This document provides an assessment of ROI for investing in sales tools at a company. It finds that the estimated net benefit over one year is $302,520, with an expected ROI of 313% and payback period of 2 months. Strategic benefits include increased customer satisfaction, competitive advantage, and improved employee utilization. The assessment identifies sales increases, cost savings, required investments, and provides best and worst case scenarios to quantify the potential impacts.
Key Account Management - Quarterly Research. In this research report, we review 3 case studies of key account management deployments and discuss various elements of success and failure. A presentation by Sales Benchmark Index.
Learn about the 10-Step Strategic Account Alignment Process:
- See the 10-step account planning and implementation process using real-world examples
- Focus on 3 of the biggest challenges facing strategic account management programs
- Learn the unique approach that Global Partners uses for the account planning and management process
Companies today are more dependent than ever on partners as their extended sales and support teams. For these companies, building and managing a channel ecosystem is critical. This raises the stakes around channel management. It is not enough to seek operational excellence from your partner efforts. You must seek competitive advantage.
Follow five channel management disciplines to make this happen.
Key Account Management - Quarterly Research. In this research report, we review 3 case studies of key account management deployments and discuss various elements of success and failure. A presentation by Sales Benchmark Index.
Learn about the 10-Step Strategic Account Alignment Process:
- See the 10-step account planning and implementation process using real-world examples
- Focus on 3 of the biggest challenges facing strategic account management programs
- Learn the unique approach that Global Partners uses for the account planning and management process
Companies today are more dependent than ever on partners as their extended sales and support teams. For these companies, building and managing a channel ecosystem is critical. This raises the stakes around channel management. It is not enough to seek operational excellence from your partner efforts. You must seek competitive advantage.
Follow five channel management disciplines to make this happen.
One thing everyone can agree on is that the “new buyer’s journey” is changing how customers buy everything from cars to firewalls. The traditional roles of sales and marketing are changing like never before. Add the complexity of selling through an indirect channel and things can start to feel pretty complicated. The good news is that there are practical approaches that help align channel marketing and sales to help smooth these seemingly troubled waters.
Designing an Indirect Sales Incentive Program: Defining Your Strategy Hawk Incentives
Companies selling through indirect channel partners often rely on incentive programs to reward sales and other behaviors. These program have many labels: SPIF programs, Rebates, MDF, Opportunity Registration more. Despite the pervasive use of these programs, many channel managers are struggling with and understanding of which programs are the most effective, and have a difficult time providing evidence of true program ROI.
This webinar is for sales and marketing personnel who are tasked with designing and managing incentive programs to improve effectiveness from their indirect sales channels, regardless of industry.
Partner relationships are the bedrock of a successful channel sales model. However, sometimes partner relationship management can seem like an icy road where you skid at every step. Watch this presentation to discover ways to boost partner engagement.
Webinar - Build a Better Sales Force using SPM technologyFred Sass
Organizations that use Sales Performance Management technology hire better people, increase sales productivity, improve visibility and insight, increase organizational agility, meet compliance requirements, and reduce errors and cycle time.
This is meant to provide interested parties of an example of what a KAP could look like. It is subject to change and is dependent to specific requirements of companies and their reflective market places, accounts, customers, and competition. It is merely an example.
If you chose to use it, it is at your own risk of success.
• With 11 years’ experience as effective project Leader more than 5 years’ experience on handling AO and SI projects successfully as Project managing while leading all phase’s delivery with diverse technologies and almost 7 years closely working with Oracle technology level while driving with functional knowledge on Finance- risk and compliance, Resources & Utilities , CMT and Retail. Rigorous working knowledge and trained on PMP, ITIL process & Strategy Management process from IIM-B.
One thing everyone can agree on is that the “new buyer’s journey” is changing how customers buy everything from cars to firewalls. The traditional roles of sales and marketing are changing like never before. Add the complexity of selling through an indirect channel and things can start to feel pretty complicated. The good news is that there are practical approaches that help align channel marketing and sales to help smooth these seemingly troubled waters.
