Sales Matter

This is the sixth blog post regarding the 10 Things I Accidentally Learned on the Path to Growth. There is little question that many small business owners really dislike the whole sales process or anything that is related to it - particularly in the IT industry. But sales is not a four letter word - well it is - but it isn't a bad one. And there is little question that sales really do matter. That could be the understatement of the century actually.

Why is there such an aversion to sales by so many IT firms? Well for many of us, we came up to leading our company via the technical side of the business. We were engineers that were good at what we did and then decided to hire a few more like us and form a company. That works for a while but soon we hit the wall because we don't sell - we can fix anything under the sun - but we don't sell. I use don't rather than can't here intentionally. Anyone can sell - maybe not equally well - but it isn't that IT owners can't sell - it is because they almost despise the idea and certainly the notion of what being a salesperson is all about. Time to get over it!

Nothing happens until something gets sold. Let me say it again - nothing happens until something gets sold. OK - I have admitted it in public. We need to sell if we want to have a business. And sales is not a matter of luck. It happens when we build a sales process and system that makes sales happen regularly. We have to make the investment to put the right system and tools in place to make it happen. It can't be a hope and a prayer. That is not a sales strategy. Sales happen when we build the right foundation, hire the right people and execute the plan consistently. It really is not magic - it just takes consistent hard work doing the right things every day.

Most sales people fail because of a lack of support and management. It is common in the IT small business space to have a revolving door of sales people. We hire a person, let them flounder around on their own for 3-4 months and then fire them because they haven't sold much or anything at all. We blame them. Here is a newsflash - they likely are NOT the problem. You are. We set most new sales hires up for failure. We don't give them the right tools. We don't have a system in place. We don't manage or support them. We wish them well and sit back waiting to count the money. It just doesn't work like that. Owner attitude and support will make or break the sales engine in any company. Take a good look in the mirror and you will likely find the problem with your sales people.

When we do find that super human who is able to defy the odds of our lack of support and systems and actually sell something - it only lasts for a while. That is because without marketing support - every sales person will eventually run out of opportunities and people they know to sell to. It is our job to create leads for our sales people to follow up on. That is called marketing. It is hard work. It costs lots of money. It is somewhat luck - often more magic than science from my experience. But without marketing support - without aircover and other supporting tools to help drive leads and open doors - even a veteran sales person with many years of success will stub their toe. It is necessary to spend money on marketing to have consistent sales performance.

The pendulum is rapidly swinging toward sales. I see some major changes that are already in motion and will change the landscape as we know it for IT for many years to come. The cloud will force us to become sales organizations. You can resist, hide you head in the sand, and wake up one day wondering what has happened to your customer base. Or you can accept the fact that change is coming and make some changes. Some of these changes have been in motion for a while. Others are more a result of the current market and the move toward the cloud. But no matter the reason - they are coming. Here are some observations:

•From technical to sales focus
•From answering the phone to creating demand
•From selling products to selling solutions
•From T&E to flat rate services
•From on premise to the cloud

No longer will the company with the most technical genius necessarily win. I predict that those with most mature sales approach will actually come out on top. This new reality is that the IT business is moving toward a transactional relationship and those who can sell will win in that landscape. The reality is that companies must become sales organizations. We have to deal with these realities:

•Sales people are not the enemy
•It requires new thinking and management
•It requires new compensation models

Along with that we must become marketing organizations:

•Referrals are great but go only so far
•Most companies have just continued to sell new solutions to their current base
•We must become lead generators for the sales team
• Lead generation is not the vendors responsibility

Here is the reality as I see it. If you don’t embrace sales, growth will be stagnant and you will be frustrated. That is - if you survive. There will be plenty of companies that fail completely because they refuse to adopt the notion of becoming sales organizations. You don't have to like it - but it does work better if you do. You do have to do it and the time to begin is immediately. You can't afford to wait on this one. Begin now to learn to sell. Put the right systems in place. Hire someone and invest in them. Manage them closely and carefully. And begin to see the results - the sooner you begin - the sooner you will reap some of the goodness that comes with selling something. Remember - nothing happens until you sell something. Get after that today!

Lessons from the Folks Down Under

I was blessed to spend a week with our HTG21 friends from down under a few weeks ago. As expected - when we boil down the real issues facing partners in ANZ (Australia-New Zealand) it starts to look extremely familiar to those facing partners in the US, UK and Canada. In fact, it is just almost the same list. Here are the challenges I believe face all of us if we want to be ready for the coming changes cloud computing brings to the marketplace.

1. We have to become sales organizations. Gone are the days when technical genius will win - we will have to sell some things before we ever get a chance to show that we even have any technical talent. Nothing happens until the sale is made.

2. We have to learn to manage a sales team. This is not like managing engineers. It is not about utilization, nor is it rocket science. But for many it is very unfamiliar and uncomfortable territory that must be conquered.

3. We have to learn how to market. Sales people only take us so far. Good ones require a solid marketing plan driving opportunities into the pipeline for them to close. That means we need to spend time and money on reaching out to new prospects. It is not magic, nor are vendors going to hand them over to us on a silver platter.

4. We have to learn to build repeatable processes. Margins will shrink and the only game in town will be volume and driving every last dollar from the deals we sell. That happens when we have process, procedure and discipline.

5. We have to build leadership. The days of one person leading an entire company to success are coming to a close. This will require teamwork, practice leaders, C-level partners that can get things done. They don't magically appear - we have to train and build them.

