{"id":753,"date":"2019-07-13T14:07:46","date_gmt":"2019-07-13T14:07:46","guid":{"rendered":"https:\/\/sellingsherpa.com\/?p=753"},"modified":"2019-07-13T14:07:54","modified_gmt":"2019-07-13T14:07:54","slug":"the-new-power-base-selling-book-summary","status":"publish","type":"post","link":"https:\/\/sellingsherpa.com\/index.php\/2019\/07\/13\/the-new-power-base-selling-book-summary\/","title":{"rendered":"The New Power Base Selling (Book Summary)"},"content":{"rendered":"<div class=\"nolwrap\">\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.amazon.com\/dp\/B007OWRCJ4\">The New Power\nBase Selling<\/a> by Jim Holden and Ryan Kubacki<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Overall Review<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The Good<ul><li>Provides a good deep dive into how to identify\nand engage people with high organizational influence, independent of authority\u201d<\/li><\/ul><ul><li>Great reminder to provide unexpected value <em>throughout<\/em>\nthe sales process<\/li><\/ul><ul><li>There was no self-promotion<\/li><\/ul><\/li><li>The Bad<ul><li>With all due respect to the authors for their insight\nand effort, I found the book a tedious read due to overly drawn out hypothetical\nexamples.&nbsp; <\/li><\/ul><ul><li>As with most other books written by sales\ntraining firms, the authors rebrand familiar concepts and present them as new. &nbsp;For example: \u201cpower base\u201d = authority; \u201cfoxes\u201d\n= champions; \u201cpolitical value\u201d = personal value; etc.<\/li><\/ul><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Part 1: Sales as a Management Science<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 1 Seeing the Invisible<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><em>The best sellers win because how they sell\nincreases the value of what they sell.<\/em><\/li><li>Without insight into politics and competitors,\nit is almost impossible to get a sense of the larger issues that will determine\nyour ability to improve your customer\u2019s business, deepen loyalty, and win deals.<\/li><li>From the customer perspective, a seller must\nevolve from the role of an information provider who shows up with extensive\nPowerPoint presentations, along with an eagerness to conduct product\ndemonstrations, to that of a Customer Advisor.<\/li><li>The best sellers:<ul><li>1. Start with a focus on customer politics by\nidentifying influence and going beyond the tangible authority of organization\ncharts to know who to call on.<\/li><\/ul><ul><li>2. Provide unexpected customer value that goes\nbeyond the stated and expected value associated with a sales opportunity to\nsignificantly advance a customer\u2019s business, while differentiating [from the\ncompetition]<\/li><\/ul><ul><li>3. Formulate a sales strategy that leverages the\nlargely invisible elements of influence, unexpected customer value, and sales\ncycle timing, along with Competitive Differentiation and vulnerability, to\nbuild on the more traditional sources of competitive advantage and decisively\nwin business.<\/li><\/ul><\/li><li>This book presents how to see and manage these\nthree invisible intangibles \u2014 politics, unexpected value, and strategy<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 2 The MBA of Selling<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The Holden Four Stage Model<ul><li>Stage I: Emerging Sellers \u2013 focused on products\n&amp; services<\/li><\/ul><ul><li>Stage II: Solution Sellers \u2013 Stage I plus value\npositioning<\/li><\/ul><ul><li>Stage III: Compete Sellers \u2013 Stage II plus adept\nat building political support<\/li><\/ul><ul><li>Stage IV: Customer Advisors \u2013 Stage III plus broader\ndeal strategy<\/li><\/ul><\/li><li>Stage IV Customer Advisors achieve the pinnacle\nalong five dimensions:<ul><li>Intent &#8211; Customer Advisors work hard to\nestablish themselves as thought leaders with their customers, often providing\nUnexpected Value that earns them insider status.<\/li><\/ul><ul><li>Focus &#8211; <em>Look beyond the product, customer,\nand competition to center in on the customer\u2019s customer and [the customers\u2019]\ncompetition.<\/em><\/li><\/ul><ul><li>Relationship- The two companies depend on each\nother and often share a common set of values that produce a degree of cultural\nfit.<\/li><\/ul><ul><li>Value &#8211; Provide value at all levels = product\noptions &amp; information, solution selling based on operational aspects &amp;\nbusiness value, and political\/cultural contribution.