Success Story - "Temporary Assignment to Develop a Complex Sales Process and Test"
Texas Telecom/Software/eCommerce Startup
Company Situation and Problem
A startup company selling software to apartment management, broadband access to residents, advertising on their TV portals to local merchants, and e-commerce partnerships to major national firms. The key challenge was to coordinate four different simultaneous "sales" to four different audiences in the most effective and efficient way. Acting as Interim VP Sales, a Paladin Partner went on site to conduct research, develop a sales strategy, hire and train the initial sales management personnel, establish sales processes, and conduct a live market test to prove the concept and profitability, preparatory to securing funding for national roll-out.
Paladin Actions & Recommendations
A plan was developed that divided the sales process into logical phases. First was selling the management software and revenue concept to Apartment Managers. Second, each apartment complex was targeted for a 30-day sales blitz, during which two sales people would sign up residents for broadband access through their TV set or PC. Simultaneously, a second team of two people would sell advertising on the resident’s TV portal to local retailers. Then the "new account" blitz teams would move on to another geography, replaced by a single "account manager" who would continue to sell and service the signed and unsigned residents and merchants. Penetration models, pricing models, sales materials, promotions, and sales targets were also developed at this stage. National eCommerce agreements were pursued separately.
- A small team was hired to test the product and plan. Test sites were selected and over 60 days product modifications, pricing, and sales process refinements were tested and implemented.
- The initial plan was substantially verified, resident subscriber rates exceeded 75% of connected apartments and 35% penetration of high speed internet (rates far in excess of general broadband penetration levels).
- Over 150 local merchant participated, including over 100 subscribing to special, higher margin offers.
The revenue model was verified, and short-term profitability was demonstrated.