Three Ways to Align Marketing and Sales in 2012

January 17, 2012

ImageThere has been a lot of talk (decades, really) about aligning Marketing and Sales. Like peanut butter and chocolate, separately, they get the job done. But put them together and you’ve produced a work of gastronomic genius that you can’t imagine ever splitting up again.

Yet, most organizations are still trying to get the recipe right.

Is your company best-in-class when it comes to getting these two functions working together, and holding them accountable for their performance?

This question is the basis of a new benchmark report published by Aberdeen called Sales and Marketing Alignment: The New Power Couple. Here are three highlights to help you nail the alignment challenge this year.

1. Hold Your Marketing and Sales Messaging Accountable for Driving Revenue

Previously, Aberdeen has shown that best-in-class companies recognize that marketing and sales alignment is driven by effective customer conversations, so are significantly increasing their investment in training their marketers and salespeople to create and deliver great messaging. They realize that it’s not only about where you show up… it’s about what you say when you get there.

This year, Aberdeen found that best-in-class Marketers are being kept up at night by the same challenge as their Sales counterparts: increasing top-line revenue. Every investment in a new marketing program or sales enablement initiative is evaluated with the question: “Is this going to have real business impact?”

It’s challenging enough to measure the impact of marketing campaigns. So how do you tie something as intangible as a change in your sales messaging to quantifiable results?

Philips Respironics proved it could be done. After realizing that a combative relationship between their Marketing and Sales organizations was dragging down their performance, they aligned both departments behind a new message (developed with the help of Corporate Visions), and then brought in the 3rd party measurement expert Beyond ROI to measure its impact on their business. The $7 million in net-new business and $2.5 million in up-sell revenue they found that had been significantly influenced by their initiative caught the attention of Aberdeen, who featured the story in their recent report.

Tying your new message to top-line revenue is possible. If you want to find out more about how your organization can replicate Philips’ success, attend one of three upcoming live, regional 2-hour roundtables featuring Philips, Aberdeen and Beyond ROI.

2. Get Marketing and Sales Aligned around Common, Quantifiable Goals

In 2010, we surveyed Marketing and Sales leaders at our annual Marketing and Sales Alignment conference. We found that:

41% of organizations set Sales and Marketing goals in a cross-functional process with both departments involved.
Only 21% of those leaders said that those goals were well-socialized across the entire organization.

According to Aberdeen, best-in-class companies rally Sales and Marketing behind each other’s goals.

This doesn’t mean that your Marketers need to crash your company’s annual sales kick-off (though at Corporate Visions, that’s what we’re doing as you read this). But they should be indoctrinated with the same sense of urgency salespeople have on hitting quarterly and annual numbers. And salespeople should be educated on the importance of following up on leads in a timely manner, and giving Marketing credit where it’s due for their pipeline opportunities and won deals. Check out our recent post on developing a joint Marketing and Sales Service Level Agreement to build accountability in both departments.

3. Get Sales Involved in ‘Voice of the Customer’ Research

Aberdeen also found that 71% of best-in-class Marketing organizations involve Sales in obtaining voice-of-the-customer input.

One point you need to understand here is that getting ‘voice of the customer’ input should not involve torturing your customers with 20-question inquisitions to identify what challenges they know they’re facing, and then tying your message back to those preexisting pains. Customers aren’t necessarily going to feed you pains that are big enough to cause them to switch to a new solution. Corporate Visions takes a different approach that focuses instead on identifying and amplifying the immediacy and magnitude of problems they may not even realize they have in the first place. Teach them something they don’t know!

While these message development efforts are often driven by Marketing, you need representatives from Sales in the room. After all, who knows better how well a new message will resonate with the market than the salespeople who talk to your customers every day?


Leads: Where Marketing and Sales Come Together-ish

August 15, 2011

Maybe I’m the last guy on the block, but I recently picked up on some of my teenagers’ latest lingo. Apparently, it’s really cool to add the suffix “ish” to the end of any statement, implying… “not so much.”

So, I applied it to the headline for this month’s Messaging Feed. It seems appropriate when describing the relationship between Marketing and Sales and how so-called sales leads are to be handled.

