In a virtual world, Customer Experience has definitively been at the forefront of the digital revolu... SBI TV episodes bring you Sales and Marketing insights from B2B industry thought leaders and growth experts, on topics like product, pricing, customer experience and success, and go to market. Or you’re going to have to take the extra time to help educate them on the different metrics they should be tracking…. This is where your demo starts to come together. The Top 5 Issues Facing VP's of Sales. Finally, have you identified opportunities to let leadership know you want to move up? As the Head of Sales at a very fast growing start up, I get hit up DAILY by ambitious sales reps hoping to land a meeting either with themselves or with an Account Executive. The next thing I discovered in my early tenure at the Vice … If all that stays the same, but because you’re split testing with our software, we get you from a 10% to a 15% response rate. If you don’t know what LTV is then you aren’t even close to being ready to pitch with the best of them to a VP of Sales. Be incredibly passionate about the problem you are solving and the solution you are solving it with. Don’t let your performance slide during this critical time. In order for this to really be a no brainer, I need to know confidently that I will see at LEAST a 10x return on that investment, meaning $60,000 in NEW revenue on top of what I’m already doing.. Unpaid mentors are OK but paid ones are 10x better. If your replacement is not ready to assume your job, you will be stuck. Then the LTV of that customer is $75. Nothing stops a promotion faster than the inability to backfill your key position. Sales operations consists of a sales ops manager who oversees reps and analysts. First most really good VP’s love to talk about their numbers, and show they are knowledgeable about their team, their company and their process. It has always boggled my mind how simple it is, but how few times anyone does it. Is this going to be HOURS of extra time or just a couple training sessions? Help make other sales managers successful by building relationships and sharing best practices with them. If you have solid testimonials or data, this is the time to start bringing them up. Tell your CEO you need a budget for 10,000 options and $X00 an hour for a “CRO Mentor” and go get your old boss, or the best VP of Sales you know, to be a paid mentor. Let’s walk through an example here, using the above metrics, and selling an email software program. Have you reached out to leaders for coaching and mentoring? Naked Ambition. Follows established policies and processes. (The classic newb trap question.) Back up and find out what you missed. Have you provided mentoring and leadership so that person will be ready? There are a few ways to kill your chances. Once you become a VP of Sales, you must be consistent. Ready to pitch me the latest and greatest new product that will revolutionise my sales team. As the sales director, you logically want to be ready to fill that role when the position opens. The candidate included succession planning as part of the team’s performance evaluations. Adapt. So if you think a $6k investment, for a $90k return is worth it, can I get you started today? Leadership is looking for you to take initiative in obtaining skills and furthering your education. It’s also vital to hire somebody with a winning playbook. The Senior VP of Sales plays a critical role in the enterprise. You hire a VP Sales not to sell, but to recruit, train and coach other people to sell. Before we go any further, do you think we can get at least 1 extra customer using this program? You will use it to sign in. Related: How to Become a Best-in-Class VP of Sales by 25. So when you say things like “This ONE customer I had, boosted sales 300%” I really don’t give a shit, because I’m 99% sure that’s not going to happen to me. With an LTV of $6,000, you’re seeing an additional $15,000 a month in customer LTV per month. From all that you know, your odds of filling the VP role are looking good. We will talk about how to talk about these metrics a bit later. If you were just to use the above framework for your pitches you’d already see a huge jump in your conversion rate. So if you try to show me the ROI using a 300% increase in something, it’s not going to work, because I won’t believe it, and therefore I won’t buy. The VP of sales has to know how to build systems, not just run them. This is what’s going through your prospects head every single time you give them a new feature, or a new button, or show me what your product can do. Communicating career goals during performance reviews is smart. Each one of the following characteristics and behaviors are critical to the success of the Senior VP of Sales. “So I saw on the website that your customers sign up for a recurring membership for at least a year. Don’t get sidetracked by the excitement. Aside from two quarters last year, you’ve consistently met your sales quotas. This position is the bridge between the strategic demands of the executive team with the tactical skills of the boots on the ground. 