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Five Interconnected Elements to Sales and Sales Management

November 15, 2012

beyond insurance

A productive agency sales culture represents the perfect blend of the science and art of sales management as measured by the attitude employees have about the environment in which they work.  The leaders of high performance organic growth agencies empower their staff to understand the link between sales management and business outcomes including customer loyalty, referrals, cross sell opportunities, growth, retention and profitability.  They have also discovered that by engaging, mobilizing and harnessing the power of the entire organization, they can effectively and predictably boost revenue, profit and agency value.  These Best Practice firms integrate sales management into all aspects of the organization with the goal of creating a robust, resource rich experience for the prospective client.

The Gift of Sales Management is reserved for agencies who embrace and implement the following five interconnected elements of sales and sales management.

  1. Value proposition
  2. Playbook
  3. Prospect qualification and service delivery road map
  4. Coaching and mentoring
  5. Success indicators

Value Proposition

Business handshakeThe first link in the Gift of Sales Management is the organization’s value proposition. A value proposition is the reason for an agency’s existence.  It describes how the firm creates value for others.  It allows the agency to stand out in a crowded marketplace.  When all members of the staff understand and support the value proposition, they become engaged and active contributors to the sales culture.

Without a compelling value proposition supported by a unique process, the planning, development, execution and achievement of business development goals is an uphill battle.  A unique value proposition in the form of a concise, clear and compelling statement that describes why a potential customer should buy a particular product or service, how it exceeds that of the competition and why it is worthy of the price they must pay represents the first link to Sales Management.

The Playbook

The Playbook represents the capabilities (i.e., plays) of an agency including, but not limited to, client acquisition, account management and quality assurance strategies, systems and tools. It is the second link in the Gift of Sales Management.

playbookIn the game of football, the coaching staff and players spend countless hours studying their playbook.  The playbook allows the coaching staff to design and set strategy to enable the players to achieve results within the framework of the system.  While the coach never gets on the field, he demonstrates and rehearses strategies to achieve success.  When players execute a play properly, the coach rewards the performance.  When the execution is lacking, the coach gives them a pep talk and reviews the play.  There are occasions when the coach goes deep into the playbook to adjust the game plan in an effort to alter the outcome of the performance. When the game is over, the players and coaches analyze results so they can continue doing what they did right and learn from their mistakes.  With the playbook, the coach is able to execute, motivate and win!

 

Prospect Identification, Qualification and Service Delivery Road Map

The third link to the Gift of Sales Management is a Prospect Identification, Qualification and Service Delivery Road Map.  This critical component of a Sales Management System includes strategies to fill the pipelines, criteria filter to screen out “commodity shoppers” and a planning process which flaunts the agency’s unique capabilities.

AIC’s research indicates that the vast majority of agencies lack a strategic approach to prospect identification, research and qualification.  In a survey administered to over 6,000 agency principals and producers, AIC uncovered the following:


Beyond Insurance

A focused and efficient Sales Management system effectively utilizes a referral network of loyal, enthusiastic clients and centers of influences to identify and screen prospective clients.  These engaged and passionate individuals help the agency with prospect research, identification and qualification. They help the agency keep the pipeline full!

High performance organic growth agencies are selective in committing and delivering resources and services to prospective clients. These firms reserve their resources and technical capabilities for prospects who have demonstrated a commitment to play the game under the rules determined by the agency.  When it is determined that a prospective client meets the agency’s “criteria”, a Service Delivery Road Map is established. The Road Map is comprised of handpicked capabilities from the Agency’s Play Book.

Coaching and Mentoring

Implementation of ProgramsAs mentioned, the Art of Sales – a person’s talent, competence and desire – is of significant importance to Sales and Sales Management.  It is the soft skills of the business development team that give passion, purpose and energy to the sales process.

Perhaps most important is the art of the Sales Manager.  Effective communication, guided discovery, prospect research & qualification, interpreting account profiles and building networks are teachable skills.  The Sales Manager must be a good listener and able to communicate and connect with team members of diverse artistic talent. The most productive sales manager is a person who demands the best from his or her people. This person also has a unique ability to re-energize individuals who may have “lost the fire”.

As with a winning football program, the Sales Manager must develop talent and offer feedback.  It is for this reason top notch Sales Managers follow a regiment consisting of:

  • Visioning and goal setting
  • Value proposition mastering
  • Play execution
  • Communication of expectations (i.e., accountability)
  • Teaching how to overcome objections
  • Constant feedback

Success Indicators

The final link in the Gift of Sales Management encompasses the organization’s ability to monitor the results of the sales system. Critical indicators include, but are not limited to, activity based performance, sales funnel forecasting, quality new business appointments as well as the hit rate. These key performance indicators allow the firm to benchmark the effectiveness of the sales process and achieve results measured against targeted goals and objectives.

In today’s challenging business environment, an organization must be relentlessly committed to success indicators and fact-based data. It is this discipline that drives performance.

The Gift of Sales Management is awaiting you and your team. Go get it!

For more ideas on how to break the commodity trap connect with Beyond Insurance on:

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Scott AddisThe author, Scott Addis is the President and CEO of The Addis Group and Addis Intellectual Capital, LLC (AIC). AIC is a coaching and consulting company whose purpose is to transform the process that insurance agents, brokers and carriers use when working with clients. Scott is recognized as an industry leader having been awarded the Inc. Magazine’s “Entrepreneur of the Year” Award as well as “25 Most Innovative Agents in America”. Scott can be reached atsaddis@beyondinsurance.com or 610-945-1019.

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