Qualification-driven Forecasting:Getting Results in the FieldDan ThompsonSales Director – U.S. East & Public Sector

Smarsh

Brief AgendaI. Quick level-set: Qualification vs. Forecasting

II. Why Have a System?

III. Keeping it Simple – the “Big Four”

IV. Salesforce.com Staging & Forecast Considerations

V. Practical Application & Results

VI. Q&A

Qualification-driven Forecasting

Qualification vs. Forecasting

Qualification:• The process of determining whether a customer will ultimately buy from you or not, by

understanding their needs, budgets, and decision-making processes.

• Qualification should be happening throughout the sales cycle – it is not a one-time event!

Forecasting:• Determining what stage of the buying process (sales funnel) a customer is in, and assigning a

probability of closure based on historical data or other means.

• Effective forecasting uses data uncovered during qualification for timing and probability…

• Better Qualification = More accurate Forecast.

Why Have a System?

By Having a Clear, Agreed-upon set of Metrics:

• Reps, managers, and executives can speak the same language regarding sales opportunities and pipeline

• The sales team can identify and address “at risk” opportunities sooner

• Analytics become more meaningful

• Best practices sharing becomes easier and more effective

• Pipeline reviews and 1:1s become more efficient, allowing that time to be spent more productively

Is there a Compelling Event?

Is the Project Funded?

Technique: The Big Four

Have they Agreed to our Timeframe?

Can we Win Technically?

Keeping it Simple – The “Big Four”

Technique: The Big FourKeeping it Simple – The “Big Four”• Uncover the prospect’s reasons to change from the

status quo

• Revisit frustrations with their current vendor

• Maximize pain points to develop sense of urgency

• Gain insights to help us build business case and organizational support

Is there a Compelling Event?

Is the Project Funded?

Technique: The Big FourKeeping it Simple – The “Big Four”

• Is there budget available?

• If not, where will the prospect find it?

Technique: The Big FourKeeping it Simple – The “Big Four”

Have they Agreed to our Timeframe?

• Identify the parties involved in the decision process

• Determine when a decision needs to be made

• Gain clarity on the consequences of going past the customer’s desired “date

• Get commitment on a mutually agreed on signing date

Technique: The Big Four

Can we Win Technically?

Keeping it Simple – The “Big Four”

• Understand the project’s Critical Success Factors

• Determine how, and in what order, we need to prove our solution fit (not necessarily demo)

• Gain commitment to move forward if we successfully meet their criteria

By uncovering and validating the prospect’s Big Four qualifiers, the sales team are able to:

• Understand the full extent of the prospect’s technical, organizational, and personal pain points, and where we stand on their priority list

• Help our champion to begin developing a business case to justify the investment in our solutions

• Identify their decision making process and timelines for execution

• Lay out a mutually agreed plan to prove out our solution fit and value

In SummarySummary of the “Big Four”

Forecasting Stages & Checkpoints

• Top-level stages (1-6) used to communicate opportunity status and funnel location / probability

• “Checkpoints” help managers to validate opportunities and coach direct reports

Externally focused, and validated by the customer.

Salesforce.com Buildout

• Big Four qualifiers must be completed before advancing to corresponding Stage

• Stages map to internal forecast “buckets”:

• 6 = Commit• 5 = Call• 3-4 = Best Case • 1-2 = Pipeline

*Excluded from current quarter forecast

Creating Accountability though People and Conversations• Internal:

• Reps meet with manager weekly to review pipeline and key deals• Discuss prior week’s opportunities and forecast to validate staging and Big Four• Key deals reviewed by peers during round tables and QBRs

• External:

• Written summary of key qualifiers and next steps sent to customer following each meaningful conversation

• Business drivers included with proposals to prevent “value leakage”

In SummaryPractical Application

In SummaryPractical Application

Since Rolling out the Big Four and New Stages:• We now have a common language when discussing sales opportunities

• 1:1s have become more streamlined and efficient

• New Business revenues have grown consistently quarter-over-quarter

• Accuracy against Call has largely gone up

• Record number of reps at or above quota in 2015

Adherence to the process is more important that the process itself.

In SummaryEarly Results

Questions?