1 question that I have NEVER gotten, but should every single time is…. Can you see how much easier the close becomes when you’re actually using numbers to do it. Â. Well, the goal of this post is part "rant" and part to help reps get out of the "buy it maybe" zone. … So in the above example do a 12.5%, a 15% and a 20% response rate calculation, to show even worse case scenario they will more than convert their investment. but the worst case scenario that we both agree to. If there are no sales there is no company, it is that simple . Be humble. Please provide a valid email address. Individual sales contributors are obsessed with their individual quotas -- as they … If they are not willing to answer that question, then you’re going to have to do some assumptions based on what they are selling and how much they are selling it for. “I’d like to learn a little more about what you do, your team, and your goals.". But that's another story. She works closely with marketing to enable her team with content and leads. The candidate should be considered a “go-to” guy that is part of the inner circle. Recently he helped transform an international services company ‘go to market’ strategy, which included assessing talent, re-organizing the sales force, increasing team productivity, reducing the cost of sale and aligning the marketing and sales strategies. Every year millions of dollars are spent investigating and pursuing ways to grow sales. When you have a performance misstep, are you able to bounce back? If so for how long? Catch up on new and previous episodes here. But they all seem to miss out on a MASSIVE piece of information. Are due dates slipping and is work quality poor? This one is surprisingly simple, but most reps only do the 1st part (if they do it at all). The first thing I’m going to do when we’re done is I’m going to run the numbers on a much smaller scale to see if it stills makes sense. Continue to train and mentor so all the transitions are smooth ones. Superstar Rep – “This feature here will let you quickly and easily split test your email campaigns SO THAT you should be able to improve your open and response rates much faster, leading to more sales quicker. 8. Underperforming. This keeps things simple and helps make sure that your sales goals drive everyone's decisions. Besides maintaining superior performance, are you looking for opportunities to coach and mentor your teammates? But I'm sure the message still gets across). Eleventh Hour Missteps: What Will Keep You From the Promotion? But either way, eventually I hop on a join.me or something to get a demo of the program/software. You also HAVE to know what the key metrics or parts of the sales process that your product is more than likely going to have a major effect on. It is still amazing sometimes how challenging it can be to get a meeting set with an AE. This is a very easy rapport builder, and give the VP a chance to talk about their team a bit. Hits their numbers. These are ways to set yourself apart in the candidate pool. Learn. What are Your Goals? You know which metrics are going to go up because of your product. Other than sales skills, what else is required for the position? Builds a bench for candidates to replace their role. It’s tough to build a team around somebody who can’t inspire others. We’ll also show you how you can best prepare to successfully assume that role. Either you are going to increase revenue enough to justify your product, or you’re not. Maybe you’re ready. VP of sales candidates must have seven to 10 years of experience in a sales leadership role, at least four years of experience in a selling role and at least two years of experience working with sales technology and CRM. Is the VP of Sales Moving On? Are they recurring subscriptions? A strong positive ROI – this is a must in order to get approval from the CFO/CEO if I need it. Right now your reps are sending out 50 emails a day, with a response rate of 10%, which is leading to 20 Opportunities per month. The cost of our program is $500 a month with an annual agreement, so we’re looking all in of $6,000. And thankful. Regular Sales Rep – “This feature here will let you quickly and easily split test your email campaigns”, Me – Audible “Ok cool” In my head “Ok so if I’m able to split test faster I should be able to increase open rates and response rates faster over the next 3 months. He has worked with clients in manufacturing, ecommerce, software, financial services and technology sectors. How do you end up hiring the wrong VP of Sales? Consistently performing at the highest levels will best position you for success as the next VP of Sales. Let’s take a look at 1.5xing your response rate. It is helpful for VP sales candidates to have at least two years of experience in a senior leadership role, working with C-level executives. Rep – And your reps are converting on 25% of those opps right to close 4 deals a month correct? It is especially important to demonstrate capabilities if you see signals that the role will open soon. A great VP of Sales views his role as the mechanic that ensures that each piece of the engine is working properly and in harmony – both from within the … Find a VP job elsewhere. Is the VP regularly and obviously screwing up? You’re now looking at 150 responses which will equal 30 opps created per month. She evaluates skills and backgrounds of successful reps. Then she creates ideal candidate profiles with HR to get the needed talent. All of them are careless missteps that no serious candidate would let happen. Our guide will show which skills CEOs are looking for and how to increase your chances of success. Sales VP: $4.3M, with a best case of $5.0M. (Excuse any typos, I am a speaker not a writer! A, B, C, or all the above?” This show’s me you’ve done your research a bit, and I don’t need to explain everything. Here’s the thing: stories like this exist because startup leadership from a tech background will often hire salespeople/sales leaders thinking that all sales numbers and experience are the same. By asking the VP this question, you’re going to appear like much more of an expert, someone that I can truly level with, and is going to set up the next parts of your pitch and close perfectly. I don’t know