NSC16
Survey Minimize
Are you a member of a Sales Association / Professional Body?


Submit Survey 

Print  

Professional Sales News

Current Articles | Archives | Search

15 June 2012
The Mystery of the Shortening Sales Cycle

The Mystery of the Shortening Sales Cycle


By Ben Turner @ 09:18 :: 3538 Views :: 13 Comments :: Article Rating :: Featured Articles
<< Back  l   

Research recently published by Marketing Sherpa revealed that sales cycles in the ICT sector have shortened in the last year. At the same time average deal sizes have reduced.This begs the obvious question - why?

Why do customers appear to be more decisive? Have budgetary approval processes been universally shortened? Have ICT sales people suddenly got better at closing the deal?

Whatever the reason, surely this has to be good news for vendors? Less resource tied up in sales engagements that drag on; less embarrassment for sales managers caused by those deals that refuse to drop.

Phil Brown, Director, The Channel Partnership is cautious about these conclusions. While it may be possible that more positive economic sentiment in the US may have contributed to faster decisions; that doesn't square with the face that average deal sizes have got smaller during the same period.
 

Sellers seeing less of the cycle

Based on anecdotal evidence from a variety of vendors and service providers, my hunch is that one reason sales cycles are appearing to shorten is that buyers are engaging suppliers much later in the sales process. The purchasing cycle isn't shorter; sales organisations are just seeing less of it.

With the easy availability of information online and via social forums, customers are navigating the early stages of their investigation themselves, where as in years gone by they might have invited in a few vendors at an early stage to help understand the options and shape their thinking.

This has clear dangers for vendors and solution providers' sales strategies. If the customer has already narrowed down their options and framed their decision criteria before speaking with you, you have less opportunity to influence those criteria in your favour, and also less opportunity to add value to the client through the consultative selling approach that you've been struggling to implement forever.


Value Proposition

If you offer a new and radically different solution to an existing set of problems then the risks are even greater. By the time you get to engage with a potential client they might have already framed their decision criteria based on the prevailing paradigm, which will make it even more difficult to get your innovative, disruptive product properly considered.

if you want to cut through the noise and get the opportunity to engage with the decision-making cycle, you need more than a product and a value proposition, you need a distinctive and challenging point of view, and content which demonstrates thought leadership in your chosen market.

If you're perceived to offer new insight and innovative thinking, then you're far more likely to find the doors of those hard-to-reach decision-makers open to you. If not, then you're likely to find yourself stuck responding to RFPs that you've had no ability to influence, and confined to dealing with low-level managers and procurement professionals, who'll judge you based on a feature checklist and the extent to which you're prepared to drop your drawers to get the deal.
 
Phil Brown, Director, The Channel Partnership www.thechannelpartnership.com

The Channel Partnership specialises in helping B2B technology companies to deliver integrated go-to-market programmes that drive profitable growth
  << Back Share/Save This Article:     Bookmark and Share
Comments
comment By mike33 @ 08 August 2012 01:45
I think having these options is so good. This will make the sales so much better in the future. You have to really do your homework on this and it will pay off in sales. NHL Jerseys

comment By burlconde @ 08 November 2012 11:28
Many salespeople prefer to cold call over the phone but i think we should make direct contact for best results.
face lift surgery reno nevada

comment By aldrich vasily @ 12 November 2012 03:08
I completely agree with you that its really very important to have a talk with custimers but if customers has already narrowed down their options and have made their decision then its really very difficult to influence them in your favor.
removal of skin tags

comment By philip coates @ 16 November 2012 06:24
I spend a good percentage of my time selling. I also teach selling to professional service providers. And one issue that comes up time after time is, "How do I get prospects to buy faster?
Regards,
drug rehab centers

comment By owen sore @ 20 November 2012 07:32
The sales cycle is the sequence of phases that a typical customer goes through when deciding to buy something. sales cycle is described from the customer's perspective. biogetica herpes reviews

comment By alfred almond @ 21 November 2012 05:37
Seasonal sales cycles occur when a product is only sold during a certain time. And the cycle you have provided involves multiple buyers.
Regards,
design your own shoes

comment By fast wrok @ 27 November 2012 19:40
I think the presence of these options are very good. This will make it much better sales in the future. What you need to do your homework really on this and it will pay off in sales contextual link building service

comment By kitapbigi @ 12 December 2012 17:46
These sales issues have to be maintained with proper management otherwise, this would complicate the total process. You have to design a standard procedure to solve the issues.evim şahane-20 dakika izle-chat-20 dakika-evim şahane-evim şahane-evim şahane

comment By JohanPeter @ 25 June 2013 09:04
The shortening of sales cycle will surely affect the company balance sheets and it is really strange to know about this shortening. According to me there might be some genuine reason that forced the company to take this step of alteration of sales cycle and let’s hope they resolve it soon. capital loans

comment By jacksmith @ 20 July 2013 07:24
Leveraging sales compensation management 646-206 positively impacts a company’s top and bottom lines because it aligns sales behavior directly to corporate financial objectives for increased sales performance and profits. http://www.apass4sure.com/646-206-pass.html

comment By jacksmith @ 20 July 2013 07:27
Mark Smith, CEO and executive vice president, 1z0-050 Research, stated in a Webinar devoted to the topic of sales compensation management from the financial perspective, “Many acute challenges include driving, tracking and monitoring better accuracy and providing consistency, oversight and legal compliance. passguide 1z0-050

comment By Sharry Steve @ 16 September 2013 13:03
The sale has gone up I guess -- after the site boosted its products and improved product mix. I enjoyed shopping, but other shoes were great too. essay paper writing, research papers and Info is Fun

comment By sukhman @ 04 September 2014 12:55
A decent feature could be the most ideal approach to spread a message, item, or brand. Setting features on web crawlers, and utilizing solid pivotal words and taglines, might be a fruitful method for getting feature distinguish. col3neg

Only registered users may post comments.
 Minimize

LinkedIn_Logo30px.png

Twitter

Facebook

Force Manager 15
© Copyright 2009 TheSalesPro.co.uk | DNN Hosting & SEO Managed by Pure Systems | Terms Of Use | Privacy Statement