B2B Revenue Acceleration
B2B Revenue Acceleration

Episode · 2 years ago

46: 4 Ways to Improve Your Sales Development Team w/ Dan Gottlieb

ABOUT THIS EPISODE

Are your sales development teams and your marketing teams not aligning? Want to be competitive with world-class sales development organizations? Learn the best practices and tactics for sales development success with guest Dan Gottlieb, Sales Development Analyst at TOPO

Dan joined us on this episode to discuss TOPO’s extensive 2019 Sales Development Benchmark Report on sales development, where they’ve conducted research on what the fastest growing companies are practicing with sales and marketing.

Dive in to find out your organization can copy and implement the best practices from other sales teams.

You're listening to Beto B revenue,acceleration, a podcast, dedicated helting software executives stay on thecutting edge of sales and marketing in their industry. Let's get into the show hi welcome to be to be aroyouacceleration. My name is Ovlyam wit her and I'm yer today, with Dan Godlipsells development analyst at Topo. How are you today, then I'm doing excellent?How are you I am fantastic? Thank you very much for Skang. So the topic fortwo days episode is about strategies and tactics of successful self sellsdevelopments. Organizations, yes, but so vet is right in the topic for us. SoI can't wait to get to get the conversation started. But before westarted conversation, a Gointo, a detail, then would you mind introducingyourself as well as Tyou organization Topo to audiits? Absolutely so my nameis Dan Gotley. I am a sales dedelmant Alis Attopo at Topo is a research andadvisory firm, and so we kind of research around with the fastestgrowing companies are doing in sales and marketing. We write about it and then we help ourclients adopt those different patterns and plays inside of their companies. Aswell, okay, my responsibility as an analyst at Topo is to research. Whatworld class sales development organizations do reson published asales development benchmark report right, which is what we're going totalk about. I believe today and then my job is, of course, to write about thesethemes. You know I spent time doing the job myself have enabled and led teamsto do the job of sales development, and I you know really impassionate aboutthe idea of welcoming sellers into the workforce early in their career. Athat's why I care a lot about sales development, that's alms, very muchaline with what for is riht to accomplish your oporatic. So it's musicto my heirs. So so you just mentiond it o taking a some of the worlds off myMaule, which is great because he's bridging nicely to my next question, as you mentioned, you've recentlylaunched to two thousand and nineteen sells development benchmark repot andbasically we. I read the report myself and it's a it's, a very extensivestudies of showing the resurts of a very extensive studies that your teamHaf conducted by intervieing and engaging with lots of different ESdevelopment leaders. So could you tell us a little bit more about that thattwo thousand and Nineteen sels development bench mark report, but alsoshow, is us the purpose of the study and how it was devroped Yeah Yeah? So Ireally appreciate you asking it was a labor of love for me right. The Best Rork report is foundational towhat we do as a research and advisory firm. You K, W sales development is, isbecoming more and more critical as an investment for developing pipeline, andso our practice and our betchmark...

...research exists to help betterunderstand the impact and the best practices of what right some of theworld's leading sales development organizations like doing it. So how dowe do this? The first is that we got to find dit. We got to collect data aroundin benchmark data around four key categories: right strategy, processtactics and organizational design right so strategy. What are we, how are weanchoring the sales development process to our overall go to market trategy,Righ Ow? Do we think about that? How do we think about the way we organizepeople process? So what are the different definitions? We use to thinkabout the filters around what enters sales development and what exits salesdevelopment, and these filters are really important to understand andespecially to benchmark around different kinds of strategies. Tactics,so techtnics are some of the most important in sales developn, becausethis is what we actually do every day right make the calls we send the emailsand then there's a whole lot more of that to that. So how do you go into thedetails around the different kinds of taxes for different kinds of strategiesto help inform the way you spend your day as it sales to evelpmant, rep andthen, of course, organizational design? How much should I pay my people? When,should I start hiring support resources? What kind of support resources? So it'sone of the only reports out there of it's of its kind, that's a bigmotivator for us and we feel the responsibility to sales, develpmentleaders worldwide to make sure that the data that we put out there is not onlyuseful and relevant, but that the qualitie of analysis that goes intothat is, is insightful and and realistic. Andcan you teosly a little bit more about the simple of individuality you had Oto engage with interview questioned in the process I mean: Are we talkingabout different you tray to walk across industries across company size, yeahevolumes? Are we talking about just to give an I to Algences to as to whatthey can expect from the report in the content, so the seposize about hundredGht? It's a hundred eighty different companies hundred and twenty nine to beexact. A hundred and eighty sounds clean right and we survey seventy twodifferent data points and we collected all this data in Q, Four, two thousandand eighteen or- and we examined the data we group the data based on fourkey different slices. The first one is size of the company and the way we useh what the proxy for that is annual revenue yeah. So we break those intothree groups: Zero to fifty million fifty to five hundred and five hundredmillion, plus. The second way that we group is by Revenue Growth Right sozero twenty five percent year over year, growth, twenty six to thirty, nine andover forty percent. This is how we segment out what or high growthcompanies and then he in another way that will segment out is by especiallywhen we think about tactics and we think about process design will segmentout by average contract value. And so why is that important? Because if I'mgoing after ten thousand dollar deals...

