20
Outbound SaaS Sales - 101 7/15/2016 Peter MacKie L-Spark Lunch & Learn 1 L-Spark - Lunch & Learn

Outbound SaaS Sales 101

Embed Size (px)

Citation preview

Page 1: Outbound SaaS Sales 101

Outbound SaaS Sales - 101

7/15/2016Peter MacKie L-Spark Lunch & Learn 1

L-Spark - Lunch & Learn

Page 2: Outbound SaaS Sales 101

Agenda

• Why Outbound

• Defining the Sales Process – The Buyer’s Journey

• Structuring Teams – Specialization

• Sales Tools & Metrics

• Scaling & Volume – Sales Acceleration Software

• Common Mistakes – Made with Good Intentions

7/15/2016Peter MacKie L-Spark Lunch & Learn 2

Page 3: Outbound SaaS Sales 101

Positioning & Terms used in these Slides

• Sales Generated or Qualified Leads are SQLs

• Marketing Generated or Qualified Leads are MQLs

• SQLs Are considered outbound – generated by Sales

• MQLs Are considered inbound – generated by Marketing

• Scheduled SQLs are superior to Lead Generation

7/15/2016Peter MacKie L-Spark Lunch & Learn 3

Page 4: Outbound SaaS Sales 101

Do you need outbound sales - Factors

• Cost of a SQL Generated by the Sales Team

• Cost of a MQL Generated from website, social media, etc.

• Closing Ratio of SQLs – True cost per Sale

• Closing Ratio of MQLs – True cost per Sale

• Product or Solution Awareness

• Product or Sales Process Complexity

7/15/2016Peter MacKie L-Spark Lunch & Learn 4

Page 5: Outbound SaaS Sales 101

Defining Your Sales Process

• Segment your market, develop your messaging

• Map the buying process – be mindful of The Buyer’s Journey

• Define tactics and goals for each stage

• Define responsibility and map interdependencies

• Determine tools, systems and supports needed

• Deploy, measure, refine, refine, refine, refine

7/15/2016Peter MacKie L-Spark Lunch & Learn 5

Page 6: Outbound SaaS Sales 101

The Buyer’s Journey

Awareness

Interest

Consideration

Preference

Purchase

Outbound

Inbound

7/15/2016Peter MacKie L-Spark Lunch & Learn 6

Page 7: Outbound SaaS Sales 101

Get 100% Executive Agreement On

• Unique Selling Proposition (To be Shared Externally)

• Unique Value Proposition (To be Shared Externally)

• Top 3 problems your solution addresses (To be Shared Externally)

• Top 3 reasons prospects buy your solution (Internal Only)

• Top 3 reasons prospects choose your competitors (Internal Only)

• Top 3 reasons prospects do not purchase (Internal Only)

7/15/2016Peter MacKie L-Spark Lunch & Learn 7

Page 8: Outbound SaaS Sales 101

Team Structure & Average Goal Ranges

• Sales Development Team - Sales Development Representatives - SDRs

• SQL Goal = 0.5 to 4 SQLs / SDR / Day

• Sales Team - Account Managers - AMs

• Sales Goal = 0.5 to 5 Sales / AM / Day

• Sales Team - Account Executives - AEs

• Sales Goal = 0.25 to 1 Sale / AM / Day

• Market Development Team - MDRs

• MDR Goal = 20 to 30 MQLs / MDR / Day

7/15/2016Peter MacKie L-Spark Lunch & Learn 8

Page 9: Outbound SaaS Sales 101

Why Task / Team Specialization is Critical

• Sales is a Process

• Clear lines of demarcation between stages are needed

• All stages are interconnected

• Every stage converts

• Measuring every conversion is critical

• Every stage can be improved

• Practice makes perfect or at least better

7/15/2016Peter MacKie L-Spark Lunch & Learn 9

Page 10: Outbound SaaS Sales 101

Sales Team Tools

• Opening Scripts – only the first 20 – 30 seconds (SDRs only)

• Call Guides (Talking Points, Top 3 Problems & Sales Process)

• Call Recording – How would you know ?

• Call Coaching – What could you teach them ?

• Sales Training – Every team deserves it

• Real Time Dashboards – How would they know ?

