining access to customers in the learning stage. Revising the Commercial Front Critical Shifts in Sales and Marketing Relative to the Customer Purchase Experience Assess Options Make DecisionLearn Define Needs Marketing ■■ Enable sales reps with short messages to engage customers while learning. ■■ Support sales reps’ personal brand building. ■■ Identify unique differentiators. ■■ Develop and package commercial insights which highlight unique differentiators. ■■ Enable further exploration of needs through interactive, yet scalable, messages and content. Sales ■■ Train sales reps to be involved in channels where customers learn (e.g., social media). ■■ Teach reps to personalize marketing messages. ■■ Adapt marketing insights for direct interaction with customers. ■■ Train sales reps to deliver commercial insights in compelling ways. ■■ Teach reps to target and identify the right stakeholders to carry insight into customer business. Source: Sales Leadership Council research.