New SE Experienced SE Sales Manager or Sales Trainer Sales Representative Marketing and Product Management Technical Consultant
4 5 5 6 6 6
2 An Overview of the Sales Process
7
Definition of the Market Marketing Campaigns Customer Events
8 8 9
Trade Shows and Seminars
9
Mailing Lists and Outbound Calling Campaigns
9
Partners Lead Qualification Request for Proposal Needs Analysis, Discovery, and First Customer Engagement Presentation, Demonstration, and Proposal Presentation Demonstration Proposal Evaluation (Optional) Negotiations: Close or Lose—Getting the Deal
9 10 10 11 11 11 12 12 12 12
v
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Mastering Technical Sales: The Sales Engineer’s Handbook
Postsales Support and Ongoing Account Management Summary
13 13
3 Lead Qualification
17
You Can Get Leads Too Lead Quality Lead Ratings
19 19 19
Qualification Criteria
20
Acute Organizational Pain Can Trump Budget, Time Frame, and Fit Effective Lead Qualification Competitive Implications of Technical Qualification Criteria
23 23 23
Making the Decision to Say No
24
Defending Your Position When the Sales Rep Disagrees
24
Low-Cost Fallback Strategies Internal Roles in the Lead Qualification Process Sales Representative Telemarketer/Lead Development
24 25 25 26
Sales Management
26
SE
26
Care and Feeding of the Telemarketing Team Lead Qualification in Action: The Process with Three Common Scenarios Solicited Leads Unsolicited Leads
27 27 27 28
Current Projects or Recommended Leads Summary
28 29
4 The RFP Process
31
Creation of an RFP Basic Rule of RFPs The Go/No-Go Decision Internally Scoring the RFP Handling Deadlines Strategies for Avoiding an RFP The Alternate Response Tactic Completing the RFP Presentation and Follow-Up Summary Appendix 4A
31 32 33 34 35 36 37 38 39 40 42
Contents
ix
5 Needs Analysis and Discovery
43
Overview Why Discovery Is Critical The Seven-Step Needs Analysis Approach Step 1: Identify Needed Information
43 44 45 45
Step 2: Build the Perfect Pitch
48
Step 3: Explain the Needs Analysis Process
50
Step 4: Interview Key Customers
52
Step 5: Observe Current Processes—Get to Know the End User
54
Step 6: Synthesize Information
54
Step 7: Prepare and Present Summary
55
Wrap-Up Customizing the Discovery Process Getting the Economics Right
56 57 57
Adapt Your Questions to Your Audience Summary
58 60
6 Successful Customer Engagement
61
First Contact Remember What They Want from You
62 63
Dissecting Project Dynamics Back the Strongest Faction Identify the People You Need to Know Use Your Intuition But Don’t Forget to Use Your Brain Covering the Whole Team, Including the Minor Players Coaches Where to Find Coaches
64 64 65 65 65 66 66 68
What If There Are No Obvious Options?
68
How to Get to Potential Coaches
68
Developing the Coach
69
The Unconscious Coach
69
Maintaining the Relationship Credibility Maintaining Credibility Losing Credibility Trying to Regain Credibility Know What You Don’t Know Summary
69 70 70 71 71 71 72
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Mastering Technical Sales: The Sales Engineer’s Handbook
7 The Perfect Pitch
73
Developing a Focused Message Start with the Structure
74 74
Do a Data Dump to Identify Solution and Proof Points
75
Organize the Ideas
76
Focus the Message
76
Transfer to PowerPoint Nonverbal Delivery Skills Verbal Delivery Skills Strategize the Start Special Situations Very Large Audiences
76 77 79 81 82 82
Presenting Via Teleconference
83
Around the Conference Room Table
83
Feature and Function Presentations
84
Using Humor Using Nervous Energy to Your Advantage Finish Strongly Summary
84 84 86 86
8 The Dash to Demo
89
Why Does the Dash to Demo Occur? “The Product” Becomes “The Solution” Risk Mitigation Failing to Plan Is Planning to Fail Logistical Implications The Agenda Preparing the Way The Audience Segment the Audience
91 91 92 92 94 96 96 98 99
Dealing with Techincal and Business Audiences Checkpoint Charlie Summary Appendix 8A: Sample Agenda
9 Snap Demos Scoping the Snap Demo Structuring the Snap Demo Exhibit 9.1: Sample Snap Demo Structure Keep the Demo Snappy
99 100 101 102
105 106 107 107 108
Contents
ix
Wrapping the Snap Demo (Tell Them What They Saw) Snap Demos for Executive Audiences Closing the Demo and Establishing Next Steps Snap Demo Considerations Summary
109 109 110 110 110
10 Remote Demonstrations and Webcasts
113
