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Let's examine each of these
seven factors in more detail.
1. Is there a clear link between the overall organizational strategy
and the sales organization's specific sales strategy?
The sales organization's sales strategy must be a direct out growth of the overall
organization's strategy objectives. The senior sales executives must meet and
develop a clear set of their organizational sales goals in complete alignment
with the organization's strategy. They must clearly identify not only specific
sales strategy goals but also the priority of each goal.
Our research with sales executives has indicated that there are five primary business
drivers that help define the sales strategy goals for a growth-minded organization.
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They are:
A. Growth via Customers: Acquiring new customers for present
products and services.
B. Growth via Products & Services: Introduction of new products
and services to either new or existing customers, cross-selling opportunities.
C. Growth via Market Expansion: New end markets and market segments,
vertical and/or horizontal expansion of current markets into new areas.
D. Growth via Profitability: Margin management, focus on high-margin
products and services, cost of sale control, increased ROI/ROWC.
E. Growth via Brand-Building: Product/service/channel/sales force
differentiation in new or existing markets.
Even when the senior team feels it has already defined its sales goals, reviewing
them in terms of these five categories often helps it to further clarify and prioritize
them. The result of this process enables the rest of the sales organization to
determine steps to take, such as creating ideal customer profiles, selecting prime
customer targets, and developing strategies for selling to key customers.
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