Latest / Success Story with Scott Clary / Lessons - Why Modern Sales is Broken | Samantha McKenna & Amy Volas
Transcript
- 0:00What is, why is sales still broken? Because if you're a highly entrepreneurial individual
- 0:15in an organization like both of you are, and you're trying to make a difference, and
- 0:19your traditional sales manager is not going to hear it, they're going to be very old
- 0:24school and they're thinking, so why is sales like that, and how do we fix it?
- 0:29I think this is what we can talk about for the next like 90 minutes.
- 0:32Yeah, I know, I know again, so I don't want to see it up.
- 0:37So a couple of us, Amy, past you, I think one of the things, you know, I realized this
- 0:42in my line of thinking as of late, that when I talk about sales and kind of my, my, on
- 0:50the least defensible person on the planet, but I do get a tiny bit offended when somebody
- 0:54says like, it's sales, how hard can it be?
- 0:57And for those of us who have been in it, who have been in enterprise sales, who've just
- 1:00been in sales in general and done it really well, holy moly is a complex, right?
- 1:05And there are a thousand different decisions that you make every day, the impact, you make
- 1:09a right, right?
- 1:10How you write an email, how you structure something, how you are, she's sell when you're
- 1:13presenting a proposal, all that goes into it.
- 1:15I think one of the reasons the sales is broken is because people think I can do it, anyone
- 1:19can do it.
- 1:20And to be fair, anyone can do it.
- 1:22You can learn how to do sales.
- 1:23There's not a whole certificate.
- 1:24You don't have to.
- 1:25I'm at school for it.
- 1:26You can fall into it and take your innate qualities, but I think that we also think that
- 1:31anybody can do it.
- 1:32So then we don't know how to do it correctly.
- 1:34We learn from, you know, plenty of leaders who have been promoted incorrectly and gosh,
- 1:38Amy, you can probably talk about that forever, a little Peter principle there.
- 1:42But we follow leaders that also don't know how to do it.
- 1:45And so we've got that first starter.
- 1:47And I think the other thing where things are really broken and where I love to focus
- 1:51a lot of my time is the foundations of selling.
- 1:54We don't really think about, let's make sure we've got our organizational house in order
- 1:58before we start to think about, you know, we're going to bring in 17 different technologies
- 2:02and build this incredible tech stack and you know, do all the latest hacks and tricks
- 2:06and things like that and go into enterprise selling for the first time.
- 2:10So you roll and really think about, do you have your foundations in place?
- 2:15Do you have a sales process identified?
- 2:17Do you know what this fruct is?
- 2:18So to speak on your very first call.
- 2:20Do we know what happens after you sign out of proposal?
- 2:23Do you have these things identified first and foremost?
- 2:26And are you coaching your reps to really be human to be authentic sales people?
- 2:32Do they know how to write a great email?
- 2:34Do they know what to say correctly in an injection?
- 2:37Make sure that at the most basic level you got this and then you build.
- 2:41And I think that the best analogy I can give to this is that sales leaders are like,
- 2:44we're going to renovate our master bath on the second floor.
- 2:47And you're like, that's a reason your foundation is cracked and your home is sinking.
- 2:51And they're like, that's okay.
- 2:51We'll renovate anyway.
- 2:52And you're like, okay.
- 2:53So I think fix the foundation.
- 2:56Let's make sure that the house is standing in a good shape.
- 2:58And then let's build upon that.
- 3:02Go ahead.
- 3:03I mean, I wanted to get your opinion on this as well,
- 3:05because I think it's a huge, huge pain point in the industry.
- 3:09I would agree.
- 3:10And I think, as with anything, so we're talking about the foundation,
- 3:14but then I think bigger than that,
- 3:16it starts from the top down and expectations and leadership.
- 3:20And what I notice is, so I'll give you a perfect example.
- 3:24Not all businesses, not all people are created equal,
- 3:27yet we're treating it as such and sales and recruiting.
- 3:33I believe it firmly believe it starts always with the people that you bring on
- 3:38and the expectations and how you enable them and support them.
