Alex works for a company that sells to smaller accounts. He's confident that their service would fit well for larger clients and has started to pursue them. While Alex knows it takes a while to land bigger deals, his "close a deal a week" sales manager isn't happy - especially since he isn't on the phone as much as others.
So Alex wants to know: How do I build a business case to convince my boss that it's worth going after these big companies?
Jill's Response
Alex, I have no doubt that your service will fit well with larger accounts. And, you're absolutely right about it taking more time to crack into corporate accounts and get their business.
However, I'm not sure you'll EVER get your deal-obsessed manager to value of the preliminary work you're doing to get your foot in the door.
People who think that sales is all about smiling & dialing literally have no comprehension of the new way of selling. For them, unless you're making calls you're not doing your job. They think research, analysis, and preparation time is all wasted time.
If you talk with your sales manager about your ideas, he may agree to let you give it a try. However, when the sales don't come in quickly, they start to panic. Then they start putting pressure on you to make more calls.
Before long, they want you to abandon your corporate account entry campaigns and go back to sure deals with little firms. Unless, of course, you happen to strike it rich with a big company right away.
I suspect that's not what you want to hear. But that's what I see – over and over. Management is under intense pressure to deliver short-term results. If they don't, their own jobs are at risk. So fear prevents them from investing in the very strategies that could take their sales to the next level.
So where does that leave you? In my opinion, you have 3 choices:
1. Keep pursuing the smaller accounts. Do what you're expected to do.
2. Keep pursuing the smaller accounts, but target a few big companies to pursue in addition to your normal workload. Let your boss know what you're doing, but don't make a huge deal out of it. Be willing to invest personal time on research, etc. When you get the business, that's proof enough.
3. Leave the company. If you truly believe in the "Selling to Big Companies" approach to sales, you'll have a hard time working for a boss who thinks it's all about dialing for dollars. There are lots of companies out there who are desperately seeking a true consultative salesperson.
If any of you have ideas on how to convince the "close a deal a week" sales manager that pursuing big companies is a good investment of time - even if it takes a while to get results - please share them ....




Everyone likes to pull in a big fish here and there, and in this situation Alex may try to pepper contacts into a few middle sized accounts. It's more about balance, the large account contrasts the managers expectation (or limited selling skills.)
Jill is right, you may not completely convert your manager. It may take a few new accounts along with the accounts your manager expects to even get compliance. Just don't take it personal.
Best,
Justin
Posted by: Justin Hitt | 10/17/2008 at 06:41 AM
Ya it is an new strategy of the business ,that should takes over the fine end of the business ,on the account that should be good in position,,,,,,,,,
----------------------------
Lara
Business Sales
Posted by: lara | 10/18/2008 at 06:57 PM
I would agree with suggestion 2 - as long as the situation isn't that the manager has already said specifically that Alex shouldn't do that.
There may be other reasons that Alex is unaware of (though it doesn't sound like it), but selling the service/product to a large client may require internal changes to the product. There may be a strategic reason for going after smaller clients. Or it may be that the manager feels threatened and is a control freak (in which case option 3 may well be a good option!).
It sounds like Alex is a bit of an intrepreneur - similar to an entrepreneur, but working internally from within a company. If he truly believes that he can create a new strategic possibility for the company then #2 sounds like the way to go. Possibly he could also research further some figures to show what gains may be possible to achieve by pursuing the larger clients.
How long will it take to first sale? What happens with the income from smaller clients during that time? What happens if he is wrong and large clients don't have a need for the service or ir requires major changes to tailor it to the needs of a large client.
If he can help answer these (and similar) questions internally then he may be able to sway management to his way of thinking. But if his company is itself quite small, then dropping the (I assume already profitable) focus on small clients may be too big a risk for them to take.
Posted by: Steve | 10/20/2008 at 03:03 AM
All good points. Big companies can eat up a seller's time and a company's resources, so it may not be a good decision to make the leap from small businesses to large corporate accounts.
Most recently my daughter worked for a start up firm with a unique eco-friendly product. They pursued a big company strategy from the get-go. Unfortunately, they ran out of venture capital funding before they landed their first major account and are now hobbling along hoping for more.
Sometimes it's a good decision to get a base of medium-sized firms before pursuing the big ones. They make faster decisions and don't try to drive all the profit out of the sale.
Posted by: Jill Konrath | 10/20/2008 at 08:02 AM
Aiming for the big ones is aspirational, but personal experience dictates that neglecting the bread and butter will limit your options if and when something goes wrong in production....rather have your bets spread than all your eggs in one (or three) baskets!
Posted by: The Gift Guy | 10/21/2008 at 12:43 PM