20161121 Minds&More_The power of sales metrics
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THE POWER OF SALES METRICS Break out 1 Sales track 14:00 – 14:45 Olav Gimbrère, CEO at Betabit Sjoerd van Roessel, CCO at Betabit François Delvaux, Partner at Minds&More
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Transcript of 20161121 Minds&More_The power of sales metrics
THE POWER OF SALES METRICS
Break out 1Sales track 14:00 – 14:45
Olav Gimbrère, CEO at Betabit
Sjoerd van Roessel, CCO at Betabit
François Delvaux, Partner at Minds&More
3
Impact of Sales Metric
Managing types of Sales Roles
Importance of Sales Manager
Effect of Sales Coaching
306
Customer Satisfaction
Market Share
Ramp-Up Time
IT Investment
Training Type
Coaching
Account Plan Completion
Tool Usage
Segment of Customer
Volume of meetings
Call Type
Up/Cross-Selling
Time Allocation
Quota Achievement
Share-of-Wallet
Training Investment
Skill LevelTerritory Coverage
Call Outcomes
Customer Retention
Deal Size
Prospect Type
Pipeline Size
306Can we manage this metric?
Revenue
Revenue
Customer Satisfaction
Market Share
Ramp-Up Time
IT Investment
Training Type
Coaching
Account Plan Completion
Tool Usage
Segment of Customer
Call Volume
Call Type
Up/Cross-Selling
Number of AccountsTime Allocation
Quota Achievement
Share-of-Wallet
Process Usage
Training Investment
Skill LevelTerritory Coverage
New/Existing CustomersCall Outcomes
Customer Retention
Deal Size
Prospect Type
New/Existing Product
Pipeline Size
7
The Fog Starts to Clear
Three Types of Metrics
Business Result: A measure of the health (or success) of an organization.
AL
IG
N
A
R
O
8
LAGGING• The Past• Can’t alter outcome
Revenue
Customer Satisfaction
Quota AchievementVolume sold
Three Types of Metrics
Business Result: A measure of the health (or success) of an organization.
Sales Objective: A measure of sales force performance.
AL
IG
N
A
R
O
9
Which customers do we want to
have?
Which products do we want to
sell?
Do we have the right selling
effort?
Are our sellers effective?
Cannot be “managed”
Can only be influenced
Three Types of Metrics
Business Result: A measure of the health (or success) of an organization.
Sales Activities: A measure of seller action or behavior.
Cannot be “managed” (Lagging)
Can only be influenced
AL
IG
N
A
R
O
10
Can be directly managed (Leading)
Sales Objective: A measure of sales force performance.
Prevalence of Sales Metrics by Category
28%
55%
17%
0%
10%
20%
30%
40%
50%
60%
Business Results Sales Objectives Sales Activities
Directly Manageable
R O A
11
Ensure link activities to support objectives and results
12
CRM Training time
Training Type
Coaching sessions Account Plan Completion
Tool Usage Meeting Volume and Quality
Number of Accounts
Call TypeTime Allocation
Process Usage
Training Investment
Prospect Type
Ramp-Up Time
Segment of Customer
New/Existing Customers
Share-of-Wallet
Skill Level
Up/Cross-SellingCall Outcomes
Customer Retention
Deal Size
New/Existing Product
Revenue
Customer Satisfaction
Market Share Quota Achievement
Pipeline SizeVolume sold
Business Results: Multi-dimensional outcomes that cannot be managed
Territory Coverage
Sales Objectives: Require consent and can be influenced
Sales Activities: Individual decisions that are highly manageable
Prevalence – Metrics Activities
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8% 6%
13%
23%
51%
0%
10%
20%
30%
40%
50%
60%
Making Sales Visits
WinningDeals
Growing Accounts
Mining Territories
Enabling Sellers
Sales Manager Performance to Target
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76%
99%
115%
0%
20%
40%
60%
80%
100%
120%
140%
Bottom 25% Middle 50% Top 25%
39% Difference
518 Sales Managers (4,691 sellers)
% o
f TA
RG
ET
Impact to Their Sales Reps
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518 Sales Managers (4,691 sellers)
47% 48%
65%
0%
10%
20%
30%
40%
50%
60%
70%
Bottom 25% Middle 50% Top 25%
% of Reps Achieving Quota
Cost of a underperforming sales manager: In Euros
16
518 Sales Managers (4,691 sellers)
€3.5 millionper manager
Top
25%
Bottom
25%
115%
of target9.1 reps €1M quota €10.4MMx x =
76%
of target9.1 reps €1M quota € 6.9MMx x =
Sales Coaching Model
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E X E C U T E
