Voice of the Customer

The Voice of the Customer How do Your Customers Want to be Sold to?

Consalia Ltd June 2011

Contents The Voice of the Customer

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Benefits of Customer Research 1. Strengthen Customer Relationships

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2. Win More and Larger Deals

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3. Training and Conferences

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4. Alliances and Channel Partners

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What Makes a Successful Interview

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Deliverables and Return on Investment

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Consalia’s Research

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Companies we have conducted Research with

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Contact Details

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Challenge How can you be a truly customer centric sales organisation if you don’t ask your customers how they want to be sold to?

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The Voice of the Customer While many companies research customers’ views on service levels very few research customers’ views on how they want to be sold to.

Consalia asked 150 senior sales leaders and HR managers, who were attending a Consalia sales forum event, how many of them conduct this type of research. The results indicated less than 1%.

Fewer still sustain this research on a regular basis.

Yet customers are quite passionate about the subject. Senior level executives are the object and target of many companies’ selling and key account strategies. They are very willing to share their opinions and insights on sales practices, for two key reasons.

1. They see suppliers as strategically important to them and a critical part of their value chain.

2. Very few sales people sell in the way that customers want to be sold to. In fact, less than 10% of sales people meet customers’ expectations of good selling practice.

Since 2004 Consalia has been commissioned by many of its clients to interview their customers. Whilst the research methodology has been consistent, indeed used to underpin a doctoral research programme, the media and usages of the research have been very different. This serves to illustrate the value such a project can have.

On the following pages are four core benefits of customer research.

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Benefits of Customer Research 1. Strengthen Customer Relationships Customer interviews have uncovered situations where the supplier thought they had a great relationship with their customer - but their customer thought otherwise. The customer even thought the supplier had become complacent. Research information has helped several clients to turn around their relationship with their customers, and even save their supplier status.

One client used Consalia to conduct interviews with a large US supermarket chain. The feedback and insights enabled the client to win the number one supplier position, from a secondary position.

A Consalia client commented:

â??Having the opportunity to get behind the scenes to know what clients want and what they don't want, and to then be able to match that up to the values that you've created through years of research with clients. To link their wants and needs up to those values, that is a selling mechanism.â?ž (CEO of Global Firm of Auditors)

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There is no doubt this type of intervention with Consalia’s approach leads to deeper levels of customer intimacy. It can also help prevent losing a customer who was dissatisfied but no-one had noticed.

Customers have welcomed the interviews and acknowledged the benefits. Below are two comments made during interviews. These were both made at follow up interviews 18 months after the first interview.

❝I'm delighted with what they've done last year … it's a complete turnaround from last time.”

(Contracting, UK supermarket chain.)

❝I have to say, the last time round, I entered the interview with very little enthusiasm frankly, thinking, ”Oh God”! Then I saw very shortly thereafter the benefits of it, and the behaviour I was particularly opposed to stopped overnight. I came to it with more of a spring in my step today, which is good.

❞

(Procurement, UK retail chain)

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2. Win More and Larger Deals Sales process and methods have been significantly influenced by the customer research. Learning and Development teams worldwide have used the research to support driving relevant skills and to change mindsets.

One of the most widely published examples has been Hewlett Packard. They used the outputs of our research with their customers to influence and shape how they sold large complex outsourcing solutions. New steps in their large deal process reflected customer feedback and insights. These initiatives helped to contribute towards an increase in their EMEA outsourcing market share from below 1% to nearly 6% between 2006 and 2009.

â??The methodology has been strongly reinforced by customers who have reacted positively to the knowledge and understanding that we have demonstrated in relation to their business.

â?ž (Pursuit Director,

EMEA)

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3. Training and Conferences Many of the interviews are videoed. Video clips are compiled into vignettes around particular themes. The vignettes are then integrated into national sales conferences and training programmes to support key messages. They can be used from induction training to senior management conferences. Vignettes have been used to inform sales operations leaders, sales directors, key account managers, strategic account managers and learning and development managers.

Video can be enormously powerful as it help to quickly facilitate the changing of mindsets and behaviours.

Example: A telecommunications company has used the customer information to help develop their sales curriculum. This is to ensure that they are teaching the sales practices that customers are responsive to.

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4. Alliances and Channel Partners The same client centric process has also been used by customers to assess how they “sell to” Channel Partners and “sell with” Channel Partners. These words from the Head of Procurement at a global telecom company.

❝Relationships in the past have been competitive.

Now we have realised, and suppliers have realised, that isn't a way to form a partnership. We want a partnership where you try and develop the supplier in order to create market share.

❞

The interview later led to a complete new account team support structure for the global telecom supplier.

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What Makes a Successful Interview We have found the following points are key to successful customer interviews. 

The skill of the interviewer. The process requires an innate ability to engage customers both sympathetically and intellectually.

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Objectivity. When the supplier conducts the interviews they do not produce anywhere near the quality of content. The third party is able to maintain objectivity no matter what is discussed.



Customer perception. The interviews are taken more seriously by the customer when conducted by a third party. Customers are also much more comfortable providing honest feedback, thereby maximising the quality of the information gained.

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Structure. We explore both “value” and the “values” customers seek in sales people and the companies they represent.

❝Perhaps it shouldn't have taken somebody to come from outside. But sometimes it's quicker, maybe I could be more honest with you than I could be face-to-face with what are very nice people, so sometimes it's hard to say something bad to a person that you've got a good relationship with. But you feel that they could do better on the working side of it.

❞ (Head of Trading Process

Management, UK retail chain) 10

Deliverables and Return on Investment ď Ž

Value and Values reports are produced by interview, function and department. The reports include initiatives that add value to account plans and new business opportunities. Many customers have seen their investment achieve a return.

ď Ž

Vignettes are produced to illustrate key points and themes from interviews. They are tailored for purpose such as training departments and sales meetings. Videos tend to have quite a long shelf life. They can also be used to promote best practices and share learning well beyond the class room.

ď Ž

HR departments have used the reports to inform competency frameworks.

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Consalia’s Research More than 100 “how do you want to be sold to?” interviews have now been conducted in 18 countries - across the North Americas, EMEA and Asia Pacific. In almost all cases, irrespective of language and geography, interviewees have welcomed the process. One recent interviewee a CEO of a large global distribution company went as far as saying “an interview like this is beautiful to promote transparency”.

Many Account Managers who have helped set up the interviews have said that their customers have really welcomed the process.

The following charts show our experience by industry and function.

Company Types

Role of Customers

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Companies we have Conducted Research with Include: AC Nielson

Marks and Spencer

Aon

Megatel

Boots

MFI

BASF

MFS

BT

Orange

Celcom

Roche

C&A

Rolls Royce

Dangaard

St Gobain

Dutch Mill

Sainsbury’s

ED&F

Shell

Elsjop

Siemens

Gerber

Singtel

Hewlett Packard

Standard Chartered Bank

IBM

Starbucks

IMS Health

Telefonica

Invensys

Unisys

Lacnor

Valio

Littlewoods

Vodafone

Lloyds Bank

Woolworths

LSI Logic

Zurich Financial Services

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Contact Details For more information on Consalia take a look at our website: www.consalia.com or call us.

Consalia Ltd The Glasshouse 5a Hampton Road Hampton Hill Middlesex TW12 1JN UK Tel : +44 (0)20 8977 6944 Email : psquire@consalia.com

Consalia Asia Pacific Pte Ltd 8 Temasek Boulevard #42-01 Suntec Tower Three Singapore 038988 Tel : +65 9732 3181 Email : csimm@consalia.com

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