Sales in B2B companies can be very challenging. B2B sales often involve a longer and more complex sales process, as the product or service being sold may be more expensive, and multiple decision-makers may be involved. Additionally, B2B buyers are often more informed and demanding, and they expect a high level of customer service and customization. Finally, B2B companies operate in a highly competitive environment, where differentiation and value proposition are critical to success.
Sales teams in B2B companies must possess the right skills, knowledge, and experience to navigate these challenges and succeed in the market.
Challenges of B2B sales in manufacturing
Some of the challenges of B2B sales apply to manufacturing companies as well, although this type of sales is even more demanding.
In many manufacturing industries, the products can be highly technical and complex. For example, in the aerospace industry, the products are often made up of thousands of parts and require precise engineering and manufacturing processes. In the pharmaceutical industry, the products can be complex drugs with multiple ingredients and complex formulations. Salespeople need to have a deep understanding of the technical aspects of the products they are selling to effectively communicate the benefits to customers.
Sales cycles in manufacturing industries can be longer than in other industries. This is because the sales process may involve multiple decision-makers, and the product may require customization or installation. For example, in the construction industry, the sales process may involve architects, engineers, contractors, and other stakeholders who need to approve the product before it can be used in a building. This can make it challenging for salespeople to manage the sales process and keep customers engaged throughout the process.
Manufacturing is often a global industry, which means that sales teams must compete with other companies from around the world. This can make it challenging to differentiate the company’s products and services from competitors. In addition, manufacturing companies may need to deal with different regulatory requirements in different countries, which can add even more complexity to the sales process.
Furthermore, manufacturing companies often operate in markets where price is a significant factor in the decision-making process. This means that sales teams must be skilled at communicating the value of their products and services while maintaining competitive pricing. For example, in the automotive industry, customers always compare the features and pricing of different cars before making a purchase decision.
Depending on the manufacturing industry, the target market may be limited to a specific geographic area or industry segment. This can make it more challenging to find new customers and grow the business. For example, in semiconductors and electronics industry, the target market may be limited to a few large customers who require complex and expensive products. Companies that supply products to this industry must manufacture specialized components and materials that meet the strict performance and quality standards required by the manufacturers.
The semiconductor and electronics industry are known for being highly technical and constantly evolving, and the products used in this industry must keep pace with these changes. This means that suppliers must regularly invest in research and development to stay ahead of the curve and continue to meet the changing needs of the industry.
Despite these challenges, manufacturing companies can achieve sales success by focusing on building strong relationships with customers, providing excellent customer service, and delivering high-quality products that meet customer needs. It’s also important for sales teams to stay up to date on industry trends and changes in customer needs to stay competitive in the market.
Starting from zero
If a small manufacturing company has no sales staff and has finally realized that they need to hire someone, they should start looking for the right person. A manufacturing company can find the right sales staff member to help them achieve their sales goals and grow their business by following these steps:
- Define the sales role: The first step is to define the sales role and responsibilities. What do you expect from this future employee? This should also include the products or services the company offers, the target market, and the sales goals.
- Create a job description: Based on the defined sales role, create a job description that outlines the responsibilities, qualifications, and skills required for the position. The job opening description should clearly emphasize the benefits of the position. It should also be simple, transparent and unambiguous, while not leaving out any important details.
- Determine compensation: Determine the compensation package for the sales position, including salary, commission, and benefits.
- Post the job opening on relevant channels: on job boards, social media and the company website. It’s also a good idea to ask for referrals from existing employees or industry contacts.
- Screen resumes and applications: Carefully go through the resumes and applications to shortlist candidates who meet the requirements of the job description.
- Conduct Interviews: Interview the shortlisted candidates to assess their fit for the role, their experience, and their qualifications.
- Check references: Verify the qualifications and experience of the top candidates.
- Make the right offer: In the final stage, make an offer to the selected candidate and negotiate compensation and other terms of employment.
- Provide onboarding and training: Once the new sales staff member is hired, provide onboarding and training to help them understand the company’s products and services, sales process, and customer base.