Designing an Indirect Sales Incentive Program: Defining Your Strategy Hawk Incentives
Companies selling through indirect channel partners often rely on incentive programs to reward sales and other behaviors. These program have many labels: SPIF programs, Rebates, MDF, Opportunity Registration more. Despite the pervasive use of these programs, many channel managers are struggling with and understanding of which programs are the most effective, and have a difficult time providing evidence of true program ROI.
This webinar is for sales and marketing personnel who are tasked with designing and managing incentive programs to improve effectiveness from their indirect sales channels, regardless of industry.
Partner relationships are the bedrock of a successful channel sales model. However, sometimes partner relationship management can seem like an icy road where you skid at every step. Watch this presentation to discover ways to boost partner engagement.
Webinar - Build a Better Sales Force using SPM technologyFred Sass
Organizations that use Sales Performance Management technology hire better people, increase sales productivity, improve visibility and insight, increase organizational agility, meet compliance requirements, and reduce errors and cycle time.
This is meant to provide interested parties of an example of what a KAP could look like. It is subject to change and is dependent to specific requirements of companies and their reflective market places, accounts, customers, and competition. It is merely an example.
If you chose to use it, it is at your own risk of success.
• With 11 years’ experience as effective project Leader more than 5 years’ experience on handling AO and SI projects successfully as Project managing while leading all phase’s delivery with diverse technologies and almost 7 years closely working with Oracle technology level while driving with functional knowledge on Finance- risk and compliance, Resources & Utilities , CMT and Retail. Rigorous working knowledge and trained on PMP, ITIL process & Strategy Management process from IIM-B.
Using Analytics to Improve Your Affiliate MarketingAffiliate Summit
This presentation is from Affiliate Summit West 2018 (January 7 - January 9, 2018 in Las Vegas).
Session description: Affiliates and Merchants will discover how to gain valuable actionable insights in analytics. We will cover best practices, most important metrics to use, and how to use this information for success.
Gone are the days when partners fought to establish their credentials with a large vendor. Today, it’s the vendors themselves who are under increasing pressure to ‘wow’ partners whom themselves can have multiple relationships with multiple tech companies. The good news is that we have a few ‘wow’ tricks up our sleeves, and can point to a proud track record of activating and empowering partners.
So what’s your ‘next best move’? Well, by downloading our eBook on you’ll find some useful insights, hints, and tips to get you started..
Performance measurement system for startups and scaling upBrowne & Mohan
what measures should startups and scaling up firms use to direct and align their multi-functional activities. In this paper, Browne & Mohan consultants present a comprehensive performance system that not only guides startups and scale ups, but bind several functions within the organization towards common objective.
Entrepreneurship Summit Iit Kgp How To Write A Business Plan 03 11 2007Prof Parameshwar P Iyer
This presentation makes a strong case for engineers to turn their technical ideas into creative businesses. It explains the benefits of risk taking, taking ownership, and creatively innovating for new businesses. It also gives the do's and don'ts of writing an effective business plan.
The Pilot Engage Pilot Framework: Winning with Certainty. This whitepaper explores the best practices, systems and techniques that have helped us to achieve mastery of the pilot process over a decade selling complex solutions to corporate customers. We call this framework Pilot Engage, and the results it generates have a measurable and powerful impact on the bottom line.
Strategies for Managing Sales Teams: How to find, select and compensate these...MaRS Discovery District
Hiring, managing and compensating effective salespeople is one of the biggest challenges faced by young companies, it can also be the area where most executives have the least experience and the most discomfort from a management perspective. This practical, experience based session will work through the importance of identifying, sourcing and hiring the right person for the needs of your business, considerations in managing them, and structuring compensation plans to incent the right results, and protecting the company's ability to turn a profit.
Helen Robert and Lynn Cameron, Managing Partners of TechEdge, and
Margo Crawford, President & CEO, Business Sherpa
2. INTRODUCTION
ROI-Selling can increase demand and move prospects through their
buying process faster and thus accelerate your sales pipeline. With
the right tools, your organization can uncover more leads and close
more deals. This assessment identifies what tools fit your situation
and quantifies how they can impact your bottom line.
