Implementing your own Account Planning Methodology Featuring SiriusDecisions

Effective Practices in Implementing your own Account Planning Methodology

© Copyright SiriusDecisions. All Rights Protected and Reserved.

What You’ll Walk Away With Today

• The importance of “simplicity in design” when it comes to account planning

• An understanding of the key elements of an account plan

• Why planning without execution accomplishes nothing, and how to make insights actionable

2

Where To Start

© Copyright SiriusDecisions. All Rights Protected and Reserved. 4

Solution Vendor SelectionEducation

Making the

Selection

SiriusDecisions B-to-B Buying Cycle Framework

Justifying the

Decision

Loosening of the Status

Quo

Committing to

Change

Exploring

Possible

Solutions

Committing to a

Solution


Account Plan vs. Opportunity Plan

5

Account Plan Identifies the Macro Strategy…

• Corporate Structure• Organization Structure• Buying Centers

• Corporate Strategy• Current Relationships• Current Spend

…and Drives Opportunities (Distinct Buying Cycles)

Opportunity A Opportunity B Opportunity C

PIPELINE


Start With The End In Mind

• Understand Why You Are Doing Account Planning– Retention– Growth– Expansion– Vertical Focus

6


Other Pitfalls: Where Can Enterprise Focus Fall Short?

• Lack of centralized account coordination perpetuates disconnected executionStructure

• Choosing the wrong accounts makes it hard to deliver valueSelection

• Expecting resources to change focus overnight makes execution unreliableTalent

• Expecting full playoff in a short period of time creates unrealistic expectations Patience

• Making only superficial “marketecture” experience upgrades won’t fool anyoneReality

7


Account Planning Separates The High Performers

55.6% of high performing reps reported they regularly focus on account planning versus only 41.2% of poor performers.

8

Account Segmentation


Customer Lifetime Value: B-to-B ExampleSiriusPerspective: Understanding the current and potential value of customers helps b-to-b companies make better resource choices.

Lifetime Value

Opportunity Assessmen

t

What is our relationship like

today?

Who do they buy from already?

What is the growth potential?

Cost to acquire and retain

Revenue and profit

Typical customer lifespan

10

Quantitative estimate

Must be balanced with qualitative assessmentof real-life potential


Use Quantitative Analysis to Sharpen Your KnivesSiriusPerspective: The goals are straightforward – 1) get a bigger slice of the existing pie, 2) grow that pie and 3) look for new pies to cut into.

• Three-to-five-year spend analysis

• Three-to-five-year opportunity analysis

• Pipeline analysis past 12 months

• Current pipeline• Current total spend with us• Current total spend with others• Identify buying centers

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Account Mapping Quadrant Example

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Quality of Relationship

Rev

enue

Pot

entia

l

High

Low

Vendor Strategic

Invest ResourcesMove to Strategic ifPossible

Avoid Wasting ResourcesMaintenance Relationship


Assess ‘at Risk’ Accounts

Source: Revegy, Inc.

Account Insights


How Does a Rep Earn a B-to-B Executive’s Trust? SiriusPerspective: Relationships don’t matter to CXOs as much as company and industry insight.

4X

Demonstrate deep expertise about my industry

Cultivate a personal relationship with me

2XDemonstrate deep expertise about my company or firmShow you care

about my success

15


Value Pyramid

16

Corporate Objectives

Critical Issues and Challenges

Departmental Initiatives

Functional Requirements

Corporate Site Licenses

User Licenses


Data, Information and InsightsSiriusPerspective: The biggest inhibitor to rep success is inability to link product benefits to a buyer’s key business drivers and to articulate a clear value message.

17

• Data is freely available to all• Annual report, 10K, website• Analysts, journals, thought leaders• Google, Yahoo finance

• Information comes from “inside sources”

• Change the conversation• Built upon homework

• Insight is the ability to take data and information to create value

• Connect your solutions with business

Account Planning


Components of an Account Plan

Understand the Corporate Objectives and Goals

Map the Organizational Structure for Each Buying

Center and Assess Relationships

Identify Potential Opportunities and

Develop the Action Plan for Pursuit

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The Outcome of Planning Are SMART GoalsSiriusPerspective: Without analysis and account-level insights, enterprise efforts can be set up to fail.

20

Specific:Quantitative objectives for the account

Measurable/Attainable:How will we measure each team member’s contribution?

Realistic/Time-bound: What can be done in next 90 days?What is the one year plan?


We Sell to People. Not Accounts.



We Sell to People. Not Accounts.



Example: Enterprise Planning within SFA

23Source: Revegy, Inc.


Complex Account Planning Process in Salesforce.comg



Action Plan: Monitor Monthly.


Execution


Avoid “Paralysis By Analysis”

27

Thinking is easy, acting is difficult, and to put one's thoughts into action is the most difficult thing in the world."— Goethe


Aligning Marketing and Sales for ExecutionSiriusPerspective: Marketing and sales create a symbiotic relationship with one another and the customer to create a better experience.

28

SalesOperations

Sales Training

Process

Skills

Product/Solution Marketing

Demand Creation

Field Marketing

Sales Enablement Sales

Communications

Requirements

Execution

Marketing Sales

KnowledgeStrategy

Programs and Content Competencies

Competence and

Confidence


Account Execution Demand Creation Program Allocation

• A sample of high-tech firms with >60% revenue from enterprise accounts (>1,000 employees).

• The four most prevalent demand creation tactics are live events, trade shows, third-party teleprospecting and webcasts.

• Account based marketing shifts dollars from awareness to sales enablement

Source: SiriusIndex

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

20%

15%

12%

11%

7%

7%

6%5%4%4%3%3%3% Trials

Banner ads.

Direct mail

White papers

Association mrktng.

Web-based demos

SEO

Email

Keyword

Webcasts

Third-party tele.

Trade shows

Live events

Enterprise-focused peers

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Success Elements

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Marketing’s Role in Account PlanningSiriusPerspective: Account planning feeds ABM analytics and links marketing programs back to sales goals and execution.

31

Account status

Account opportunities

Account objectives

Account strategy

Marketing adds…Sales has…

History, customer feedback, product/service portfolio

Data on optimal combinations, propensity to buy

Prioritization of accounts and program development

Programs to support goal attainment


Social: Maintaining Collaboration and SupportSiriusPerspective: Collaboration tools enhance a team’s ability to coordinate efforts and share information.

32


First-Line Managers: Strategic Advisor Role

33

Measurement


Experience Investment Must Show Specific ReturnsSiriusPerspective: Measure short-term activity, mid-term pipeline, and long-term growth.

35

Near-term metrics Mid-term metrics Long-term metrics

Insight and Engagement

Development and Conversion

Results

• Contact Growth

• Account Knowledge Depth

• Account Reviews

• Activity

• Pipeline: Cross-Sell, Up-sell

• Renewal vs. Targets

• Competitive wins• User versus Site

Licenses

• Retention

• Account Growth

• Sales Cycle Impact

• Loyalty Scores

• Advocacy/Brand Perception

Thank You!