Sales

Software AEs: Pull a list of your closed-lost opportunities in the last 12 months. How many did we mark "price" or "budget" as the reason code for the loss? Price/budget objections are often an easier way for the prospect to tell us - "I don't think this software will be as easy to implement, or as valuable, as you're making it out to be". It's why cost is #10 for SMB & MMKT, and absent from the top 10 list of ENT buying considerations. Buyers know the phrase, "no budget", will get us to leave them alone. A few months ago, G2 released their Software Buying Behavior report (that's where I got the data below). Here's how I'd use this G2 graphic, post-demo, in a conversation with a software prospect: Step #1 - Crop the image to the column that reflects your prospect. Step #2 - Copy/paste it on a slide, and title it "Elephant in the Room" (title credit: Amy Hrehovcik. She shared that slide title with me when I interviewed her on the Challenger podcast and I loved it.) Step #3 - Say, "Let's address the elephant in the room. Often, I speak with executives at SMB/MMKT/ENT companies who like our solution, but have very real concerns like those you see listed here. Which ones mirror what you're thinking right now?" Here's why: This data shows the buyer it's the norm to have these hesitations. It makes it normal for the prospect to admit they have them, too. We're showing the buyer we aren't a happy-eared rep. We know that liking our solution isn't enough for to buy it. The best Sales convos happen when we stop trying to convince the prospect to buy, and start having open dialogue around what might make them NOT want to buy. They key here is - don't treat these as objections to "handle". Seek to understand where the concern is rooted (past experience? flawed belief/assumption?), before jumping to address it. Our ability to listen + maintain objectivity will dictate how much our prospects tell us the truth.

Demand Capture 101. This is actual data from a $60MM ARR SaaS company. Let’s break it down 👇   How a lead/account enters your pipeline is the biggest predictor of sales velocity metrics - win rates, sales cycle lengths, even ACVs.    Because how they enter your pipeline is a surrogate for buying intent & indicator of how far they are complete in the buying process.    Here’s how to measure it & use it to drive your revenue strategy:   1. Measure the Opportunity Source in Salesforce on the opportunity record.    Campaign Source = What campaign type did they convert on to move this opportunity into pipeline? (e.g. demo request, e-book download, cold call, trade show, etc.)   Source / Channel = What source or channel did they come from in order to convert? (e.g. LinkedIn ad, organic search, account intent data, ZoomInfo, etc.)    Using both of these data points combined will literally guide your strategy.    This shows you the optimal paths to *capture demand* and is easily measurable using software-based attribution.   2. Separate conversion sources between *Declared Intent* and *Low Intent*.    Declared Intent = The buyer declares intent to buy from you (e.g. Demo Request, Contact Sales) Low Intent = You assume the buyer has intent based on their digital behavior (e.g. ebook download, webinar attendee, trade show badge scan, intent data, etc.)    3. Calculate core sales analytics between the two sources.    Calculate conversion rates, lead-to-win rate, net new ARR, sales velocity, and more.    4. Visualize how much conversion intent matters to sales velocity and sales productivity.    149X higher lead-to-win rates for declared intent conversions   Declared intent = 26 “leads” to win 1 deal for $54k ARR Low Intent = 3,868 “leads” to win 1 deal for $130k ARR   18X greater sales velocity for declared intent conversions   Declared intent = $14.2MM annual sales velocity Low intent = $781k annual sales velocity 5. Recognize not all MQLs are created equal Measuring on MQLs incentivizes teams to get the most volume of MQLs for the lowest cost (low intent conversions), which is entirely misaligned with sales productivity and sales goals. Separate these into two Pipeline Sources (Declared Intent, Low Intent). Plan and build your goals for these two sources separately.   __   Now you know exactly HOW you want buyers to enter pipeline (capture demand) for maximum sales velocity & sales team efficiency. You also know exactly WHY buyers choose to take those paths to enter pipeline & WHAT triggers / channels / tactics move them to conversion. And with all of these insights, you can re-architect your strategy that optimizes for REVENUE. #revenue #sales #marketing #b2b #gtm p.s. Every SaaS company’s data looks like this, because it’s universal to how buyers buy. Most just don’t take the 3 hours of time to analyze their own data and see it for themselves.

