Hospitality Amenities Provider

Situation and Challenge

  • The company is the market leader in the upscale segment but growth was slowing in the face of increased competition from new entrants and improved product portfolios from existing players
  • Management believed the growth slowdown was driven by a decrease in customer acquisition and was the result of a go-to-market structure that had not kept pace with market changes
  • Blue Ridge was asked to evaluate the current go-to-market structure and identify improvements for better alignment with accounts and opportunities and to improve the growth rate

Approach

  • Used our 100 Behaviors of High Performing Revenue Engines™ approach to reviewed the current go-to-market structure and processes to identify current strengths and weaknesses
  • Performed detailed data probe of internal customer data and sales force activity data to diagnose and identify issues. Data analyzed included:
    • Account-level revenue decomposition analysis
    • Territory performance analysis by sales rep
    • Penetration market share analysis
    • Compensation/performance motivation index analysis
  • Conducted detailed interviews using our The Nine Voices of the Market® methodology with existing and lost customers to understand external perceptions and perspectives of the company’s go-to-market approach
  • Analyzed findings to identify improvements in sales force structure, sales compensation practices in the new structure, and the relevant metrics to manage the varied functions across the sales force

Impact

  • Restructuring the sales teams helped address the significant churn found in the largest customer accounts that contributed to the slow growth
    • Integrated account teams for the largest, most complex accounts
    • Defined a stronger account management function focused on retention of accounts
    • Formed a single department with responsibility for the full book of business (hunting and farming) within the key channel
    • Created Sales Management roles to drive a culture of coaching and performance management
  • Revising the compensation plans provided proper incentives for top performers and better alignment with year on year growth
  • A new set of performance and predictive behavior metrics for new business hunters and existing account management provided insight in to key drivers and allowed timely monitoring and actions

Current Structure Evaluation

Proposed Structure

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