Last week I received an email from LinkedIn Pulse, chock-full of “must-read” articles based on my search habits. I get these emails on a weekly basis, and I typically give the list two seconds of scroll-time before she hits the deleted items folder. This time, however, I had Sales in the Startup on my subconscious, and the “Highlight of the Day” caught my eye. It was an article by Brian de Haaf, CEO of Aha! The World’s #1 Product Roadmap Software, entitled: “I’ll Never Hire Another Salesperson.” I immediately questioned my involvement in ENTR 302 this semester, that is, until I actually read the article.
Mr. de Haaf was merely providing insight into the current state of the sales industry, and explaining how his company’s “sales force” is positioned as a result. Much of what he said aligned with what we have been learning in class, as well as through Daniel Pink‘s book, To Sell is Human. Here are four trends Mr. de Haaf observed:
- Relationships. Business growth is centered around creating trust and building relationships with customers. Success starts with a customer-centric business model. The purpose of a product or service is to bring value to the customer, not bottom-line to the company. It is never good for growth to push unneeded products.
- Authenticity. Tied to the former point, customers crave honest suggestions. If a product won’t work for them, they want to know. If a product will work for them, they want to know as well. Blatant honesty that promotes trust, again, leads to business growth.
- Collaboration. Polling multiple perspectives can aid in truly meeting a customer’s need.
- Information. Definitely a point of Pink’s as well as Professor Sweet’s. Customers today have access to the world’s information via the web and often take advantage of it. According to new data on B2B sales that Mr. de Haaf sites, “60% of a typical purchase decision is made before talking to suppliers and up to 90% of the buying cycle is done before buyers speak with sales reps.”
How did the CEO of Aha! respond to these observations? A relationship-oriented, authentic, and collaborative way to approach the modern, information-laden customer; consulting. Rather than hire a VP of Sales or establish a salesforce that runs on commission and is therefore more prone to push an unneeded product, Mr. de Haaf assembled what he calls a “Customer Success” team. Free from the misplaced incentives driven by quotas and commissions, “they are free to focus on the only thing that matters, the customer’s success.” They are well-compensated consultants that “engage, surprise, and delight (informed customers) on their own terms.” Mr. de Haaf’s approach is very similar to that of DARCARS Automotive Group as well as the CarMax auto superstore outlined in Pink’s book.
“I’ll Never Hire Another Salesperson” sparked a great deal of controversy–evident in the 2,417 comments that followed–but perhaps those incensed didn’t make it beyond the title. Mr. de Haaf was not suggested we rid the market of the salesperson, he simply wanted to redefine the role. Scrolling through the misunderstandings I am reminded of an episode of Gilligan’s Island in which the professor had just suggested that the group “reconnoiter.” Gilligan replied: “Okay, but I think we ought to scout around a bit first.” In the same way, I should learn to take a second look before I delete my LinkedIn Pulse emails.
I’ve been learning in one of my ECON classes about how the entrepreneur is most successful when he is best serving others. This blog post reminded me of that concept–it seems that the same principle of looking out for the customers’ success before your own is very applicable in sales! I really appreciated your point on the differences in compensation packages and how commission-based wages tend to drive product-pushing instead of customer-serving.
I really liked this story. I also agree with the commission based selling points. I do think that making positions commission based can have great effects on how hard people work, however, it can be dangerous because people tend to start acting in a way to just make sales in order to get a better commission. If in his experience this system works then I would say it is fantastic. Having successful salesmen and having very happy customers at the same time is great.
This post reminds me a lot of my blog post. I agree with the author and his view of commission based selling. Many time this form of selling causes customers to get mad and lose trust in the company that they are buying from. Also, since customers already have so much information, we do not need to push as hard in order to have them buy the products. Typically they know what they want when they contact employees and the employees must just follow through and make the sale without having to be pushy with the customers. This seems like it would be a great article to read for class!
This post reminds me a lot of my blog post. I agree with the author and his view of commission based selling. Many times this form of selling causes customers to get mad and lose trust in the company that they are buying from. Also, since customers already have so much information, we do not need to push as hard in order to have them buy the products. Typically they know what they want when they contact employees and the employees must just follow through and make the sale without having to be pushy with the customers. This seems like it would be a great article to read for class!
“The Customer’s Success” — it completely reframes the idea of sales, pulling the success of making a sale away from the whole situation and focussing the success on getting what the customer needs. So very different than the present image of a salesman.