Sales leaders need to put an end to this MADNESS. Here's a strategic seller who was put on a PIP after hitting 166% of his $1.2M quota because he didn't hit the required "activity metrics.” There’s a better way to lead: It's simple... Stop treating knowledge professionals like factory workers. Specialized knowledge, building networks, and embracing tech innovation are more important growth levers than measuring activity inputs. This is especially true for strategic sellers. If you're leading sellers who have to engage with multiple executives at large companies and you're scrutinizing their "activity metrics,” I suggest you do an audit of your management style. Here are 3 great places to start: 1. WHO DO YOU WORK FOR? The average tenure of a VP of Sales is 17 months (down from 26 mos in 2010, per Gong). You’re in a high-pressure position, so it’s a good time to think about who you *truly* work for if this trend has any chance to reverse. Instead of thinking of your board and C-Suite as your bosses, what if you flipped the model on its head? This is known as Inversion Thinking. Instead of: “What do I need to show people at the top to keep my job?” Ask: “What can I do to help the people below me reach their full potential?” 2. WHAT IS THE MEASURE OF SUCCESS? Is the team you lead given a revenue quota or something else? Businesses need revenue to survive and grow… Not more meetings on the calendar. So why over-index on activity inputs if the important outcomes are being surpassed? This is known as Linearity Bias, the assumption that a change in one quantity produces a proportional change in another. More calls, emails, and meetings ≠ more revenue. Instead of chastising reps who are over quota but under activity, try deconstructing their unique approach and giving them a platform to share it with the rest of the team. Viewing sellers like this as “lucky” will limit your growth and tenure. 3. HOW MUCH TRUST DO YOU HAVE? “We had 2 reps put in their notice this week, and I know 2 more who are about to resign.” This was verbatim from a Strategic Account AE I spoke with last week at a Series D startup. Why? Because their senior sales team must participate in 2 cold call blitzes each week in addition to 80 outbound outreaches. “We feel like glorified SDRs. 1,000 calls have produced 10 meetings, a 1% return.” They’re fed up and burned out…so they’re leaving. If a tenured seller leaves tomorrow, what’s the cost of finding, vetting, onboarding, and training a new seller? What's the cost of lost momentum with existing pipeline? If you’re leading with activity and not strategy, I guarantee you don’t have trust in your sales team. As we enter 2024, I encourage you to think differently. The era of 17 months tenure, <40% quota attainment, and 63% of sellers experiencing burnout doesn’t have to continue. You can be the change. 🐝 P.S. Strategic sellers seeking a better way, subscribe: https://buff.ly/3noPjbn

The strongest buying signal I'm seeing: time-between-meetings. So I’ve been asking this at the end of my calls lately. HubSpot says my discovery → follow-up meeting rate went up 120%. (Yeah, I for sure had room to grow.) “Is this important and interesting enough to meet again on [next step]? No worries if not.” Nothing crazy. But I’ve been re-learning how to sell faster/SMB-style deals. And in the words of Julia Carter: “Welp Becky I hate to break it to you, if they aren't booking a next step......... they probs aren't interested ¯\(ツ)/¯” So if we *don’t* set a new time then, I’ll de-prioritize the convo too. Because one of two things are true: (1) building business cases isn’t a high-priority item. (2) it is a priority, but our approach isn’t interesting. ______ Two examples: (1) Opens a chance for more discovery. e.g. a VP said last week: ”It’s high on my list, but I don’t think our reps can make the shift to do it.” I didn’t agree, but I knew where we stand. Maybe one day we cross that bridge. For now, I’m focused on others. (2) On the flipside, if they say “yep, let’s set a new time,” I’ll ask: ”Is this a ‘this week’ kinda thing? Or more a ‘in a few weeks’ kinda thing?” Another VP answered: ”I’m traveling but I have an hour gap in the airport tomorrow, let’s talk then.” So we met < 24 hours later during a layover. Which was a very “high-intent” signal. The amount of time that passes between meetings says A LOT. Got any other tips for a guy selling SMB after doing enterprise for years? Adjusting to the pace and volume has been tough sledding, ngl.

I've watched over 2,500 discovery calls in the last few years. There's one thing I'm convinced of: Top salespeople get to the "heart of the problem" FASTER than their peers. SPEED to uncovering the 'real' problem matters. Here's why: Avg salespeople don't uncover even the tip of the ice berg until late in the call. So they never get a chance to go beyond the surface. They run out of time. Great salespeople get to the heart of the matter fast. That gives them TIME: Time to peel back the onion. Time to explore negative impact. Time to diagnose the root cause. Here are four questions (in order) that get to 'the heart of the deal' fast: 1. Tell me about your biggest challenges when it comes to X? Easy enough. Just enough to kickstart the conversation in the right direction. But not enough by itself. Customers will (almost) always give surface level answers to the first question. 2. What's going on in the business that's driving [what they shared] to be a priorty. Ask this, and your customers will CHUCKLE half the time. Why? Because you are striking a CHORD when you ask that. You're getting to the 'need behind the need.' That's where big money lives. Getting closer. 3. What metric is suffering most as a result of that? Avg sellers struggle to quantify pain. You walk into a different world when you go from expressed pain to quantified pain. Your customer's urgency ramps up. And spending money to solve the problem begins to look REAL good. 4. What's driving you to solve all this now rather than later? Ask this too early? And the answers will be weak. BUT... If you ask this AFTER those first three questions... Your customer now has the FULL CONTEXT of the problem top-of-mind. And now... their answers to THIS question will be far, FAR richer. Give those 4 questions (in order) a try. P.S. Here's 39 more questions that sell: https://lnkd.in/g-VRcCsq

