Today's Challenges in Managing the Selling Cycle
It's every salesperson's aim to reduce the selling cycle so in turn more business is generated. However, the selling cycle can slow down and even stall when:
* The client hadn't dealt with your company and is unfamiliar with your products or services
* A major decision is required that will require a large financial commitment and other resources
* Cross organisational functions involved in the decision-making process
* Many competitors including the client's internal resources bidding for the same business
* Other client needs competing for the same funding
* Fear of a personal backlash by the client if the wrong decision or recommendation is made
* Internal client power struggles or politics.
The selling cycle is integrally linked with the sales pipeline meaning a short selling cycle will result in confirmed business and so will exit. A sales opportunity that doesn't progress is often because:
* The client is reluctant to start their buying cycle until it is necessary resulting in a reduction in the number of prospects entering as an opportunity.
* It takes longer for the client to progress from awareness of an issue that needs to be addressed to the decision to solve. This is because more time is spent analyzing options and coordinating with others within the organisation
Sales opportunities are not progressing or exiting the sales pipeline because:
* The prospect wasn't qualified effectively which in turn will bloat the sales pipeline and fill with poor opportunities
* The sales pipeline wasn't managed well
Client self-disqualification through risk aversion. For example they fear making the wrong decision.
The longer the selling cycle goes beyond the mean average time the greater the risk the business won't eventuate.
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