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INSIGHT: Making NZ sales in a Cloud-based economy

INSIGHT: Making NZ sales in a Cloud-based economy

Technology comes and goes, and good sales people are used to getting up to speed with the ‘next big thing’, or even just the next version.

Technology comes and goes, and good sales people are used to getting up to speed with the ‘next big thing’, or even just the next version.

However, the value proposition for purchasing computing resources is fundamentally changing as customers move applications and underlying IT infrastructure to the cloud.

The ‘product’, whether its storage, back-up or telephony, is now bought and consumed as a service, usually with a commitment to a relatively short contractual term. Managed services can also mean fewer opportunities to cross-sell lucrative add-ons and maintenance contracts.

And customers like this flexibility. They can fund cloud services out of operational budgets rather than face the hit of larger up front capital investments.

The flip-side for resellers though, is less cash flow and this in turn can affect commission payments, both quantums and structures.

As sales become increasingly transactional and less relationship-based, sales models and processes often need to change. Sales practices may need to be more efficient to maintain revenues and increase margins in an ICT industry designed for the cloud.

Identifying ways to improve established models and systems can be uncomfortable for the individuals and teams involved but it’s a necessary adjustment for those of us who make a living through sales. Customers too are having to make changes to how they operate in a cloud environment.

Sales professionals can learn from their colleagues in marketing who have responded to the challenges and opportunities presented by social media and digital, introducing automation and learning to effectively market through multiple channels online.

Now’s the time to review every part of your sales engagement with a potential client or account.

There are six key steps that make up an effective sales model, whether it be for hunters or farmers. Missing out any of these steps increases your likelihood of losing deals, and over time, your cost of sale will become unbearable.

How are you PROSPECTING?

How many calls or contacts do you have to make to gain a qualified appointment or call? How are you gaining these introductions, is it efficient?

Or, if you’re a farmer, what’s your account review process that makes sure you’re not opening the door to a competitor through an unrealised need?

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