6. We have to build relationships. With vendors, with distibutors, with customers, with other partners - I am convinced the truly successful will have this one nailed. It will be the differentiation that will separate the winners from the rest of the pack.

I didn't need to go to Australia to come up with this list - but by going - it certainly has verified that the challenges are the same no matter where folks are doing business in the IT space. It is just a matter of the size of the issue and where companies are in addressing them.

It is good to be back on the farm again. Now we can tackle the next set of issues and get ready to put the cloud to use!

Three Fantastic Marketing Campaigns - Money to Drive Business

Did you catch the news? The SBSC program has released more funding that can be used to market your company. Up to $2000 is available and it is simple to take advantage of. Check out the details:

Offer #1


The More, the Merrier: SBSC Members Can Get up to $2,000 in Combined Marketing Development Funds Now!

This new offer is extended to all SBSC partners: Act now and you may get up to an additional $1,000 back on your Ready-to-Go Marketing investments in campaigns, events, or services. In addition to the SBSC1000 offer that has been in market since October, you are now eligible to apply for an additional $1,000. Use promo code 2010 when submitting your rebate to claim the 2010 promotion. Hurry! Offer is valid only while supplies last.

Reimbursements done through this "2010" promotion are valid for third-party reimbursement for campaigns (purchases done through http://www.mspartnerdirect.com/), services (purchased from a vendor listed at www.mspartnerdirect.com/services), and events (that are set up on http://www.microsoftpartnerevents.com/), up to $1,000. See complete Terms and Conditions here.

Free money to be used the way you want to market your company. All you have to do is be in SBSC – if you aren’t currently – this should be reason enough to get that done – and work with one of the vendors on the Microsoft site to execute. Submit the invoice and get paid. It doesn’t get a lot easier. This is one of those partner friendly programs where you get to determine what to do and how to do it and then get reimbursed for the marketing spend. HTS and their newsletter service is one of the approved vendors. If you don’t currently have an e-newsletter, I encourage you to leverage this offer and get started today!

Offer #2

HP and Microsoft want to thank you for your ongoing interest and support of the Frontline Partnership program. And they are doing it with money – up to $2000 here too!

The Frontline program is pleased to invite you to consider running a tailored marketing campaign focused on HP and Microsoft solutions, that will produce revenue for HP, Microsoft and for your company. ROI requirement is 20:1, but that really is not all that hard to hit if you focus and market your event correctly. To submit an application for FLP market development funds please complete the form found here, http://www.hpmspartnermarketing.com/doc/funding.doc, and send to: hpmssolutions@hp.com. They will gladly consider your custom campaign proposal. Until the current SBSC offer above, this was always the most flexible program out there.

Offer #3

HTG has worked hard to build meaningful programs and interaction with Microsoft. And I am pleased to announce, that with the help of our Microsoft Champs carrying your message, there are some great things that are available to you as a result. The HTG Flex Fund marketing program gives you an opportunity to apply for $500 of marketing funds which can be used by you to drive business around Win 7, Office 2010, BPOS or Exchange 2010. It is being managed very much like the popular Frontline program marketing funds -- you submit a plan -- execute -- report on your success -- and get a check for up to $500 for your marketing. It is flexible in that you determine how to use the money. The requirement is to drive a minimum 10:1 return, so you need to sell at least $5000 in Microsoft licensing to get the full reimbursement. That really isn't a difficult proposition . . . so apply today. The flex funds overview and request form are on the HTG - Microsoft SharePoint site under shared documents --Flex Funds folder. Funds are limited so there is not enough for every HTG member company to be included. You can apply for multiple grants. First come first served -- so execute!

These offers are limited:
Offer #1 only to SBSC partners in the Microsoft program
Offer #2 only to Microsoft/HP Frontline partners
Offer #3 only to HTG members

But all up here is $4500 that you can use to drive you business. Someone will use this money. Don’t let it slip out of your hands!

Starting to Think About How to Kick Your Economic Recovery and 2010 Plans into High Gear?

In a piece posted earlier this week by MSPmentor you may have noticed a brief mention of a program focused on building sales organizations that we launched in early October with Kendra Lee and KLA Group. Here is the skinny on this offer. HTG announced a strategic offering with KLA Group focused on sales hiring and lead generation. Two separate series are available exclusively to HTG members starting November 11th. We have heard loud and clear that our members are struggling with sales and hiring. Whether you are hiring your 1st salesperson or your 21st, this is one of the most critical and difficult roles you’ll hire in your company. A successful hire means successful sales growth. I don’t think there is anyone out there that doesn’t want to strive for growth.

Leads are another highly discussed topic at the many HTG peer group meetings I attend. How to get them, how to manage them, how to get results……At HTS, our solution provider organization, we have first-hand knowledge of the guidance and insight Kendra Lee can bring to an IT organization. We engaged with Kendra last year and had outstanding results. That is not the only reason we decided to engage with Kendra and team at HTG. We took the time to talk to Kendra, understand what she had to offer and work with her to build something we felt would benefit our members the most at a reasonable price. Both of these offerings were designed with the needs of the HTG membership, and YOU, in mind.

Learn more and register by clicking on the links below:
How to Hire & Onboard Great IT Sales People
Developing an Executable 2010 Lead Generation Strategy

Are you ready for 2010?