<\/li><\/ul><ul><li>Knowledge &#8211; Discern what information is\nimportant to developing insight, as well as how they can effectively use and\napply that insight. This is wisdom.<\/li><\/ul><\/li><li>The 3 most critical competencies are:<ul><li>Political Advantage<\/li><\/ul><ul><li>Value Creation<\/li><\/ul><ul><li>Competitive Differentiation<\/li><\/ul><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Part 2: Politics<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 3 Influence and Authority<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>You must gain insight into how the relationship\nbetween influence and authority shapes the customer organization\u2019s decision-making\nprocess.<\/li><li>An organization\u2019s political structure is its\nPower Base, and the people in the Power Base are those who have political\nstrength and influence.<\/li><li>It is a mistake to assume that those with\nauthority can automatically influence a decision, and it is an equally serious\nerror to believe that people who lack authority have no influence.<\/li><li>Determining who has influence is not easy.<\/li><li>Degrees of Influence<ul><li>1. Foxes are the center of influence within the\nPower Base. &nbsp;Foxes work behind the scenes\nto prewire or shape decisions, often long before they are made.<\/li><\/ul><ul><li>2. The Power Base is a network of individuals\nwithin an organization who all have one thing in common: influence.<\/li><\/ul><ul><li>3. Those outside of the Power Base are\nindividuals without influence as it relates to your sales opportunity.<\/li><\/ul><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 4 Foxes The Heart of the Power Base<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Foxes are high-integrity individuals who place\ntheir organization first.<\/li><li>Never mistake style for substance.<\/li><li>Foxes drive collaboration within organizations\nthrough direct and indirect influence<\/li><li>Qualities that typify Foxes:<ul><li>Integrity<\/li><\/ul><ul><li>People-Oriented<\/li><\/ul><ul><li>Calculated risk takers<\/li><\/ul><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 5 Power Base Types and Implications<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Organizations have multiple Power Bases \u2014\nbecause organizations have multiple Foxes.<\/li><li>it is absolutely crucial not to make general\nassumptions about who is in or out of a Power Base.<\/li><li>Selling to someone outside of the Power Base is\nlike driving in a heavy fog without knowing it. Things seem to look okay.\nYou\u2019re moving ahead and you know that the sales campaign is progressing, but in\nwhat direction?<\/li><li>Types of Power Bases:<ul><li>Enterprise Power Base = the group that sets the\nentire organization\u2019s direction and priorities, while also shaping its culture.<\/li><\/ul><ul><li>Business Unit Power Base = each distinct unit or\nteam of people will have its own Fox and, therefore, its own Power Base.<\/li><\/ul><ul><li>Situational Power Base = dynamic Power Base pulled\ntogether by a Fox; Situational Power Bases often extend horizontally across\nmany organizational lines, crossing from one department to another.<\/li><\/ul><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 6 Fox Hunting and Power Base Mapping<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Many types of change shine a light on power\nstructures<ul><li>New strategy announcements or significant\nchanges in company or departmental direction<\/li><\/ul><ul><li>Reorganizations<\/li><\/ul><ul><li>Promotions and demotions<\/li><\/ul><ul><li>Key new hires<\/li><\/ul><ul><li>Mergers and acquisitions<\/li><\/ul><ul><li>Shifts in budget allocation<\/li><\/ul><ul><li>New product introductions<\/li><\/ul><ul><li>Company awards and special recognition<\/li><\/ul><ul><li>External communications<\/li><\/ul><\/li><li>Rather than asking, \u201cWhat are your goals?\u201c a Fox-Hunting\nquestion would be, \u201cGiven that your CEO announced that customer privacy is a\ntop priority, how will that impact your goals to grow your online advertising\nbusiness?\u201d<\/li><li>Generally, the most effective types of \u201chow\u201c questions\nsolicit the person\u2019s perspective on connecting a cause-and-effect relationship.\nFor example, \u201cHow does the recent decision to broaden your business model to\ninclude services impact your goal of 10 percent market share gain in China?\u201d<\/li><li>Foxes are often shown subtle acknowledgments of\nrespect by others.