“The 10 Commandments for Selling & Marketing Internal Consulting Services”

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© Copyright 2004 Alexander Consulting, LLP “The 10 Commandments for Selling & Marketing Internal Consulting Services” Mark Hordes, Partner Alexander Consulting, LLP AIMC Conference March 23, 2004

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“The 10 Commandments for Selling & Marketing Internal Consulting Services”. Mark Hordes, Partner Alexander Consulting, LLP AIMC Conference March 23, 2004. To help you and your organization sell and market more effective value-added internal consulting services faster. Presentation Goal:. - PowerPoint PPT Presentation

Transcript of “The 10 Commandments for Selling & Marketing Internal Consulting Services”

© Copyright 2004 Alexander Consulting, LLP

“The 10 Commandments for Selling & Marketing

Internal Consulting Services”

Mark Hordes, PartnerAlexander Consulting, LLP

AIMC ConferenceMarch 23, 2004

© Copyright 2004 Alexander Consulting, LLP

Presentation Goal:

To help you and your organization sell and

market more effective value-added internal

consulting services faster.

© Copyright 2004 Alexander Consulting, LLP

Concepts presented taken from our new book:

© Copyright 2004 Alexander Consulting, LLP

OPERATIONS EXCELLENCE

TALENT PRODUCTIVITY

ServicesStrategyCreation

SalesEffectiveness

DeliveryPerformance

Marketing Direction

Alexander Consulting, LLP“A management consultancy that creates and implements

strategies for professional services organizations”

© Copyright 2004 Alexander Consulting, LLP

Background: Mark HordesEducation:• MBA and MS in Human Behavior• Graduate of the American Graduate School

of International ManagementPersonal experience:• Partner, Alexander Consulting• Global experience in selling services to senior executives.• Success in designing and delivering professional services

selling training and creating services markets• Hands-on experience designing and implementing

services readiness assessments and best practices applications for services organizations

• Previous Big Five consulting partner• Vice President, International Consulting,

The American Productivity & Quality Center• Faculty, The University of Houston• Award-winning author (AFSMI Writers Award for ”Best-

Day Every Day, Rules of the Road for ‘Getting to Yes’ in Professional Services Selling”)

© Copyright 2004 Alexander Consulting, LLP

The Times They Are a Changing!

• IBM has identified the “Elevation of Services” as one of the top four “Waves of Change” impacting businesses globally.

• Services contribute 35% of the computer industry’s revenues and 60% of the profits.

• “Service is so great an opportunity for the company that our vision for the next century is that GE is a global service company that sells high-quality products.” --Jack Welch

• Services possess the potential to expand revenue four to five times times that of the product purchase. (“How to Make After-Sales Services Pay Off.” Bundschuh & Dezvane. McKinsey Quarterly 2003, Number 4.)

• Services deliver 61% gross profit margin and 30% growth rate to top-performing organizations. (The State of S-Business. James A. Alexander. 2002.)

© Copyright 2004 Alexander Consulting, LLP

“Getting to Yes”

RelationshipSkills

Focus on ValueBenefits & Offerings

The 10“C”s

Internal Marketing

Best Practices

To Sell and Market InternalConsulting Services You Need

These Four Things…

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The Three Types of Buyers

“Business Impactors”

Cu

sto

mer

Exp

ecta

tion

s

Complexity

Quality

Delivery

Price

Response Time

Problem Solving

Accountability

Relationship

Innovation

Partnership

“Givens”

“Wants”

Profit Potentia

l

(Source: Adapted from The Knowledge-Based Organization, Alexander & Lyons. 1994. Irwin Professional Publishing)

© Copyright 2004 Alexander Consulting, LLP

What is Value?

• Value = perceived benefits minus anticipated costs.

• Value is what the customer will pay for.

© Copyright 2004 Alexander Consulting, LLP

Know Your Offerings Understand the features and benefits of

your consulting organization. Understand how these offerings can help

solve business problems. Be prepared to communicate the value-

adding potential of these offerings in terms the client cares about.

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How Do You Create Value?