- 3:41But beyond that, it's like in my mind, when I think about this,
- 3:45it's not one size fits all.
- 3:48It's not one dimensional, but yet we treated this way in so many people.
- 3:52So like for me, for years, people, I've been in sales leadership
- 3:56and I've been an individual contribution.
- 3:57I made the conscious decision.
- 4:00And more than one occasion, I did not want to be a leader for that company.
- 4:04I just didn't.
- 4:05And it was like, well, what do we do with you?
- 4:08Because when you're really good at what you do, it's like, well, what's next?
- 4:12And I think that people are just thrown into sales leadership
- 4:15that have no business being in leadership that don't really want to be a leader.
- 4:21They like the ego, they like the accolades, they like the title,
- 4:24but the fundamental piece about leadership in my mind is all about your people.
- 4:29And those are the folks that tend to just regurgitate crap.
- 4:33Or what worked for me as a seller should automatically work for everybody else.
- 4:37And I'm going to disrupt the entire team to put together some sort of expectation
- 4:43or this is how it needs to be done because it's my way.
- 4:46These are the broken bits and pieces.
- 4:48And so I think it comes down to leadership.
- 4:51I think that there is this world that we're living in,
- 4:55where, and I don't have any beef with them whatsoever,
- 4:59but when predictable revenue was written,
- 5:01people have taken that model and they've totally bastardized it.
- 5:04The fundamentals of what predictable revenue was all about.
- 5:07I totally get that.
- 5:08I'm down with it. I support it.
- 5:10But now you've got this like ripped off plug-in play,
- 5:15over segmentation of sales.
- 5:17And it has nothing to do with the buyer journey or the customer.
- 5:21And I like to remind people this all the time,
- 5:24the customer holds the keys always.
- 5:27They're the ones that write the checks.
- 5:29And they're the ones that fuel everything else that happens.
- 5:32But yet we put together this thing that's all about us and what we want in our process
- 5:37and our motion and has very little to do with them.
- 5:41And especially when you're going after money,
- 5:42it's like now you're in some multiplier of some expectation of someone else's dime
- 5:47and it's promoting all the wrong behavior.
- 5:49And so I think all of those things in combination,
- 5:52coupled with everything that Sam just said and I agree, it is foundational.
- 5:56If you don't have that, nothing else really sticks for the long haul.
- 6:00So it's expectations.
- 6:02It's stop it with the hacking, the shortcuts,
- 6:05the one size fits all mentality, especially for my folks that are like,
- 6:09we crushed it with this high velocity SMB sales model.
- 6:13That's awesome.
- 6:14That's how you entered the market.
- 6:16But just because you did that and just because your product was ready for that
- 6:20and Sam and I were on a different conversation,
- 6:22doesn't mean that your enterprise ready.
- 6:24Just because you had one inbound lead from an enterprise customer,
- 6:27how do you know that that's not one of their franchise owners?
- 6:29It has nothing to do with the big decisions made it corporate.
- 6:32There is so much misconception and especially from a sales leadership perspective,
- 6:37people are hired for the for the shiny objects like, oh,
- 6:41you your team more than 70% of your team hit.
- 6:45You went to president's club eight times in a row.
- 6:48You grew the business 200% year over year for four years.
- 6:52You're the sales leader that I want.
- 6:53Well, if I'm running enterprise sales and you did that and it was highly transactional SMB,
- 7:00that sales leader is going to have no idea how to lead what I need to do.
- 7:04And the wrong expectations are going to happen and they're in life the problems.
- 7:08Like read rinse repeat, read rinse repeat.
- 7:10And the minute that we stop reading, rinsing and repeating,
- 7:14the minute that we start seeing some of these problems get fixed.
- 7:17And that's one of the big things that I encourage my clients when we're going
- 7:21through kickoff and discovery.
- 7:23And I'm talking to them about what they need and why they need it.
- 7:26I am amazed at how many people aren't thinking through these things.
- 7:29And that's the work that I crave to do.
- 7:31It's like, wait, there's to let me get, let me help you get out of your way.
