Prospecting, call preparation, presentation, demos, handling objections, quotes, negotiations, closing deals, and follow-ups - your sales team has a lot to consider during the whole sales process. It becomes strenuous for sales teams to meet their target efficiently and effectively in a world filled with diversions. That is why sales enablement resources exist.
It helps your sales teams reach their goals. But what is sales enablement and why should you opt for it?
If you work in the corporate sector, especially in the sales department, you must be familiar with the term 'sales enablement'. However, exceptions always draw breath. There are still some people who roam around with a foggy mind.
Let’s discuss sales enablement in greater detail for a clearer view.
What is Sales Enablement?
Sales enablement is one of the trending areas in the business landscape. As the sales sector is becoming more intricate, companies are increasing their spendings on sales enablement tools to boost their sales cycle.
IDC defines sales enablement as the tools and techniques used to ensure “the delivery of the right information to the right person at the right time in the right format and in the right place to assist in moving a specific sales opportunity forward.” The growth of sales enablement has hatched a new category of software tools designed to equip sales reps with the most relevant supporting material. Sales Enablement is a pendulum that moves the on the way it should, driving better productivity from sales teams and customer brand loyalty.
As per Aberdeen, companies with high-performing Sales Enablement programs have over 32% higher sales quota fulfillment, 24% better individual quota achievement, 23% better lead conversion rate.
A study by Smart Selling Tools states that the average number of sales tools used by reps rose to 5, comprising CRM, online conferencing tools and e-signature, peer learning management, presentation, and interactive tools.
Investing in Sales Enablement
Recently, companies have raised their spending on sales enablement twofold. The annual spendings on sales enablement and training now exceed $66 billion across industries.
In the US, companies are investing loads of time and money in sales enablement strategies and plans to increase the pace of investment with time. A study declared that 60% of American marketers plan to increase their sales enablement budgets year over year. Moreover, more than 59% of businesses have a settled sales enablement strategy in place.
How to measure Sales Enablement's ROI?
The sole aim of employing sales and marketing tools is to drive revenue. Sales enablement tools are worthless if they are unable to l justify your budget with concrete ROI numbers and proven analytical results. In order to justify your sales enablement spendings, it becomes important to meet the key performance indicator goals (KPIs). Consider some of the KPIs mentioned below:
Sales Rep Quota Attainment The sales enablement tools should bring about an improvement in the sales training program. The sales training should enable the sales reps to take up arduous tasks with ease and level up their efficiency to another notch. If you see the sales reps meeting their quotas, you know it is working for you.
Sales Enablement tools help you spot the best leads, identify the new way of the customer buying process, and provide sales reps enough time to crack the deal. All in all, it should lift your conversion rates. Not being able to do so is an injustice to your sales enablement strategy.
Time Spent on Selling Implementing sales enablement methods, your team's focus should primarily be on sales and important tasks that entail it. There should be an increase in time spent on closing deals, rather than wasting time on petty affairs.
Time to Quota (TTQ) This focuses mainly on the new appointments i.e the new sales reps. Check if your new hires can meet their quotas more quickly compared to the time when you had not implemented your sales enablement methods. Time effectiveness helps you measure your team’s improvement before and after.
Your sales enablement strategy should not only foster sales productivity but also align with your major business goals. Make sure the strategies you opt for correspond to your business objectives.
Why Is Sales Enablement Important?
Sales enablement is crucial because a swift selling process generates more sales and also helps in retaining old customers. Better sales performance means higher customer satisfaction which leads to higher customer retention. Whereas acquiring new customers is approx six to seven-fold more costly than retaining an existing one. Boosting retention rates is clearly much needed to meet your bottom line.
Sales enablement also becomes pivotal because it can help elevate junior-level sales reps’ status up a step by improving their sales skills and giving their individual contributions to the organization.
Most companies invest only in their top 20% of reps who deliver 80% of the entire team’s quota. The weak links of the team are left to feed themselves through failure and setbacks. With the use of sales enablement tools and methods, every rep has access to knowledge through articles, videos for sales enablement, training, and much more. It helps the mediocre sales personnel to excel and reach the top.
Sales enablement is key to helping your sales team attain maximum efficiency at work. If you are a small business thinking to gear up your revenue, enhance your sales enablement efforts to outrun your competitors.