Customers are seeing their marketplaces change, and the sales environment become increasingly difficult. To address these changes, they are seeking support from their suppliers as never before.
Three themes continue to be evident as customers define their major needs and expectations of suppliers:
Only two companies, IBM and Boise Cascade Office Products, have been repeat World Class performers. Other trends emerging that are noteworthy: customers are seeking suppliers that "add value" or "provide total solutions"; downsized customer organizations are driving line and technical executives into action, becoming involved in purchasing decisions directly if the salesperson lacks the authority to make critical decisions.
Significant customer issues have emerged and deserve supplier top management attention. Firstly salesperson effectiveness was cited as more important to the customer's business than the features and quality of the products purchased. Second, the salesperson's failure to understand the customer's business continues to be the major criticism.
Customers asked to evaluate their needs of the supplier sales forces identified 10 criteria:
1. Responsive to needs, problems; provides service.
2. Knowledge of products and customer applications.
3. Customer advocacy; partnership development.
4. Ability to keep customer up-to-date.
5. Provides a quality product/service.
6. Offers technical support.
7. Offers local or easily accessible representation.
8. Ability to provide a total solution.
9. Intimate understanding of customer's business.
10. Competitive price/value.
World Class sales organizations recognize the key ingredient to their success - the customer drives their business, repositioning the role of the sales force. Salespeople are the vital link to the customer, but more importantly, they are the voice of the customer.
Another common thread shared by these World Class sales organizations is focused leadership. While overall strategies and tactics may be altered in response to marketplace changes, the focus on those issues directly linked to their objectives never wavers. World Class sales organizations are not distracted by extraneous issues nor do they veer from the mission at hand.
These World Class organizations are "harnessing" information technology. Information is the lifeblood of all they do. Investments in information technology and system improvements are ongoing activities with these organizations.
Customer expectations that suppliers understand their business, respond more rapidly to critical issues, and add value to their relationship necessitate moving the decision-making points closer to the customer.
The World Class organizations have responded by redeploying their resources closer to the customer and empowering them with the appropriate decision-making authority.
In an effort to meet customer expectations and respond to the 10 factors the customers use to evaluate supplier sales forces, the seller must recognize the seven critical behaviours required of salespeople by their customers:
1. Personally manages customer satisfaction.
2. Really understands customer's business.
3. Acts as a customer advocate.
4. Is knowledgeable of applications, as well as products/services.
5. Is easily accessible.
6. Solves problems.
7. Is innovative in responding to customer needs.
The World Class sales organizations are meeting customer expectations and requirements by changing the role of their salespeople. The traditional sales role that included day-to-day transaction management providing specialized technical support and customer service, is evolving to that of a business consultant.
To facilitate this changing role, World Class sales organizations are investing in and building a more sophisticated infrastructure to handle those services previously provided by the salesperson. By removing administrative responsibilities, increased face-to-face time with the customer becomes available. There is opportunity to better understand the customer's business, to elevate the point of contact beyond the customer's purchasing, technical, and administrative personnel, and to provide the total solutions the customer is seeking.
This research identified eight "best practice" areas applied by the World Class sales organizations:
1. Establishing a Customer-Driven Culture.
2. Market Segmentation.
3. Market Adaptability.
4. Information Technology.
5. Customer Feedback.
6. Sales, Service, and Technical Support Systems.
7. Recruiting and Selecting Talented Salespeople.
8. Training, Coaching and Development.