Ideal candidate for a sales role
The person hired for the first sales role in a manufacturing company should possess some qualities and qualifications.
Communication skills play an important factor. The ability to communicate effectively is essential for a sales role. This doesn’t mean that you need to hire a chatterbox — the salesperson should be able to listen actively (!), ask questions, and communicate clearly and persuasively with customers.
Ideally, the person should have some experience in sales, i.e. have a proven track record of achieving sales targets and building customer relationships.
The salesperson should also have a good understanding of the company’s products or services, including their features and benefits. Depending on the nature of the manufacturing business, the salesperson may need to have technical knowledge of the products or industry. This will help them communicate effectively with customers and understand their needs.
The salesperson should also have the ability to build strong relationships with customers, be able to empathize with their needs, and be committed to providing excellent customer service. Regarding education, a degree is not always required, but a background in business development, sales or a related field can be helpful.
The salesperson should be persistent and resilient in pursuing leads and closing deals. They should be capable of handling rejection and pushing forward to achieve sales targets. They should be able to adapt to changes in the market, customer needs, and sales strategies. Finally, the salesperson should have a positive attitude, be motivated, and be passionate about the company’s products and services.
Overall, the first person hired for a sales role in a manufacturing company should have a combination of experience, skills, and personal qualities that will enable them to succeed in building and maintaining customer relationships and achieving sales targets.
A lot of the abovementioned skills and qualities can be learned, particularly through onboarding, sales training, and simply familiarizing themselves with the products. If a person seems like a good fit, they should not be dismissed based on lacking a few skills which can be learned on-the-go.
If all goes well, the next step is hiring another salesperson, until you have a team in place which can operate independently.
Creating a perfect sales team for a manufacturing company
Ideally, the sales team for manufacturing companies consists of the following roles and responsibilities:
- Sales Manager: Manager is responsible for setting sales targets, developing sales strategies, and overseeing the overall performance of the sales team.
- Sales Representatives: They are responsible for selling the company’s products to customers. They should have excellent communication skills, a good understanding of the company’s products, and the ability to negotiate and close deals.
- Technical Sales Representatives: They work closely with the sales representatives and are responsible for providing technical support to customers. They should have a good understanding of the technical aspects of the company’s products and be able to explain them to customers.
- Customer Service Representatives: They are responsible for providing after-sales support to customers. They should have excellent communication skills, be able to handle customer complaints and queries, and ensure customer satisfaction.
- Sales Operations Manager: They are responsible for managing the sales process, from lead generation to closing deals. They should have excellent project management skills, be able to analyze sales data and metrics, and make recommendations to improve sales performance.
- Sales Support Staff: Sales support staff includes administrative assistants, data entry clerks, and other support staff who provide support to the sales team. They should have excellent organizational skills, be able to manage sales data and documents, and provide administrative support to the sales team.
Generally, a perfect sales team for a manufacturing company should have a good mix of sales and technical expertise, excellent communication and customer service skills, and the ability to work collaboratively to achieve sales targets.
Alongside a sales team, one should not forget about marketing activities. Marketing and sales should tightly cooperate and exchange information on a regular basis.
Marketing works as generator of leads which then go directly to the sales team. Marketing department or an outside marketing agency should have a good understand of the market and the competition and be able to develop quality marketing materials and campaigns.
Having a good sales team is extremely important for manufacturing companies. Offering excellent pre- and post-sales service is crucial for sustainable business growth, and one of the ways a company can stand out from its competitors.
There are many examples where a director of a small company is used to doing everything himself, it’s hard to prove that hiring sales staff will improve the company revenue, as well as possibilities of growth and scalability.
But every company that wishes to develop its business further needs someone who is dedicated exclusively to sales – actively searching for new sales opportunities, making offers, maintaining relationships with customers, solving complaints, and other required activities.
Usually, the hardest part is motivating the employees, which will be a topic of one of our upcoming articles, so stay tuned.