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Measured Sales and Marketing
October 05, 2012

Measured Sales and Marketing

An axiom of sales and marketing - and life! - is that whatever you measure is improved upon...

Greetings!

Consistent and ongoing sales and marketing results are predicated around a Project Management approach involving the ideas of DESIGNING (or Planning), BUILDING (or Organizing), IMPLEMENTING (or Executing), MONITORING (or Measuring) and MANAGING (OR Improving). Here, I wanted to spend some time talking about that most vital component of this programmed methodology that enables you to OPTIMIZE all other factors.

Your sales and marketing program consists of progressing your sales process and marketing funnel. That is to say, as you know, in sales you are communicating with customers 1:1, whereas in marketing the approach is generally 1:many. So, with sales, you are trying to get each of your individual customers from being AWARE to INTERESTED, ENGAGED, EVALUATING, NEGOTIATING and CLOSING as per their needs.

In marketing, you are looking at a process of taking 1000s of SUSPECTS who are then turned into bonafide PROSPECTS based on their INTEREST in your Unique Selling Proposition (USP aka DIFFERENTIATOR). You can then begin the sales process by QUALIFYING them as having a need that you can solve and their qualifying YOU as someone they want to do business with and can trust (remember that sales and marketing is always a 2-way street with give and take and setting mutual expectations resulting in a matching of your customer's NEED and your SOLUTION). Know each of these processes well.

Now that you have mapped out the sales and marketing processes and steps to success that your individual team members have to implement, why not apply a rigorous technique of measurement in order to ensure your success in achieving the desired outcomes and passing successive milestones on your journey? What you need to keep in mind is that there is SUBJECTIVE as well as OBJECTIVE measures but that METRICS are what count.

To give you an example of the value of metrics in sales and marketing, let me quote Jeffrey Fox and say that you should NEVER try and sell anything to a business customer unless you can QUANTIFY its benefits to them as a dollar value ($!). This is your customer's Return on Investment (ROI) and is along the lines of, "Mr. Customer, each of these widgets will save you 50 cents" which means that they will generate that much more in revenue.

On the other hand, it is not enough to say that x, y, z product(s) or service(s) will help your customer do something better... what does "better" mean and how much better is your solution going to perform? The answer to this question may be something like, "Mr. Customer, these widgets will allow your machines to run faster, allowing you to produce 10 more components per hour on average."

When you have measured out the benefits to your customer of what you are selling them, you have accomplished a major portion of what sales and marketing measurement is about. Next, you need to know how many customers you need to talk to in order to create a sufficient number of qualified prospects in order to close the required amount of business in order to meet your sales goals. Finally, you must know how to communicate most effectively in order to achieve the highest response rates.

Marketing measurement is more about talking to enough people, whereas sales numbers are more about what PERCENTAGE of these people will CLOSE and do business with you. So, if you talk to 1000 people, you can bet that you will have 100 or so people who are interested and engaged to some extent. I am using the standard 1:10 ratio here but this is by no means written in stone for your business? Are your metrics different? Better still, how can you improve your ratios? Marketing's job is then done and sales kicks in whereby your sales team works with each of these interested prospects.

Once the sales team has vetted these 100 people, you may find that you get anywhere from 10 to 50 deals out of the number of prospects that you speak with. How can you improve this? What about the people who enter the Marketing funnel and progress along the sales process only to get caught up at the end by lack of budget or timing or other qualifier. Well, these people should be sent back out into an ongoing marketing loop run by either sales or marketing!

What I will add in closing is that the measurement technique of sales and marketing can be applied to specific programs such as trying to figure out what kind of advertising to use, what subject lines in your mass emails deliver the best RESPONSE and so forth. As you tweak each variable in order to see what kind of result it produces you will continue to progress in your knowledge of what works best for you.

Become a scientist and run structured sales and marketing programs, isolating the processes and variables that cause you to achieve maximum results!

Regards,
Hussain

www.sales-and-marketing-for-you.com
hussain@sales-and-marketing-for-you.com

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