by Cindy Barnes
Praise for Selling Your Value Proposition
‘We are living in the Age of the Customer. Selling Your Value Proposition provides leaders with fresh, insightful advice on how to drive the customer-centric business transformation our new world requires. The time has come for every employee to join the sales team, and Barnes, Blake and Howard provide a blueprint with powerful case studies to arm leaders with what they need to get started. A must-read for the transformational leader of the future.’ Cate Gutowski, VP, Commercial Digital Thread, GE Digital
‘In Creating and Delivering Your Value Proposition the Futurecurve team helped companies tackle the central, most critical, question they need to address in order to be successful in the market: what is it that makes us unique? Put differently, why should your customers buy from you instead of your competitors? Now, in this terrific follow-up book, they help companies translate their unique value proposition into a set of messages that the salesforce can use to drive growth. In so doing, the authors tackle a question that is just as difficult and vexing for managers: what would have to be true in the customer’s world for them to want to PAY us for our unique differentiators? Together, these two books – packed with practical advice, tools and case examples – are must-read material for B2B CEOs, sales leaders and marketers intent on driving growth in markets increasingly crowded with seemingly commoditized offerings.’ Matthew Dixon, Group Leader, CEB, and co-author, The Challenger Sale and The Challenger Customer
‘Packed with tried and tested tactics and dozens of examples from real organizations, this is an essential read for executives in large corporates or anyone who wants to be customer-centric (internal or external), innovate and stay ahead of the game.’ Simon Gale, Procurement Director, Sony Europe
‘If we keep looking at our customers through the same lens, having the same conversations with them, telling them the same things, not properly hearing the answers, we wake up one day and we don’t understand each other any more – and worse, we have been replaced. This book wakes us up and gives us a new way to look at and think about our customers, and then transform the relationships that we have with them.’ Andy Head, Business Development Director, NATS
‘Deconstructing all the key elements of what a genuine customer-centric organization looks like, Barnes, Blake and Howard guide us through the most engaging examination of value, and its relationship with customers and organizations. With an emphasis on how to use the tools and implement them effectively, the authors deliver a must-read for all executives seeking to gain, or further, their organization’s advantage through deep and resilient relationships with customers.’ Christopher Taylor, Executive Vice President – Strategic Development, Survitec
‘This book is essentially the most helpful business mentor you’ve ever met. It thoughtfully reminds us that it’s our customers’ lives and ambitions that govern their appetite for our products and services, not our predetermined sales plan. As a leader from local government, where customers and sales are not familiar concepts, I found its clear, concise and creative insights and methods empowering. First to understand where our products and services sit with helping our customers have a better day, on their terms not ours. Then with that humility and integrity to execute a sales process that unlocks our customers’ own fulfilment. I think we all want to buy from businesses who can do that with grace and style.’ Andrew Grant, Chief Executive, Aylesbury Vale District Council
‘Selling Your Value Proposition provides insight, acumen and a clear understanding of how to effect organizational change – without turning the organization and its processes upside down. The case-study approach is most helpful, not only to provide exemplars but to show that the challenges in business today are not simply based on the size of the business, but on system-level and individual-level factors that are driving both internal staff behaviour and also customer behaviour. Being able to respond to these sometimes competing forces in a strategic and tactical way is critical for growth and acceleration.’ Dr Femida Gwadry-Sridhar, founder and CEO, Pulse Infoframe Inc
‘A critically important survival manual for a digital, disruptive age, in which your value proposition must continually evolve to keep up with connected customers.’ Dave Gray, founder, XPLANE, and author, The Connected Company
‘Selling Your Value Proposition isn’t only about your value proposition. It’s about aligning everything your company does to put the customer at the centre of everything you do. The book focuses on learning what value experiences your customers and markets expect, then on mobilizing your delivery of those experiences through sharp sales and marketing execution. Selling Your Value Proposition helps you align everything you do to create value experiences that are meaningful to your customers.’ Dave Brock, CEO, Partners In EXCELLENCE
‘This book shows senior executives how to develop authentic and systemic value propositions in a world where both technology and societal awareness are changing how and why people choose to buy. The authors provide clear guidance on how to implement genuine change through their proven methodology and 10 laws of value proposition selling. I recommend this book to both established businesses and the new generation of entrepreneurs who wish to create genuinely engaging companies in which the whole organization is totally focused on understanding and meeting customer needs.’ Simon Robinson, co-author, Customer Experiences with Soul: A new era in design and Holonomics
‘Your value proposition is at the heart of everything you need to do to sell and grow effectively. Yet my experience is that the vast majority of companies fail to invest enough time and energy into this key area. In this superb book, Cindy Barnes, Helen Blake and Tamara Howard bring their expertise and experience alive with a clear road map to enable you to put together a powerful value proposition, translate it into a selling proposition and ultimately transform your business into an authentic, trusted “selling organization”. If you are ambitious to win more business and grow your sales faster, this book is a must-read.’ Gordon McAlpine, entrepreneur, mentor, and bestselling author, Scale Up Millionaire
Selling Your Value Proposition
How to transform your business into a selling organization
Cindy Barnes
Helen Blake
Tamara Howard
Publisher’s note
Every possible effort has been made to ensure that the information contained in this book is accurate at the time of going to press, and the publisher and authors cannot accept responsibility for any errors or omissions, however caused. No responsibility for loss or damage occasioned to any person acting, or refraining from action, as a result of the material in this publication can be accepted by the editor, the publisher or any of the authors.
