Presentation on theme: "Effective Business Development Copyright TBCI Consulting Architects of Alberta Edmonton, Alberta."— Presentation transcript:
Effective Business Development Copyright TBCI Consulting Architects of Alberta Edmonton, Alberta
How did we get here? Strategic Planning Madison Ave product marketing moved into the professional services space PCs Business Development Consultative Selling Selling Sophistication Collaborative Relationships Social Media Mobile Devices & Cloud Technology Social Media Mobile Devices & Cloud Technology Internet
What is marketing? Essentially, it is everything you do How you dress What you say How you present How you package your –Image –Services –Relationships
What is marketing? (contd) –Your historical service performance Design quality Design performance in the final deliverable Bid vs actual price Number of RFIs, design changes caused by design deficiencies/weaknesses Change orders during construction Bid ranges on design documents Trade show attendance and participation Technical papers - presentation and publication Marketing is still in the adolescent stage in most firms, yet it is one of the most complex and integrated processes in your business.
The Business Development Triangle Look for Prospects Negotiate Contract Find a prospective client Decision to Propose Submit proposal Make presentation Marketing Identify potential project Sales Client Management Identify Client Champion Maintain Regular Contact Verify Client Satisfaction Obtain Formal Evaluations Broaden Client Relations Develop a BD strategy
Key Marketing Components to Develop IFBP Matrix CRM System Opportunity Tracking Process Sales Funnel Effective Sales Training (e.g., RAS)
3-D Marketing What To Whom Where Markets Services Customers
Pull Marketing What is it? How to use it effectively. Why it is more effective than push.
Differentiation Identifying related clusters, or groups of customers, with like needs and buying characteristics Understanding the concepts of Unique & Distinctive Selling Points Differentiating Issues, Features, Benefits and Proofs Clearly answering What makes you different?
Customers You know who they are, but do you know... –their distinct buying habits –where you stand with them –how they are similar/different –where they go for services –who they like/dislike –what they like/dislike –what their key challenges are
Markets You know what they are, but do you know where they are going and where the money is? –Trends –Drivers (social, demographic, regulatory, etc) –Market Life cycle (intro, growth, mature, decline, phase-out) –Basis of your knowledge (emotional, factual) –Threats/Opportunities –PESTLE forces
Services You know what you have to offer, but is it what your customers want to buy? –Service life cycle (dog, star, cash cow, wildcat) –Unique features –Provable benefits –Leverage able
Pursue Segmentation SEGMENTSUB-SEGMENTPUBLICPRIVATEQUASI- GOVT OTHER Commercial Hotel/Entertainment Retail Office Industrial Light mfg Heavy Food/Pharma/Bio Micro-electronics Institutional Educational Correctional Healthcare Transportation Rail (Light/Heavy) Airports Road/Bridge Public Works Ports/Harbors Water/Wastewater Dams Utilities Gas Coal Nuclear Other
Service Segments StarsWildcats Cash CowsDogs Hi-growth Low share Low-growth Hi-growth High share Low-growth Market Share High Low Market Growth
Benefits to Segmentation Profitability Growth Determine competition Service distinction Defense of business Maintain competitive advantage Positioning for future
What is at the heart of Marketing? Trust Confidence Client service Listening Understanding client needs Tailoring a service at a competitive price which meets the needs and creates value for the client Repeat business at a lower cost of acquisition
Strategic Hierarchy in Marketing Corporate strategy focuses on vision - What the company wants to be. Marketing strategy focuses on where company wants to be - much like deployment of resources in military structures Company must answer question What do we want to be? in order to implement an effective marketing strategy Marketer must clearly understand his/her role in the marketing hierarchy
The Marketing Plan Why have one? Structure of the Plan Process to develop the Plan Executing and tracking the Plan The Marketers role in Plan development and execution
The Marketing Plan Plan Structure –Pre-planning Considerations (cash flow, human resources, capital requirements, etc.) –Environmental Assessment (external, internal, company (mgmt, financial, SWOT, etc.)) –Assumptions –Objectives –Action Planning (strategies, tactics, actions, responsibilities)
The Marketing Plan (contd) –Milestones (target dates) –Budget –Contingency Plan –Plan to Control Plan –Plan to Update Plan Key success factors in Marketing Plan development are involvement, creation of objectives, strategies, tactics, and actions, and in communicating the developed Plan.
Why Marketing Plans/Programs Fail Arrogance Lack of buy-in by stakeholders Greed Ignorance Hidden agendas Apathy Lack of discipline Bad luck
Selling vs Marketing Selling –Volume oriented –Short run –Individual customer –Field work Marketing –Profit planning –Long range –Market segments –Good information systems Marketing is doing and thinking, not traveling.