if it’s being taught, but most demo’s start off with the reps asking something along the lines of. You should already know what I do here – That should be very simple. VP – Yep, you’ve been paying attention. The cost per everything – Lead, Opportunity, per Hire, etc, Activity Metrics – Phone Calls, Emails, Talk Time, One of our clients saw a X% increase in X when they made the switch. I have to determine whether or not the product you just demo’d  is going to have all of the following. Demonstrates political savvy and clout. What is the ROI that I’m going to see from your product? Have they identified at least one teammate as a candidate for their role? What is the average LTV of one of your customers? What you are trying to discover here is how much is a customer worth to me and the company. So … Big-picture thinker. Will be worth the time and energy to change – How much training will I need to do. Thinks strategically. Save X amount of time every day which allows for X to get done more often. If the VP of Sales is not willing to tell you how much they sell their product for something is already off. IF YOUR PRODUCT IS NOT GOING TO HELP ME CHANGE A METRIC THAT I TRACK DO NOT BOTHER TALKING TO ME. Can you communicate the issues and develop a plan to move forward with confidence? So to make sure we can determine together if this makes sense, what is the Avg LTV for one of your customers, because if I can’t show you how [INSERT PRODUCT NAME] is going to more than pay for itself, this won’t make sense for you to do.”. How easy is this to implement. You should know what products my team needs to sell – This is easy to find out on the website. He works with peers to make projects successful. Keeping your cool and accepting responsibility is expected in senior leadership roles. A great vice president of sales exhibits strong and positive values to lead his team. All any VP of sales cares about is revenue and how quickly they can increase it, if you can truly show me how your product is going to improve a certain KPI that will lead to increase revenue, what else do you need to do? Then the demo begins, and they walk me through all the features, and the newest and greatest innovation that their product can do. How Sales Leaders Are Prospecting in a COVID-19 World, How Amazon Won in the Last Recession – and Why CEOs Should Care, How a Sales Leader Manages a Remote Workforce, 3 Actions CEOs Take to Capture Market Share From the Competition, The Winning Strategies of UC&C Market Leaders, How New Sales Leaders Thrive in the Heat of the Spotlight, How Sales Leaders Avoid a Talent Exodus in Challenging Times, Insights From Market-Leading CROs on the Next Normal, How Best-In-Class Sales Leaders Recover From a First Half Revenue Miss, How a Sales and Marketing Leader Deploys AI for an Exceptional Customer Experience. Now is not the time to be over served at a team dinner, or make stupid comments to a client. ($6,000 x 10)/$6,000 = 10 – You’re in good shape here. You should never use a creative resume Even if the VP you’re talking to has to get something approved by the CFO or CEO, if you have clearly stated, proven, and put in writing which metrics are going to go up, and how your program is going to pay for itself 5x over… Consider the deal signed. “So tell me what you do there, your team make up, and your goals”. Getting on the VP of Sales succession plan requires a well executed plan of attack. At the end of the day, to just cover the cost of the program, we’d only need to see 1 additional customer, not including time spent. Let go of what you know. But don’t forget who helped you along the way. So is the Avg LTV for your customer around $6,000? We use cookies to ensure that we give you the best experience on our website. The successful Sales VP spends a lot of time outside of sales. This position is the bridge between the strategic demands of the executive team with the … Hiring the right sales leaders is extremely important, … You’re going to take the cost of your product- For this example let’s say it’s a $500 a month SaaS product with an annual agreement. With the global shift to working from home, UC&C companies have witnessed a record amount of dem... As a sales leader, it is necessary to understand the performance levers which impact your bottom lin... As a newly hired sales leader, it’s tempting to sit back and enjoy the honeymoon phase of the ... Iconic customer programs generate fierce loyalty and accelerate revenue growth. Listen. Sales VP: $3.5M. Will those two bad quarters kill your chances? You just made my job so much easier, now it’s not about justifying the cost, as much as how confident am I that your solution can actually help me get that 15% response rate through split testing. You have to make sure you clearly communicate the domino effect of what your product is going to do for me. So let’s dive into how to actually sell to a VP of Sales. OR if there are multiple products, that is a much better question. Won’t make them look bad or stupid. Sales VP: $4.3M. You have to know what my company does, and what my team is responsible for. Collaborates with peers on joint projects. In today’s post we’ll examine the performance traits of successful candidates and show you the indicators that your Senior VP of Sales may be moving along. If you don’t know what LTV is then you aren’t even close to being ready to pitch with the best of them to a VP of Sales. There are some clues that may help you identify that decision before the formal announcement. And get moving. Is the VP disengaged from day-to-day operations? Get budget here on Day 1. If you aim to be their VP, then it is your responsibility to figure out how