mimiran deal manager 2009
DESCRIPTION
Interesting price optimization mash-up into SalesforceTRANSCRIPT
Agenda
• The importance of pricing in the sales cycle• Why past attempts have failed• What you can do now• Demo
About Us
• Founded in 2001• Focus on applying technology to improve
pricing performance
Times are tough
So what’s the plan for 2009?
Plan A:Take corporate jet to ask Congress for taxpayer’s money.
What’s Plan B?
Where can we find water?
The critical part of the sale
• The price!– Each 1% of discount has a 10% impact on profit– Buyer is armed and prepared to negotiate– Many sales teams only have a list price and a
“minimum price”
“We’re leaving $ on the table!”
• Where?• How can we get it?
First attempt: approval process
Sales Rep
Customer
Negotiations
Finance/Sales OpsMarketin
g
Email Spreadsheet
Follow-up phone calls
#&@#!!! I just wanted a price!I thought they were a premium service provider, but are they worth the price? #&@#!!!
Sales Prevention!#&@#!!!
Excel
ERP
Legacy
Contract DB
StickyNotes
+ Limits low margin deals+ May encourage accountability- Slows down sales cycles- Lost sales may outweigh margin gain- “Approval” can become “rubber-stamping”- Data may be useless for analysis- Perverse results from cost-cutting- “Floor” becomes the target price
“Sales prevention”
Prospecti
ng
Qualificati
on
Needs
Analysis
Value
Proposition
Perceptio
n Analysis
Price Quot
e
Internal
Negotiatio
n
Negotiatio
nWon
?
The old tradeoff
Velocity
Profitability
The basic math
LengthSalesCycle
%Close$iesOpportunitvenueRe
Example
M75$
days30
%25000,10$000,10
M72$
days32
%20300,10$000,10
This isn’t worth the effort!
Can we make sales faster?
• Credible, context-specific pricing guidance– Not just a “minimum price”– Before the quote
• Automate the approval process for true exceptions
Automated approval process
Automated Workflow (if required)
Sales Rep
Customer
Needs
Finance/Sales OpsMarketin
g
Proposal Document
• Improve deal velocity AND margin.
Sales Pricing Guidance(based on actual sales)
On Demand, Embedded Analytics
How can we increase profit?
Manage price portfolios
Distribution of related price points.
Target Price
Traditional sales support
Prospecti
ng
Qualificati
on
Needs
Analysis
Value
Proposition
Perceptio
n Analysis
Price Quot
e
Internal
Negotiatio
n
Negotiatio
nWon
Price Books
Who are the right prospects?
Prospecti
ng
Qualificati
on
Needs
Analysis
Value
Proposition
Perceptio
n Analysis
Price Quot
e
Internal
Negotiatio
n
Negotiatio
nWon
Who are the wrong customers?
How fast do they buy?How much price erosion is there?What is the win rate?Do they order the proposed amount?
What do they need?
Prospecti
ng
Qualificati
on
Needs
Analysis
Value
Proposition
Perceptio
n Analysis
Price Quot
e
Internal
Negotiatio
n
Negotiatio
nWon
What products to these types of customers buy?What options or services?What pricing programs will have the best ROI?
What’s the right price?
Prospecti
ng
Qualificati
on
Needs
Analysis
Value
Proposition
Perceptio
n Analysis
Price Quot
e
Internal
Negotiatio
n
Negotiatio
nWon
What is the appropriate discount?What form should it take? (Invoice/off-invoice)What should we get in return?What constraints might impact the situation?(Don’t give away the farm when the factory is full.)
What can we do?
M154$
days27
%30300,10$000,15
M72$
days32
%20300,10$000,10
Case Study: Semiconductors
Month 1
• Develop quantitative model of problem
• Outline solution and get executive approval
Month 2
• Implement solution and tweak analytics
• Train sales team and approval team
Demonstration
• Sales rep quoting guidance• Sales manager discount approval and
dashboards
Get started with a 30 Day Free Trial
Subscriptions start from $99/month.Contact [email protected] to start your Free Trial.
Appendix: Screenshot Tour
Real pricing guidance
• Mimiran Deal Managers provides real target pricing based on deal context.• Target pricing guidance that reps can believe.
Pricing guidance for theopportunity right insidesalesforce.com.
Fully configurable analyticsinclude target pricing,incentive estimates,average customer prices,and more.Immediately see target
price and approval status.
Create a PDF quote.
What about exceptions?
• Most companies have manual approval processes that slow down sales cycles and still fail to optimize prices.
• Mimiran Deal Manager provides electronic workflow to deal approvers, and provides analytics so they can make a fast, profitable decision.
Some products are notwithin pricing guidelines.
Approval status
Opportunity is now locked while awaiting approval.
Information where you need it• No more struggling with Excel.
Configurable analyticsat your fingertips.
See details on marginnot available in salesrep view.
See how this order compares to other orders by this customer or in this segment.
How am I doing?
• Dashboards provide insight into performance for sales reps.
See you how you perform compared to other reps.
Dashboards, configurable by role.
See who is driving yourrevenue and commission.
See how you’re trackingagainst your goals.
Executive dashboards
• Dashboards are configurable. Here are some examples.
See which reps driverevenue and profit.
See which accounts drivethe top and bottom line.
Which reps are most improved?
Which accounts are at risk?
MIMIRAN Deal Manager
Take the guesswork out of pricing.