- 7:34I can see this disaster coming from a mile away.
- 7:37Let me help you.
- 7:38So that's a lot that I just unloaded.
- 7:41But all of that plus Sam plus so much more that's going to come up.
- 7:45I'm sure here.
- 7:47Well, and I think you bring it to two good points to you, right?
- 7:50And I think Amy, you're in the same boat from a recruitment perspective of how hard can it be?
- 7:56I interviewed people before.
- 7:57I've hired people before.
- 7:58I know what I'm looking for.
- 7:59Why is it that I need an expert?
- 8:00Why is it that I need to outsource this, right?
- 8:03And hey, a fee to find somebody.
- 8:05But I think it's again, just taking that shift and thinking that there are experts out there
- 8:09who have this figured out down to a science because this is their poor competency.
- 8:13And this is what they do day in and day out.
- 8:15So before you think about hiring somebody on your own,
- 8:18looking maybe for completely misalignment in terms of qualifications to your exact right there,
- 8:24think about how do you bring in an expert to help you and make sure that you don't make the terribly
- 8:28extensive mistake of hiring the wrong talent, disrupting your team,
- 8:31costing yourself revenue, et cetera.
- 8:33I think the other thing, and this was an expensive mistake that I learned by myself,
- 8:38exactly your point of hiring the wrong caliber person for what you're doing.
- 8:42So when I was searching for one of my enterprise leaders at one point,
- 8:47I ended up hiring an individual who was a kind of VP of sales for a ton of startups.
- 8:52And just incredibly well known in the space in New York, like very big brand.
- 8:57And so I hired her and what was, what was so shopping to me and such a great learning experience
- 9:03was that I was thinking somebody who was accustomed to having the world as their territory
- 9:07and saying, here 40 accounts go make it happen.
- 9:11And there was no, maybe a little nicer, more nice save math.
- 9:14But there's no idea of like, how do I nurture leads?
- 9:17How do I map out an account?
- 9:18How do I build an account plan?
- 9:19How do I start on the top and weave my way in and multi-thread?
- 9:23Because before it's just like, okay, everybody were new and we can do something.
- 9:27And now it's everybody knows our brand, but you need to figure it out with these 40 accounts and make or break.
- 9:32So I think expensive lesson for me to learn as a sales leader and for the organization
- 9:37and what we could avoid in with having proper talent.
- 9:41So again, just a good thing for our sales leaders to consider.
- 9:44When it goes back to that one size fits all, I enact a pick on your alma mater.
- 9:49And I don't know where it was that this was, but I know that you worked at LinkedIn.
- 9:53And I have this conversation a lot.
- 9:54I go back to HR Tech as well where it'll be an HR Tech startup.
- 9:57And they're like, we want somebody from LinkedIn because look at their culture and look at their playbooks.
- 10:01And I'm like, do you realize that their playbooks have been set in stone for a really long time in the person?
- 10:07That you're going to take out of that.
- 10:10If they've never created that playbook before, they know how to manage to that playbook.
- 10:14They don't know how to create it.
- 10:15So the work that needs to be done at different stages of companies, different kinds of companies,
- 10:21different sizes of teams, right?
- 10:23Like so you could be in a small company, but the team's really big or the reverse of that.
- 10:28Or you could be at a LinkedIn or a Yahoo or whatever it might be, the work is different.
- 10:33And so there's this lack of understanding of the nuances and the complexities of sales.
- 10:38It isn't just this plug-and-play thing of, here's your patch, here's, I mean, I remember when I first started,
- 10:45I was like, here's the yellow pages.
- 10:46I'm like, okay, you know, and yes, I go that far back, but it's like, just go up and do it.
- 10:52And it's like, and luckily I did and I stumbled a lot, but I learned.
- 10:59It doesn't have to be that difficult.
- 11:00And what I find is people aren't listening for the differences.
- 11:03And so it's like, well, this is our way of doing it.
- 11:06This is what we know.
- 11:07And what people aren't understanding is, well, you're treating your prospects horribly.
