Strategies For All Sizes of Solution Providors To Sell To The SMB Market

These sales strategies are applicable for any size IT SP:

• Don't just sell the product; offer valuable business solutions: SMB managers are not interested in technology for technology's sake, but rather in technology-based solutions that can enhance their businesses.
• Don't ignore strategic selling models: Approaches that take into account the buying behavior, psychographics and technology stance of the customer are not just for selling to large companies.
• Show the money: Justify and demonstrate ROI to help SMBs build a business case for funding approval. Proportionately, the potential financial impact of a solution may be larger in an SMB than it is in a large enterprise.
• Build references and use them: Reference-selling is a powerful sales tool, especially in the SMB market. IT SPs should develop multiple references by target industry and build marketing programs to publicize the sales message of these references.
• Develop and promote a reputation: A vendor's reputation is built on its services and support. SMBs place more emphasis on postsales support than on any other selection criteria.
• Large IT Solution Providers
• Historically, large IT SPs have sold most successfully to other large organizations. Most large IT SPs that have attempted to capture a measurable share of the SMB market soon realize that building a direct sales force large enough to effectively sell into the entire SMB market would be a recruiting nightmare and a cost quagmire. Therefore, large IT SPs should:
• %95 Limit the target market for direct selling: Achieve focus by segmenting the market by region, size and vertical industry. For most large IT vendors, a direct sales strategy should be reserved for targeting the larger midsize businesses (750 to 1,000 employees) that are more receptive to this method and whose contract value merits this effort.
• %95 Target smaller opportunities with channel programs: Leverage some of the thousands of specialized IT SPs (such as VARs) that already have a sales presence and a "trusted advisor" relationship among specific segments of the SMB marketplace. Also, many SMBs consider the proximity of a VAR to be a crucial buying criteria.

• Leverage existing telesales and e-sales efforts: These two sales methods are relatively inexpensive and should be used to enhance sales efforts within the SMB market for both direct and indirect initiatives.
• Small And Midsize IT Solution Providers
• To be successful in the SMB market, small and midsize IT SPs must focus and specialize. These efforts should include:
• Leverage established relationships: Each local market has a certain personality or culture that often dictates buying behaviors. IT SPs' sales efforts can benefit from leveraging this local knowledge.
• Get involved with local groups or associations: Take steps to get involved with organizations in which your clients participate. Activities such as sponsoring local/regional conferences or hosting an executive breakfast series about emerging technology issues have been successful.
• Become the recognized expert: IT SPs should sell expertise and intellectual capital by becoming a featured speaker, by hosting a local radio show on technology, or contributing to local business periodicals about technology. The result will be a larger sales pipeline, less competition and both reduced sales cycles and selling costs.
• What Should You Do Next?
• In conclusion, the SMB marketplace, when taken in aggregate, is similar in total IT market opportunity to the large and enterprise business market. However, the sheer volume and diversity of the companies that comprise the SMB segment make it difficult to build an effective single sales strategy in this space. Therefore, IT SPs must clearly determine which specific segments of the SMB market are best aligned to their competency and corporate strategy, and focus their sales efforts accordingly.