One of the emerging approaches for making sure only quality leads get to the field, and then holding the field accountable for acting on those leads, is the concept of a Service Level Agreement (SLA). SLAs have been used for years in various industries to create accountability around performance. Now, they’ve made their way into the area of sales lead management. The idea is to align Marketing and Sales around a process for nurturing leads and opportunities throughout the buying cycle, getting that process in writing, then having everyone agree to and sign the SLA.

A typical SLA could include agreement on the quantity and qualification of leads Sales can expect from Marketing, expectations for Sales follow-up on those leads, timing of when a lead should be recycled back to Marketing, and how Marketing receives credit for closed business.

But do SLAs work?

We put the question out to all of you in a recent poll. Here’s what you told us:

  • 74% of you indicated that your organization does not have a SLA, or you’ve never heard of it.
  • Of those that did have an SLA, 70% saw some increase in the quality and qualification of leads after your organization implemented it.
  • 59% of you say that Marketing misses the mark when it comes to creating and distributing messages and tools that help Sales follow-up with leads in the early stages.

View the full report here.

We’ve put an SLA in place here at Corporate Visions for our Marketing and Sales departments. Here’s what we discovered. It’s not the SLA document itself that drives greater alignment or an increase in lead quality and qualification. It’s the rigorous, painful process Marketing and Sales teams push through in order to develop the SLA and enforce it.

Here’s an interesting outcome. We discovered that we passed only 1/3 as many leads from Marketing to Sales during the first six months of this year vs. last year. It’s not because we developed fewer leads. We just applied a more extensive qualification and nurturing process. Despite getting significantly fewer leads from Marketing, the amount of business closed by our salespeople from Marketing-sourced leads is up by 35%.

Fewer, higher-quality leads create more revenue. Imagine that.

So, if your company needs to get Marketing and Sales closer together-ish… consider a lead management SLA. There could be some interesting outcomes for your effort.

- Tim Riesterer, CMO and SVP Strategic Consulting and Products


Optimizing Sales Performance: Advice from the Pros

July 20, 2011

CSO Insights is like the Gallup Polls of Selling. They do some of the most exhaustive and respected research in sales effectiveness. Their yearly “Sales Performance Optimization” survey of over 2,000 companies is often cited as the industry benchmark by many respected sources.

You have to pay big bucks to get access to their content. But, from time to time, they publish eBooks that feature a taste of their results, along with interviews where they profile industry thought leaders on critical topics and approaches that CSO Insights deems effective in helping salespeople.

CSO Insights eBook: Sales Management 2.0CSO Insights’ latest eBook (Sales Management 2.0: Optimizing Sales Performance 2011 – Volume 6) features a section on Sales Messaging and an interview with Corporate Visions. This is important because the sales messaging approach you have already embraced is being recognized as a top-of-mind strategy for optimizing sales performance.

Click on this link to get your free copy of this insightful eBook. Our treat.

In addition to a refresher on sales messaging, you will also learn about:

Opportunity Creation – Ideas for a new model for lead generation and opportunity conversion that changes the way salespeople and companies approach these early parts of the sales funnel.

Sales Management Development – Insights about what sales managers should and should not be doing based on challenges such as lower close rates, higher no decision rates and increasing growth targets.


Demand Creation Requires Urgency Creation

February 17, 2010
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What does Dwight from NBC’s The Office have to teach us about messaging?  In the thirteenth episode of the fifth season (“Stress Relief”), Dwight tries a unique tactic to teach fire safety (don’t try this at home… or the office).

Watch as much of this clip as you can handle:


You clearly don’t want or need to go to extremes, but creating urgency with context is the key to driving home your point.   How many times have you simply tuned out an alarm because you figured it was just another drill?

As I’m writing this, it’s Saturday in my small suburban community and the siren is going off, signaling it is noon.  But, no one gives it much attention in my house, or neighborhood.  It’s just the “noon whistle.”

Since I live near Milwaukee, WI, tornadoes, hail, and the ominous storms with “damaging” or “straight-line” winds can occur suddenly.  Interestingly, the siren that signals it is noon on a Saturday is the same one my community uses to signal a severe weather emergency.