Introduction ............................................................................................................... 2
Key Financial Metrics ................................................................................................ 3
Best Case – Worst Case Scenarios .......................................................................... 4
Benefits & Investment Explanation ............................................................................ 5
Benefits Overview ...................................................................................................... 6
Strategic Benefits ....................................................................................................... 8
Glossary of Financial Terms ...................................................................................... 9
Inputs ......................................................................................................................... 10
Benefit Claims ............................................................................................................ 10
About Futuresight ....................................................................................................... 10
CONTENTS
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3. KEY FINANCIAL METRICS
This analysis covers a 1 year period. The estimated financial results are:
The chart shows that the cumulative net benefit is $302,520
CUMULATIVE BENEFIT
Cost to Delay per
Month
Payback PeriodReturn on
Investment (ROI)
Net Present
Value (NPV)
1,776,532 776 2 29,609
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FutureSight Inc. | 206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
4. BEST CASE – WORST CASE SCENARIOS
The best case and worst case scenarios provide a range of possible outcomes. Although actual
results may fall outside this range, these scenarios help better define the probable results.
Metric Best Expected Worst
Net Present
Value (NPV)
$375,177 $282,128 $189,079
Return on
Investment (ROI)
417% 313% 210%
Payback Period
(months)
2 2 3
Cost to Delay per
Month
$31,265 $23,511 $15,757
BEST/WORST CASE
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5. BENEFITS & INVESTMENT EXPLANATION
Sales Increases
Additional
Qualified
Leads
Increase in your qualified leads attributable to prospects using assessment surveys,
value calculators and TCO calculators to assess the cost of their problem and estimate
the value they could receive from deploying your product/solution
Higher
Sales Close
Ratio
Increase in your sales close ratio attributable to your sales representatives using sales
tools such as value calculators, TCO calculators and ROI calculators to focus the sales
dialog with buyers on the value they could receive from your product/solution and from
prospects using similar tools and assessments to self qualify themselves before they
enter your sales pipeline
Higher
Average
Selling
Price
Increase in your average selling price attributable to your sales representatives using
sales tools such as value calculators, TCO calculators and ROI calculators to estimate
your product/solution's value to a prospect and selling based upon that value and not on
features/functions and from prospects using similar tools and assessments to understand
the value or your solution before they enter your sales pipeline
Cost Savings
Selling Cost
Savings
Decrease in selling cost (e.g., travel, campaign material and telecommunications
expenses) due to a shorter sales cycle attributable to your sales representatives using
sales tools such as valuecalculators, TCO calculators and ROI calculators to present
buyers with a quantified business case early in the sales process and from prospects
using similar tools and assessments to self qualify themselves before they enter your
sales pipeline
Sales/Mark
eting Labor
Savings
Decrease in time spent preparing a business case attributable to using value calculators,
TCO calculators and ROI calculators to produce the business case
Investment
Tool
deployment
One time tool development cost; this cost will vary depending upon the combination of
assessment tools, value calculators, TCO calculators and ROI calculators that are
deployed.
Tool
subscription
Recurring annual tool subscription cost; this cost will vary depending upon the
combination of assessment tools, value calculators, TCO calculators and ROI calculators
that are deployed.
