Digital Transformation in Sales: How to Turn a Buzzword into Real Sales Practice – A 21-Step Guide

288 Pages·2023·10.012 MB·English

by  Livia Rainsberger

Livia Rainsberger
Digital
Transformation
in Sales
How to Turn a Buzzword into Real Sales
Practice – A 21-Step Guide
Digital Transformation in Sales
Livia Rainsberger
Digital Transformation
in Sales
How to Turn a Buzzword into Real Sales
Practice – A 21-Step Guide
Livia Rainsberger
WISSENCE
Eichgraben, Austria
ISBN 978-3-658-38886-7 ISBN 978-3-658-38887-4 (eBook)
https://doi.org/10.1007/978-3-658-38887-4
© The Editor(s) (if applicable) and The Author(s), under exclusive licence to Springer Fachmedien Wiesbaden
GmbH, part of Springer Nature 2023
This book is a translation of the original German edition „Digitale Transformation im Vertrieb“ by Rainsberger,
Livia, published by Springer Fachmedien Wiesbaden GmbH in 2021. The translation was done with the help of
artificial intelligence (machine translation by the service DeepL.com). A subsequent human revision was done
primarily in terms of content, so that the book will read stylistically differently from a conventional translation.
Springer Nature works continuously to further the development of tools for the production of books and on the
related technologies to support the authors.
This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the
whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations,
recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information
storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now
known or hereafter developed.
The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does
not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective
laws and regulations and therefore free for general use.
The publisher, the authors, and the editors are safe to assume that the advice and information in this book are
believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give
a warranty, expressed or implied, with respect to the material contained herein or for any errors or omissions that
may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and
institutional affiliations.
This Springer Gabler imprint is published by the registered company Springer Fachmedien Wiesbaden GmbH,
part of Springer Nature.
The registered company address is: Abraham-Lincoln-Str. 46, 65189 Wiesbaden, Germany
The Spirit of Digitalization
Someone has released the genie from the bottle, and he lives up to his reputation. He
doesn’t follow any rules, has no respect for elders or those of higher rank, messes with
everyone, and has enormous fun fulfilling requests to him differently than they are meant.
He challenges the brightest minds of mankind, rages in all areas of society and the busi-
ness world, and has apparently made a hobby of turning upside down structures and busi-
ness models that have functioned for centuries, and this more or less overnight. And the
more he upends, the more he gains power and goes after even bigger market giants once
thought unassailable. He seems to have made it his personal mission to prove to the busi-
ness world that there is no such thing as “too big to fail,” and plays a cat-and-mouse game
with his victims, just the way genies usually do, before they eat them. What’s more, he
seems to be having the time of his life and wouldn’t dream of returning to his bottle.
This way or something similar is how many companies feel when they feel threatened
by the spirit of digitalization, when in reality it means well with us and offers us far more
opportunities than threats. With its playful nature, it just wants to make the opportunities
not so obvious and challenges us to discover them ourselves.
Never So Easy and Never So Difficult
It has never been so easy as it is today to create attention for one’s own offer, to win new
customers, and to open up new markets. Because there have never been so many different
and at the same time so easily accessible and inexpensive ways for us to generate and build
a business. Technology makes it possible.
But at the same time, it has never been so difficult. Because you really have to know
how to use these opportunities and how to differentiate yourself from the thousands upon
thousands of other providers who are aiming for exactly the same thing. Because at the end
of the day, thanks to digitalization and the globalization that comes with it, everyone is
fishing in the same pond and fighting for the same customer, and usually with the
same means.
v
vi The Spirit of Digitalization
Sales have changed more in the last 5 years than in the last 10, and more in the last
2 years than in the last 5. And “thanks” to the pandemic, more in 2 months than in the
entire 2 years before. Traditional sales techniques are losing relevance, proven prospecting
methods are becoming a thing of the past, and successful marketing models are being
consistently destroyed. Today, sales is no longer primarily about relationship building,
negotiation, and closing techniques, but is much more about reaching the modern cus-
tomer and meeting his needs with a sophisticated combination of business intelligence and
technology.
In addition to traditional sales challenges such as price wars, high competition, and
prospecting, as well as the pressure to keep up with the relentless drive to increase cus-
tomer loyalty, deliver solutions faster, and close deals better, many small and medium
businesses face now the possibly biggest challenge since their inception: developing a
state-of-the-art sales model so as not to lose relevance and continue to reach their modern
customers with their needs. Many companies are battling outdated, fragmented technol-
ogy, disparate data sources, highly competitive markets, ever-increasing customer expec-
tations, social media and multi-channel reach, and most importantly, a lack of understanding
of the need for change within their own sales staff.