The Basic Premise Advantages and Disadvantages of the Remote Demonstration Best Practices in Preparing for a Webcast The First 3 Minutes are Critical Effectively Constructing and Delivering PowerPoint for a Webcast Some Really Bad Habits to Avoid Engaging the Audience Prime Time for Webcasts The Wrap-Up Summary
11 Evaluation Strategies Developing the Strategy Conducting an Evaluation: How Did We Get Here? Negotiating Engagement in a Trial How Do You Define Success? How to Win: Determining the Success Criteria How to Ensure Success: Evaluating the Success Criteria Intellectually Closing the Deal Working Backward from the Definition of Success Running a Trial Trial Phases
113 114 116 118 119 120 121 121 122 123
125 125 125 126 127 127 128 129 130 130 130
Basic Trial Organization
134
Training
136
Documentation
136
Equipment
137
Networking and Access Anticipate and Outdeliver Your Competitor Avoiding a Trial Does the Customer Do Trials? Are They Paying for the Pilot? Using References Summary
138 138 139 140 140 141 141
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Mastering Technical Sales: The Sales Engineer’s Handbook
12 Contract Negotiation and Pricing
143
An Introductory Approach Creative Ways to Say Nothing Understanding the Quote An Advanced Tactic Summary
144 145 145 145 146
13 Sanity After the Sale
149
Developing the Transition Plan Ongoing Engagement Plan Customer Meetings: Project Kickoff During Deployment
150 151 151 151
After Rollout Leveraging the Rest of the Sales Team The Inside Sales Team
151 153 153
Executives Having a Fallback Strategy Personal Benefits of Postsales Support Personal References
153 153 153 154
Maintain Relationships for Add-On Sales
155
Keep Your Reservoir of Customer Stories Full
155
Potential for Customer Satisfaction Objectives
155
Good Way to Build Skills
156
Benefit to the Customer: Free Consulting
156
Justifying Engagement with Your Management
156
Where to Draw the Line Troubleshooting the Handoff Major Accounts Have Special Requirements
156 157 157
Customer Skimps on Training
158
Customer Tries to Do It Themselves
158
Working With System Integrators Summary Appendix 13A: Record-Keeping Forms for Postsales Information
14 Getting Started The Ramp Process Setting Goals with Your Manager
159 159 161
163 163 164
Find Out What You Need to Know to Succeed
164
Boot Camp
166
Contents
xi
Why Use Benchmarking? Develop a 30-/90-/180-Day Plan Example Plan 1
166 167 168
Example Plan 2
169
The 30-/90-/180-Day Structure
169
Qualities of a Good Plan
170
Ready to Go Tips on Making the First 6 Months a Success Find a Mentor Read the Manual—Really!
170 171 171 172
Watch the Video
172
Master the Technology
172
Master the Product
172
Boot Camp Training Contacts
173
Work in the Factory
173
Face Time and Relationships
173
Practice, Practice, Practice
173
Learn About Key Customers and How They Actually Use Your Product
174
Understand the Financials of Your Value Proposition
174
Learn the Math; Don’t Just Memorize the Answers
174
Understand Content, but Don’t Feel Overwhelmed
175
If You Can Use Your Product in Everyday Life, Do So
175
Get Feedback—from Everyone
175
Review Your Plan Weekly Summary
15 Objection Handling
175 176
177
Before You Start Categorizing Objections A Valid Objection
177 178 178
A Competitive Objection
178
The Seymour Objection
179
The Coaching Objection
180
The Hostile Objection
181
The Generic Objection Basic Techniques of Objection Handling Basic Technique 1: Listen Basic Technique 2: Coordinate
183 183 183 184
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Mastering Technical Sales: The Sales Engineer’s Handbook
Basic Technique 3: Clarify
184
Basic Technique 4: Restate
184
Basic Technique 5: Answer Working With Consultants Follow Up Leads to Closeout Summary
16 The Executive Connection What They Think of You Keep It Simple Plan the Meeting Setting the Stage
185 186 186 186
189 189 190 191 191
Following the Dollars
192
Determining the Goal of the Meeting
193
You Are the Expert Execute the Meeting Education Versus Selling Presentation Ideas
193 194 194 194
Presentation Technique Follow Up After the Meeting Building a Relationship
195 196 196
A Rational Decision The Informal Executive Connection Summary
196 196 198
17 The U in Technical Sales
199
Me, Myself, and I What Are Your Goals? Your Personal Value Proposition: Self-Branding Internal Branding External Branding Communicating Your Personal Value Proposition Delivering on Your Value Proposition Put Together the Plan Put Your Plan Into Action Career Progression and the PVP Benchmarking Ethics in Sales Summary
