Michael Wolf will be presenting on creating value and achieving trusted business partnerships. He has over 20 years of experience in sales and sales management for global tech companies. The webinar will cover: defining value selling and marketing; developing quantified value propositions; identifying value buyers in the customer's organization; determining high impact value messages; and integrating value selling into strategic account plans. It will provide techniques for consistently applying value selling to get fair prices and coaching account managers. The webinar aims to help overcome customers' increasing focus on price and transform the organization into a trusted partner.

1. How Create Value and Achieve
Trusted Business Partnerships
Michael Wolf will be presenting today's webinar. He leads Global
Partners’ Community of Practice in Value Selling and Account
Management. With more than 20 years of experience as a sales
executive for global high-tech organizations, he has developed
considerable knowledge and expertise in sales and sales
management.

2. 1. Define Value Selling and Value Marketing
2. Develop quantified value propositions
3. Identify the Value Buyers in your Customer's
organization and how to get to them
4. Determine high impact Value Selling messages
5. Consistently apply Value Selling and Marketing
techniques to get the prices you deserve
6. Integrate Value Selling Plans with your Strategic
Account Plans and coach account managers to
improve their Value selling capabilities

3. Customers are radically changing the way they interact with
Suppliers
"The classic older, golfing-type relationship manager is being replaced by
younger, entrepreneurial account managers who can cover the numbers and
all the surrounding issues rather than show the product benefits and let the
customer figure out the business impact for themselves.
"In the past the technical buyer would decide which widget was best. These
new decision makers are asking, 'Why do we need a widget at all?'
"Getting salespeople to move beyond even a solution sale will require a
global understanding of the customer's as well as our own business.
Comments from Global Sales Executives from Global Partners study “Future Focused Selling”

4. A Different Mindset
The Value-Based Account Manager is
constantly looking for ways to create unique
value for customers.
This may take many forms, products, services,
solutions and even the interaction with the
account manager –all are opportunities to
create value
A Process
1. Identify the right Value-Buyers within the
customer and determine their Value
Definitions;
2. Quantify the value of your proposal
3. Communicate Value Messages to customers
and gain their understanding and
commitment to your proposal.
and...
This Requires a New Approach to Value Selling and Marketing

5. Starting with A Comprehensive Definition of
Value Selling
"Identifying and quantifying the differentiated value of what we can
offer to our customers and presenting it in a compelling way to the
various buyer types who care about value.

6. Understand Who Cares About Which Financial Result
And what they are doing about it
How Do Hospitals Make Money?

7. Ten Financial Metrics You Can Influence
Improve Customer's
Business with Their
Customer
1. Average Selling Price
2. Sales Volume
3. Market Share
4. Cost of Goods Sold
5. R&D Expense
6. Sales & Mktg Expense
7. Admin Expense
8. Working Capital
9. Cash
10. Asset Utilization
Reduce Cost
Improve Speed and Efficiency

8. Identify Value Buyers, Priority Metrics and Value drivers
Using the Value Selling Assessment
What drives each Metric?
How do we influence the Driver?

9. Impact Customer’s Value Drivers
Improve Speed and Efficiency
Reduce Cost
Is it compelling?Improve Customer's
Business with Their
Customer
Is it unique?
What can you impact? How can you impact?

10. Value Opportunity Plan
Value Opportunity and Value Drivers you will Value Quantification Value Positioning Approach
Owner ? address ? Formula ? and Messages ?
Replace current slurry by
demonstrating superior
corrosion reduction - Fab
Director.
Yield, Cost of Goods
Better corrosion resistant
properties & selectivity improves
yield and customer ASP.
2,000 wafers/month for 45nm x
$4k x 3% yield improvement =
$240,000 Cost Goods Sold.
Discuss potential yield
improvement vs. current POR
slurry with technical users.

11. Value Messaging Framework
Global
Capabilities
Enhanced
Solution
Core
Product
Directly through the
products and
services
Combine multiple products
into packages
Add services,
Customize to provide an
overall improvement for
the customer
Expand the impact further
by providing your
company’s global
capabilities
Who is the Target for the Value Message?

12. Formulating the Value Message
Value Message Starters - Example for Core Products
Our proposed solution will enable
your products to include
advanced features, which will
result in higher selling price.
Our proposed solution will enable your
products to include advanced features
, which will result in higher selling
prices and increased market share.

13. Formulating the Value Message
Value Message Starters - Example for Enhanced Solution
By including in our proposed solution value
added services, such as on-site support,
we can impact your down time,
resulting in higher yields.
By including in our proposed solution on-site
design support, we can improve your
design productivity, resulting in better
Time To Market.

14. Formulating the Value Message
Value Message Starters - Example for Global Capabilities
By providing access to our global
resources, such as regional
design centers, we can impact
your R&D capabilities.
By using our global supply chain, you
can expand your own production
capacity world wide.

