12 Ways to Reduce NewCo Sales Cycle

There are few things more important in the life of any organization than to grow and grow quickly. No matter how good the concept/product/service, how talented the founders and staff or how impressive the technology or appearance, unless the marketplace shows its approval by purchasing and using what you have to offer, you don’t have a business.

But gaining traction is particularly important when the company is new, your approach is different, no one knows your name, funding is limited and there are many others clamoring for buyers’ attention. Here are twelve ways that can elevate you above the mosh pit of the marketplace.

1.     A Solution, not a Product – too often young companies become enamored with the product or service they have created and forget that the buyers are not looking for a product or service. They are looking for a solution to a problem that they own. The sales starts with an understanding of the buyer’s profile and the problems he/she faces. Present what you offer as a solution to their problem(s).

2.     Price or The Lack There Of – when you are more established, you will have more pricing leverage. But when you are an unknown, it is more important to get people experiencing the benefits of what you do than maximizing the revenue from what you sell. Don’t let price be a barrier to adoption. One way to defend your price and close the deal is to reframe the discussion. For example, is you offer a high use product or service, present it as a cost per use rather than a monthly subscription or annual cost.

3.     Focus on Their Competitors, Not Yours – find two prospective buyers that are fiercely competitive with one another and are looking for a way to get an advantage over the other. If they feel you will provide that advantage or if they fear that their competitor will gain it, leverage that fear and offer a temporary exclusive if they act quickly.

4.     Fire the Time-Wasters – while virtually all buyers are busy, it is amazing that so many will waste your time and theirs. Finding who these prospects are early in the sales process and eliminating them from your target list will allow you to focus on those that truly have potential and you will have more time to get them to the finish line quickly.

5.     Find the Early Adopters – these are people, not companies. Whether by personality or training, 10 – 20% of your target market are people that like being the first to try something new. Look for people who have exhibited that trait in the past.

6.     Remove the Risk – present a business model to perspective clients that removes or greatly reduces the risk to the buyer – disruption of their current business, long term commitment, high upfront cost, etc. All are reasons to delay or deny.

7.     Commitment to the Next Step – the marketing/sales cycle involves a series of steps starting from awareness to signature. If you have a live meeting and there is follow up work to be done by one or both parties, don’t leave the room without the next meeting being set. If they are unwilling to set that meeting, then this could be a time waster and you should move on.

8.     Create a Sense of Urgency – even in the best buying scenarios, too often signing the agreement becomes a can that is “kicked down the street”. Most buyers understand that new companies need to prove themselves, so telling them will not surprise them and may get results. Tell them you need to get users by a certain date and you will provide them with favorable terms if they will help you get there. Quantify the cost of acting later instead of now.

9.     B2P – There is nothing that will get your company the attention of prospective buyers more quickly than to have a partner (B2P) that will endorse you. By leveraging their relationships, your company gains immediate credibility. Find a partner who is looking for something new to bring value to their existing relationships and follow their path to the buyer’s desk. Warning - not every partner is worthwhile & some will be a time-waster. Find the ones who will bring you into real short-term buying opportunities

10.  Learn the Barriers – and How to Overcome Them – There are a thousand reasons not to buy now and only a few reasons to buy now. Know the former ahead of time and develop compelling ways to address those barriers so that you don’t lose momentum.

11.  Relationships, Relationships, Relationships – the cold call is dead. The cold email is on life support. B2B buyers are too busy and can screen calls & emails too easily. They can’t afford the time to figure out if they should talk to you so they don’t. But relationships still count. Buyers will make the time when they are referred. Knowing the buyer’s friend is more important than knowing his/her phone number.

12.  Leverage Technology to Speed Thru the Sales Funnel – while relationships are key, you’ve also invested significant money and effort into deploying your customer relationship management system (CRM). If you haven’t, you should. Now is the time to ensure that you are getting the most out of this investment. Whomever is responsible for Marketing & Sales in your organization should use this as their daily guide, know its capabilities and use their CRM sales representative to help grow your business.