7/15/2016Peter MacKie L-Spark Lunch & Learn 10

Page 11: Outbound SaaS Sales 101

Sales Team Tools

• Contests – increases performance 25% to 40%

• Advancement & Bonuses for the SDRs – sustainable & fun

• Well segmented and high quality prospect Lists

• Sales Automation / Acceleration System

• CRM System

7/15/2016Peter MacKie L-Spark Lunch & Learn 11

Page 12: Outbound SaaS Sales 101

Scaling & Volume – Planning / Structure

• Sales Predictability is critical for long term success

• Every stage or conversion point needs to be measured

• Start with the end in mind – For example

• 1 Sale / Day requires 4 Discovery Calls or Demos / Day (25%)

• 1 Completed Discovery Call requires 2 Scheduled SQLs (50%)

• 1 Account Manager can manage 8 Scheduled SQLs / Day

• 1 Sales Development Representative produces 4 SQLs / Day

• 2 SDRs per 1 Account Manager is required

7/15/2016Peter MacKie L-Spark Lunch & Learn 12

Page 13: Outbound SaaS Sales 101

Scaling & Volume – Sales Development Team

• SDR Calls per SQLs – Standard Conversion is 1.5% to 3.0%

• 50 Calls = 0.75 to 1.5 SQLs / SDR / Day

• 100 Calls = 1.5 to 3 SQLs / SDR / Day - Sweet Spot

• 150 Calls = 2.25 to 4.5 SQLs / SDR / Day

• 200 Calls = 3 to 6 SQLs / SDR / Day

• SDR Emails & Voice Messages / Day

• 100 calls requires

• 70 Voice Messages

• 60 (30 + 30 ) Emails /Day

7/15/2016Peter MacKie L-Spark Lunch & Learn 13

Page 14: Outbound SaaS Sales 101

Scaling & Volume – Sales Team

• Sales Touches – It takes 3 to 10 touches to close

• Most sales people:

• Either give up after 2 calls or

• Get “Continuances” for months wasting time and burning prospects

• Advances vs. Continuances

• Can I call you in 2 weeks?

• When would you like me to call you?

7/15/2016Peter MacKie L-Spark Lunch & Learn 14

Page 15: Outbound SaaS Sales 101

Does it all Work ?

• CAC – Cost to Acquire Customer

• LTV – Lifetime Value of Customer

• LTV : CAC Ratio > 3 (Quick Ratio)

• Months to recover CAC > 12 (Quick Ratio)

• Closing Ratio of a SQL – Cost per Sale

• Closing Ratio of a MQL – Cost per Sale

7/15/2016Peter MacKie L-Spark Lunch & Learn 15

Page 16: Outbound SaaS Sales 101

Sales Automation / Acceleration Systems

• Click to Dial – on 100 calls per day it saves 10 digits - 1,000 clicks / Day

• List & Time Zone Management

• Voice Message Deposit ( 70 VM per day) & Call Recording

• Email Automation, Templates and Metrics (Opens & Clicks)

• Structured Cadence - 1, 5, 15, 30 , 90, 150, 210, 270, 330 Business Days

• Local Presence – Local Calling Line ID (CLID)

• A few Solution Providers

• Salesloft.com

• Insidesales.com

• Velocify.com

7/15/2016Peter MacKie L-Spark Lunch & Learn 16

Page 17: Outbound SaaS Sales 101

Common Mistakes – SDR Team

• Low Call Volume Goals - 100 Calls is reasonable

• 70 Voice messages, 1.5 minutes each = 105 minutes

• 30 Conversations, 5 minute average = 150 minutes

• 50 Email messages, 1.5 minutes each = 75 minutes

• Total effort equates to 330 minutes or 5.5 Hours in a 7.5 hour day

• Using SDRs for Lead Gen vs. Scheduled SQLs results in low quality Leads

• Using SDRs for Research, they lack business experience and it lowers call volume

• No Dashboards or Detailed Reporting

• No formal documented process

7/15/2016Peter MacKie L-Spark Lunch & Learn 17

Page 18: Outbound SaaS Sales 101

Common Mistakes – AM Sales Team

• Assuming prospects want to see your solution

They will – But once they begin to become Aware & Interested

• Assuming your sales people can sell

• Uncover pains & develop them

• Progress continually towards a sale

• Read the customer

• Control the sale

• Assuming good AMs will prospect

Awareness

Interest

Consideration

Preference

Purchase

7/15/2016Peter MacKie L-Spark Lunch & Learn 18

Page 19: Outbound SaaS Sales 101

Common Mistakes – Sales Management

• Assuming your sales team members will figure things out

themselves – its your job not theirs

• Opening scripts

• Top Problems

• Talking Points

• Process

• Not leveraging Technology

• Building Lists – Buy Them

7/15/2016Peter MacKie L-Spark Lunch & Learn 197/15/2016Peter MacKie L-Spark Lunch & Learn 19

Page 20: Outbound SaaS Sales 101

Thank You for Your Time

7/15/2016Peter MacKie L-Spark Lunch & Learn 20

Questions ?

Peter MacKie

[email protected]