A common CEO question: “Can I cut sales costs without affecting sales and revenue?” The answer is “Yes” and here is how to do it
Start by benchmarking your sales costs. To do this, download SBI’s detailed Annual Research Report. It outlines the questions to ask to get to the answers you need.
There are many variables to review when calculating your sales costs. In this article I focus on an integral part of your Sales strategy: Support. When deployed correctly, Support will help your Sales team become more effective. Good Support removes non-selling activities and puts them into the hands of Operations.
Your Sales Operations leader will provide efficiency to your Sales team. This is accomplished with sound process, technology, and metrics tracking. The administrative burden placed on your sellers will be reallocated to Operations. Overall selling time will increase, thus driving down sales costs.
What is Support?
- Sales Operations: Increase sales efficiency through process, technology, metrics, and best practices.
- Sales Support: Represent the field inside other corporate functional groups. This provides your Buyers with a more effective purchasing and implementation experience.
- Sales Systems: Automate core business processes to increase productivity of the Sales organization. When properly implemented, administrative burdens are removed from the Sales Reps and Managers.
Three Solutions First, move your Sales team from tactical to strategic initiatives. Many Sales Operations roles are corrupted. They become a catch-all, jack-of-all-trades function without proper role definition. Sales Operations teams become punching bags, unable to provide Sales with proactive support. Streamlining Sales Operations typically translates to improved selling time and lower sales costs
Second, make it easy for customers to do business with you. Your Sales team could have a great relationship with the Buyer. But if the Support teams aren’t good, the buying process is slowed down. Reps start to babysit the account to protect it instead of grow the business. Things like contracts, credit checks, pricing, and implementation can destroy your sales cost structure. Streamlining Sales Support and process translates to more selling time with the Buyer.
Finally, empower your Sales team through automation. When your Sales team spends too much time on administrative tasks, they can’t sell. With the right systems and applications, these administrative tasks become automated. Utilizing sales systems translates to decreased rep downtime
Next Steps A CEO needs an excellent support organization to reduce sales costs without impacting revenue. Without this in place, your sales strategy will be overshadowed by inefficiencies. Start to evaluate your organization by benchmarking your sales costs. Download SBI’s Annual Research Report to get started now.