18 Selling with Partners Partnership Defined Defining Account Ownership Working the Relationship and Building the Infrastructure The Dangers of Dealing with Partners Summary
19 Competitive Tactics Identify the Competition Develop a Competitive Strategy Know Thine Enemy The Art of Competitive Analysis “Tell Me About Your Competition” Using Product Benchmarks Summary
20 Using the CRM/SFA System
209 209 211 213 215 217
219 220 220 222 224 224 227 228
229
Why CRM Is Your Best Friend Time and Resource Prioritization
230 232
The Art of Repeatability Gain Advantage by Tapping Organizational Knowledge Look at the Numbers Annual Review Time Summary
233 233 235 235 236
21 Crossing Over to the Dark Side What Is Your Motivation? Positioning for the Change What You Should Expect How to Make It All Work Summary
22 The Hybrid Sales Specialist Position The New Role of the Account Manager Introducing the Hybrid Technical-Sales Position Parallel Sales Forces Complexities of the PSR Model Compensation Communication Cross-Selling Summary
239 239 240 242 243 245
247 248 248 249 253 253 254 255 256
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Mastering Technical Sales: The Sales Engineer’s Handbook
23 Organizational Structure
257
Structure Structure 1: Separate SE Structure
258 259
Structure 2: Strong Branch Management Roles in the SE Organization Training
260 261 261
Demonstration Preparation
261
Bid Support
262
Mentoring and Skills Development
262
Motivation
263
Product Expertise
263
Point of Escalation/General Management Support Review of Sales Support Functions SE Manager
263 264 264
Trainer
264
Lead SEs
265
Infrastructure Support Groups
266
Overlay Sales/Market Executives
266
Field Marketing Advanced Topics: Five Models for SE Organizations Ratios: 2 to 1 or 1 to 1
267 267 268
Model 1: A New Organization—Five SEs and $0 to $20 Million in Annual Sales
268
Model 2: Getting Off the Ground—20 to 30 SEs and $50 to $100 Million in Annual Sales
269
Model 3: Economies or Diseconomies of Scale—100 to 200 SEs and $350 Million in Annual Sales
270
Model 4: Over $500 Million in Annual Sales—Splitting the Business Unit
271
Model 5: Differences in the SaaS SE Organization Making the Models Work in the Real World Summary
24 Building the Infrastructure
272 272 273
275
A Little Philosophy Training Techniques Initial Corporate Training
276 277 277
Initial Technical Training
278
Follow-Up/Update Training Demonstration and Equipment Support
279 280
Contents
xv
Knowledge Management and Retention Key Requirements for a Simple Knowledge Management System
281 282
Implementation Suggestions Engineering and Technical Support General SE Processes Summary
282 284 284 285
25 Hiring Winners The Job Description Using the Hiring Profile Dealing with Recruiters Screening Candidates The Interview Setting Expectations
287 288 289 291 292 293 293
Be Prepared
293
Questions and Answers
295
Judging the Candidate’s Performance Hiring Summary
296 296 297
26 Time Management for SEs
299
Fixed Time and Infinite Demands Running Your Schedule Like a Business
299 300
The Procrastination Problem Prioritization Qualification
301 301 301
Quantification A Simple Structure for Managing Your Time Importance
302 302 303
Impact
303
Timeliness
303
Prioritizing the Tasks How to Run Your Day The Daily Close Designing Graceful Fallback Plans Get a Little Help from Your Friends
304 306 307 308 308
Apply the 80/20 Rule
308
Attaching Caveats
309
“Be Prepared” Prioritization Tactics
309
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Mastering Technical Sales: The Sales Engineer’s Handbook
Long-Term Time Management Negotiating Work Levels with Your Manager and the Sales Rep Personal Commitments Working in Abusive Environments Summary
27 Managing by the Metrics Managing by the Metrics for the Individual Managing by the Metrics for the Manager Weighting the Metrics Managing-by-Metrics Bonus Compensation Versus MBO Rolling Out Metrics-Based Management to Your Organization Avoiding the Pitfalls Summary
28 Final Words Be Passionate Keep Work and Personal Lives in Balance Consistently Outperform Expectations Build and Maintain Relationships Set and Achieve Goals Continually Challenge Yourself
310 311 311 312 312
315 316 316 318 318 319 320 320
323 323 324 324 325 326 326
About the Authors
327
Index
329
Mastering Technical Sales - SAE International
Contents Acknowledgments
xvii
1 Introduction: Why Study “Technical Sales”?
1
New SE Experienced SE Sales Manager or Sales Trainer Sales Represent...
