cloud services provider sales techniques

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How To Create A Compelling TCO Comparison And Proposal So Sales Close Themselves Chris Boyle & Bill McCharen, Presenters Cloud Services Provider Cloud Integrator Summit August 23 rd – 24 th San Diego, CA

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  • 1. Chris Boyle & Bill McCharen, PresentersCloud Services ProviderCloud Integrator SummitAugust 23rd 24th San Diego, CA

2. Who we are How to respond to new inquires to set the stage from the beginning thatyoure clearly different (and more competent) than most other IT firms How to conduct a detailed discovery and needs analysis to make sureyour proposing the RIGHT solution for that customer Key questions to ask prospects to get them to reveal why theyll buy andwhat their hot buttons are How to get a prospect to share their current IT costs with you Important points and information every great proposal should contain The best way to deliver your proposal to the client and explain it to them How to create an accurate Total Cost Of Ownership (TCO) comparison ofon premise versus your cloud solution, and then present that to thecustomer Why customers will buy cloud solutions even if the price is the same (orslightly higher) than on premise solutions 3. Chris BoyleBill McCharen CEOCOO MyITpros MyITpros Austin, TX Austin, TXPersonalPersonal Owned a variety of small businesses Graduate of University of Texas Construction, real 12 years IT experienceestate, trucking, horticulture and IT After joining MyITpros in 2000 After joining MyITpros as Systems Took over operations in 2002 Engineer in 2004 Bought out founder over 5 years IT Director in 2008from 2004 to 2009 Minor shareholder in 2009 Became a principal shareholder in HTG Peer Groups 2010 Member since Q1 2009 MyITpros sales leader Facilitator since Q1 2011 Future CEO of MyITpros Married to Louise 4 stunning grandkids Married to Nicole 2 beautiful children 4. Founded January 20, 1993 13 Employees $1.87MM Total Revenue (rolling 12 mos. Through July 31, 2012) Average annual growth last 5 years: 22% On track to hit $2MM to 2.5MM in 2012 (20% to 50% growth over 2011) Local leader in Managed IT Services with a particular emphasis and strength in CloudComputing Services. As of July 30, 2012: Managed Service Clients: 69 Managed Servers: 300 Managed Desktops/Laptops: 943 Revenue Breakdown 2012 YTD: 54% Managed & Cloud Services 22% Project & Break/Fix Services 24% Product & Other 5. Initial Cloud offerings were Hosted Backup/BCDRand Hosted Exchange beginning in 2007 All MyITpros servers in the Cloud since 2009 Our first client on Hosted Server in 2010 Current Cloud Statistics Active: 13 Companies / 31 Servers / 198 Users Pending: 2 Companies / 2 Servers / 58 Users Monthly Managed Services Growth July 2011 to July 2012 Core Managed Services Growth: 95% Cloud Services Growth: 65% TOTAL Managed Services Growth: 87% 6. The most critical element of professionalservices marketing is the service itself. Existing clients know what its like to workwith you. Prospective clients will be impressed whenyou address their hottest buttons and answertheir burning questions EARLY, or evenbefore the ask. 7. What are the TOP THREE IT SERVICESCUSTOMER HOT BUTTONS?1. Expected results2. Timely results3. Integrity/Trust How can we address these in marketing and sales? 8. At MyITpros we give prospects a taste of what itslike to work with us by: Responding FAST when we receive a web inquiry Having 100% of incoming calls during businesshours answered by a smart, friendly person whoquickly gets them in touch with a principal in thefirm who can answer their questions and getthem the help they need Not selling. First and always: Answer every question authentically. Then: Ask good questions and LISTEN. 9. Traditional Sales ModelTRUST 10. Traditional Sales Model DISCOVERYTRUST 11. Traditional Sales ModelPRESENTATION DISCOVERYTRUST 12. Traditional Sales Model CLOSEPRESENTATION DISCOVERYTRUST 13. Solution Sales ModelTRUST 14. Solution Sales ModelDISCOVERY TRUST 15. Solution Sales ModelPROPOSEDISCOVERY TRUST 16. Solution Sales ModelPRESENTPROPOSEDISCOVERY TRUST 17. Solution Sales Model CLOSEPRESENTPROPOSEDISCOVERY TRUST 18. ClientTestimonyRecommendationsSite Survey 19. Client Testimony 20. Client Testimony Business Situation Questions 21. Client Testimony Business Situation Questions IT SituationQuestions 22. Client TestimonyBusiness SituationQuestionsBusiness Case IT SituationQuestionsQuestions 23. Client TestimonyTest Consults Business SituationBallpark Prices Questions Site Survey Business Case IT Situation QuestionsQuestions 24. Case Study: Aircraft Parts Distribution StartupSituation at First Call: 2/17/11: "Is hosted server right for us? We want to focus on the business, not on IT. Used to use another MSP at that company, andfelt like they were very costly. Starting with 3 to 5 people in the first 6months, expanding to 10 in the first year 25. Case Study: Aircraft Parts Distribution StartupSituation Through Close & One Year Later: Proposed and closed Hosted Server and Cisco on premise VoIP Sales Cycle: Initial call 2/17/11 Signed Agreements 3/3. Only one face to face meeting on 3/2/11 One year later, on 3/8/2012, Bill sent an email to all our HostedServer clients about recent datacenter outages. This was the clients response: Bill - Thanks for the note. Your service (server, phone, support) has beenexcellent the past year and we are glad we chose MyITpros as our hostedserver provider and IT consultant. Hopefully the overhaul will make theservice even better. No need to provide the credit on this downtime. 