A Limited Time To Connect Here are several things you can do to lose your prospects attention in the first five seconds of the conversation: Start a telephone conversation with, Hi, how are you? Open your conversation by introducing yourself, your company, and what you do. Make small talk about stuff you see in their office (awards, plaques, photos, etc.). Give them an overview of your products and services.
A Limited Time To Connect Explain how your product or service will benefit them. Tell them what companies you have worked with. Show them the awards and accolades your company's service has received. Give them a brochure that outlines your key services. Unfortunately, most sales people fail to effectively open the sales conversation with a new prospect.
Selling Issues First Impressions are critical –In the first 0-30 seconds of a sales call, the first response is always irrational first impression usually lasts first role-definition shapes the relationship –In the following minutes the first impression will either be confirmed or altered future doors to the relationship will either be opened or closed
You are what Youre Selling Be sure the client/prospect sees what he/she wants: –Competence –Understanding –Interest –Respect –Energy –Comfort –Trust
Compelling Call Objectives Get through Instill urgency Create a positive image Generate information/receptivity Define the next steps Maintain control of the process
The Sales Call Know the prospect/customer before going in Have a strategy or plan Set reasonable call objectives Take notes Should there ever be a cold call?
Getting Through the Selling Barriers Gatekeepers Voice and Finding the right person/qualifying the prospect Creating interest in the interview Know the subject matter Know when to leave Create the follow-up action …. and own it!!
Handling the Price Objection What do you do when the prospective client says Your price is too high.? How do you overcome cheap?
Handling the Price Objection Customer controls the price perception You control the value proposition Jointly arrive at the cost If the value proposition is adequately posed, the perception of cost can be lowered. Price/Value = Cost Value = Benefits - Price
Handling the Price Objection Remember buyers have a bargaining instinct Realize the buyer is working the price/value = cost formula in his/her mind; help them build up value and lower the cost Always probe the objection Translate features into advantages into benefits and build up value Remember (most) buyers fear cheap Recognize that your price is too high may be a buying signal.
Interviewing Interviewing techniques Asking questions –Closed-ended –Open-ended Taking notes Giving information to get information
Special Selling Techniques Cross selling (being aware of your surroundings) Referrals (Dont forget to ask) Seminars (brown bag, open house, issue driven, etc.) The Internet, as a –research tool –marketing venue –direct selling medium –a venue to deploy apps
Survey Results According to market research performed by several industry groups, it takes between 8-12 repetitions of the same message to achieve recognition. Most companies change their message after 6 attempts. It takes an average of 5 sales calls to move a prospective buyer from awareness to action. The average seller quits after 3 attempts. An average sales call today costs in excess of $740.
Life Cycles StartupGrowthMaturity New and Improved Decline Time
Life Cycles Company Organizational unit Service Market Customer Competition Understand the life cycles of these elements.
Know Your Service Line Cycles (Theyre getting compressed!) Growth GrowingAging/Declining New and Improved CommoditizationEntrepreneurial
Balanced Approach to Acquiring Work Pursue Job DevelopRelationship Win Where is your firm? Where do you want it to be? How big is the gap? How long will it take to close it?
The Core of the Work Week Bad Day Mondays and Fridays are Bad days Afternoons are generally bad MWTFT Poor call times Most productive Typical Work Week
The PM/PAs Role in Business In general, todays Marketer is expected to: –Find (or help find) the work –Win (or help win) the job –Ensure the timely delivery of services –Stay within ever increasing constraints of cost, quality, and time –Make a profit –Maintain the relationship –Collect (or help collect) the money –Find more business/work/relationships
The PM/PAs Role in Marketing Active participation in the planning process Maximizing the core of the work week Avoiding the Sell/Do trap Backfilling and support to enable marketing, selling, and business development, AND to distributing responsibilities for work assignments left hanging during the core of the work week Relationship management (repeat business) Involvement in key proposal efforts Project closeout
The Decision to Pursue Go/No-Go process –Formalize it and use it; the process helps build discipline and improves the hit rate –Determine unique selling points relative to the opportunity –Evaluate risk/return aspects of the opportunity –Is it a one-of-a-kind project; if so, why pursue it –Create an as good as you can be win strategy and commit the resources to it
Other Marketing/BD Considerations Trade Show Strategy Peer Organization Involvement Getting Published Developing a Valuable CRM System Clarifying Roles And Responsibilities (Mktg, Selling, BD) Other?
Current Trends and Observations Down-sizing/right-sizing Outsourcing Globalization Demographic shift Technology advancements The Internet and social networks Role changes (Marketing is now a mature business process affecting and involving all of us)