There are two escalating pressures in today’s marketplace that are creating a need for a more disciplined approach towards sales opportunities:
- The need to be more specialized and individualized in dealing with clients, because we can no longer afford to treat all situations in the same way.
- The reality of competition: Often to increase market share, you must do so at the direct expense of the competition. The competitive intensity of the sales environment is escalating with the globalisation of the economy.
These are the main “drivers” behind the demand that organizations adopt methodologies and processes to manage these issues.
By utilizing a rigorous and formal opportunity assessment, we are aiming to achieve two sets of objectives:
- Determine which sales opportunities should be pursued at the direct expense of others
- Given resource limitations, decide where and on what basis resource should be allocated to a sales opportunity
- Determine whether our company is over-investing or under-investing in a sales opportunity
- Enhance forecast accuracy
- Use “proven” criteria to reduce the cost of sales
- Identify, quantify and categorize opportunity assessment criteria
- Increase “Hit-Rate” (Win – Loss ratios) by avoiding unsuitable business
- Discover where we and our competition stand with a customer
- Gain a complete and accurate view of a sales situation prior to writing a sales plan to win
- Calculate the probability of winning or losing a deal early in the sales process.
All sales professionals claim to be permanently time constrained – we always have limited time and resources with which to achieve our targets. Therefore, we can be involved in only so many accounts or sales situations before we begin to lose our ability to manage what is taking place. At that point, we lose control and the competition takes control.
We can only control and manage what we understand and that is the real value of continuous and rigorous assessment of our pipelines.
Finally, we must remember that we do not earn commission for having an “overly- pregnant” pipeline – but we do earn commission for closed business!
Have a wonderful w/e, wherever you are!
PS: You might enjoy this “How I Work” piece, courtesy of Matt Heinz, which was published yesterday, if you ever wondered … well, how I work! You can read it HERE (Do please re-tweet/like it for Matt)