In this series, we ask tech executives to describe the why and how of their solution. We call it Sales Tech Simplified.
Nancy: Why does the industry need your solution?
Russ: Enterprises today are focused on profitable growth. It is the primary objective for CEO’s and for Sales and Marketing executives. As a means to drive that profitable growth, companies are implementing digital transformation projects to more effectively engage with their customers and build stronger relationships. Model N Revenue Cloud solutions enable companies to turn those “relationships into revenues,” by helping them successfully deliver a digital transformation that drives sales growth across the entire life cycle of their engagement with those customers.
For example, Model N provides solutions for Finance and Product teams to maximize revenues by designing more effective pricing and discount programs, and analytical solutions to develop new product launch strategies that maximize sales in a global market. For Sales teams, Model N solutions streamline the Quote to Cash process with smart selling solutions like CPQ and Contract Lifecycle Management, designed to shorten sales cycles and maximize deal value. Model N provides solutions for Finance and Channel Management to create, implement and manage channel incentive programs like rebates and MDF, and Channel Data Management solutions that provide clear visibility into sales out and sell through data, all working together to better align manufacturers and their channels partners to maximize revenues.
By aligning Sales, Services, Channels, Legal, Finance, Marketing and Products across the company, enterprises have an unique ability to deliver a differentiated customer experience, increase operational efficiency and deliver the expected profitable growth.
The Model N solution has three characteristics that make it ideal for enterprises:
- Robust and interoperable
- High performance and scalable
Typically, companies turn to Model N with a specific focus, such as Sales, as a starting point, but are confident knowing that they can continue to expand their use of Revenue Cloud solutions to other functions and organizations.
Nancy: Why should it be prioritized above other options?
Russ: Research is showing that B2B buyer loyalty isn’t primarily driven by pricing, brand or the product. CEB/Gartner research shows that 53% of customer loyalty is driven by the sales experience. And, today’s B2B buyers are very intolerant of a poor experience. To be successful, companies must deliver a sales experience that is equal to or better than what buyers expect or risk getting quickly left behind. So focusing on delivering a superior, tailored customer experience drives loyalty which delivers sustainable results – ultimately making it an investment that should be prioritized over other options.
Nancy: What are the symptoms that indicate an organization would benefit from your solution?
Russ: Model N recently conducted some research jointly with Selling Power targeting the Sales teams of both enterprise and SMB companies. We found that the top 3 activities negatively impacting a sales person’s selling time includes both preparing proposals and finding accurate pricing and configuration information. Furthermore, for respondents stating that sales people spent 60% or less of their time with customers, tracking internal approvals on quotes and contracts was tied for third place.
Companies that have these issues, as well as those struggling to deliver profitable revenue growth, facing stagnant win rates or experiencing profit leakages due to inadequate pricing practices or trying to manage rebate and MDF programs with archaic systems and process would benefit from talking to Model N.
Nancy: Where does your solution fit in the Hierarchy of Revenue Needs™?
Russ: The Model N Revenue Cloud solutions fit in all layers of the Hierarchy of Revenue Needs. The easiest way to think of fit for Model N solutions is to think about the points of revenue generation. Model N solutions are often used in the quoting and contracting process to shorten sales cycles, enable sales to be more effective through smart solution selling, and maximizing revenues with up-sell and cross-sell recommendations.
This would be consistent with your “Closing Deals” and “Repeating & Up/Cross selling” layers, although the Model N Revenue Cloud also helps with faster sales ramp-up and enabling more effective sales strategies through guided selling. We’ve seen that our customers can strengthen their ability to “Communicate Value” and their ability to “On-board” sales people. Additionally, Model N’s Intelligence solutions deliver analytical insights that enable the sales team to identify who to sell to and to enhance the productivity of each engagement with prospects. These insights are also used to quickly identify and share best practices across the team [Developing and Coaching] and driving more accurate and timely reporting, forecasting and measurement of performance.
Nancy: How mature is a typical organization’s sales stack before adding your technology?
Russ: As you point out in your white paper explaining the Hierarchy of Revenue Needs, companies need to look closely at their processes to determine where to make improvements that offer the highest impact.
Aligning with Smart Selling Tools hierarchy, our customers have clearly identified issues in their execution to purchase processes and are often “white belts” as you call them. They are replacing spreadsheets or multiple point solutions. Almost always, they’ve made the investments in a CRM for effective lead and opportunity management, but Model N CPQ, CLM or Rebates solutions are a top 5 consideration for these companies.
Nancy: In what ways is your solution complementary to others that might be in someone’s sales stack now or in the future?
Russ: Model N Revenue Cloud solutions are very easy to implement and simple for sales people to adopt and use. Model N solutions are very tightly integrated with Salesforce solutions and other Salesforce-native applications. In addition, Model N Revenue Cloud is specifically designed for companies with SAP Financials, Manufacturing and Order Management solutions.
Model N bridges the worlds of Salesforce and SAP and enables Sales to leverage critical data and business logic such as pricing and product configuration from SAP right “out of the box,” while ensuring that downstream organizations such as Finance and Operations can easily manage orders, credit and collections, returns, accruals, payables and reporting, transparently based on the data from Model N Revenue Cloud.
Nancy: What are some of the challenges your solution solves for Marketing/Sales?
Russ: Model N Revenue Cloud solutions include CPQ, Contract Lifecycle Management, Rebate and MDF Management, Channel Data Management, Global Pricing Management and Intelligence. Typically used by Sales, Channel Managers, Finance, Product Marketing and Legal, Model N solutions maximize revenues by:
- Streamlining the quote to contract to cash process to shorten sales cycles and drive more selling time
- Guiding sales to more effectively match solutions to customer needs, while maximizing deal value
- Building loyalty with channel partners, and aligning partners with company sales and margin goals
- Enabling companies to maximize revenues with more effective pricing, discount and incentives programs
Nancy: What are some good resources if someone wanted to learn what questions to ask, what others are doing, or purchase considerations?
Russ: The Model N web site – www.modeln.com – has a searchable resources section with a series of videos, demos, whitepapers, on-demand webinars and customer stories. AND if you’re heading to Dreamforce this week, be sure to stop by our booth 1804 for a chance to win an Apple Watch or Beats headphones! Schedule your meeting here: http://buff.ly/2y2T3bo