40% Reduction in Sales Cycle time
Medium size services business providing IT services to businesses in Europe.
No real issues, just wanted to investigate the possibilities for shortening the sales cycle.
Free Review (Summary)
Sales methods and processes were reviewed. The present sales cycle was on average 9 months from lead to order.
The review revealed that the present sales cycle was based on what has been traditionally accepted. The expectations were set with the customer in the early stages of the sale, even if they wanted the services sooner.
One of the longest processes in the sales cycle was contract review and agreement.
Responses to new leads and customer questions were based on when the sales person got round to it.
The start date for the services was based on a plan created by the supplier and resource availability.
Individual sales methods amongst the sales team varied.
Free Report (Summary)
The review concentrated on how to accelerate the sales process. The areas where time could be shortened were considered, even if only saving 1 day.
In addition, sales methods were reviewed to identify what was most effective in expediting the order.
The report identified adaptations in approach to the customers including;
– Targets times for responding to leads. Timely, perception
– Targets for responding to customer questions were set. Which mean that the next steps in the sales cycle could be processed sooner. Timely
– Sales methods to encourage the customer to order sooner were implemented. This included incentives/offers/availability/competition. Incentive, disincentive
– Building the implementation plan and timeframes with the customer at an early stage, with the customer’s timeframe as the priority. Commitment
– Target times for responding to contracts. Often solved with meetings rather than emails. Timely
– Contracts were simplified to 2 pages rather than the traditional 6 pages. Standard agreements were used where ever possible. The Sales team were given the authority to agree some contractual changes. Easy
– A culture of sales and support teams ‘priding themselves’ on quick responses was encouraged with ‘nudges’ including incentives. Timely
The Get Noticed Consultancy managed the implementation, in particular the move towards ‘response focus’ rather than ‘closing focus’. The Get Noticed Consultancy also supported the customer in meetings to help nudge the customer to commitment of timeframes that were agreed.
Individual sales methods were worked on to support the drive towards response, which implicitly led to closing sooner.
Internal team incentives were worked on and external customer incentives were worked on. Resulting in a significant number of ‘nudges’ which combined to obtain the desired result.
Within 12 months the average sales cycle had reduced from 9 months to 5 months. A total of approximately 25 Nudges were implemented.