- 11:13Yes, you're force-feeding business and what does your churn look like?
- 11:18What does that look like?
- 11:19And by the way, how many lost opportunities do you have throughout the process?
- 11:23People just want to look at the new low goes in, but there's a whole ecosystem of stuff
- 11:27that's happening that's hurting your business that people aren't thinking of.
- 11:31And the right leaders for your business are thinking about all of that.
- 11:36Not just a little bit of, well, we got funding and now we have to throw up 50 new low goes,
- 11:42but we'll treat them horribly, shove them in.
- 11:44We're going to turn them in less than 12 months because we don't know what we're doing.
- 11:48We don't have a customer success motion.
- 11:50It is an ecosystem and all these things are part of it.
- 11:53And sales isn't something that you just do.
- 11:55It affects your buyer and it sets the stage and tone for what happens next.
- 12:03So, sorry.
- 12:04I have a question.
- 12:05I'm not going to ask.
- 12:06No, it's good.
- 12:07It's very good.
- 12:08So I was actually original.
- 12:09I was going to ask a sales question, of course, the whole thing in view of sales.
- 12:13But I want to actually ask a people question because I think as we're sort of unpacking this,
- 12:19a lot of this is not surprisingly driven by the people that you hire, the people you bring
- 12:24in.
- 12:25So when you are, you know, everything you're saying makes sense about how it's not a one-size-fits-all,
- 12:30how you have to find the right type of leader, how the leader has not just maybe the operational
- 12:34experience, but actually conceptualizing and ideating and building out that playbook and
- 12:38then maybe running with it depending on what their background is like and there's all
- 12:41these different nuances.
- 12:42So is it finding the right person with the right experience or is it finding the right
- 12:47person with the right personality traits because not everything can always be found and
- 12:51experience because well, it or it's very difficult to find somebody who's scaled to start
- 12:57up from 10 to 50 million and then build up that playbook successfully.
- 13:01And then that's the perfect time for that person to pivot into a new role and accompany
- 13:05us doing the exact same thing.
- 13:06Is that an easy person to find or can it be substitute with some level of competency
- 13:10plus some personality traits that can allow them to understand and build that out even
- 13:15if they haven't done it before to the same level or the exact same nuance is what you're
- 13:19hiring in.
- 13:20Yeah, so for me, it goes back to that it's not a one-size-fits-all and so that's where
- 13:26my enterprise selling chops come through a discovery and I think both of those things
- 13:31are important.
- 13:32So like, what are the DNA traits that this person inherently needs to bring to the table?
- 13:38You can't teach somebody to care, right, like either they do or they don't.
- 13:43What do they care about though?
- 13:44It's what they care about and why they care about it that I'm especially interested in
- 13:48and I need to listen to my clients of have we taken the intentional approach to understand
- 13:55why are we hiring, right, why, why is it time now?
- 13:59And if it's in one of the things that I do the most of is is cleaning up, right, they've
- 14:05gotten it wrong, they're feeling the pain, their recruiting process isn't working, they're
- 14:10suffering from all the horrible effects of mishiring, there are lots of lessons to learn
- 14:15there.
- 14:16Let's not repeat those.
- 14:17Let's take a moment and figure that out and connect some of those dots.
- 14:20So a lot of that is going to be, well, why do you think that this is a good time to hire
- 14:27why this role?
- 14:29Sometimes I have to tell people like you want a VP, you're so early stage, don't do that,
- 14:34right, that's going to hurt you.
- 14:35So it's understanding the why and then the what and really diagnosing there's two different
- 14:42buckets there.
- 14:43What are the things that the person absolutely has to be, has to embody, has to believe
- 14:49in and then on the flip side, what are the things that characteristics of the work that
- 14:54they need to do, the work that they've done, how that translates.
- 14:57So I had this conversation with early stage companies all the time where they're like,
- 15:02I want a sales leader that has taken a company from zero to 50 million 10 times and like
- 15:07that person doesn't exist and if they did, they're working for themselves now consulting
- 15:11making a boatload of cash, they don't have to take this role.
