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Building a Sales Model that Supports
Selling into
- In developing the sales structure you need to consider:
- Field sales reps should have a motivating pay structure based on transaction sales. Be careful not to develop pay incentives that takes their eyes off of the 30, 60, 90 day sales.
- BUT create incentives that motivate field sales to assist in identifying and supporting large System Integrators (SI) type opportunities (even though they will NOT be responsible for managing and winning the large scale solution opportunities). You'll need those extra eyeballs and agency knowledge in supporting business development (BD) efforts.
- Consider partnering BD and field sales with a pay incentive to work together.
- Create incentives for the field sales reps and BD large scale solutions reps to play nice and work together. (Yes, pay double commissions)
- Develop infrastructure services that support BD efforts (technical, pricing, bid and proposal, legal, contracts….)
- DO NOT pay your BD reps like a field transactional rep. They need to be paid and judged in the long term (pipeline development, SI relationships AND wins).
- In the development of these sales models, I usually see 2 areas that become stumbling blocks:
- The paying of double commissions (or some version of $$ reward) for both the field rep that manages that agency and the BD rep that manages the large scale opportunity within that same agency.
- Not recognizing that SI/Solution providers are a Government Account. SYSTEM INTEGRATORS THAT RECEIVE 70%, 80%, 90%, and 100% OF THEIR REVENUE FROM GOVERNMENT IT CONTRACTING ARE NOT COMMERCIAL ACCOUNTS!! In winning large solutions opportunities, you need to have control of the Government SIs.
Large-Scale System Integrators/Solution Opportunities
Scott Lewis, President, PS Partnerships
How are you able to develop and manage a sales organization to focus on the large solution opportunities without jeopardizing your monthly transactional sales?
What sales models best address these different approaches in selling to government?
First of all, you need to have business development people that know how to handle the larger solution opportunities, the type of opportunities that system integrators will bid and win.
How do you have the field sales that are responsible for specific agencies coexist and effectively work with business development managers/sales that are responsible for partnering with the system integrator and for getting on the winning team?
Good reps know how to make money. They will focus on where they will make the most money, period! Remember the commission plan drives behavior. So if you want your field reps to support your BD efforts in finding and winning large solutions and still have them focus on the day to day sales efforts, then build an incentive plan that is a win-win for sales and business development to work as a team.
And don't forget, create the support services needed to win large scale solutions opportunities.
