Sales and Marketing Plans Need to be Aligned
As a B2B marketing outsource provider, my team and I usually work very closely with the sales department at our client companies. The goal is to achieve effective alignment between what the marketing and sales teams are doing: driving to a common goal and reaching agreed-upon revenue targets. In the best-case scenario, we get to review and provide input for the sales plan. At the least, we want to understand the sales model so that we can formulate a marketing plan of attack that best supports the sales plan.
As an example of why this is important, imagine two very different sales models: In the first example, awareness is created and generated leads are fed to a business development function. In this scenario, direct sales reps will only see leads that have been pre-qualified, usually by a business development rep (BDR) who has personally qualified inquirers by asking a series of questions about budget, authority, timing and so forth. To best support this type of sales model, we want to drive as much activity into the top of the funnel as possible, creating the critical mass of inquiries needed to achieve the target number of qualified leads that have passed through the qualification process.
Let’s now look at the second sales model and how we align it with the marketing plan. If an organization utilizes a direct sales force, but provides no pre-qualification function (e.g. no BDRs), our focus in the marketing plan will be more on quality than quantity. This is true because we know that in most B2B scenarios, somewhere between 10 and 15 percent of all inquiries will pass the qualification filter. This means that sales reps will talk to 8.5 to 9 suspects before reaching one qualified prospect. This imbalance leads to two negative consequences. First, the reps fail to call all the suspects, finding reasons to disqualify them before making the calls. Second, reps get busy chasing their hot prospects and neglect to make the qualification calls in a timely manner. At some point, slow follow-up is almost as bad as no follow-up. If you want to see the impact of slow lead response, read my blog post on this subject.
In this type of sales model, we purposefully back off the quantity goal and align our marketing plan to deliver leads that are more qualified. Reps that discover that one out of every three or four suspects are qualified. They are then more likely to make the qualification calls and optimize their time. One of the easiest ways to produce quality is to require suspects to provide more data about themselves on the web form, thus pre-qualifying themselves. Each additional piece of data you ask for will reduce the number of responses, but will also drive up average lead quality.
These are just two sales model examples. When you include hybrids, there are dozens of possibilities. And every sales model will require a marketing plan that is tightly aligned. If you have a gap between sales and marketing, it’s best to address this quickly, especially by creating a service level agreement between the two departments. You can read more about Bridging the Gap here.