...versus I'm going after two hundred andfifty thousand dollar deals my process and my tactics are going to bedifferent. So we take these slices right and what we do is we try to lookat every single one of these data points through each one of these lensesand Tryig, to make sense of the most important trends that are going to berelevant to people that are out there and then writ about it, and then that'ssort of the first step. The second step of what we'll do is will then n willthen try to look at the specific kinds of companies that might come up withdifferent filters and we'll call them and wel and we'll talk to them and haand get more information about some of the specifics around what they're doingand try to capture a new one. You know sales is absolutely a math game, but itrequired the art of of didesigning world class sales. Development teams isin being able to find the nuance, listen to the nuance and basically usecommon sense to get everyone to agree to different processes or think aboutthe team differently. So I think that that part of my job is honestly one ofthe most exciting and stimulating, because you really get to see how we'reall more similar than different as sales development leaders, with one ofthe biggest differences that I've seen in just through the process of ofdeveloping this report is that world class sales development teams have onething in common. They have a director that really understands what they needand is able to advocate for what those reps need across the world and withinthe business. So long, winded answer to your question yeah, but I like it it'sit's a good onsor to et, though, and an interm of the new NCS. I mean youmentioned what they've got in common in term of the nuances. Do you see a largedifference between some organization as to the way they go from selsdevelopment, depending on the size, depending on the type of productsobviousy that theyare selling all thus new ens is quite similar, no matterwhat size, the Mattor, what you are selling and the challenges are actuallydecide both really right. So so the nuances are in two things: The nuancesare in: How do we segment as a business, and how does our SDR team mirror tothose segments right, Wep? So a classic example of the right we work with witha company. They are they're in that fifty million zone andthen they're rapidly launching towards a hundred million right now right,that's one of their imperatives. For this years toy hit a hundred million inrevenue. They have a an aggressive smb tha as a business, primarily builttheir business in SMB right and but what they struggle to do. What theyneed to do in order to get to this hundred million target is they have todo a better job of building out their their enterprising commercial segmentsright with bigger deals? Bigger companies sounds a really commonchallenge in a lot of tech companies, and so in order for sales developmentto mirror this imperative they completely switched, and so their SDRsthat support the SMB team are only working. Inbound leads and chat thatcomes to their website and their commercial and enterprise teams aremore hybrid reps and they only focus on...

...a set of named accounts right. That'san example of nuance: that is, if you look at some of the data, is going tobe harder to capture yeah, no appreciate that so one of the Lemetinin the repo that also kind of truck my attention, because I guess its good formy business and but that or it's a great starts to read, because I don'tthink I've ever had access to such a stat OFA sexual ouge, Simpoleof people that have been studied, but what you mentione in the report thatSDRs actually the most significant piplane driver and that they areproximatively responsible for fifty seven percent of the overald palinegenerated in the companies and then because, as ye are becoming soimportant, their role is kind of moving slight. Before just doing the enuse orpaper and generation they can move to customer expension, general programsand all that, can you peasecomment on that a little bit more for us. Pleasethen yeah. This is, I think, one of the most exciting things that's happeningin sales development, because what it's? What it's done is it's evidence that sales development isa trusted partner in the hyplen generating ecosystem. I want to make itclear that, even though this figure fifty seven percent, this also includesright, Sdrs working leads that come in from marketing programs, but why doesit captured all of this? Because SDRs are involved right? You can't overlookthe fact that SDRs are totally involved in all of these pipeline, generatingactivities Yeh with that said, why are they moving into customer expansion andchannel programs because they are at the highest level, the predictableoutcomes and the repeatability of pipeline creation is attributed to aset of processes and leaders that can better manage those filters around whatgoes in and what goes out effectively yeah and when you think about it thatway, right in an organization where they have a high amount of rigor andthey've got a culture that adheres to methodical process. You can apply thatwith some slight adjustments to customer expansion and channels, so asthose prospecting, skills can help those additional revenue generatingareas in ways that they haven't necessarily been supported in the pastand they're, also they're being treated as what I call project promotions right,where you have high performing sales development reps that are looking fortheir next thing, and so the business will put them on one of these specialprojects to prove whether or not this is something that they can adopt intoagainst expansion. Oor Channel Not- and you know again, his is music to myhairs. I think I think it does. It does make perfect sense. You et too much. IA those people who are doing the SDR role, it's important to provide them aperspective in term of how they can how they can accelerate or expend theircareer with within a specific accounts...