First published in Great Britain and the United States in 2017 by Kogan Page Limited
Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the Copyright, Designs and Patents Act 1988, this publication may only be reproduced, stored or transmitted, in any form or by any means, with the prior permission in writing of the publishers, or in the case of reprographic reproduction in accordance with the terms and licences issued by the CLA. Enquiries concerning reproduction outside these terms should be sent to the publishers at the undermentioned addresses:
2nd Floor, 45 Gee Street
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USA
4737/23 Ansari Road
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www.koganpage.com
© Cindy Barnes, Helen Blake and Tamara Howard, 2017
Specific © of the models and methodology in this book relating to The Value Proposition Builder™, The Value Pyramid™ and The Value Proposition Blueprint™ belong to Cindy Barnes and Helen Blake – Futurecurve/Greener Consulting Ltd, 2017.
The right of Cindy Barnes, Helen Blake and Tamara Howard to be identified as the authors of this work has been asserted by them in accordance with the Copyright, Designs and Patents Act 1988.
ISBN 978 0 7494 7991 6
E-ISBN 978 0 7494 7992 3
Typeset by Integra Software Services, Pondicherry
Print production managed by Jellyfish
Printed and bound by CPI Group (UK) Ltd, Croydon, CR0 4YY
CONTENTS
Cover
Title Page
Copyright
Contents
List of Figures
List of Tables
List of contributors
Foreword
Acknowledgements
Introduction
01 How the world has changed What companies try
What not to do
References
02 Why businesses need a value proposition A road map for success
Why start with a value proposition?
The difference between price and value
Realigning around a common vision
Customer interactions, the good and the bad
References
03 How to develop a value proposition The Value Proposition Builder™ Market
Value experience
Offerings
Value hierarchy
Alternatives and differentiation
Proof/evidence
Value Proposition Blueprint™
See things from the customer’s viewpoint
References
04 How to translate a value proposition into a sales proposition Understanding what customers value
How customers see you
Identify your core skills and capabilities
Decide where to place propositions on the Value Pyramid™
Create customer-centric propositions
Choose the right sales approach(es)
Frame the sales proposition in the right story
Make sure that everything you do supports your sales propositions
Case studies: value propositions to sales propositions
References
05 The sales process Stages of the sales process
What is happening at each stage of the cycle?
The four sales types
The buying cycle
References
06 The sales story When does the story begin?
Why a story?
Lessons learned
Different sales behaviours
Team selling
References
07 Winning business: the 10 Laws of Value Proposition Selling Law 1: the whole company plays a role in supporting the sales process
Law 2: the customer is part of the business system
Law 3: the structures and behaviours of a business must be kept in balance with each other
Law 4: sales behaviours must be directed towards helping the customer gain maximum value from sales offerings
Law 5: understand and be clear about the difference between marketing and selling
Law 6: ensure that all business processes support the market positioning
Law 7: don’t try to change everything all at once; you need an evolutionary plan
Law 8: use the sales process as a guide and select the appropriate sales approach and style for your market positioning
Law 9: you can’t mix your selling styles in one meeting
Law 10: this process – the value proposition work and organizational adjustments – never stops
Reference
08 Creating the selling organization Ways to create the selling organization
Small, semi-autonomous teams
Decentralized organizations
Simple processes
Industrial democracy
Lean start-up
Clear, open culture
Powerful values and purpose
What next?
