RollsRoyce Energy Systems

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Rolls-Royce Energy Systems
Sales Marketing Alignment A Case Study

• Robert Wallace
• Sales Marketing Director, Customer Services
  Business
• Rolls-Royce Energy Systems

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Rolls-Royce Overview
Rolls-Royce, is a global business, providing and
supplying integrated power systems for use on
land, at sea and in the air. The Group has
established a strong position in - civil
aerospace, defence aerospace, marine and energy
markets. The Rolls-Royce Group has a broad
customer base including more than 600 airlines,
4,000 corporate and utility aircraft and
helicopter operators, 160 armed forces, more than
2,000 marine customers, and energy customers in
nearly 120 countries.
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Sales Misalignment

• Problem
• Our initial long term service agreement (LTSA)
  offerings showed a weak understanding of Customer
  needs, particularly around balancing scope and
  price
• This often resulted in not being price
  competitive or leaving money on the table, new
  equipment sale losses, and waste of sales
  resources
• Examples
• Rolls-Royce offered vastly differing service
  offerings than competitors
• Customers advised that our LTSA pricing was
  significantly higher than our competition
• Other times, data indicated that our LTSA pricing
  was significantly lower than our competitors
• And we often went through endless iterations to
  arrive at suitable scope and
  terms with our Customers

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Understand Customer and Sales Needs

• Project Plan
• 32 customer interviews were conducted as part of
  the research process, with a distribution of
  different customer types for customer
  segmentation
• Our approach included both open ended phone
  interviews and a quantitative conjoint survey
• Sales interviews and surveys
• All used to design new service offering,
  strategies, and tools

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What Sales Told Us

• Strong support for this initiative
• Positive attitude towards selling LTSAs
• Need for crisp value propositions, tailored to
  specific market segments
• Concern with level of support they will receive
  from marketing
• Focus on lifetime value of Customers
• Need for training and tools to support their
  sales efforts

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Deploying Training and Tools

• We deployed tools and training to support the key
  first 2 steps of the sales process

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Summary

• Use Marketing to Align to you Sales Force by
• Understanding the major issues your sales force
  is facing
• Backup it up with marketing analytics
• Quantify the results of any misalignment to gain
  management buy in
• Establish the vision and benefits to the business
  and invest in a solution
• In this case, doubling the business in 5 years
  was the vision
• The benefit was increased new equipment and LTSA
  sales
• The investment was getting resources to do the
  market research and an outsiders perspective
• Involve your Customers and your Sales team!
• Develop a product or service offering strategy
  that can be easily sold, but which is flexible
  enough to meet your different customer segment
  needs
• Deploy the training and tools to make sure your
  sales execution is a success