Every AE I know who earns over $500k/year, have perfected these 10 elements of their sales process: 1. They prepare for calls This seems like no brainer. But it isn’t. It's amazing how many sellers don’t do this. They know everything about the person and company that they possibly can (enough that you could get a job there). With tech right now this should take less than 10 minutes. Better to be over prepared for a bad call then underprepared for a good one. 2. They win on discovery To execute the key is to be genuinely curious. The best AEs say “tell me more about that.” A good discovery is not only about qualification, but what they need to do to close the deal. Their goal is not to get them to “see value”, but to truly understand what they care about on a personal level in order to transform them into your champion. 3. They’re Audible Ready It’s important to have a plan, but know that often goes wrong. If the prospect wants to focus on something else, you need to seamlessly change course. Remember, the best feature is what they find most valuable NOT what they want to sell. 4. They control the process The job is not to just show value, but teach your prospects how to buy. This includes guiding them on each step and of course and SCHEDULING FOLLOW UPs. Lose control and lose the deal. 5. They aren’t patient! They win more deals being over aggressive then under aggressive. If they're debating sending an email today or tomorrow, 99% of the time the answer is today. For AE’s who earn big $$, less is more is usually not the approach.. 6. They always give to get They don’t get over eager if a prospect is asking for something. Instead, they identify what they can get in return. This could be a follow up on the books, meeting with a DM, clear timeline of a decision, etc. 7. They never stop prospecting The best reps source a meaningful amount of their new business. It’s not about what percentage they generate, but the overall hunter mentality they never let go of. Only they control their fate. This doesn't have to mean cold emails, but always networking. 8. They Avoid Rabbit Holes Time is their most valuable asset. If a prospect is asking for a ton of unique things, they know it likely isn’t going to close. Just because someone is engaging doesn’t mean they are going to buy. 9. They nurture Just because there was a good meeting doesn’t mean the prospect is going to remember it tomorrow. They always stay top of mind. It’s not a real deal unless they're getting in front of them at least once a week. 10. They use the phone Their first instinct is always to talk to a prospect. Before responding to a long email, they pick up the phone and call. It expedites things dramatically, strengthens the relationship, and gives them a much clearer sense of where they’re at. TAKEAWAY If you want to be a top AE, you need to master all the little things. P.S. What do you think’s missing? What do top AE’s do that other’s don't?

“Sales is not relevant to me, I am in [Function other than sales].” Raise your hand if you've ever thought this way. I would be the first one to raise my hand - dismissing sales as irrelevant to my role in tech. Early in my career, the very word 'sales' conjured images of a sleazy car salesman trying to sell me unnecessary options for my new vehicle. As my career progressed, however, my perspective started to shift. I realized that sales is far more than just transactions and numbers. It's about building relationships, understanding deep-seated needs, adding value and offering meaningful solutions. Sales acumen, I discovered, is like financial literacy – a universal, indispensable skill that transcends job titles, experience levels and functions. To demystify sales and showcase its broad relevance, I reached out to my friend Aaron Norris, a former Principal Account Exec at Amazon Web Services. He is now dedicated to advancing the careers of Account Execs, focusing on long-term happiness, health, and wealth. Here are 5 invaluable tips he shared with me on how sales skills can benefit any role: 1. Discovery: Identifying and understanding your customer's top priority challenges and designing unique value-adding solutions is critical in sales. This is not a one-time effort rather an ongoing process of research, obtaining insights, collaborating and establishing feedback loops to deliver the right solutions and delight customers. 2. Stakeholder Engagement: Adapting the narrative, style, channel and frequency of messaging enables sellers to effectively engage with and obtain buy-in from internal and external executives, technical, and business stakeholders at various levels. 3. Influence: Effective influence in sales hinges on clear, honest communication and a deep understanding of customer needs and team dynamics. It's about building trust by consistently delivering on promises and showing commitment to customers’ and colleagues' success. This approach not only drives decision-making but also strengthens team collaboration, accounting for their unique skills, needs and interests. 4. Resilience: Navigating a high-pressure and target-driven environment, sales professionals often face rejection and must rebound after losses. To remain composed and resilient during challenging times, they prioritize customer focus, engage the executive team early, and make decisions with a long-term perspective. 5. Relationship Building: Building authentic relationships in sales requires prioritizing your customers' success over closing a deal. It involves becoming their most trusted advisor by investing time in building the partnership, understanding their goals and strategy, providing value at every opportunity, and celebrating their wins. Looking for additional insights on the topic? Follow Aaron. He posts daily on the topics of enterprise sales, personal development and leadership. PS: Just for a bit of fun, share a ‘sales horror story’ below!

