Sales

You might also like

Download as pdf or txt
Download as pdf or txt
You are on page 1of 58

SALES 2020

Want to know
more?

SALES 2020 is a research


project which started in
2010 in collaboration with:
We interviewed well over
100 sales executives from
different industries in Europe
and in the US.
The aim of the project was to:

• Identify future trends in sales


• Identify the role of the sales organisation in the future
Want to know
more?

WHAT WERE THE MAIN TRENDS IN


SALES FOR THE PAST 10 YEARS?
#1
GLOBALISATION
Globalisation meant
that many customers
merged into larger ones.
Globalisation has
lead many customers to
consolidate their number
of suppliers.
As a result, many suppliers have
fewer but much larger customers.
As a result, sales people are dealing
with highly professional
and well organised
purchasing departments.
#2
INTERNET
The Internet has
empowered customers with
a wealth of information.
The Internet has
enabled customers to easily
compare their suppliers.
As a result, sales people are being
replaced by the Internet because
they fail to add value.
#3
EFFICIENCY
Organisations
are increasingly doing
more with fewer people.
As a result there are fewer
opportunities for sales
people and customers to meet,
requiring relationships to be
build on added value and
not personal contacts.
#4
GOVERNANCE AND ETHICS
The importance
of ethical behaviour has given
selling a bad name.
As a result, selling is evolving from an
art, based on personal skills to a
science based on replicable and
predictable processes.
Want to know
more?

WHAT TRENDS DO SALES


ORGANISATIONS EXPECT
FOR THE COMING 10 YEARS?
#1
VALUE CO-CREATION
Speed of change and globalisation
are making product innovation
increasingly difficult for suppliers.
Sales people will have to engage
their customers into co-creating
new innovative products
and services.
#2
ECO SYSTEMS OF PARTNERS
AND CUSTOMERS
Co-creating will require
many competencies that
suppliers do not have.
Sales people will therefore have to
develop an eco-system of partners
with whom to co-create.
#3
SOCIAL MEDIA
Social media is becoming
the norm for people to
communicate with each other.
Sales people will have to use social
media tools and platforms to
communicate with their customers
and partners.
#4
KNOWLEDGE MANAGEMENT
Co-creation requires knowledge
and understanding about the
customer’s business.
Suppliers will have to find ways
to capture and replicate the knowledge
about their customer’s processes and
business.
#5
THE SERVICE
“People don’t want to buy a
quarter-inch drill. They want a
quarter-inch hole!”,Theodor Levitt
Sales people will have
to help their customers
to maximise the benefits
and value they obtain
from using their
products and services.
Want to know
more?

WHAT ARE THE


IMPLICATIONS OF THESE
TRENDS FOR THE SALES
FUNCTION IN THE FUTURE?
The sales person in the future
will be a business consultant.
… because the process is changing.

COSTOMER’S
STRATEGY ROADMAP PROBLEM SOLUTION SUPPLIER PURCHASE USE
BUYING PROCESS

2020 2010 2000 2020


BUSINESS CONSULTATIVE SELLING BUSINESS
CONSULTING SELLING CONSULTING
Customers will have to pay
for the sales people’s efforts.
… because your margins are going
down and your sales costs will go up.

COSTOMER’S
STRATEGY ROADMAP PROBLEM SOLUTION SUPPLIER PURCHASE USE
BUYING PROCESS

Higher Educated

Longer Sales Processes


To co-create solutions with customers
sales people will have to adopt a truly
customer centric mind-set.
.. because it requires different
values and beliefs.  

COSTOMER’S
STRATEGY ROADMAP PROBLEM SOLUTION SUPPLIER PURCHASE USE
BUYING PROCESS

Which solution Which is the


Which problems
do we need to fastest way to
does my product
solve the sell?
solve?
problem?

CUSTOMER PRODUCT EFFICIENCY


CENTRIC MINDSET CENTRIC MINDSET CENTRIC MINDSET
PRODUCT CUSTOMER PRODUCT
EXPERT SERVICE SUPPORT

CUSTOMER EXPERTS

The sales organisation of


the future will be a
matrix organisation combining
product and customer experts
.. because customers will want to
buy from us in different ways.  

COSTOMER’S
STRATEGY ROADMAP PROBLEM SOLUTION SUPPLIER PURCHASE USE
BUYING PROCESS

PRODUCT CUSTOMER PRODUCT


EXPERT SERVICE SUPPORT

CUSTOMER
EXPERTS
Want to know
more?

WHAT DOES THIS MEAN FOR THE


ROLE OF THE SALES FORCE
IN THE FUTURE?
The commercial logic of how
sales and marketing
complement each other is
fundamentally changing.
THE OLD COMMERCIAL LOGIC

1. MARKETING DEFINES THE STRATEGY


AND PRODUCT INNOVATIONS

2. R&D DEVELOPS THE


NEW PRODUCTS

3. SALES EXECUTE THE


MARKETING STRATEGY
This logic is BROKEN
Product innovation based on
traditional market research and
focus groups is too risky and
not fast enough.
Sales people are too expensive
to deploy as a simple personal
selling channel.
How can we fix the logic?
The costs and the risks of developing
new innovative products needs to be
shared with customers.
The commercialisation of newly co-
created solutions needs be done
through marketing channels.
THE NEW COMMERCIAL LOGIC

1. SALES PEOPLE CO-CREATE NEW INNOVATIVE


SOLUTIONS WITH KEY CUSTOMERS.

2. R&D DEVELOPS THE NEW PRODUCTS.

3. MARKETING COMMERCIALISES THESE NEW


PRODUCTS INTO THE MARKET.
THE NEW COMMERCIAL LOGIC

MARKETING SALES

R&D R&D

SALES MARKETING
THE SALES PERSON OF
THE FUTURE WILL BE:

•  MANAGING LARGE KEY ACCOUNTS


•  PROVIDING BUSINESS ADVICE FOR A FEE
•  MANAGING THE COLLABORATION WITH ALL
STAKEHOLDERS
•  CO-CREATING SOLUTIONS WITH CUSTOMERS
AND PARTNERS LEADING TO NEW
INNOVATIONS
Find our book on Amazon:

You might also like