Spotlight on Strategic Selling (2024)

Spotlight on Strategic Selling (1)

Post byBob Apollo
September 12, 2019

Spotlight on Strategic Selling (2)

Spotlight on Strategic Selling (3)In this, the second of my series of articles for the International Journal of Sales Transformation on today’s leading sales methodologies, I want to turn to another long-established approach - Strategic Selling® from the Miller Heiman Group.

Their Strategic Selling methodology is particularly effective in complex B2B sales environments with large decision-making groups and often lengthy and convoluted buying decision journeys. It helps sales people to break down complex situations into manageable components, and to focus on developing mutually beneficial relationships with their clients.

It would take more than a short article to do full justice to the methodology - so I’m going to selectively highlight a few of the concepts that have proven to be particularly useful over the years. Many of them - although they might have appeared to be revolutionary when first introduced - have become now recognised as mainstream thinking...

Ideal Customer Profile

Strategic Selling was one of the first methodologies to acknowledge the importance of establishing an Ideal Customer Profile - and to recognise that raw demographics (such as company size, sector and location) are an incomplete and inadequate way of describing the most important characteristics of our most valuable existing and potential customers.

The concept of “Buyer Personas” has become commonplace in B2B marketing, and it’s interesting to note that the authors of Strategic Selling introduced the concept of organisational psychographics (in other words, organisational personalities) into the mix when thinking about our ideal customers.

They pointed out something that effective sales people have often instinctively recognised - that vendor and customer company cultures have a powerful influence on the likelihood that they will agree to do business with each other. But - of course - these factors only become obvious when we are in active dialogue with each other.

Buying Influences

Strategic Selling recognises that any large and complex buying decision will inevitably involve many different stakeholders - and that these stakeholders will have widely varying degrees of influence over the decision-making process. The methodology identifies four particularly important roles - economic buyers, user buyers, technical buyers and coaches.

In this model, the economic buyer is responsible for giving the final approval for the purchase of your product or service. This can be a single individual or - as is increasingly common nowadays - a board or a selection committee. But even when a group decision is involved, the methodology encourages us to seek out the most influential individual.

The second buyer influence type is the user buyer. These are the people who will actually use (or supervise the use of) your solution. Their focus is on the job to be done, and the problem to be solved. Their future success may hinge on the effectiveness of your offering, and they often have significant input into the detailed solution requirements.

The third buyer influence type is the technical buyer. These are the people who determine whether any given solution is a good fit for the customer’s environment. The term “technical buyer” can be a little misleading, since it includes not only the obvious IT experts, but also legal, procurement and other specialists who often have the potential power of veto.

The fourth and final key buying influence type is the “coach”. This is someone within the customer organisation who is willing to help guide you in your sales strategy. As the authors point out, the first three roles already exist - but your coach (there may be more than one) needs to be identified and developed.

In complex environments, you will often find multiple people in each of these key role types - but it would be very dangerous (and very unusual) for them to have the same level of influence over the sale. That’s why using a buying influences chart is a simple but effective way of identifying and assessing each of the players.

Win Results

Another important concept is the idea of win results - best summarised as “companies get results - but only people win”. In other words, we need to show how both the organisation and the key buying influences will benefit as a result of embracing our solution.

Results tend to be corporate - expressed as the impact on some important business process or metric. These will often be a mixture of both economic and non-economic measures, such as customer satisfaction, market reputation and/or the ability to attract and retain top talent.

Wins, on the other hand, are personal, often intangible and hard to quantify - but the belief that a decision will result in a win is often critical to getting the support of key stakeholders. That’s why every successful proposal needs to be able to answer the question “what’s in it for the company, for my department and for my own personal goals?”

Response Modes

People and the organisations they represent are most likely to buy when there is a significant gap between their current situation and their desired future outcome. Strategic Selling identifies four potential “response modes” - growth, trouble, even keel and over-confident. The first two often indicate potential current opportunity, but the others suggest that an immediate sale opportunity may be difficult.

In both growth and trouble mode, the prospect already perceives that there is a significant mismatch between where they are today and where they would like to be. The chances of change are at their highest when these gaps exist at both the company and the individual buyer influence level.

And - reflecting the work of Daniel Kahneman - the methodology suggests that the avoidance of trouble can be an even more powerful catalyst of change than the pursuit of growth. Of course, if we can combine the two, our chances that the prospect will act and that we will win their business are even higher.

Even keel and over-confident response modes are much more problematic. When there is little perceived difference between their current situation and any desired future state, the prospect is likely to stick with the status quo. But if their over-confidence proves unjustified, we may be able to successfully change their perceptions (and that, of course, is where blending Strategic Selling with a Challenger Selling® approach could prove invaluable).

A Structured Approach

The above concepts are supported by a structured approach that captures key opportunity-related information into “blue sheets” providing a single-page view of the most important information pertaining to any given sales opportunity, such as your single sales objective, current position, competitive landscape, ideal customer profile, buying influencers, win-results, current position and potential and best actions.

The great advantage of this single summary view is that it quickly makes obvious what you know and don’t know, and what you have done and have not yet done in the context of your overall opportunity strategy. It offers an incredibly powerful perspective.

In Conclusion

Although the Strategic Selling methodology has been around for decades, it anticipated many of today’s customer-centric approaches and has been regularly refined to take account of modern buying behaviours. If you have a complex sales environment, its core concepts are definitely worth serious consideration.