15. Consistently Execute Value Selling and Marketing Tactics
Negotiate based
on value in order
to justify a ‘fair
value’ price
Confront and
resist Value
Leakage

16. Value Negotiator Profile
Process owned by the contact for
which we can create quantifiable
value. Contact Name and/or
Value Perception Score &
Assessment Quantifiable Value Value Buyer
function. (- to +) ? Drivers ? Strategies & Actions ?
- Time to market, Achievement
of project milestones,
Utilization of development
staff
- Present business case, demonstrating where we
have delivered quantified improvements in time to
market
New product development, Jim Jones,
VP product development
0, neutral. We will need to
convince him that we can have an
impact on time to market

17. Negotiate Based on Value
Lowest price and
most extras
Price-only
Strong support and
a fair deal
Relationship
Most value at
Lowest price
Poker Players
Capture significant
value improvement
Value

18. Different Types of Value Negotiators
Buyer Type & Goal Recognize by… Optimize Value Price
by…
Engage and Negotiate by…
Price Only
• Lowest price and most
extras
• Commodity offer
• Purchasing contact only
• High-pressure
negotiating
• Knowing market
price
• Alternatives and
Naked Pricing
• Bundling
• Meeting requirements precisely – but
not more
• Focus on concessions
• Keeping score
• Regular interactions with Value
Buyers
• Formulate and communicate value
propositions with all Value Buyers in
advance
Value
• Gain significant Value
improvement
• Capture the Value
• Quantifiable value-
added offer
• Line/function decider
• Looks at alternatives
• Sharing the value
created
• Base pricing on
performance,
results, impact, etc.
• 3-way relationships; You – Value
Buyer - Procurement
• Strong relationships with Value
Buyers
• Provide Value Buyers with compelling
references & 1st-hand experiences
Relationship
• Strong support
• Market justifiable
prices – a fair deal
• Values ‘free’ support
• Depends on supplier
for their success
• May be under pressure
from Purchasing
• Calculating value of
free support
• Keeping prices in
line with the market
• Providing calculations to support
value of free support
• Providing market price benchmarks

19. Be willing to ‘Call Their Bluff’ of the Poker Player
"At the end of the day you’ve got to be willing
to call their bluff. We hear… 'Well, look, if you
can’t get to this price, this opportunity is gone.'
And then we ask, what’s our level of confidence
that we have something here that goes beyond
the actual material acquisition cost? "

20. Call Their Bluff
Rule
#1
Poker Players are Value Buyers
disguised as Price Only
Rule
#2
Make sure you have a
winning hand
Rule
#3
Be prepared to call their
bluff

21. Examples of Value Leakage
FREE SERVICE
MEETING
TIGHTER SPECS
CONSIGNMENT
INVENTORY
"Previously we had tried to just say no
as much as we could and then give in
where we had to. Our newer approach
is to say, 'What value does that have to
you? "
BETTER TERMS
PRICE DOWNS

22. Incorporate Value Selling in Account Plans

23. Value Selling Account Plan
4 Planning Areas
Value Account Positioning
Goal: Improve Value Positioning in the
Account
Strategy:
• Leverage existing, lower-level
relationships to gain access to senior
managers
Value Selling Wins
Goal: Apply Value selling to capture
individual opportunities
Strategy:
• Demonstrate the superior
performance of our solution on a
Cost of Ownership basis
Value Negotiating
Goal: Apply Value selling tactics to win
business at highest prices and margins
Strategy:
• Create a portfolio of offers with a mix
of high and low value-added products
and solutions
Value Positioning of New Products
Goal: Position new products based on the
quantifiable value they provide
Strategy:
• Quantify the potential impact of new
solutions for as many value creation
parameters as possible

24. Coach to Improve Value Selling Capabilities
Coaching Questions
Value Account Positioning
What are the customer’s financial
and business results that we can
improve?
Who are decision makers and
influencers that are responsible
for these results?
Value Selling Wins
Who are decision makers and
influencers for this opportunity?
What type of negotiators are
you facing, Price only,
Relationship, Value?
Value Negotiating
How will you decrease the
influence of Price Only negotiators
in the account?
What is the best approach to call
the bluff of the Poker Players?
Value Positioning of New
Products
Which areas and current solutions
(your’s or a competitor’s) that we
address with new products is the
customer most dissatisfied with??

25. How to Create Value and Achieve Trusted Business
Partnerships Webinar
How to Create Value and Achieve Trusted Business Partnerships Webinar:
http://bit.ly/1avn9yC
During this webinar, you will
learn how to overcome your
customers' increasing proficiency
of using price as the dominant
factor in purchasing, and, at the
same time, transform your
organization into their Trusted
Business Partner.

26. Ph. 781-352-2460
info@globalpartnersinc.com
www.globalpartnersinc.com
Global Partners, Inc.
One Broadway
Cambridge, MA, 02142
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