References
Appendix 1: Value Proposition Workshop survey results
Appendix 2: Case studies
About the authors
Index
Backcover
List of Figures
Figure 2.1 The definition of a value proposition
Figure 2.2 Customer experience mapping – components and process
Figure 2.3 Customer experience journey
Figure 3.1 The Value Proposition Builder™
Figure 3.2 Research continuum
Figure 3.3 The Value Pyramid™
Figure 3.4 Worked example of Value Pyramid™
Figure 3.5 The Value Pyramid™ showing ‘The Solution Gap’
Figure 3.6 Value Proposition Blueprint™ with example outputs
Figure 4.1 The Value Pyramid™
Figure 4.2 Summary sales approach
Figure 4.3 Telecoms value chain
Figure 4.4 Aircom Value Proposition Blueprint™
Figure 4.5 Your value proposition gives you the design framework for how you want your customers to buy once they have made contact
Figure 5.1 The eight steps of the sales process
Figure 5.2 The customer journey so far
Figure 5.3 Prospect issues and sales activities
Figure 5.4 Moving sales along
Figure 5.5 The customer journey – selling through to delivery
Figure 5.6 Later prospect issues and sales activities
Figure 5.7 Needs-based buying
Figure 8.1 Hierarchy versus resilient design
Figure App 1.1 Breakdown of delegate companies by turnover and payroll
Figure App 1.2 Delegates’ experience of working with the Value Proposition Builder™ process
Figure App 1.3 How delegates have implemented what they learned
Figure App 1.4 Barriers to implementation
Figure App 1.5 Measurable improvement after adopting the Value Proposition Builder™ methodology
List of Tables
TABLE 3.1 Where to use qualitative and quantitative research
TABLE 5.1 The subtext of objections will often vary with each phase of the process
TABLE 6.1 The emotional journey in the sales meeting
TABLE 8.1 Differences between mechanistic and living organizations
With gratitude to all our family and friends who have supported us unswervingly throughout our lives and careers. Cindy, Helen and Tamara
LIST OF CONTRIBUTORS
Our thanks to:
Ian Bolger, Bolgers
Dave Brock, Partners in EXCELLENCE
Peter Cook, Human Dynamics
Darin De Stefano, writer
Matt Dixon, Corporate Executive Board
Dave Gray, XPLANE
Giles Hutchins, Future Fit Leadership Academy
Dominic John, Customer Alignment
Gene Leonard, LBS Partners
Simon Robinson, Holonomics Education
Our case study contributors:
Jim Bergin, Glanbia Ingredients Ireland
Phil Blades, Aircom International
Andrew Boland, NVD
Tom Cafferkey, LotusWorks
Andy Donlan, Thermodial
Robert Dunne, GlycoSelect
Sean Finlay and Andrew Gaynor, Geoscience Ireland
Paul Foley, DreamTec Software
Andrew Grant, Aylesbury Vale District Council
Andy Head, NATS
Dr Karl McCarthy, Biocel Ltd
Paul McDonald, Sonitus Systems
Jonathan Reed, Mergermarket Group
Paul Roberts, New Oxford Advisory and Consulting
Barry Smith, Abcon Industrial Products Ltd
Lucia Valente, Compu
tational Class Notes
FOREWORD
The company is now fully prepared for the past.
This statement is my rephrasing of ‘The army is now fully prepared for the previous war’, inspired by John Gall, in his reference to historian Arnold Toynbee, in which he explains how armies are typically ‘one war behind’ or one battle behind in terms of strategy, tactics and technology.
This thinking is very relevant to our organizational world today. Most of today’s organizations are now fully prepared for the past – past market conditions, past business challenges and past opportunities. How many times do we find ourselves rethinking, redoing, restructuring, reshuffling, reskilling and re-everything – as if the reality had just stopped for us? Hi there! I am going to stop time so that you can catch up. Look at all the benchmarking data, all the trend reports, all the rankings of the Most Admired, the Most Followed and the Most Sainted of companies, do your re-something, and then, Me, God of Time, will push the button again.
Really?
Many revamps of product development involve the refining of the machine, the addition of better oil and the change of a few pieces here and there. Not many look at a new product development that may break the rules and jump the curve.
Many human resources/organization development (HR/OD) people, practices and processes still try to reskill and hire for skills based on an old skill set that worked in the past. Not many are courageous enough to look at what may be needed for the future, including people with zero experience in the relevant area of expertise.
Many consulting approaches are still aimed at providing comfort to the client (and the consultants’ bank managers) as opposed to providing challenge, which is much more inconvenient and stressful but is vital to the forward-looking organization.
Marketing and selling processes are often still using old toolkits created in a time when business was more linear and predictable and that are inappropriate to new products and market positioning.