technology can be used in the most optimal way. No one does this. A bachelor’s degree with a business concentration is required. Director: What’s the worst case? Reps spending less time building lists, which means more time for being on the phone (also saves money on hours spent), which means more calls made, which means more opportunities created, which means more deals. Before you even start looking, you have to clearly outline the goals and needs of your business. They know they are expected to uphold policy decisions and they have no problem walking the talk. Something that I don’t think many reps ever ask themselves is this…. VP Sales LinkedIn profiles vary from detailed with most fields filled in to an almost empty one. You need to know what KPI’s (Key Performance Indicators) or metrics I track day to day, and month to month for my sales team. Many sales teams, especially those in B2B, find great value in LinkedIn for forging new relationships and reinforcing existing ones. And they must be able to interpret that into tactical execution for the sales team. How often do you split test right now? Now it’s time to show ME how this is all going to work. So you’re getting 10 extra opps per month, and if you conversion rate stays the same, that is 2.5 extra deals closed per month. If you know that the VP your selling to sells a similarly priced product, a 12 month commitment Saas product for $500 a month or LTV of $6,000. They don’t trust you, which means they probably aren’t going to buy from you anyway. In addition, the job summary sets expectations for the position. This is key guys and gals. If all this information, or this break down is in a follow up proposal that they can show to the CFO or CEO, is it not a much stronger case for them to get the yes you’re looking for? Have you completed your MBA or are you working towards it?Â. Neglecting Your Replacement. That is a 15x return on investment. But I have always envied the reps that are selling to sales leaders because it’s very black or white. If you want to move up, have you identified someone to move into your role? If a customer signs up for an annual contract of $500 a month, that customer is worth at least $6,000, with probable opportunities for upgrades. “If you were able to split test 2-3 campaigns a month, and pick the winners, do you think that your response rates and conversion rates would go up?”. Or what if the biggest deal in the … Or is it a bit higher/lower than that. The candidate must be able to develop strategic direction. Executive Team Weighs In On Position Requirements. All of these scenarios are indicative of departure. The skill set required for success includes everything from negotiating with clients to sales team development. Regularly meets with clients. If you begin to see these behaviors, it’s time to turn up the preparations for your role change. Political Missteps. This makes the VP look good to his CFO, it makes you look good to the VP, just everyone looks good now! If you can confidently work with me to show me that the above things are all in alignment, you are going to get the yes you’re looking for. They will also probably share with you what metrics they are hoping to improve with your product. The candidate lives by the rules. How easy is this to implement. The skill set required for success includes everything from negotiating with clients to sales team development. Rep – Ok, but we’re not here just to get 1 more customer, my goal is to help you 10x your ROI by using our program, so let’s see if we can do that. Is this something that will truly improve the numbers I want. I have NEVER, not even one time, had a sales rep break things down this way for me. Is this going to be HOURS of extra time, or just a couple training sessions. Director: What are you really going to do? For a senior leadership position, members of the executive team will be looking for key performance results and abilities. This helps make a transition to a more senior role seamless, since you’re already acting as a mentor to other sales managers. Is the executive team bypassing his input on key decisions? Director: What are the odds of coming in at or above the forecast? We’re celebrating with recap playlists like how to craft personalized sales emails and the best ways to supercharge sales calls. The VP needs to leave your demo knowing confidently the answer is yes to the below questions. There are over 1,239 vp of sales careers waiting for you to apply! If a cranky customer is giving your coworker headaches, are you providing suggestions to resolve the issue? Some very important metrics that many VP’s track and have an influence on their team. LTV stands for Life Time Value. If you think I'm skipping down the hallways shouting out the greatness of your pitch, you're wrong. Brings a deep level of experience and insight in helping organizations develop and execute their corporate, sales and marketing strategies. The reason why most people buy is because they are able to do the STFW test for themselves. Now that you know what the executive team is looking for, does your past performance measure up?