"Proof Of Concept"
There are two parts to every business. You already have a lot of blood, sweat and tears poured into developing a new technology. Now, you have to sell it. But selling new technology is often easier than it sounds. You need a way to change how customers think about technology and convince them to embrace your new product. Installing a proof of concept at a customer site is a tool commonly used to remove obstacles to the sales process and help the customer gain the confidence he needs to buy the product.
Over the years, I have demonstrated consistent success with proof of concepts with a variety of technologies. Additionally, I have trained sales engineers who struggle and turned them into consistent performers. The key to this success is incorporating these twelve steps into every proof of concept.
I have broken down these twelve steps into three articles. The first article shows you how to establish a framework for consistently implementing proof of concepts for your customer. The second article will discuss how to properly set the stage for your proof of concept. And the third article discusses how to put on a show that gives you the best chances for advancing the sales process.
Step 1: Understand the Goals
There are two ways to look at the goals associated with any proof of concept. Your goals are to educate the customer and eliminate any objections associated with your solution that might block a sale. The customer needs to determine two things. First, your product has to prove that it can deliver the savings that your sales team promised. Then, you have to demonstrate that your product works in a manner that meets their operational guidelines.
Step 2: Limit the Scope
Step 2 compares our goals with our solution. What we want to do is define a bare bones installation of our solution that allows you to meet everybody’s goals. You want to know exactly the type of hardware and software you will require. Additionally, you need to understand what other components you need in order to have a successful installation.
Step 3: Develop a Standard Routine
When you get in front of your customer, you will only have a few hours to impart as much information as you can to your customer. You need to develop a demonstration and training routine that will quickly educate them and answer the most common questions. This routine needs to be more than just a training course. This is your opportunity to tell your customers how you want them to use your solution and drop a lot of hints about the functionality you want them to see.
When the time comes to deliver this presentation, you do not want to sound like you are reading from cue cards. You need to come across very natural. It should sound relaxed, like you are having a casual conversation. This will help get your customers to talk with you when you are onsite.
All of these steps take place before you ever make contact with a customer. So, you can take your time to get it right. The next article of this series will discuss how to take these steps and prepare for going onsite to perform a proof of concept for a customer.
Step 4: Identify Unique Customer Challenges
Before a proof of concept, you have probably given someone at the customer site a demonstration. But demonstrations are usually brief and customers do not always fully understand your technology yet. So, in this step, you want to work with your customer to identify any misconceptions they have about your solution and goals they need to accomplish that are outside of your standard proof of concept.
Step 5: Properly Set Expectations
Setting expectations is an important step with a proof of concept. Whether or not you had a successful proof of concept is often subject to the customer’s perception of whether or not you succeeded. Clearly outline for them your standard process and how you plan to address their unique customer challenges.
A lot of people feel like they can never say no to a customer. This sets a tone in the customer relationship making you completely reactionary. A lot of companies will view this as a sign of hunger and desperation. This
sentiment can even carry forward into your contract negotiations and seldom works in your favor.
To avoid this, I have always assumed the role of a teacher. I never start by asking what they want to see. I always start by first explaining to them what they need to see and how they can get the most out of their proof of concept. Then, I start the conversation by asking them if there are any elements I failed to address or concerns they need me to address. Usually, there are only a few small things to add.
Step 6: Understand the Customer’s Environment
In Step 2, you figured out what hardware, software and networking components you will require to successfully implement your proof of concept. So, you need to demonstrate to the customer how you are going to use or replicate these components in your proof of concept. Get all the details you can. Do not assume they are using standard components. You need as much background information you can obtain in order to ensure you know how to work with these components before you go onsite.
Most people forget that the customer’s environment is more than software and servers. It is also people. Proof of concepts are often done while working with business owners. But in order to access infrastructure components like Active Directory, DNS, DHCP, a firewall, or obtaining a server, the business owner needs to work with other teams in the company. You need to identify who you will need to work with and who needs to be present when you arrive onsite to install the proof of concept.
Step 7: Prepare for your Onsite Visit
Now you set a date. Besides buying plane tickets and making hotel reservations, to implement a successful proof of concept, you need to make sure you have some additional resources in your back pocket. For example, you want to make sure you have not one, but two copies of each piece of software you will require. Pack a 1Gb USB thumb drive just in case you need to transfer files from one machine to another. And finally, line up an expert troubleshooter at the home office who you can call in the event something does not go as planned.
Step 8: The Preparatory Phone Call
Before you get on a plane to visit your customer, you want to schedule a call with your customer. The goal is to simply determine if the customer has everything in place that they promised. Is the hardware you asked for ready? Are all the people you require to perform your installation going to be available? If everything is not in place, then you can judge if you can still get on the plane and make it work or if you need to reschedule.
A lot of times, a customer will promise a 3Ghz processor in a computer. But when you show up, you learned in got taken for another project. But they have machine with a 1.5Ghz processor that should do fine. In this case, your solution might work, but it probably is not going to give a stellar performance. If they are going to change the rules, then make sure you are properly resetting their expectations. They can either get the hardware previously agreed upon or performance is not going to be part of the success criteria for the proof of concept. I have still managed to have successful proofs of concepts installed on inferior equipment by resetting customer expectations. But, you must decide if you are comfortable proceeding with this option.
Assuming everything is in place, you are going to get on the plane. When you get there, you are going to want to make your solution shine in front of the customer and come back with a raving review. The next article in this series will focus on putting on a show in such a way that it will drive the customer closer to a sale.
Step 9: Run through a checklist
When you first arrive at the customer’s site, you need to get organized in order to make the most of the day. I recommend running through the same checklist you went through over the phone in Step 8. This will help you learn where things are and give you a way to introduce yourself to some of the other people who will be assisting you.
The other reason you want to run through a checklist is to identify any surprises the customer is going to throw at you. Yes, usually there are one or two things that are not what the customer told you over the phone. You need to identify things that are going to make your installation harder and come up with a plan for addressing them before you begin.
Step 10: Spend Quality Time with the Customer
Most proof of concept installations that I did took about six hours to complete. Much of that time was spent watching a progress bar go from zero to one hundred percent while the software installs. This is a great time to get to know your customer. You can install the proof of concept with your eyes closed. But talking with the IT guys you are working with and taking them to lunch can help you with your proof of concept and give you valuable information you need to close the sale.
When installing proof of concepts, I have learned about concerns that they did not raise over the phone. This allowed me to make some adjustments from my original plan to address these issues. I have learned about what competitive solutions they are looking at and how they feel about them. It was a great opportunity to tell them why my solution was better and why the competitors would fail.
Through this whole process, the customer is sizing up you and your company. They look at four things to determine how they want to continue working with you. They gain respect for you from the conversations you have had with them and how knowledgeable you are. Your organizational skills and preparation will show that your company truly understands the solution and knows what it takes to be successful working with that solution. Finally, your installation and training gave them the confidence in your solution they will need to continue with their product evaluation and support a positive review. When it is all said and done, you are well on your way to closing that sale.
