The Challenger Sale: A Brief Overview

The Challenger Sale was written by Matthew Dixon and Brent Adamson and hit shelves in late 2011. Their analysis and dissection of the sales rep uncovers what skills, attitude and behaviors it takes to be a high performer. Their model argued a new approach to sales which contrasted with conventional sales wisdom moving the focus away from building relationships or uncovering needs through questioning and guiding the customer to be interested in your solution. This model has since been adopted and implemented by numerous organizations in hopes or taking average performing reps to a top-performing team.

The Five Types of Sales Reps

Hard Workers: Self-motivated, persistent and enthusiastic. Consistently seeks feedback and is interested in personal development.

Relationship Builders: Eager to please. Focused primarily on building and fostering relationships. Does whatever it takes to be accessible to the customer.

Lone Wolf: Confident, self-assured attitude. Follows their instincts, not the rules, Delivers results, but can be difficult to manage.

Reactive Problem Solver: Focused on solving customer issues. Detail oriented. Skilled in post-sale customer service ensuring customer satisfaction and generating new sales.

The Challenger: Leverages their customer knowledge to push for a new perspective. Brings new insights that benefits the customer and the organization.

High Performers in

"Typical" Sales Environment:

  • Hard Workers: 17%
  • Relationship Builder: 7%
  • Lone Wolf: 25%
  • Reactive Problem Solver: 12%
  • Challenger: 39%

High Performers in

"Complex" Sales Environment:

  • Hard Workers: 10%
  • Relationship Builder: 4%
  • Lone Wolf: 25%
  • Reactive Problem Solver: 7%
  • Challenger: 54%

Rep Out-Perform the Rest?

The Challenger rep teaches, tailors and takes control. Roughly 40% of top performers fall into 'The Challenger' category. Challengers outperform because they use their knowledge of the customer and the industry to tailor their message to resonate with the client while increasing customer value each step of the way. Relationship builders tend to focus too much on getting along with customers which does not always transition easily into a complex sale which requires a shift in customer behavior. In order to close a complex deal, sales reps need to be able to get clients to think differently about how they currently operate. Relationship builders offer convenience, but Challengers bring value to the customer by utilizing 'constructive tension' to push customers out of their comfort zones. This approach provides the opportunity to teach the customer something new giving them an advantage against competitors or others in the space.

Teach, Tailor and Take Control

The success of the Challenger sales rep is largely defined by their exemplary ability to do these three things: Teach, Tailor and Take Control

To bring value to a client, and be worth their time, reps need to consistently and effectively bring value. It's a fast-paced world out there and you either change and grow or get beaten out by someone who does. Clients want to hear new ideas or ways you can help improve their business or give them the edge in the marketplace. Make your meeting worth their time. Don't bring that same one-pager supplied by your marketing team - everyone foes that. Prove your value by helping them understand their own situations. This is an opportunity to bring a conversation they aren't likely getting from your competitors.

Creating a pitch that offers widespread organizational support will increase your chances of buy-in. Deliver the right messages to the right people in the organization: HR, Finance, Operations, etc. Tailor your style of communication to your audience. Adapt your messaging to include key details that would be important to people in those areas. Supporting all stakeholders' increases buy-in for a decision that will be made by the overall consensus.

Taking control is about being assertive, not aggressive, in applying what you know about a situation to drive a desired outcome. Challengers are confident they can make a positive impact in their client's business and are passionate about the products or services they offer. They are not afraid to take control of the conversation around pricing and challenge a new way of thinking to solve a problem, but in a respectful way. This self-assured attitude provides the ability to push the client, or prospect, to view their situation as an opportunity for change.

Using Insight to Build Your Pitch

Most of customer loyalty depends on how you sell, and less on pricing then you would think. The key is to provide a unique perspective or insight on the current market. Customer's time is limited. They do not want to spend their time helping reps uncover what they need, which is why solution selling just does not work. Outdated techniques assume the customer knows what they need, but Challengers tell the customer what they need. Here are six components:

The Warmer: Introduce the challenge. Demonstrate empathy while building credibility.

The Reframe: The customer should acknowledge the challenge at this point giving you the opening to link that challenge to a bigger challenge or opportunity that the customer has not anticipated.

Rational Drowning: Make a compelling case that elicits fear, uncertainty, and doubt. Offer information or data that demonstrates the cost of overlooking such an issue and why it is in their best interest to think differently.

Emotional Impact: Make it personal. Create an emotional connection. Describe a scenario with a similar company who has experienced an undesirable outcome. The objective at this step is to get the customer to understand the problem is real.

A New Way: Review what the customer can do to navigate this issue. This is an opportunity for the customer to embrace the solution.

Your Solution: Offer your solution. Why yours is the best option, how it fits with their company and how your tailored solution will deliver better than the competition.

Implementing The Challenger Sales Model

As with effective implementation of any new initiative, the success relies heavily on involvement of frontline sales managers. While being skilled at selling and coaching, managers who lead award winning teams are also reliable, have integrity, listen and most importantly, they are innovative. Innovative managers help their teams navigate the unknown offering tools to finding the best solutions to tackle new problems. Customers deal with sales reps all the time and it's possible that they do not see any true differences between you or your competitors. Your job is to be memorable, not agreeable. Don't list off reasons why you are different, give them reasons why you are valuable.

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