What are we to make of 2010? Most reports indicate that the New Year will improve, with it being reported to be stronger in B2B. Purchases for the past 18+ months have been curtailed with only those that lead to short term revenue generation being prioritized.
If we agree that there is a lot of pent up demand, then it makes sense to believe that 2010 will offer opportunities. For most companies the business plan for the coming year is now baked, with a set of actions ready to be implemented. Here are some points that should be considered as business leaders direct their companies in 2010.
- Do you have enough ammo? It stands to reason that most of us are a bit gun shy after the past two years, even though we’d be hard pressed to admit to it. As I’ve said before, most go-to-market plans don’t have enough of the right kind of ammo to really take advantage of opportunities. I suggest that you look at the actions you put in place and determine if there’s more that you can offer. Further, it’s wise to convene a team of your key leaders to look at another set of actions that you can layer in when needed, either for the second quarter or starting the second half. Remember that buyers will have a number of anxious sellers with an array of enticing offers. As with most rebounds, many of the major moves come from smaller players in each market or niche rather than from the leaders. So for leaders, don’t blink; load it up, because it’s time to get going. For players with less market share, it’s your time to make the move.
- Do you have the right ammo? Determining what will resonate with your customers in 2010 isn’t a matter of resurrecting what worked in 2004 to 2008. We’re learning from our research that buyers are still looking at needs versus wants, because ROI and other key justification analysis will likely stay on the cautious side. This suggests that you should make a concerted effort to test with the customers what will motivate them to act, whether you’ve planned for the actions to kick off the year or not. While customer research and market testing are common practices in B2C, they’re still fairly rare in B2B. In B2B, the marketing team and sales usually sit down to develop actions and then run it by some lead customers. This flat out isn’t voice of the customer (VOC), and it’s very dangerous, albeit convenient and swift. We recommend a third party or someone from the company who can study the need without bias and without attribution to your company, so you receive a clear view.
- Pumping up the channels. Sales teams have had a tough several months, with feelings of dejection driving the need to hand-hold key customers so that a good dialogue continues. Besides not making the money they expected, the sales team has likely learned a lot about how their company or vendor partner has dealt with the downturn. Therefore company leaders need to assess and segment the channels by how the channel will view you. Assuming that each person in the channel believes the same things and is likely to respond the same way in 2010 could be a huge mistake. We’ve learned over the years that companies take reasonably good aim at segmenting customers, but it’s rarely done with sales forces or channels. Besides the incentive systems and other rah-rah actions, the sales teams will need a set of actions that really resonate with them and their customers. As fired up as you may be this year, expect sales people to be wary, and maybe not as optimistic as you are with the actions you have put in place. One of the great ideas that several companies have used is to conduct simulated sales calls with new actions with customers, and then use the recorded comments in kick off meetings with sales. In some cases, we’ve had to conduct two rounds of simulated sales calls, the first to test out key actions, followed by some time to refine the actions. Then a second round of well-tuned actions with more positive responses in the customer’s words. While sales people may look at your plans with a jaded view, they do listen and gain confidence when customers support what you’re doing. If this can’t be done in time for your kick off , think about for the next layer or round that you will be developing.
- Seizing the Opportunities. This is likely to occur when you’ve best prepared at the point of customer engagement. In a potential rebound your revenue and profit can grow while losing market share and penetration advantage to alternatives in your market. We’re often relieved to see growth occur after a tough spell, but let’s not be lulled into the thought that we’re doing everything we can do for customers and business objectives. You will be better prepared by following the suggestions I have outlined in this post.
It’s really good to feel upbeat and optimistic in this New Year. Let’s just make sure we have everyone in the boat rowing together. I’m not saying to throw caution to the wind, but this is clearly a year for decisive action. This is a note of encouragement to those who are interested in going for it in 2010 in an assertive and systematic way.
So let’s take aim, take the best shots we can and stand ready to adjust on a real time basis.