...walking within a specific company andand yes, it's absolutely fundamental, and it does make sense to make more useof thesd function. In fact, one of the one of the one of the to PAT WILF anddiscuss with clients prospects individual like yourself and is te Fi-that GSD jesor function is ever changing, is changing all the time youknow there is we see with your mutation and that's kind of leading me to mynext question, which is a realyaround. A CON base program is, if ' somethingthat is really really closs to our heart. We Love A compays, we lovetellering, and this is why we believe we are successful in what we do forclients, a D and we do actually believe it. It's one of our USP, but accordingto the research, eighty eight percent of marketers mentione outbound sdas asone of the most effective channel for the account base program, Kay n yoed.This seems to steinface challenges in executing multy touched programs weresays. Marketing and sals development would actually walk together, an eent.So why do you think there is still so much of a disconnect between the teamsand and what would be your suggestion in order to get that alignment right?Yeah, big question: I appreciate it. I think, what's fundamental about accountbase programs is that your all starts wit, the accounts right. So do we knowwhy we're going after these accounts and do we know why we selected thisgroup of accounts for program right. So why do they? Where do the disconnectusually happens? The disconnect usually happens around alignment on why we'regoing after these accounts? What the program is, what I'm asking of you as asales development team to do that's different and then how I've enabled youto do it in a way that's of minimal desruption to your job right or thatcloser aligance to how you already see the world today, and so what does thatactually look like right? The key is the key is presenting information toSDRs in a way that that really makes sense to them, and so an example of theright is what we would call a orchestration plan or orchestrationbreat right. It's this initial conversation where we talk throughhere's the program right- let's say I'm selling Topo and I'm selling Topo toSDR directors of companies that are of a certain side and we're running a highvalue ourful program, where we're going to give you a free benchmark assessmentand data readout right. It's just an example of a program that we might runand what's key here, is that the marketing team sits down the salesdevelopment team or presents them with the the. Why, behind the program thatthey're about to go, do why is this so critical, because the SDRs need to knowthat what they're going to be doing is different and they need to know whyit's different so that they can actually do the thing you're askingthem to do so. In this case, I would be asking the SDR not to sell anappointment with a sales trap not to...