- 15:14The work is a grind and they don't want to go through that.
- 15:17So let's talk about your stage, right, what's the work at your stage?
- 15:22Because chances are the person that can get you from zero to perhaps five to 10 million,
- 15:28it's a very, very different leader than the leader that's at 100 million and it's okay
- 15:33to hire over them if they can't rise to the occasion, but give them an opportunity.
- 15:38These are the things to think about.
- 15:39People aren't thinking like that.
- 15:41So I always tie it back, Scott, to what is the actual work and then all the other things
- 15:45that you're talking about sort of shake out.
- 15:48I'm a huge fan of the scorecard and using all of that to map it out as to all of this
- 15:53carries weight.
- 15:55Let's think about what weight it carries and let's use this as our guiding force so that
- 15:59we do get it right together so that it's not just making assumptions or not knowing you've
- 16:03got this heavy here in front of you.
- 16:06You don't know how to talk to them.
- 16:07You don't know how to ask some questions and you read some stupid thing online about these
- 16:12are the top 10 questions to ask a sales leader.
- 16:14You have no idea why you're asking it.
- 16:16You have no idea what they're answering, but it sounds good.
- 16:20So I'm going to hire them.
- 16:21Stop it right now.
- 16:23And if you are doing that with Pete's in love, please call me because I will help you.
- 16:27I think you talked about a good word earlier ecosystem and I want to say something using
- 16:34your terminology.
- 16:35Also, Scott, I think it tends to be a shocker for a lot of business owners and even see
- 16:40your leaders.
- 16:41If you, one size fits all, doesn't exist.
- 16:43You also have two types of sales leaders.
- 16:45You have true sales leaders who have been individual contributors.
- 16:48They are the Amy and Sam's at the world who have been there and done that, been in the
- 16:52trenches and grinded it out and can actually tell you how to do it.
- 16:56And then you've got operational leaders who are probably sold maybe for a year or two,
- 17:00weren't super successful, but knew all the mechanics and the math of it and couldn't map
- 17:04out a process for how you should look at your table of reports and your Microsoft BI's
- 17:09and all of that and figure out exactly what you need in order to be successful.
- 17:13You need both kinds of leaders in your organization, right?
- 17:16Because you're going to need someone who's going to be able to go to the table with your
- 17:20clients, build rapport, know how to start the call, know how to work the room, know what
- 17:24actually sell what it is that you're doing and then you're going to need your operational
- 17:28leaders, right?
- 17:29You can get them sales operations, but you can also just get that in an operational leadership
- 17:32by having that at a different level of the organization too.
- 17:35I think people focus one, don't have a viewpoint for that and then two, a lot of people get
- 17:40really excited about the operational people because they're like, oh, data, data, big
- 17:44data.
- 17:45That is exciting and that's wonderful, but you also meet, especially as frontline managers
- 17:50that people who are working and coaching your apps, you need leaders who are going to
- 17:54be able to say, this is how you do it, restructure this email this way, restructure this proposal
- 17:58this way.
- 17:59Let's do a prep call and a dry run before you go and you know, possibly botch it in front
- 18:05of one of our biggest opportunities that are so you've got to look for that across the
- 18:08board.
- 18:09I think that the, again, the focus on data and operations is great and is important,
- 18:15but again, making sure that you have a balance between your leaders who can fill the serving
- 18:20and gaps for you.
- 18:21It's like building a baseball team.
- 18:22You're not going to, everybody's the baseball team, everybody's a VP of sales or whatever,
- 18:26but you got, you know, your umpires, your batters, your third basement, et cetera.
- 18:29Everybody has a alluded role and it's strength that they bring.
- 18:32If you only brought one of those and built your entire team based on that, you wouldn't
- 18:35be successful.
- 18:36Right.
- 18:37I hate sports analogies and great that I just gave you one, um, but that, that's the good
- 18:41analogy.
- 18:42I like it.
- 18:43I mean, it's a good one.
- 18:44Yeah.
- 18:45It's very good.
- 18:46Every baseball player where you got to find the right position.