The siren that is ignored on Saturdays at noon when the weather is nice can clear an entire park within minutes on a threatening summer Saturday.  I’ve heard that the only time the “noon whistle” does not happen is when the weather is bad.  Why?  The Public Safety department doesn’t want people to mistake it for a real emergency.

In other words, the siren uses the exact same sound, but you don’t know what it means without putting it in context.  The siren on a sunny Saturday at noon means nothing.  The same siren with dark clouds or wind means “take shelter now!”  Context gives the message its meaning.

Context Creates Urgency

It’s the same with your company’s marketing messages or value propositions.  Context creates urgency.  It’s what causes your prospect to take action versus listen passively to the same blah, blah, blah they’ve heard 100 times.

Many companies tell their story in a generic way, often comparing themselves to their competitors.  Hoping the prospect will care.  But, there’s no reason for a prospect to do anything different, if they don’t understand the potential impact on them.  Just like the siren during the sunny day vs. the cloudy day.  You need to clearly show your prospects the potential upside or downside of responding to or ignoring the challenges they face – not the features you offer.

This has never been more important for Marketing and Sales leaders to grasp.  As the economy struggles to escape the grips of a recession, you will be working harder than ever to create demand and create urgency — versus trying to beat competitors — just to build a respectable pipeline.

Sales Can’t Wait for BANT-qualified Leads

I recently spoke with a VP of Sales at one of the biggest software companies.  He said that his salespeople are spending significantly more time on “deal creation” than running traditional competitive sales cycles.  “Otherwise, they’d have nothing to do,” he said.

“Unfortunately, it’s the part of the job where they have the least messaging and least training,” he added.  “But, they know they have to do it if they have any chance of succeeding.”

Today more than ever, your marketing and sales efforts need to create opportunities before your prospects have determined a budget.  Why? Because there aren’t enough deals happening fast enough on their own to help your company make its number.

If you wait for Marketing to create awareness and then demand, and focus your sales people exclusively on managing BANT- (Budget, Authority, Need, Timing) qualified leads, you are going to hear a lot of crickets chirping on your pipeline calls.

One superstar salesperson recently told me, “If I had to feed my children based on waiting for Marketing leads, they’d starve.”  That’s why he approaches demand generation as a significant part of the job.

The Challenger Model

So many companies get their underwear wadded up over the competitive matrix.  You know the chart I’m talking about.  The one with all the competitors’ names and the images of half moons, quarter moons and full moons to show where you are different from your competitors.

That’s all well and good when you are buried deep in the weeds of a “competitive bake-off.” And you have all you can handle keeping up with RFP’s (requests for proposal).  But those days are a distant memory.  And, they aren’t coming back anytime soon.

You know what else has disappeared?  The days of the elongated, expensive dog-and-pony demo parades.  Prospect decision-makers are telling researchers they want a different kind of engagement with sales people.

According to the Corporate Executive Board’s Sales Executive Council (SEC), the sales profile most likely to succeed today is something called “The Challenger.”  Decision-makers tell SEC they prefer conversations with companies where they, the prospects, learn something new.  They want their sales interactions to provide a new, fresh insight by challenging the status quo and showing them a better way to do something.

Most companies struggle to equip their sales people to have these types of interactions.  Why?  It goes back to the initial premise of this article.  You have the context all wrong.

A company-focused context that emphasizes your product features and tries to take out your competitors on a competitive matrix has nothing to do with what your prospects are looking to accomplish.  You are arguing in your context, but the prospect is living in their context.

The real winners create and deliver messaging in a customer-focused context that points out problems and pitfalls that are threatening your prospect’s ability to meet their objectives, and then aligns your solution to their context.  You also show them how you can help avoid the landmines and pains others like them have experienced.

By getting into your prospect’s context, creating urgency to solve a problem, and showing them how you can uniquely help, you will significantly increase the chances they will care enough to start a buying cycle with you.

And, after all, that’s job #1 today.

- Timothy Riesterer
CMO and SVP Strategic Consulting at Corporate Visions Inc.
Co-author of Customer Message Management


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