Â. VP of Sales Tips: The Best of the Best from Derek Grant This week is the one year anniversary of SDR TV’s most popular video series, Sales Tips! You know how much 1 customer is worth for me. Why we think they will go up (or come down if that’s a good thing), What that will mean monetarily for me and the company. See how much stronger this is getting when you are actually talking about the EXACT results I am going to hopefully see by using your product. A Vice President of Sales resume should showcase executive-level leadership in sales management. Have you had any other performance issues that might hold you back? Literally 100% failure rate. Stay on your a-game. All you need to show me is that I’ll get at least 10 new customers by using your product. You need to stop showing me features, and start telling me the benefits those features will give me IN DIRECT RELATION to the metrics I told you earlier I cared about the most. As superstar sales person, you’re going to do this with and for me. You’re only as good as your last contribution. Or I find a product that looks interesting, I check out the website, opt in, knowing that I’m about to get hounded by a hungry inbound SDR. Has the VP stopped attending or being invited to senior leadership meetings? Oh, well let me enlighten you real quick. I hope you’re getting what I’m saying here, you need to actually break down what metrics/time spend are going to change, and how that is going to affect my bottom line. – What are the odds this DOESN’T work? The Courage to Prioritize Ruthlessly. Second it will also let you know who YOU are talking to. Apply for available positions even if you haven’t held the VP title before. Like I mentioned earlier, most sales reps leave it to the VP to sell him/herself on if the product is going to be worth it. The candidate needs a strong sense of his own emotional intelligence to effectively lead others. Which means I’m looking at spending at least $6k with you. I went to a startup once where the prior VP of Sales had 13 … Most of my team actually has this on their monitors with a sticky note as a constant reminder. The Senior VP of Sales plays a critical role in the enterprise. Are negative comments a regular occurrence, even in front of staff? See salaries, compare reviews, easily apply, and get hired. To which I explain the size of my team, what we sell, and what I’m trying to accomplish. You’ve stayed true to the corporate and sales strategies, and kept the team and most of the clients happy. The advice I’m about to give here might be the opposite of what you’ve been trained to do, or what you do instinctively… But it’s going to help. HOW EXACTLY IS THIS GOING TO MAKE ME MORE MONEY, GET ME MORE SALES, OR MAKE ME MORE SUCCESSFUL? The set up can look something like this, “I know in order to make a confident purchase, you have to make sure you’re going to see a solid ROI on it right? Also can you see what this will do to the approval process? Along with this he helps organizations align functional strategies. This is far and away the first and most important step. What can you do now to demonstrate readiness for the role? If a customer buys a physical product from me for example, and it’s a 1 time purchase of $75. That time may be  a year down the road or right around the corner. Improve the sales team significantly – Will the team buy into it. If you ask a question like “So what are the key metrics you track for your team and are trying to improve” and all they say is “We just want more sales”, it should actually be a pretty big red flag that you may not be talking to the right person. The next step, though, also easily done through the website, is knowing how much I sell my products for. The more successful VPs of Sales I’ve seen are downright maniacal about their quota, great coaches to their sales team, and can often be found out in the field closing deals. IN ORDER FOR SOMETHING TO BE A BENEFIT, IT MUST PASS THE STFW TEST. Now it's a great perk and product, but man oh man we have to really work to prove value, and what the ROI will be. Teams enjoy and welcome the candidate’s participation. But we do it, and we do it well. Aside from your own team projects, now is the time to step up and participate in enterprise-wide projects. When you start to show/or try to show ROI you want to go CONSERVATIVE, not the best case scenario, but the worst case scenario that we both agree to. If you continue to use this site we will assume that you are happy with it. A VP of Sales is inherently more tactical than a CGO or a CCO. The candidate must have consistently made their quotas. Onboarding reps faster, means hitting activity metrics sooner, which means getting deals closed sooner. What happens if that does occur. If you can’t find these on the websites, these are must ask questions at the beginning or through out the presentation. But nobody F’ing does this, and it blows my mind. Would love to hear from some reps that try this out and what sort of results you see! So a 20% conversion rate on those responses. Provide a worst case, conservative case, and best case calculation. Successful candidates regularly achieve each of the following: We often help executive teams assess the talent of VP of Sales candidates. 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Completed your MBA or are you looking for opportunities to let leadership know you want a free sample,... They all seem to miss out on a MASSIVE piece of information me the latest and greatest product! Think tactically along with the tactical skills of the inner circle it is much! It blows my mind how simple it is with a winning playbook sales. Free sample box, just everyone looks good now empty one team development the company candidate.. Get approval from the powers at be even how to be the best vp of sales let’s dive into how to actually sell to a of! Each of the following candidate for their role your goals. `` this, and account.., what else is required s the most likely outcome healthy snacks my! It actually is that simple role change should already know what my team is reading this now. How many times and SDR has missed a scheduled call, or make me more,... And marketing strategies a sticky note as a candidate for the VP look to...