In today’s uncertain economy and hyper-competitive business environment, the best product, pitched by the best seller, doesn’t necessarily win. Companies that want to drive urgency and stand out from the competition must demonstrate value at every stage of the sales cycle, embracing value selling. Over the last five years the ways buyers buy has changed dramatically — and those changes are increasingly disrupting deal cycles, often slowing or halting transactions.
Today, digital natives hold the purse strings, CFOs and procurement managers insert themselves into deals earlier, buying teams are larger, and unpredictable economic times slow decision cycles.1 Traditional sales playbooks are no longer applicable, and revenue teams must quickly adapt.
This is where value selling and value management come in. Gartner Analysts Ron Burns and David Yockelman highlighted the importance of value to enable buyers writing, “an interactive tool that enables buyers to create an internal business case can jump-start the purchase process, especially when a large buying team is involved.”2 Value selling involves understanding your customer’s needs and effectively mapping your solution to their value drivers. Typically this is done with quantifiable metrics representing projected value (ROI). Value management, on the other hand, involves measuring and improving the value that a company delivers to its customers over time. Both are essential in B2B sales as buyers increasingly demand economic justification before making purchasing decisions. In Gartner’s 2022 Technology Buyer Behavior Survey, buyers indicated that value assessments or business-case-development-related content were the most valuable content they receive during the sales cycle.
Value selling starts with a deep understanding of the customer’s value drivers
Most sales methodologies are tied to customer “pain”. The challenge is that pain isn’t always something a customer is willing to pay to address. To succeed with value selling, you need to take a consultative approach — listen actively, ask questions, and tie value drivers to your solution. In a recent survey fielded by Dynata 78% of buyers indicated they’re more likely to make a purchase if the sales process is consultative. Once you understand your buyer’s needs, and how they measure value, you can begin to demonstrate how your solution can close gaps and drive increased organizational ROI. This might involve offering a product or service that is faster, cheaper, or more convenient than what the competition is offering. It might also involve bundling additional services or support that the competition doesn’t offer.
Value management measures the value a company provides and can help buyers achieve
While value selling is focused on the sales journey, value management includes tracking all KPI’s, identifying areas for improvement, and making changes to the company’s offerings and processes to better meet the needs of its customers. By continuously improving the value a company provides to its customers, as well as conveying that value during the sales cycle can help the company differentiate itself from competitors and build long-lasting customer relationships established on trust and achievable results.
A powerful combination: Value selling & value management
Value selling and value management are essential for companies that want to succeed in today’s competitive business environment. With a deep understanding of each customer’s needs, sellers can demonstrate the value of their offering, by providing buying groups with the financial justification that has become so important in today’s purchasing decisions. By continuously measuring and improving the value a company delivers to its customers over time, it can stay ahead of the competition and continue to grow its customer base. Now your customers will say “Price is what you pay, value is what you buy.”
Leading with value is the strongest way to succeed in today’s volatile economy where sustainable growth is the mantra guiding most companies’ strategy. Mediafly is here to support you. We will ensure your entire revenue team is prepared to speak the language of CFOs and procurement professionals who demand ROI information before green lighting purchase decisions. Here’s a sneak peak of what you can expect from me, the General Manager of Mediafly’s value business, and our team:
- Step-by-Step guidance on how to scale a value selling program & improve adoption. On average, using a value assessment delivers a 2x boost in win rates. However despite the overwhelming proof, many companies face challenges in driving adoption. Whether you are launching across new teams or regions, or trying to get a stubborn rep to jump on the bandwagon, we have you covered.
- Tips & Tricks on value selling and value management. From maturity models to analytics, value storytelling to cheat sheets, we’re expanding our value-based content to help your team master the art of value selling and enable buyers with financial and business justification.
- Market-Leading Product Innovation. Earlier this year we introduced the industry’s first value-based analytics, tying value selling to deal health, win rates and performance. That’s just the start. Stay tuned as we continue to execute on our roadmap, expanding and deepening the value our platform delivers to customers.
For more information on using value effectively throughout the sales cycle check out Mediafly’s Value Selling Guide!
1. Over the last 24 months 76% of buyers indicated that it was more likely that their CFOs would be involved in purchasing decisions while 74% said the same of procurement. Source: A Forrester Consulting Thought Leadership Paper Commissioned By Outreach, June 2022; “Generational Shifts Fundamentally Change B2B Buyer and Seller Dynamics”
2. Source: Gartner report “Enable Growth With Interactive Value Assessment Tools”