Another Book on Digitalization?
Even though there seems to be too much literature on digitalization today and that specific
topics are covered in depth, I do not want this book to simply take up another place on your
bookshelf – analog or virtual – but to offer you a practical guide to master the digital trans-
formation in sales. This book is designed to help you not only understand how radically
the sales world is changing, but how to address those changes and overcome the most
common challenges.
With this objective in mind, this book addresses the three essential questions on this
topic: the WHY of digital transformation in sales, the WHAT, and the HOW:
• Why should you really care?
– Every company – without exception – lives only, and only from the quality of its
sales. Because no matter what we do, we have to sell it. And selling has fundamen-
tally changed in the last few years. Initially in the B2C segment and now, inevitably,
in B2B too. There are a lot of new developments in sales that many companies are
not yet aware of, and there is no end in sight. Sales is literally being battered by
trends from several directions and a massive structural change is taking place.
– These changes are addressed at the very beginning of the book when answering the
question “Why?”. Because even though most companies already clearly perceive
the changes in their sales in some way, the awareness of how fundamental they are
and on how many different levels they happen is often still missing. To give you a
The Spirit of Digitalization vii
clear understanding of the most important developments in sales, the most relevant
developments and trends are examined from these four perspectives:
How is customer behavior changing?
What technological trends are influencing sales?
How are sales models and approaches changing?
And last but not least: What lasting impact will the pandemic have on sales?
– All of these trends are described in their essence, including their impact on sales,
and the drivers of digital transformation in sales are also presented: Market,
Technology, and Customer. The aim is to give you a comprehensive picture of the
radical changes in sales and to make you realize that no single company will be
spared, regardless of industry, business area, or size, and that the need for action is
already long overdue.
• What is behind this overused term?
– Even though many talk about digitalization, few really understand what it is all
about. The term is now more than overused, and if experts disagree and have diffi-
culty explaining the basic principles of digital transformation, how will sales leaders
fare? The second chapter will explicitly address WHAT digital transformation in
sales is and, more importantly, what it is not. It also breaks down the most common
misconceptions surrounding this mistreated term of digitalization.
• How can you turn the buzzword digitalization into concrete sales reality?
– Now we move into the realm of the supreme discipline: the HOW of digital sales
transformation. Although there is already a lot of qualified knowledge available to
explain digital transformation, there is still too little concrete and practical guidance
to transfer this knowledge into practice. The main focus of this book is to provide
you with guidance so that you can design and implement the digital transformation
in your own sales organization. After reading this book, you should have a clear idea
of how to turn this buzzword into tangible strategy.
– For this purpose, you will be provided with a proven tool: the 7W Digital Sales
Transformation Model, with which you can design the digital transformation in your
sales organization at all relevant levels. Basically, the 7W model is a blueprint for
developing a transformation strategy and highlights a total of 21 building blocks that
are necessary to be able to develop a sound strategy. The specific dimensions are
built on seven levels, which address the key questions and core elements for strategy
conceptualization. Concrete methods and approaches for developing the necessary
elements are also presented within each building block. Particular emphasis is
placed on avoiding common mistakes, and specific reference is made to potential
pitfalls in each section. This is supplemented with practical examples so that you can
more easily understand what the result might look like in reality. Last but not least,
the specifics of the process of developing and implementing the 7W strategy are
addressed.
viii The Spirit of Digitalization
After reading the first three chapters, you should no longer have any doubts about the need
for change in your sales department, and you should also already know what kind of
changes are needed, how to approach them specifically for your organization, and to what
extent they might be required. By the end, you should have a good idea of why the trans-
formation should be initiated, what it is all about, and how it can be specifically designed.
And What About Technology?
This book would be truly incomplete without addressing the “technology for sales” aspect.
Especially the area of sales can benefit significantly from recent technological develop-
ments, and particularly in every single step of the sales process. Chapter 4 is dedicated to
this topic. Here, the countless – and this is not an exaggeration – possibilities are presented
in a structured form, so that you have a reference book at hand with which you can quickly
gain an overview of all technological approaches relevant to sales.
