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Sometimes Unintended Consequences Are A Good Thing
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| Guest post by: Todd Youngblood |
Article Overview: We’re all familiar with the “Law of Unintended Consequences.” My personal favorite is still the plastic whistles that were packaged with Cap’n Crunch cereal back in the ’70s. Blowing the whistle into your phone triggered a connection to AT&T’s long distance dialing AND by-passed their billing system. Free calls! Not exactly what Quaker Oats had in mind. (…and Ma Bell was not pleased.)
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Free Download - “The future is here. It’s just not evenly distributed yet.” By Todd Youngblood |
Sometimes Unintended Consequences Are A Good Thing
We're all familiar with the "Law of Unintended Consequences." My personal favorite is still the plastic whistles that were packaged with Cap'n Crunch cereal back in the '70s. Blowing the whistle into your phone triggered a connection to AT&T's long distance dialing AND by-passed their billing system. Free calls! Not exactly what Quaker Oats had in mind. (...and Ma Bell was not pleased.)
Turns out the "law" applies to Sales Process Engineering initiatives also. A long-time client gave us a challenge. Reduce their sell cycle by 10 days over a 6 month period. Off we went, and 6 months later had to report that we had taken the average sell cycle up to 78 days from 67 days. Uh-oh... 16% in the wrong direction.
That's when we started scrambling for other metrics in an attempt to salvage our credibility. One was the win rate. Up to 58% from 52%. OK, takes longer, but we win more. Another was total number of opportunities in the active funnel. Up to 515 from 394. Better yet, the dollar value of those opportunities went up by 1/3. Then we discovered the pot of gold.
Days to lose an opportunity went down to 75 days from 180 days. That's a 140% improvement. Turns out our intense focus on qualifying was flushing the "trash" opportunities out of the funnel much more quickly. The math's a bit convoluted, but for this client, that lose cycle reduction translated into an additional 17 selling days per rep per year. I love what my client said. "You mean we now have 13 months a year to sell our stuff? And our poor, dumb competitors are still stuck with only 12?" Smooth, articulate me said, "Yep."
So remember, unintended consequences will happen. Be prepared for them. More importantly, work hard at achieving significant improvement for one measurement of your sales process for a specific time frame. Even if you lose, you still win.
Article Tags: law of unintended consequences, sales, sell
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About the Author: Todd Youngblood RSS for Todd's articles - Visit Todd's website Todd Youngblood is passionate about sales productivity. His 30+ year career in Executive Management, Sales, Marketing and Consulting has focused on selling more, better, cheaper and faster. He began his career in 1976 as a Marketing Representative with the IBM Corporation and for fifteen years progressed through a wide variety of field and staff assignments. He then founded and operated an Information Technology Outsourcing firm providing Software Development and Maintenance Services. In 1994, he joined an electronic commerce firm serving the insurance and healthcare industries, as Vice President of Sales & Marketing. He established The YPS Group, Inc. in 1999 based on his years of experience in Sales Process Engineering � that is, combining creativity and discipline in the design, implementation and use of work processes for highly effective sales teams. Todd has worked extensively with firms in the Distribution, Manufacturing, Insurance, Services, and Telecommunications industries. He is the author of two sales management books, The Dolphin And The Cow and Think About It� He is married, has two daughters, enjoys cycling, is a second degree black belt in Choi Kwang Do and serves on the board of the Cobb Symphony Orchestra. Click here to visit Todd's website The Weapon You cant afford to let the knowledge leak out The future is here Its just not evenly distributed yet Go E$ yourself Is Your ERep Any Good |
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