...sell the opportunity to talk throughright, their challenges and how they relate to our solution. I'm asking theSDRs to sell a meeting to sell benchmark process. That's reallydifferent than selling a product right, and so you have to allow a space touexplain that convey that and understand that, and then they go okay,I'm interested now. What are you actually asking Yeu to do? And that'swhere you have in the orchestration plan to support this orchestration reef,and so a orcostration plan says: Look, here's it's almost like it's ablueprint right, here's! What we're going to do we're going to send them!You know direct mail this day and then we're going to send them right day. Youknow box of a box of cupcakes and then in the mail and in the cutcakes. It'sall creating awareness around you and you reaching out then on day four andsix. I want you to reach out and introduce yourself and offer to talkthem through the benchmark assessment and what that process is going to looklike yeah. That's really really different and by the way here are thehere's, a call temp that you can use right. So here's some of the talkingpoint and here's the copy that you can use as well around this by the wayright, and so my expectations of your to make sure you make those calls onthose days are to send the messages on those days and they follow that thisthis messaging, but the benefit to you, which is critical right. The benefit toyou, Mr Misss Syrs, were completely supporting you ind your effort togenerate Tet, new appointments directly or opportunities, Aline Directy orcomplain. Okay, and that that that's it's a lot of work. It's a lot of work,it's a lot of communication and it's a little bit of reprogramming and that'swhy it's so hard and that's why there's a disconnect, because a lot of teamsdon't know how to put in that work? Absolutely and- and it's also kind ofbridging to the next point. I want you to mention to you, which is or OngTechnology of tools that can support Sdar to be more projective of basically ALD them to do more, Otain,more results or fasilitate reporting at the backend. So then, marketing andcells can get all the intelligence, the visibility on what's happening. So wesee a lots of clients actually struggling with with implementing thetechlogy stack, and I would like to your opinion on a simple question mean:Do you think that that struggle is coming from the fact that organizasionnot have enough time investing enough in his dl to use technology, or is itjust at those techlogies are not really yet use of friendly for reps to use youyou know Organizat, the macro trend is, is the the former. So I believe thatthat organizations are not being methodical and why they're buying righttheyre in a lot of casees, not clear round why they buy, or they are clearon why they buy, but they don't have a good plan to implement or an Eple, andthey perhaps ignore some of the obvious signs early on they just know. Hey lookwell figure this out right. Sales,...

...engagement technology is one of thebest examples of this. I think it's a really fast growing organizations andthis what we've seen from from a lot of our clients when they come to us withthese challenges, is that they bought the tools because they know that theyneed to do at some point right and they bought it because they know that youknow how could I put my rap in in a situation to prospect when I'm notgiving hem the vest tools? That's a common scenario for sales engagementproducts, but we don't have a a true adment. We don't have the ban withresources to fully own and the implementation of this, and so thatfalls to some. You know str director or an SDR manager or someone at marketingoperations whose primary responsibility is not enabling SDR c use the technologiesright and so, as a result, you either have technology that isn't methodicallyimplemented, and it's just your valying on the individual reps to figure it outor it's not configured in a way that is aligned o best practice and, as aresult, you sort of see or behavior like in sales engagement technology.You see tons of you know span like behavior and leverging too muchautomation. The tools are constantly investing in in user experience andMusyour friendliness, but it does require some degree of method whenyou're rolling it out to say why right so example of that outbound prospectingusing sales engagement, great example right. What kind of investment do Ineed to make? You have to make a noninly an investment in the upfrontconfiguration of the rules around configuring jusand deciding? U Ow. Whatkind of automation rules do we need? What kind of sinking do we need to dowith the crm right? But then also, should we create shoulwe, give srs theability to create their own touch patterns or cedences or sequences?Should we give them the templates that are inside of those tools who shouldwrite them right? Should we that's the kind of detail that is oftoverlocked, appreciate that and we see exactly the same gap, so I'm gladyou're, sharing, thes semopion you sea to cross the ball. I think things willprogress withhot time as Wi is e SDA function becoming more and morepredominant as port of the paper generation process and Efunctionait isgetting more and more. I guess you Kn, as Da we almost get more and more ofour what to say in the processes were we definitely see a changing term oftransand whichsee people, probably embracing a little bit more of of sellsand marketing operations role as well to get to Toticlergi, singing anddancing, but as for today, thank you vor much for your time, Tan. Thank youvery much for your insite yous. It was great for me to resent some of theanswer that you gave to the question. We asked You, but also thank you verymuch for taking us through some of some of the example that Youe Sen real likenow. If anyone wants to connect with you or carry on the conversationofflying with yourself, what would be the best way to get in touch with youthat well well, thank you for having me on the show, and I do appreciate this.The best way to get in touch with me would be probably on linkedon firstnamed Dan last name Gotlev, I'm the...

...only one that works at Topo, at leastfor now, and that would be the easiest way to get in touch with me. That'swonderful! Well, as I said many things for your time today, then thank you fora much for participating. inditial. Absolutely thanks for having me operadics has redefined the meaning ofrevenue generation for technology companies worldwide, while thetraditional concepts of building and managing insize sales teams in househas existed for many years, companies are struggling with the lack of focus,agility and scale required in today's fast and complex world of enterprisetechnology sales see Ow operatics can help your company accelerate pipelineat operatics. Dot Net you've been listening to be to be revenueacceleration to ensure that you never miss an episode subscribe to the showin your favorite podcast player. Thank you so much for listening until nexttime.

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