What Is the Enterprise Sales Process?
Understanding Sales Cycles in Enterprise Sales
What many companies get wrong about enterprise sales is not the sales tools or sales resources but the customer’s lifespan. The average customer lifespan is unclear but likely lasts from a year to three years. But when the average purchase value is higher in enterprise sales, it’s important to increase that lifespan.
As I’ll go into more depth later, enterprise sales are more difficult to go through because of many factors. Sales teams cannot use the same selling techniques with every enterprise sale. Depending on the customer’s company and goal, a different sales strategy should be used every time. Therefore, no typical enterprise sales process works 100% of the time.
Enterprise sales are usually made by senior-level sales folks that know the playing field more than anyone. Kennected was originally one of a million SMB focused SaaS companies but that has changed over the last couple of years. We’re growing, and have acquired over 100 employees so far.
How Hard Is Enterprise Sales?
The enterprise sales process is difficult to explain because, on a surface level, it’s so similar to your traditional buying process. The main difference is that enterprise sales reps work with medium-sized businesses and up. This setup gives leeway to a multitude of moving parts that extend beyond the sales rep and the customer.
Sales technology has made the enterprise sales process easier but not any easier to explain to an outside party. SMB sales are at no point easy even if the overall gist seems straightforward. There are a lot of SMB sales that never make it past the cold calling stage, but enterprise sales are different. The actual sales process doesn’t begin until clients become interested in the product.
Outsourcing SMB sales with a minimal customer acquisition cost is another point where enterprise sales differ from the standard sales process. Enterprise sales can require a higher customer acquisition cost because the risks are higher. An enterprise sale typically can be compared to a trickle-down effect or chain reaction. Lead generation is a mainly digital process in today’s world.
Business challenges through the sales process cycles make for more complex sales. Outsourcing lead generation requires tools to lead back to the company website. And the process is becoming more organic rather than paid.
The price and buying authority is a large gray area in enterprise sales although the pricing authority is mainly in the authority of the customer success team. Because enterprise deals are reached through different sales tools and determine ultimate business value, the sales processes are determined on a case-by-case basis.
When you manage SMB sales, you’re managing multiple sales calls and the purchase process. Take this sales process times 10, and you’re looking at a potentially profitable market. But the catch is that you’re trying to get a team of professionals to agree and sign off on an enterprise deal.
If you’re looking to increase your sales, read more on the process here, which will provide helpful tips.