AL
IGN
Execute the Activities in a management Rhythm, with structured Conversations
E X E C U T E
A R C
AlignResults,
Objectives, and
Activities
AL
IG
N
A
R
O
Continually assess performance against the expected Results
About Betabit
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19
Betabit: Sales Organization
Eindhoven
UtrechtRotterdam
Amsterdam
4 sales reps P&L responsibility Also HR responsibility (50%)
• 1.2 FTE inside sales
20
Betabit: Sales responsibilities
21
Case: Start measuring
• Anekdote tentamen
Lessons learned: Start measuring
23
Lessons learned: Start measuringCustomer Total turnover Accounttype No. of appointments Ratio appointments/turnover Conclusion
Customer 1 1.626.177€ 1. Managed account 750k+ 3 542.059€ Too little
Customer 2 1.112.369€ 1. Managed account 750k+ 4 278.092€ Too little
Customer 3 708.005€ 1. Managed account 750k+ 7 101.144€ Too little
Customer 4 606.091€ 1. Managed account 750k+ 25 24.244€ Good
Customer 5 449.027€ 2. Focus account 18 24.946€ Good
Customer 6 418.873€ 2. Focus account 12 34.906€ Good
Customer 8 332.170€ 2. Focus account 2 166.085€ Too little
Customer 9 296.446€ 2. Focus account 8 37.056€ Good
Customer 10 294.259€ 2. Focus account 7 42.037€ Too little
Customer 11 215.230€ 2. Focus account 1 215.230€ Too little
Customer 12 198.346€ 2. Focus account 5 39.669€ Good
Customer 13 179.790€ 2. Focus account 3 59.930€ Too little
Customer 14 169.913€ 2. Focus account 2 84.956€ Too little
Customer 15 120.403€ 2. Focus account 14 8.600€ Too much
Customer 16 135.500€ 2. Focus account 1 135.500€ Too little
Customer 17 104.795€ 2. Focus account 8 13.099€ Too much
Customer 18 99.172€ 2. Focus account 7 14.167€ Too much
Customer 19 94.258€ 2. Focus account 3 31.419€ Good
Customer 20 62.010€ 2. Focus account 6 10.335€ Too much
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Case: Put in people in their strength
• Anekdote Anne-Roos
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Lessons learned: Put people in their strength
Case: People need coaching
• Anekdote Gijs
Lessons learned: People need coaching
Salesperson Number of appointments Average per week
Rotterdam 69 1,77
Utrecht 116 2,97
Eindhoven 154 3,95
Amsterdam 93 2,38
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Summary
Lessons learned:
– Start measuring
– Put people in their strength
– People need coaching
Continuous improvement
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Marketing Sales TransformationMarket Assessments Sales & lead management Defining vision & mission
Segmentation, targeting & positioning
Large account management process
Shifting the paradigm and change management
Product management & marketing Creating & managing opportunitiesBuilding customer centric or
solution led organizations
Go to market plans & activation Sales Enablement Organizational design
Social Selling Mastery (Marketing) Social Selling Mastery (Sales) Social Selling (Leadership)
Communication management Value based selling and pricing Innovation & NPD processes
Pricing & value capturing Negotiating success Internal communications
(Employer) brand management Leveraging your CRM tools Coaching & capability building
Customer experience & loyalty Partner channel management Marketing & sales alignment
Marketing performance & KPI’sSales Managers: Cracking Sales
Management CodeBuilding employee engagement
Deep expertise from a team with 600+ years of collective experienceInterim services. Consulting. Academy / training.
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MINDS&MORE cvbaPark Hill OfficeJan Emiel Mommaertslaan 16b1831 Diegem
www.mindsandmore.biz Tel: +32 (0)2 704 49 40
Pieterjan Kempynck, PartnerMobile: +32 (0)477 700 541Email: [email protected]
Francois Delvaux, PartnerMobile: +32 (0)495 242 986Email: [email protected]
Benny Van Calster, PartnerMobile: +32 (0)475 633 483Email: [email protected]
Myriam Vangenechten, PartnerMobile: +32 (0)477 508 640Email: [email protected]
Pascale Hall, PartnerMobile: + 32 (0) 472 445 983Email: [email protected]
Grégoire Van der Veken, PartnerMobile: +32 (0)495 582 221Email: [email protected]
Thomas Donck, PartnerMobile: +32 (0)494 566 844Email: [email protected]