Demand
generation
campaign
One time and recurring costs to launch and manage a demand generation campaign;
costs will vary depending upon the nature of the campaign elements
Internal
time
One time and recurring cost of time spent to launch and manage a value-based sales
and marketing program
Other One time and recurring costs miscellaneous costs (e.g., sales rep training)
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206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
6. BENEFITS OVERVIEW
Sales Increases YEAR 1
Additional Qualified Leads $46,313
Higher Sales Close Ratio $182,813
Higher Average Selling Price $56,400
Total Sales Increases $285,525
Cost Savings YEAR 1
Selling Cost Savings $42,210
Sales/Marketing Labor
Savings
$60,785
Total Cost Savings $102,995
Investment YEAR 1
Tool deployment $30,000
Tool subscription $36,000
Demand generation campaign $0
Internal time $10,000
Other $10,000
Total Investment $86,000
Benefits YEAR 1
Total Gross Benefits $388,520
Cost of Capital 8%
Confidence Adjustment 100%
Total Benefits $388,520
Net Confidence-Adjusted Benefits YEAR 1
Net Confidence Adjusted
Benefits
$302,520
Total Net Confidence-Adjusted
Benefits
$302,520
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FutureSight Inc. | 206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
8. STRATEGIC BENEFITS
Aside from the tangible benefits that can be quantified, clients can expect to receive several strategic benefits as well. These
intangible benefits can be just as important to a client but are more challenging to quantify. In fact, these strategic benefits are often
aligned to some of our client’s corporate goals and objectives. Our demand generation and sales enablement tools contribute to the
following strategic benefits:
1. Higher Customer Satisfaction
Sales team can more legitimately point out the value-enhancing benefits to customers and increase the
customer's confidence that they are receiving great value from your offer, and hence grow their satisfaction
and loyalty towards your company.
2. Increased Competitive Advantage
A value-based marketing and sales program can be a key differentiator in the sales process and create
barriers to entry for your competitors.
3. Better Sales Force Morale & Confidence
Sales representatives become excited about a new tool in the toolbox and that enthusiasm and confidence
propels them to open more doors with more senior economic buyers.
4. Enhanced Online Experience
Attract new Web site visitors, engage them with an interactive business value proposition and convert them to
a qualified lead once they understand the value of your offering.
5. Improved Employee Staff Utilization & Faster Time-to-Benefit
Our consultants are experienced and highly skilled in developing and implementing marketing and sales tools
and programs, which accelerates your results and frees up marketing and IT resources for other initiatives.
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206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
9. GLOSSARY OF FINANCIAL TERMS
Net Present Value (NPV)
The value in today's dollars of all cash benefits received at a future date given a discount
rate (cost of capital), less the present value of any expenses. CFOs want to see all of the
future net cash flows associated with the investment, discounted by an appropriate interest
rate, in order to determine the present value of future cash flows, and compare this with
other potential investments.
Return on Investment (ROI)
The net present value derived from an investment, divided by the present value of the
investment (i.e., associated startup and ongoing costs). ROI is a metric CFOs use in
evaluating decisions; enabling them to determine the true economic worth of the
investment.
Payback Period
The point in time (sometimes referred to as breakeven point) where a company recoups its
costs for a particular investment. It is a good measure of risk, letting the company know how
long it is going to take to recoup an investment outlay.
Cost to Delay per Month
The net present value divided by the number of months in the analysis. This shows the
opportunity cost (amount forfeited) of waiting to make an investment decision.
Cost of Capital
The rate of return that could be earned at the same risk level as the investment that has
been selected. It is used as the interest (discount) rate to determine the present value of
future cash flows. The default value used in this analysis is eight percent.
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10. INPUTS
BENEFIT CLAIMS
INPUT YEAR 1
Sales revenue $7,500,000
Sales close ratio 20%
Gross margin 65%
Average selling price $40,000
Variable monthly selling cost per sales opportunity $100
Months in sales cycle 6
Sales opportunities requiring a business case 70%
Hours spent preparing one business case 4
Average fully loaded hourly sales/marketing compensation rate $65
Productivity capture 75%
BENEFIT CLAIM YEAR 1
Decrease in the length of the sales cycle 10.0%
Decrease in time spent preparing a business case 50.0%
Increase in average selling price 1.0%
Increase in qualified leads 1.0%
Increase in sales close ratio 5.0%
FutureSight infuses fresh, insightful thinking into your market message
and sales strategy that speeds the buying process and helps close
more deals. We help you establish a compelling positioning and
messaging strategy that connects with your customers and inspires
action, and then translate it into sales messaging, content marketing
and sales enablement tools that “hit it out of the park” in terms of
relevance and messaging.
ABOUT FUTURESIGHT
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FutureSight Inc. | 206-686-5800 | 1-888-517-5338 | www.gofuturesight.com
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11. FutureSight Inc. | 206-686-5800 | 1-888-517-5338 | www.gofuturesight.com