Driving Sales While Improving Profitability. Greg Armstrong & Margaret Kane

Transcription

1 Driving Sales While Improving Profitability Greg Armstrong & Margaret Kane 1

2 Thinking About Your Sales Organization Sales Management Profitability Value-Based Marketplace Differentiation Integrating Technology Alternative Distribution Intranet Value-Touch Marketing The Experience Sales Partners Value Proposition Internet 2

3 Integrating Sales And Profitability Value-Based Value-Touch Marketing Channel Optimization Source of Differentiation Tools And Process Value Built Into The Sale Valuable Consistent Experience Branding Strategy Segmented Based Upon Offers Research Integrate With s Self- Discover And Choose Integrate Existing Channels For Maximum Impact Champion Segment Determine Market Strategy Compensation Observe Products Correct Organizational Pricing Functions Alignment Of Goals Recruit Seller Success Model Cost Of Sale And Delivery Key Drivers Of Improvement Product By Product Where Are You- Want To Be Coach Strategic Alignment Drive The Disciplined Observe Assess Reinforce Profitability Management Sales Management 2000, Kane Bank Services and Inseon 3

4 Management Solutions Begin with your business objectives. Executive management determines what they want to accomplish. Determine your branding strategy. Your organization s value proposition. Differentiating the organization. Intimate, Product Leadership, Operational Excellence. Determine your strategies. Senior management determines how best to accomplish the business objectives. Develop products and pricing with best fit to your target markets. Align objectives with internal partners. Strategic Alignment Determine Market Strategy Compensation Products Correct Organizational Pricing Functions Alignment Of Goals 4

5 Management Solutions Organize the sales resources. Recruit and hire to your success model. Develop and roll-out a training curriculum. Drive the disciplined sales process. Activities, skills and behaviors. Don t just focus on results. Remove mystery from the marketplace. Technology and data base applications. Targeted activities for client acquisition. The development and use of propensity. Sales managers expected to coach. Coaches that add value to sellers through observation, assessment, coaching, and continual reinforcement. Sales Management Recruit Seller Success Model Drive The Disciplined Observe Assess Reinforce Coach 5

6 Management Solutions What products are profitable for the bank Do you stop at measuring only portfolio profitability Is it virtuous to cross-sell What clients are profitable for the bank Have you identified your high-value clients Based upon revenue or opportunity What is your cost to serve Can you identify the future group of high-value clients What is the institution s cost of sale Channel profitability. Should we charge for ATM use What is the impact of transaction behaviors 2000, Kane Bank Services and Inseon Profitability Cost Of Sale And Delivery Key Drivers Of Improvement Product By Product Where Are You- Want To Be 6

7 Solutions What channels do we and can we offer Branches, ATMs, in-store locations, field sellers, phone centers, internet, and sales partners. Educating and allowing clients to self select. Customers hate to be pushed. Can be encouraged through education, pricing, and incentives. Integrating all channels for maximum impact. Not just to broaden offer. Too often additional channels just add cost Use of segmentation and propensity. Channel Optimization s Self- Discover And Choose Integrate Existing Channels For Maximum Impact Segment 7

8 Solutions Determine the client experience based upon the values of the target audience. A consistent, disciplined process. Activities and behaviors drive results. How we sell at our bank. Sellers that deliver value during the sales process. Can you compete on the strength of your people Does the back-room see itself as part of the sales process Do they support or hinder the sales process Do we know if our clients are satisfied Value-Based Source of Differentiation Incorporating Manufacturing Value Built Into The Sale Consistent Experience 8

9 Solutions Integrate marketing with the sales process. Targeted. Pointed at markets you choose to compete for. Valuable. Touch them for their reasons, not for yours. Listen to your best clients. Marketing based upon client value research. Not just product features and benefits. Marketing that attracts the right clients to the correct channel. s tire of product pushing mailers. Value-Touch Marketing Valuable Segmented Based Upon Offers Research Integrate With 9

10 Sales Partners Align internal sales partners. Develop goals and referral processes across LOBs. Work with product managers to educate sellers. Integrate profitable third party offers, if needed. Fill potential product holes in investment, insurance, trust, etc.. 10

11 The Champion Leadership. Without a Champion, someone to take ownership and drive the effort, it will fail. The Champions role: Evangelize the mission and strategy. Develop the point of view and pull it all together. Develops a communication plan. Keep driving to the future state. Deal with internal barriers to success. Collaborate with all managers. Stay the course. Who is your Champion 11

12 Integrating Sales And Profitability Value-Based Value-Touch Marketing Channel Optimization Source of Differentiation Tools And Process Value Built Into The Sale Valuable Consistent Experience Branding Strategy Segmented Based Upon Offers Research Integrate With s Self- Discover And Choose Integrate Existing Channels For Maximum Impact Determine Market Strategy Compensation Observe Products Correct Organizational Pricing Functions Alignment Of Goals Champion Segment Recruit Seller Success Model Cost Of Sale And Delivery Key Drivers Of Improvement Product By Product Where Are You- Want To Be Coach Strategic Alignment Drive The Disciplined Observe Assess Reinforce Profitability Management Sales Management 12