I asked a salesperson for the price. I was taken back by their response: “Let’s hold off on that until I learn more about your situation and show you the demo. I want you to see the value first.” The problem? I’ve done research. I can’t determine value without price. Salespeople don’t determine value, buyers do. When you hold price hostage you destroy trust. Why? Prospects think you’re hiding something. So if a prospect asks for the price, tell them the price, even if it’s a range. Like this: Prospect: “What’s the price?” Salesperson: “There are a few variables but typically companies invest between X and Y. Can you see yourself falling in that range?” Then shut the front door. If your prospect doesn’t bring up the price bring it up early. Like this: “Can I ask you a direct question?” “I don't want to do you a disservice by wasting your time doing a demo, only for us to realize that although you like what you see we’re not fit because we’re too expensive. So based on what you told me so far, would it be okay if I ran some numbers by you?” Price conveys certainty. The shift? Hold price hostage —> Set price free

How to run discovery calls better than 95% of AEs (4 steps). 𝟭. 𝗚𝗲𝘁 𝗗𝗼𝘄𝗻 𝘁𝗼 𝗕𝘂𝘀𝗶𝗻𝗲𝘀𝘀 Don't ask "Where are you calling in from?" Instead: Hey Jill, Appreciate you taking the time. I want to make sure we get the most out of our call today. So I'd like to start with my research, what I know about your business and how I think we may be able to help. How does that sound? 𝟮. 𝗨𝘀𝗲 𝗕𝘂𝗰𝗸𝗲𝘁 𝗤𝘂𝗲𝘀𝘁𝗶𝗼𝗻𝘀 Don't ask "What brought you to Acme?" Instead: Hey Jill, In my research I noticed XYZ. I speak with a lot of founders in your situation and usually, that means a focus on: 1. Priority 1 2. Priority 2 Is that the case for you or is something else more important? 𝟯. 𝗗𝗶𝗳𝗳𝗲𝗿𝗲𝗻𝘁𝗶𝗮𝘁𝗲 Once you learn their key priorities and problems. Explain the following: - How you'll specifically help - How your solution's different - Why those differences are important Have this be the cornerstone of your entire sales process. 𝟰. 𝗦𝗲𝘁 𝗡𝗲𝘅𝘁 𝗦𝘁𝗲𝗽𝘀 Don't ask "What next step makes sense?" Instead: - Make a reccomendation - What will be covered on the call? - Why is that valuable to the customer? - Multi Thread with other stakeholders This takes at least 5 minutes to do. 👉 Do these 4 things consistently and watch your confidence with discovery calls soar. What'd I miss, friends?

PE partner told me something that blew my mind last week "We don't invest in companies with great sales teams anymore. We invest in companies with great sales systems." He explained it like this "A great sales rep can hit 150% of quota. But what happens when they leave? The knowledge walks out the door with them." "A great sales system creates multiple people hitting 120% consistently. And it's repeatable." He showed me the numbers from their portfolio. Companies that scaled past $100M all had one thing in common They systematized EVERYTHING. Lead routing. Follow-up sequences. Objection handling. Proposal generation. Onboarding processes. The companies that stayed stuck under $50M were still depending on individual reps to figure it out. "We learned this the hard way," he said. "We bought a company with three amazing salespeople. Two of them left within 18 months. Revenue dropped by a gross amount" Now their investment thesis is ... can this sales process work without the current team? If the answer is no, they don't invest. This completely changed how I think about building sales organizations. Stop hiring your way to growth. Start systematizing your way to growth. Document everything. Automate what you can. Make it repeatable. Your company's value isn't tied to individual performance anymore. It's tied to systematic performance. The companies that understand this are the ones getting acquired for 10x multiples. The ones that don't are getting left behind. — ♻️ Repost and follow for more insights See what we're doing at Skaled Consulting to help companies create repeatable, scalable processes