
“The job of selling technology is already more complicated for a number of reasons. Provider salespeople, especially those selling more complex and/or higher-value solutions, already deal with the realities of the new technology buying cycle,” said Todd Berkowitz, research director at Gartner. “Adding the complication of an M&A event to this already disruptive buying cycle shift can make a difficult job even harder, especially if acquisitions are larger or are likely to force salespeople to go out of their comfort zones to be successful.”
After a merger or acquisition, there is a natural desire to get sales organisations integrated as quickly as possible, especially for publicly-traded companies. In theory, the faster the sales forces can sell each other’s solutions, the more quickly revenue goals can be achieved. But in reality, faster does not always mean better, and in some cases, the risks significantly outweigh the benefits. Berkowitz explains that the changing buying cycle and necessary adjustments in selling successfully in this cycle is another reason to take this process slowly. “Time is needed to ensure synchronisation between the buying and selling cycles, and extra time is needed to do this properly when newly acquired solutions are added to the mix. Providers on the acquisition side of the transaction should spend time looking at the sales model of the company they acquired and determine if there are some elements worth adopting into their own sales process. A rushed sales integration makes it much more difficult to take advantage of this opportunity.”- Sales and executive management should reach out directly to the A sellers and ensure their questions are answered, even while there is still some uncertainty;
- Minimise changes to account coverage, compensation and process in the early stages and ensure they are included in the longer-term discussions in these areas; and
- Consider retention bonuses or other compensation to make sure the A Sellers remain on board for the crucial first year.
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