Outweigh Costs By Adding Benefits

Costs

Benefits

• Money• Time• Hassle

• Lower Cost• Increase Output• Enhance Quality• Improve Image

© Copyright 2004 Alexander Consulting, LLP

MarketingMarketing

Market MessageBrand Building

PricingPortfolio Management

Marketing Consulting Services

© Copyright 2004 Alexander Consulting, LLP

Services Marketing Assessment

1. Clients have a clear perception about you. 1 2 3 45

2. Prospective clients have a favorable perception. 1 2 3 45

3. You have a reputation as a consulting leader. 1 2 3 45

4. Executives see your brand as a vital asset. 1 2 3 45

5. All consulting packaging convey the same message. 1 2 34 5

6. Branding campaigns are aggressively funded. 1 2 3 45

7. Brand awareness is tracked. 1 2 3 45

8. Brand quality is tracked. 1 2 3 45

SUCCESS FACTORS RATING

SD SA

TOTAL SCORE =

© Copyright 2004 Alexander Consulting, LLP

Aligning the Marketing Message to the Appropriate

Value Proposition

Uniqueness of Offerings

Lean and Mean Niche

BreakthroughBig Bang

Imp

ort

an

ce t

o t

he C

usto

mer

Low

High

High

Just As Good But Cheaper. The Experts on X.

One-Stop Shopping. Thought Leadership.

Total package from a

reliable supplier.

Game changing solutions that no one

else can provide.

Adequate performance, low cost, no

hassle.

World-classcapabilities inselected area.

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SellingSelling

Qualifying ProcessCommitting Process

Selling Consulting Services

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Station Break

What thoughts come to mind when you hear the word

“selling?”

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The Persuasion Continuum

Manipulation Professional Selling

What’s in it for me?

Personal reward.Slick presentation.Persuasion skills.Short-term transaction.Biggest money-maker.

POINT OF VIEW

FOCUSTECHNIQUESSUCCESS ANCHORTIME HORIZONDESIRED ROLE

What’s good for the client and the organization and me?Creating value.Honest dialogue.Personal integrity.Long-term relationship.Trusted advisor.

© Copyright 2004 Alexander Consulting, LLP

The 10 Commandments for Selling Consulting

Services

1. Clarify complex customer issues.2. Communicate the invisible.3. Customize each solution.4. Commit high-level executives to

action.5. Coordinate the selling team.6. Compress the cycle time of selling.7. Concentrate on the stars.8. Control the cost of sale.9. Commercialize the sales promise.10. Continually learn and grow.

(Source: The Ten Commandments of Selling Professional Services. Alexander & Hordes. Professional Services Leadership Report, 2002.)

© Copyright 2004 Alexander Consulting, LLP

The Four I’s Probing Strategy

Issues Importance Impact Investigate

• What are the main issues you and your department are facing?

• Let’s take a look at ___ for a moment. Is this a nice-to-do, or something important to your organization?

• Sounds critical. Tell me, what is the impact of not addressing this problem?

• I see. Together, can we investigate how my organization might be able to help?

© Copyright 2004 Alexander Consulting, LLP

Selling Is a Relationship Experience

Pretend you are going to meet an internal client for the FIRST TIME.

What is going on with these clients?

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Trust

Value

Credibility

Commonality

Empathy

Six Elements in Building Strong Client Relationships

Decorum

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Relating to Different Personalities in Business Development Situations

• Understanding your personal style.• Working successfully with

different personality styles in internal consulting sales situations.

• Instrument: Selling with Insight Style Inventory.

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Influencing OthersInfluencing OthersIndirect Direct

Pacing ActivityPacing ActivityUrgent Steady

Responding to PeopleResponding to PeopleReserved Outgoing

Dealing with DetailsDealing with DetailsUnstructured Structured

The Four Traits

© Copyright 2004 Alexander Consulting, LLP

Practice Flexing Your Style to Different Personalities

People like to buy from people who

are somewhat similar to

themselves.

© Copyright 2004 Alexander Consulting, LLP

The Internal Sales and Marketing Champion

• Genius of Einstein• Vision of Jefferson• Strength of Superman• Patience of Gandhi• Communications skills of

Roosevelt• Creativity of da Vinci• Magnanimity of Sister Teresa• Ambition of the Clintons• The conviction of Churchill--never,

never give up!

Ideal Attributes

© Copyright 2004 Alexander Consulting, LLP

Thank You for Your Participation and Attention

Contact Information:Alexander Consulting, LLPMark Hordes, Partner(713) 781-0251 office(713) 416-1781 [email protected]

mwww.alexanderconsultingsbiz.com