SOAPBOX


How to use Disruption to win that High Value IT Sale


By Richard Lowe, Managing Director of RBL Associates,


the specialist search, recruitment and training consultancy focused on the technology sector.


If there’s one thing I’ve learnt in my 30 years in the industry it’s that disruption in a customer’s business is a sales professional’s best friend. Not only is it the perfect indicator that a prospective customer is at a stage where they are more open to new suppliers or products, but it also often provides an ideal foundation to demonstrate how valuable your solution can be. Disruption is also the best way to get Executive or C-level


visibility – after all, they are more likely to stand up and pay attention if things aren’t going to plan. However, it’s not always as simple as approaching a firm going through disruption and offering a solution to the C-Suite’s pain point. It’s a rather complex situation that will require knowledge of the specific type of disruption the prospective client faces in order to approach the opportunity with a credible and relevant story. But what are the levels of disruption to be aware of and what indicators should sales professionals be watching for in order to win that high value software sale?


Categories of disruption


1. Macro level disruption: At this level, issues will affect an entire industry or a grouping of similar organisations. Examples include: a vertical market sector which is subject to new regulatory compliance from a Governmental body, suppliers to one larger organisation that insist all its suppliers reduce their prices substantially, or users of a technology that is outdated or no longer meets operational requirements. These are often easier to identify due to the widespread nature of the disruption – simply keeping up with the latest sector news will help identify if a prospective client is facing these macro level struggles. However, remember that your competition will have the same information to hand, so speed is of the essence in these cases.


2. Micro level disruption: This impacts an individual organisation which faces changes due to new or unexpected competitive pressures, or is seeking a shift in strategy to enter new markets or deliver new services that their current systems are unable to support. At this level we can also include the new global companies using technology that are themselves a force for disruption. These are the firms that are using new cloud-based IT. They might not own or manage any IT and, as a result, can act quickly without the constraints of legacy technology infrastructure and make large value growth- based decisions on technology that will keep them ahead of their competitors. This disruption is more difficult to identify and will require close monitoring of a specific company’s activity including mergers and acquisitions.


3. Persona level disruption: This category applies to disruption 14 www.isopps.com Richard Lowe.


being driven by one or more people in an organisation. New C-level executives almost always bring their own ideas or are given stretching objectives to achieve both of which usually lead to widespread changes to the organisation they have joined. Keeping up to date with the latest executive level hires and staff departures is an important signal of potential demand for a high value sale.


Signs that a customer is experiencing disruption:


In my experience there are ten key indicators that a company is going through a disruptive phase: • Rapid business growth • A steep decline in business • Mergers and acquisitions • New publicly declared strategic objectives for the company • New C-level appointments triggering new initiatives • Business transitions such as re-organisations or change programs


• Compliance or regulatory issues / amendments • Heavy involvement from senior executives in specific projects • Transformation and/or digitalisation of their company, product or service


• A move or obvious intention to enter new markets that their current technology does not support


If a prospective client is displaying any of the above signs, it’s


clear that they are going through some form of disruption which could lead to a large technology or software sales opportunity for you and your company. Of course, it’s not just potential customers who will experience this, your existing customers could also find themselves facing times of significant change. It’s vital, then, to apply the same parameters of analysis to


current clients in order to identify any risks and seek to cross-sell or up-sell to them. Remember, your competition will be looking at your customers to try and take business away from you, but you have the benefit of having that relationship in place already. Use it to hang on to those facing disruption.


One large transaction – or phased over time?


A final thought on disruption that professionals need to carefully consider; is it of a type that creates the need for widespread adoption of a new technology solution in one large value single transaction, or is it instead one which lends itself to a phased adoption of new solutions over time? Sales leaders need to assess this point carefully as it will determine the sales resources allocated and the forecasting of the revenue flow from that customer.


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