This article was originally commissioned by and published in the Q3 2019 edition of The International Journal of Sales Transformation, and is reproduced by permission. If you have not already done so, I strongly recommend that you subscribe.


ABOUT THE AUTHOR

Spotlight on Strategic Selling (4)Bob Apollo is a Fellow of the Association of Professional Sales, a member of the Sales Enablement Society, a founding contributor to the International Journal of Sales Transformation and the Sales Experts Channel and the founder of Inflexion-Point Strategy Partners, the leading UK-based B2B value-selling experts.

Following a successful corporate career spanning start-ups, scale-ups and market leaders, Bob is now relishing his role as a pro-active advisor, coach and trainer to high-potential B2B-focused sales organisations, systematically enabling them to transform their sales effectiveness by adopting the proven principles of value-based selling.

Tags:

Sales Methodologies, Strategic Selling

Spotlight on Strategic Selling (5)

Post byBob Apollo
September 12, 2019

Bob Apollo is a Fellow of the Institute of Sales Professionals, a regular contributor to the International Journal of Sales Transformation and Top Sales World Magazine, and the driving force behind Inflexion-Point Strategy Partners, the leading proponents of outcome-centric selling. Following a successful corporate career spanning start-ups, scale-ups and market leaders, Bob now works as a strategic advisor, mentor, trainer and coach to ambitious B2B sales organisations - teaching them how to differentiate themselves through their provably superior approach to achieving their customer's desired outcomes.

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Spotlight on Strategic Selling (2024)

FAQs

What is the key to Strategic Selling? ›

The core idea of Strategic Selling is to focus on building mutually beneficial relationships with multiple decision-makers within a potential customer's organization, rather than concentrating on just one contact.

What are the fundamentals of Strategic Selling? ›

Strategic selling prioritizes understanding and meeting the unique needs of each individual customer. It involves tailoring sales strategies and interactions to align with the customer's preferences, pain points, and goals.

What is the Miller Heiman Strategic Selling strategic analysis? ›

The Miller Heiman sales process, called Strategic Selling, is a repeatable sales framework for managing complex B2B deals. It focuses on understanding buyer's needs, identifying decision makers, and developing a custom, streamlined sales process.

What is strategic sales experience? ›

Strategic sales involve developing a detailed plan for targeting prospective clients and selling them a product or service. Through strategic sales, companies focus on how their brand can provide a solution for their target customers.

What are the 7 keys of selling? ›

The 7-step sales process
  • Prospecting.
  • Preparation.
  • Approach.
  • Presentation.
  • Handling objections.
  • Closing.
  • Follow-up.

What are the techniques of strategic selling? ›

Using Strategic Selling techniques, sales teams identify sales opportunities by identifying all key members of the decision-making process, evaluating where they currently stand in regard to purchasing, and then using those insights to tailor their pitch or sales approach.

What are the 3 fundamental rules of selling? ›

There are three fundamental rules of selling:
  • People don't like the idea of being sold.
  • People buy things for emotional, not rational, reasons.
  • Once sold, people need to satisfy their emotional decisions with logic.
Mar 26, 2019

What is strategic selling vs conceptual selling? ›

Strategic Selling with Perspective delivers a selling process and action plan to successfully sell solutions that require approval from multiple decision makers in the customer's organization. Conceptual Selling with Perspective helps salespeople better prepare for time spent with customers.

What is the new strategic selling summary? ›

Brief summary

The New Strategic Selling by Robert B. Miller, Stephen E. Heiman, and Tad Tuleja is a sales book that provides new strategies for selling in a complex business environment. It emphasizes the importance of understanding the customer's needs and decision-making process.

What is the blue sheet in sales strategy? ›

The Blue Sheet is a document that's part of the Miller Heiman Strategic Selling concept. It can include components like buying influences, red flags, strengths, win results, competition, and ideal customer profile (ICP). This sheet is designed to help sales reps think deeply about every aspect of their sales strategy.

What are the 3 major areas of strategic analysis? ›

SWOT analysis:
  • Strengths – strengths of an organization are the positive areas that help it to grow consistently. ...
  • Weaknesses – where there are strengths, there are also weaknesses. ...
  • Threats – there are various factors that affect an organization, but they are mostly predictable too.
Feb 25, 2022

What is a red flag Miller Heiman? ›

Evaluate red flags and objections

For example, missing buyer information is an automatic red flag according to the Miller Heiman Strategic Selling methodology. If you don't know a buyer's role, the tools they use, or their pain points, your chances of closing the deal are slim.

How to do strategic sales? ›

Build a sales strategy that works in 8 steps
  1. Set sales goals. ...
  2. Nail down your unique value proposition. ...
  3. Create customer personas. ...
  4. Take note of opportunities for improvement. ...
  5. Outline an action plan. ...
  6. Build and maintain a sales pipeline. ...
  7. Implement sales tools. ...
  8. Measure performance.
Jan 22, 2024

What does a strategic sales person do? ›

Since the sales process is long, strategic sales focus on bringing in new customers, with the primary goal being to inspire customer loyalty. Ensuring that a customer comes back requires high-quality products and a good brand image.

What is the key to effective selling? ›

The keys to selling success are understanding your audience, having a great product, and articulating the value of your product. You need to understand what motivates your audience and what needs they have that your product can address.

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