mb&l consultores
mb&l consultores

What else must be evaluated in the subscription model?

The subscription model for HW, SW, and Services is here to stay, and we've already learned to sell it (with quite a bit of 'pressure' to do so...). But let's be honest, it wasn't in the DNA of the Sellers. We were used to and comfortable with the 'I sell it to you, I deliver it, and you make it work whenever you want' model. We close, we declare the closure, we celebrate, and then move on to the next one. Yes, yes, I know, it's not exactly like that... We also ensure it's implemented, of course... But in general, we get paid to sell and that's what we do.

What changes with the subscription model? Apparently, nothing. We sell, the Client implements, our Project Manager follows the steps of the Extended Cycle (migrate, adopt, extend, renew) and that’s it. Nothing changes… or does it?

When we sold HW and/or SW, we simply delivered, the Client signed for receipt, and that was the end of our Sales task. The Client’s capabilities to implement the solution were not part of the commercial process… But now, that becomes a problem, right there. We contact, identify the opportunity, strictly follow the commercial process, and sell. But it turns out the Client delays in implementing… Let’s say about 8 months… Obviously, the migration and testing of the new solution takes additional time… and the same for adoption… let’s say all this takes another 3 months… And when the Client has been effectively using it for a month, we come with the renewal… Has this never happened to you?

Perhaps in the Qualification stage, the most important part of the commercial process, we should also evaluate the Client’s implementation capabilities, because they might not have the necessary resources. I’m talking about trained human resources, the required technological capacity, even the physical space for the people who will work… This might take a few weeks, or maybe months!

One must ask, do we evaluate the Client’s capabilities for these extended stages of the Sale? They are uncomfortable questions, but necessary. Do we ask them?

If you want to know more about the Extended Cycle and Opportunity Qualification, consult us, we are more than happy to discuss the topic.

Visit us at mbyl.net, and let’s set up a meeting.

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