Wisdom on Value Creation for Revenue Growth!

How would you rate the 
“Value Creation Capability”
of your sales & support team?

The concept of “value” is often referred to by corporate Leadership when discussing their market presence, promotional programs as well as the uniqueness of their offering.  But seldom do you hear Executives assessing the significant potential within their business development team to create greater market value.

 Consider these three ‘nuggets of wisdom’ about value:

1. Value is always…what the customer thinks it is!
2. Value is “evolutionary” in that it grows and morphs as customer markets change, as their internal processes are altered, as supplier innovation occurs, as new technologies emerge and so on. A customer’s definition and recognition of value is a “slow-moving target”.
3. Value must first be created for customers before you can ever expect an increased level of business and profitability.

Question: When was the last time you assessed the “value creation capability” of your front-line team? 

Given the above “nuggets”, it makes sense that your business development professionals are highly competent in their consulting ability.  In concert with this, it is important to coach the team, not to promote your product & service offering, but rather on “how” to explore the customer’s business to uncover their “CBIs” (critical business issues).  These issues are usually associated with:

• The needs and requests of their customers (i.e.: “the customer’s customer”);
• The customer’s internal processes as well as initiatives to improve them; and
• Their future issues (i.e.: their strategic plans). 

Each of these topics will most likely “illuminate” new customer-defined value, which almost always defines what is motivating this organization to “act”.  If your offering can address these “CBIs”, your team will be much more likely to capture this business. 

A second conclusion from the “nuggets”, given the evolutionary nature of value, is that never should any established customer’s business be “taken for granted”.  Complacency is a killer!  Your front-line team should periodically be asking questions like:

• “What new initiatives have you been focusing on?”; or
• “What changes have occurred with respect to (relevant topic)?”

Systematic questioning like this can not only uncover new value-building opportunities, but also prevent competitive encroachment, and ultimately the loss of valuable business!

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