You have developed a new product, and you are eager to launch it to market. We understand your excitement. But, hold on! Do you have a well-thought-out sales strategy, or are you just going to release it on a few social channels hoping people will be drawn toward your product?
Sure, you might have conceived of an innovative product that could revolutionize your industry, yet it will fail if it doesn’t make enough sales. Increased sales lead to increased revenue. And that is only possible if you have a kick-ass sales strategy.
The fact is, there is no shortcut to success, and there is no predefined roadmap, either. All successful start-ups who have survived beyond a year have continuously upgraded their sales strategy for growth. Without a well-planned sales strategy, most companies perish, which is why start-up sales strategy tips from experts are necessary.
Read on to know what a sales strategy is and its crucial role in attracting the right customers for your product.
What is a Sales Strategy?
The perfect sales strategy is a plan of action to maximize your sales goals. A well-chalked-out sales strategy is vital to closing more deals and setting your start-up on a higher growth trajectory. So, aspiring entrepreneurs, please pay sufficient attention to this aspect of your business.
Here is how you can build an on-point start-up sales strategy.
Building a Buyer Persona
Buyer personas are essential because they are central to the sales process. Therefore, your first port of call in your start-up sales journey is to build the perfect buyer persona. A buyer’s persona is a fictional portrayal of your ideal customer that considers their demographic and psychographic detail, goals, expectations from your product, buying patterns, and more. Based on the behavioral patterns of your buyer persona and taking into consideration their pain points, you can then focus on creating a sales strategy targeted toward the right audience.
Lead Score to Prioritize Prospects
You might have a strong sales process strategy, but even that cannot make up if you focus on the wrong audience. Building an impressive customer base is not as easy as it seems. Before plunging into selling, determine who your prospective customers are. To ensure your team targets high-quality leads which can convert into potential customers, you have to weed out low-quality leads. You can do that by implementing lead scoring that provides your sales team with accurate estimations of hot prospects. The lead scoring method is simple. Leads are awarded points on a scale, and those with more significant scores receive greater attention from your sales team. Once your team has a list of high-quality leads, your sales teams can then prioritize prospects and close more deals.
Do the Right Product Positioning
Product positioning that showcases your product in front of your target audience is a very crucial step in your start-up journey. Through market surveys and interviews, you can determine what aspects of your product interest the consumer the most. Based on the insights gathered, your sales and marketing teams can focus on creating compelling messages that drive more leads and ultimately more sales.
KPIs are performance indicators that show how a company is achieving its goals. They are essential because they evaluate how many targets have been achieved since the inception of the company. Some key KPIs you can establish to check your start-up’s success are:
- lead response time (amount of time taken by your sales team to respond to a potential lead)
- customer acquisition cost (time spent on marketing and sales to gain a customer)
- customer retention rate (the cost of keeping a customer)
- conversion rate (the number of prospects that translate to paying customers)
- monthly burn (burn rate measures the cash spending by a company per month)
- runway (signifies the number of months a start-up can operate before it runs out of cash)
When set up correctly, KPIs can give an accurate picture of the state of your business and enable you to assess it accurately.
Employ the Right People
As round pegs fit round holes and square pegs fit square holes, the right employee will take your start-up to heights. Hiring the right people for your start-up might be a no-brainer, but it is easier said than done. Finding someone who shares the same enthusiasm as you, has all the requisite skills, and comes with a not-so-high price tag will be difficult. Plus, as a start-up founder, you’ll be short on cash, which means you cannot go on an indiscriminate hiring spree. Therefore, before onboarding new employees, first think through your decision. If yes, proceed, and if not, then halt.
Outrun Your Existing Competitors
Every start-up has competitors. Note the steps your competitors took to reach the position they’re at today. While you don’t have to copy their methods verbatim, you can take a lesson or two from others who have walked the path before you. Gather crucial insights from their decisions, monitor their strategies, and subsequently design your product in the best way possible. Your competitors’ success template will help you identify the USP of your products, which can be positioned as unique selling points to potential clients. Research—Redesign—Rock it!
Building the best start-up might not be a cakewalk, but it is not rocket science either! By following the sales strategies of successful entrepreneurs who have ‘been there done it, you too can reap more significant benefits and achieve success in your start-up story.