There are four key challenges facing modern professional services sales teams. Here we explore each of these challenges.
Firms Can’t Wait For Clients
Technology creates a leveling effect by reducing the barriers to entry. Therefore, smaller, more agile newcomers are entering the professional services industry. With this breadth of choices, customers are weighing more options.
Professional service firms are learning that they can no longer rely on a passive sales strategy and wait for customers to walk through the door. As more firms awaken to this reality their efforts to maintain and grow market share increase leading to even more competition.
Automation Presents New Challenges
Research from Wharton shows that in the last 40 years approximately one-third of the companies holding a spot as a Fortune 1000 firm have disappeared from the list. Moreover, projections estimate that just one-third of today’s major corporations will survive over the next 25 years.
In short, the future belongs to those who adapt. The cause of this attrition is, in large part, due to automation.
Professions like accounting, programming and even legal services, once thought to be immune to automation, are becoming increasingly susceptible to digitization. Sellers must demonstrate how their solutions can compete.
Base Retention Doesn’t Spark Reinvention
Professional services firms often agree that keeping a customer is far easier than earning a new one. For this reason, businesses often focus their resources on account management. Meanwhile, new customers, necessary for long-term growth, get less attention.
Competitors seize this opportunity. Without a reach for new customers, professional service firms lose market share, and eventually, they lose relevancy.
The Emergence of Outcome-Based Solutions
More buyers are attempting to develop solutions without outside help. This trend stems from tightening budgets, increasingly risk-averse stakeholders and waning trust in sellers.
These factors have given rise to outcome-based engagements in which buyers demand guaranteed results. With such intensified focus on results, sellers face the challenge of articulating the effectiveness of their solutions.