Knowing the difference between Sales and New Business Development is the most important distinction companies must understand to energize and enhance new revenue streams and then metric success. The descriptors are not inter-changeable! Business Development is a marketing function...period! New Business supports Sales...period!
Capitalize on Partnerships
Identifying and creating partnerships that will help leverage new and improved pathways to business is new business at its core. It’s NOT about closing deals but uncovering relationships and opportunities for SALES to close.
Sales is all about closing the deal! Sales reps are responsible for product demonstrations, handling prospect objections and drafting the contracts. Then they take a victory lap and spike the ball! It's about the real numbers and production.
Business development (no quotas here) builds as many relationships as possible over time. If done right, the courting process of introduction and due diligence uncovers needs. Often, these relationships take months / years to nurture yet are more than worth the trouble if the Chief Executive has a vision and is working strategically to build his/her company effectively.
The Catch-22 to Business Development – CEO’s forget quickly that BD is not Sales.
They begin demanding why the VP Business Development has been working doggedly to build relationships, spending time away from office visiting cities around the country, increasing expenses for T&E but hasn’t closed any deals? The pressure gets greater until the CEO eventually terminates the very person who has put a face on countless new prospective targets and thus getting a foot in the door.
They are doors that must be opened for the sales team to have a realistic chance. Remember that sales folks don’t get paid to build relationships, they get paid to close. They get paid commissions. The result – any of those worthwhile efforts were shut down or “back-burnered” in an effort to “just get sales.”
Short Sales Cycle
Long Sales Cycle
A good and proven Business Development person will stay away from a CEO who doesn’t understand the importance of the function. If you acknowledge this difference, you’ll enable progress, grow your business and create an exciting future for your company. Want to sleep better at night, start now.
Priorities Marketing Group will:
- Assess skills and activities of your new business team
- Evaluate level of ideation that supports new business and sales processes
- Assure appropriate levels of delegation towards key personnel
Our clients use us because they trust our expertise, value our process and are thrilled with the results. Start here/today. Click here to engage us.