26. How do you get a prospect to sharetheir current IT costs with you? 27. Executive Summary including Background Goals RecommendationsAnd heres an easy way to help you write a great one 28. Consultative sellers are huge fans of the right questions, and TomSant (Persuasive Business Proposals) has seven that drive writing awinning proposal.1. What is the clients problem or need?2. What makes this problem worth solving? What makes this need worth addressing?3. What goals must be served by whatever action is taken?4. What goal has the highest priority?5. What product/applications/services can I offer that will solve the problem or meet the need?6. What results are likely to follow from each of my potential recommendations?7. Comparing these results to the customers desired outcomes or goals, which recommendation is best? 29. Cover Page A Typical Deployment Executive Summary Process What is Cloud PricingComputing? Startup Costs What is MyITprosCloud7? Reactive/Project Hours The Webtop(Outside of the Managed ApplicationsService Plan) What benefits will my Payment Termscompany see by using Appendix A the MyITpros Cloud7?The Benefits of MyITpros Who Uses the Cloud?Cloud7 30. Including realistic TCO Analysis is almost anafterthought, but a very important one. It helps the buyer rationalize and justify thedecision theyve already made. 31. Present the TCO Analysis and proposal Present both in person Alternative over the phone Send the proposal and TCO Analysis 30-60 minutesbefore the teleconference In reality, we send many Proposals via email 32. even if the price is the same (or slightly higher)than on premise solutions 33. Dont want servers on premise any more (or ever) Maintenance is cheaper (internal or outsourced) Flexibility * Speed * Agility Multiple Offices or Remote Workers Highly Mobile or Widely Dispersed Workforce Multiple Devices per User Device Disparity Between Users Scalability Up or Down: Rapid Growth / Downturns Focus on Core Business / Competitive Advantage Bad Experience with IT Support 34. Case Study: Venture Funded Manufacturing StartupSituation at First Meeting: Executive Leadership meeting at MyITpros office Five Senior Executives and one Manager Met at MyITpros because they didnt have an office yet Everyone working from home for at least the first6 months CEO did not want SBS Server at his house Start with 6 people, expand to 24 in the first year 35. Case Study: Venture Funded Manufacturing StartupSituation Through Close & Two Year s Later: Proposed and closed Hosted Server, MS and Hosted VoIPClient Hot Buttons:Dont want servers on premise Flexibility * Speed * Agility Multiple Offices or Remote Workers Highly Mobile or Widely Dispersed Workforce Scalability Up or Down: Rapid Growth / Downturns Focus on Core Business / Competitive Advantage 36. Case Study: Automotive Body ShopSituation Before Cloud: Existing MS Client for 6 months 3 locations around Austin 2 discreet LOB applications with separatedatabases at each location Horrible infrastructure by previous ITSP Very old servers badly in need of refresh 37. Case Study: Automotive Body ShopSituation After Cloud: Proposed and closed Hosted ServerClient Hot Buttons: Multiple Offices or Remote Workers Focus on Core Business Maintenance is cheaper (internal or outsourced) Bad Experience with IT Support 38. Case Study: Fast Growing Exercise Equipment ManufacturerSituation February, 2012: Existing MS Client for 1 month 2 year old company at 40+ users and no server Initially wanted SBS Server with MS Exchange The day we were deploying the server, the client beganasking for remote connectivity functionality MyITpros Project Manager halted the project Bill came in and demonstrated Cloud7 39. Case Study: Fast Growing Exercise Equipment ManufacturerSituation Today: Proposed and closed Cloud7 with Go Live Date of September 1Client Hot Buttons: Flexibility * Speed * Agility Multiple Offices or Remote Workers Highly Mobile or Widely Dispersed Workforce Multiple Devices per User Device Disparity Between Users Scalability Up or Down: Rapid Growth / Downturns Focus on Core Business / Competitive Advantage 40. 1. Find ways to deliver the message: This is what it is like to work with us.2. Never stop working to improve your skill at Asking Great Questions and being a Great Listener3. Always propose the solution thats in the best interests of your client even when it means recommending another solution provider 41. Ask Great Questions and be a Great Listener 42. Chris BoyleBill [email protected] [email protected]