To this end, the technologies are considered from three perspectives:
• Technology: Here, we look at the different technologies – such as AR, VR, AI, cloud,
M2M, IoT, wearables, and many more – including their potential applications specifi-
cally in sales. They are supplemented with inspirational examples from the B2C and
B2B sectors.
• Sales process: Here, the technological possibilities are presented on the basis of each
individual step in the sales process, from lead generation through order processing to
customer development and customer communication. The areas of sales efficiency and
sales management are not omitted, nor is the nowadays important positioning in the
digital space.
• Sales tools: The tools developed specifically for the sales sector are presented here, like
CRM systems, sales acceleration, automation and enablement tools, sales analytics,
account-based marketing, and more. This overview provides information about the
objectives of these tools and what you need to look out for when selecting them. Some
provider examples should give you an idea of the possibilities the market provides.
By the end of chapter 4, you may feel a slight sense of overwhelm and not even know
where to start due to the sheer infinity of technological potential in sales. To answer this
question soundly, you need to develop a strategic approach as described in Chap. 3.
My suggestion: Use the 7W Digital Sales Transformation Model as a guide to build
your digital sales transformation strategy, drawing inspiration from the technology oppor-
tunities in Chap. 4.
The Spirit of Digitalization ix
Not Amazon, Facebook, Apple, and Uber Again …
Throughout the journey of this book, I try to give you insights and real-world examples, as
well as examples apart from the overused ones like Apple and Amazon. Because many
readers may find it hard to relate them to their own reality given the size of these compa-
nies. My goal with this book is, on the one hand, to showcase what all is changing in the
sales area and which possibilities is technology offering in this context. On the other hand,
this guide should help you generate concrete ideas for your company.
This is not another theory book but an overview of developments and technologies
relevant to sales combined with guidance on how to respond meaningfully and strategi-
cally to current changes and customers’ demands. Managers simply can’t keep up with all
the diverse and rapid changes. Even with the best of intentions, it is de facto impossible to
get a comprehensive overview of all the relevant trends in the sales sector, let alone do so
alongside day-to-day business.
Is This Guide for Me?
This book is aimed at all those who want to know how to align their company and their
organization to the requirements of the digital world and how to not only ensure the com-
pany’s existence under digital circumstances but also generate more sales and implement
growth plans. Primarily, the management and executives in sales and marketing are
addressed. However, sales employees who want to broaden their own horizons and deal
with the modern challenges in sales will also benefit from the content.
Even though the book primarily addresses companies that have been in the market for
a long time, feel an acute need for change, and want to deal with it specifically, the content
will also be of interest to newly founded companies. This is because the book covers all
the topics relevant to building a sales force that functions under digital conditions.
Basically, it is a guide to developing and implementing a sales strategy for the digital world.
In addition, those who are interested in technology will get a clear view of the techno-
logical opportunities available for sales. This reading can generate many new ideas about
what technology can do for your business.
Contents
1 Digital Transformation in Sales, WHY Actually? 1
1.1 Sales Changing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1.1.1 Top Trends in Customer Behavior . . . . . . . . . . . . . . . . . . . . . . . . . 4
1.1.2 Top Trends in Sales Technology . . . . . . . . . . . . . . . . . . . . . . . . . . 12
1.1.3 Top Trends in Sales Approaches and Models . . . . . . . . . . . . . . . . 16
1.1.4 Top Trends in Customer Behavior, Triggered by COVID-19 . . . . 22
1.2 The Drivers of the Digital Transformation in Sales . . . . . . . . . . . . . . . . . . . 26
1.2.1 Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
1.2.2 Technology. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
1.2.3 Customer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
2 Digital Sales Transformation: WHAT Is It Really? 33
2.1 Digitalization in Sales: What Many Talk About and Few Really
Understand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
2.2 The Well-Kept Secret of Sales Organizations . . . . . . . . . . . . . . . . . . . . . . . 36
2.3 Digital Transformation in Sales: What Is It Really All About . . . . . . . . . . . 38
References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
3 7W Strategy for Digital Transformation in Sales: HOW Do We Close
the Gaps? 43
3.1 WHAT: Value Proposition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
3.1.1 Customer Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48
3.1.2 USP: Unique Selling Proposition . . . . . . . . . . . . . . . . . . . . . . . . . 51
3.1.3 Trust Position . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
3.2 WHOM: Addressing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55
3.2.1 Target Customer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58
3.2.2 Target Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66
3.2.3 Relationship . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68
3.3 WHEREBY: Approach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70
3.3.1 Sales Model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73
xi