Case Studies - Macquarie Telecom |
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Macquarie Telecom achieves 100% earnings growth using SPIN® Selling COMPANY PROFILE Macquarie Telecom is Australia’s leading business-only telecommunications company. Established in 1992 following the deregulation of the telecommunications industry in Australia, Macquarie Telecom services more than 23 per cent of the top 10,000 business and Government organisations in Australia, with more than one million people using Macquarie Telecom solutions at work every day. The company delivers tailored business communications solutions which include voice, data, mobile and hosting services. Its dedicated managed hosting and security facility, the Intellicentre, is certified to the highest levels, including ISO 27001 and DSD Gateway security standards. Macquarie Telecom’s success in the market is the result of delivering to customers a higher level of personal accountable service and a unique set of products and tools that reduce the total cost of telecommunications. THE SALES CHALLENGE Macquarie Telecom spent seven years growing their phone related business, largely through a commodity, feature-based sale. Success in this area and subsequent maturing into a larger organisation allowed expansion into data hosting and mobiles. Despite their growth, customer feedback and focus groups identified that the sales team were not providing a good customer experience. Pushing product and taking little interest in what the customer really needed was not the way Macquarie Telecom wanted to stand out in the telecommunications marketplace! To align with business growth objectives, it was clear that the company needed to develop its sales skills and change their selling model. Chris Greig, Sales Director, was familiar with sales methodologies. He knew that implementing a consultative selling approach would allow the sales team to build long term customer relationships and maximise revenue from the expanded product range. During a review of 29 methodologies from around the world undertaken by the Sales Performance Manager, Ralph Parkhurst, they learned about SPIN® Selling. After meeting with Huthwaite, Macquarie Telecom knew that SPIN® was the methodology to transform their sales operations. THE HUTHWAITE SOLUTION Ralph Parkhurst is responsible for ensuring that the 140 members of the Macquarie Telecom sales team have the tools, knowledge and skills to sell to customers throughout Australia and Singapore. Through a train-the-trainer model, Ralph was accredited in SPIN® by Huthwaite and became an in-house resource to train the sales team. The Macquarie Telecom team initially completed Making Major Sales™, which provided face-to-face selling skills and questioning techniques. Building on these skills the following year, Winning Against the Competition™ covered skills and strategies for complex sales environments. As a reinforcement tool, Ralph developed a playbook of questions that allowed the sales team to dig deep and fully explore the needs of each customer, rather than jumping straight in with solutions. For consistency, as part of their induction, new members of the team are trained in SPIN® Selling. In June each year every seller is observed on a live sales call which aids in constructing a suitable development plan. To ensure ongoing value and use of the skills each line manager delivers two reinforcement sessions per quarter to their team. THE RESULTS The Macquarie Telecom sales team found having a common sales methodology invigorating. The focus of customer conversations changed, moving from a statement-based sell; “we have the best network”, to a question based sell; “how would this product suit your organisation?” Not surprisingly, customers value this approach more than the previous one! Kevin Ryan, National Commercial Manager, feels that as a result of SPIN® Selling’s consultative questioning techniques, the sales force is better at “…identifying a customer’s true need and offering the right solution for each customer’s specific requirements, ensuring there are ongoing benefits from partnering with Macquarie Telecom.” Winning the World Communications award for Best Customer Care in 2008 is evidence of Macquarie Telecom’s commitment to world-class customer service. Skills in SPIN® Selling contribute to the sales team being able to provide this level of service. Macquarie Telecom continues to be a profitable company, listed on the Australian Stock Exchange. Implementing and reinforcing SPIN® Selling has contributed to:
Having the full support of management contributed to the successful outcomes. Ralph confirmed that, “If you understand the SPIN® Selling process and know why you are doing it, it provides a framework to have an engaging conversation that is meaningful for both parties….every time!” ∗ earnings before interest, tax, depreciation and amortisation (EBITDA). Refer to: http://www.macquarietelecom.com/media_room/releases/090225-Macquarie_Telecom_half_year_results.htm ABOUT HUTHWAITE Huthwaite, creator of SPIN® Selling, is the world's premier sales performance improvement organisation. Since 1978, they have helped hundreds of organisations achieve competitive advantage by developing sales skills, sales management and strategy programs, and innovative sales force responses to marketplace demands. Huthwaite's worldwide research, analysing more than 35,000 sales calls over a 12-year period, is regarded as the most important study ever conducted in the sales field, and is summarised in the bestselling business book SPIN® Selling, by Neil Rackham. Ongoing research has led to the publication of articles, white papers, books, sales models and performance improvement solutions that have been proven to be both practical and effective for building world class sales organisations through sustainable performance change. Established in Australia in 2002, Huthwaite Asia Pacific has continued this track record of success. Huthwaite has offices in Sydney, Melbourne and Singapore and a client list of Australia’s most respected companies. |
