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B2B Sales

The most successful B2B salespeople clearly understand that they’re selling to people and not just to businesses. While they take time to understand their customer’s business, they know that identifying each individual buyers’ decision-making mindset is essential to making a sale. One key aspect of the buying mindset is motivation: Is the buyer focused on pain or gain? Problem - focused buyer

Problem-Focused Buyers Unlike in the consumer space, 70% of business buyers* make purchases to solve problems. So, a B2B salesperson will naturally encounter more buyers who want advice and solutions to address specific pain points.

How to recognize them: A problem-focused buyer will talk about the pain they are experiencing today and the negative effects on their business.  They are likely to make statements like, “High churn is cutting into our revenue” or “We need to reduce churn,”  with a focus on issues and roadblocks.

How to pitch to them: An effective sales pitch to a problem-focused customer will be based around:

  • Reducing the severity of the problem
  • Eliminating the source of the pain
  • Mitigating risk and impact

Objective-Focused Buyers Picture2There are also plenty of buyers (the other 30%) who are more dialed into achieving goals and objectives. This is a dramatically different mindset than that of the problem-focused buyer.

How to recognize them: Instead of communicating the fact that they need to eliminate a problem, objective-focused buyers are more apt to say in our churn example, “We need to improve retention in order to increase revenue and customer lifetime value.” These buyers tend to make aspirational statements about the future and speak in terms of goals they want to reach or achieve.

How to pitch to them:  Objective-oriented buyers are likely to respond positively if you can show how you can:

  • Accelerate their ability to reach goals
  • Amplify the positive results they seek
  • Streamline the path to success

With both types of buyers, the issue may be the same, but how they think about it and communicate it will be different: one will spell out the specific problems, and the other will share what results they want.

Bottom Line: A smart sales approach requires first determining if your buyer is problem or objective-focused from the very first sales meeting and then customizing your message around this mindset. By being flexible and adapting to your buyer’s focus, you’ll be far more successful at communicating value in your buyer’s language.

*Source: Impact Communications

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Last time I wrote about the implications of the consumerization of corporate buying decisions for B2B messaging.    What about sales strategy?   If individual employees have more power to select products and technologies, then should we sell to these “Corporate Consumers” the same way we do to consumers?

Yes.

Corporate Consumers make choices about smaller, one-off business purchases such as mobile devices, SaaS applications. That’s significant because it provides a revenue stream and an entry point into the company.   In addition, many business purchase decisions involve larger numbers of Corporate Consumers as nearly invisible (at first glance) influencers.   So you can use B2C tactics to create mass support for larger purchases.

Since these employees are making individual decisions, marketing aimed at individuals will most certainly sway them.  Appealing to those influencers is how many companies (You Send It comes to mind) have built their B2B business… Apple has more or less been dragged into B2B by those same influencers.  Corporate Consumer’s real power varies wildly, however.

And No.  There are some uniquely B2B considerations:

  1. Recognize that those small B2C-like sales are really only beach heads.  If you want a bigger share of wallet, maintenance revenue, long term contracts, etc., you have to shift modes – or more accurately, expand your approach to encompass both types of selling- and it’s best to recognize that dichotomy from the beginning.
  2. For larger purchases, you’ll need a way to harness the influence of Corporate Consumers.   Ideally, you’ll want to gather data about individual use within each company.    When going in for the enterprise deal, there’s enormous value and selling power in having better intelligence than the CIO about how employees are already using your technology.  Short of that, be prepared with anecdotes from enthusiastic users within their company, and stats about business use of your product.
  3. Influencers don’t sign the check.  You will still need B2B sales tactics to turn individual purchases into larger longer-term contracts.
  4. Many large corporate purchases don’t touch end-users at all.  These are the big, complex, operational decisions deep inside data centers, factories, or other operational groups.  Here you might cherry-pick a few traditionally B2C tactics, but the reality is that a direct relationship with a subject matter expert in your organization and a long-term account strategy are the real silver bullets.

Bottom line – if your product has a large end-user base within the company, invest in broad-base consumer marketing tactics, while still building the relationships with top decision makers.  If very few people touch your product, don’t bother with the Corporate Consumers.  There is a huge additional cost of sales to appeal to the masses, so make sure you really need that broad base.

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