<\/li><li>Foxes have a history of exerting influence outside\nof their department, division, or business unit.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 7 Gaining Political Advantage<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Three personal motivators that add value to\nPower Base members:<ul><li>Upward mobility: Your product worked well, and\nits success launched Ray on a path to success. This initial opportunity to\nprovide value and be recognized for it then led to other opportunities and\nother successes<\/li><\/ul><ul><li>Balanced lifestyle<\/li><\/ul><ul><li>Winning Power Struggles<\/li><\/ul><\/li><li>Stage IV Customer Advisors have a process and\nmethod for characterizing customer relationships.<ul><li>The Ally<\/li><\/ul><ul><li>The Supporter: Some Supporters are passive,\nsharing information with you and coaching you along the way. Others are active,\npublicly endorsing your solution and willing to take on risk to help you\nsucceed<\/li><\/ul><ul><li>The Non-Supporter is neutral<\/li><\/ul><ul><li>The Opponent<\/li><\/ul><ul><li>The Competitor Supporter or Ally<\/li><\/ul><\/li><li>Relative superiority is a function of Political\nAdvantage, which is determined by the types of relationships that you have with\npeople and how much power or influence those individuals possess.<\/li><li>Build your Support Base Map early in the sales\ncycle, as it will shape the trajectory of your sales campaign<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Part 3: Unexpected Value<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 8 Moving Up the Sales Value Chain<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>To identify your competitive differentiation:<ul><li>Make a list of the most significant reasons why\ncustomers buy from your company.<\/li><\/ul><ul><li>Now, look at the list you just created, crossing\nout anything that your competition could also say is a reason that customers\nwould buy from them. For example, if you wrote down that you\u2019re \u201creliable, \u201cbut\nyour competitor can also claim reliability, cross it out. If you included a\ncertain capability that your competition also has, then cross it out. <\/li><\/ul><ul><li>Next, go back and look at the original list of\nreasons. Circle the ones that you know your customer\u2019s Situational Power Base\nrecognizes and accepts.<\/li><\/ul><\/li><li>Four stages or types of value that constitute\nthe full Sales Value Chain.<ul><li>Product being sold<\/li><\/ul><ul><li>Business value, expressed in terms of value and\ntotal cost of ownership<\/li><\/ul><ul><li>Political value, generally expressed in terms of\nleveraging the Power Base Principle and advancing an individual\u2019s Personal\nMotivator.<\/li><\/ul><ul><li>Cultural value, which is often referred to in\nterms of accepted business norms or behavior within an organization.<\/li><\/ul><\/li><li>Supporters and Allies are established most\nquickly in any sales campaign when you provide them with Unexpected Value<\/li><li><em>Stage IV Customer Advisors know that by\ngenerating business and political value in a manner that is consistent with an\norganization\u2019s norms, values, and beliefs, they can maximize the total value\nperception.<\/em><\/li><li>You must personify whatever defines the\ncustomer\u2019s culture in all that you do \u2014 the more, the better. The more you\nvisibly align with and support it, the more a customer will value your solution.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 9 Building Expressions of Customer Value<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The E-M-O Model of Value Relevance<ul><li>Executive Value: When considering or approving a\nparticular supplier, executives base their view on how a solution will affect\nthe fundamentals of the business: revenue, profit, market share, customer\nsatisfaction, strategic investments, earnings per share, and so on. Executives\nconsider how a solution will better position them in the future relative to the\nbusiness fundamentals they consider important.<\/li><\/ul><ul><li>Management Value: Managers will often compare\nthe return on investment (ROI) of your potential solution versus that of your\ncompetition or even against in-house alternatives. When evaluating a supplier\nsolution, managers tend to focus on business and operational value, along with\ntotal cost of ownership and cost\/benefit, or ROI.<\/li><\/ul><ul><li>Operations Value: Operators want to understand\nand test the features and functions of your proposed solution and often feel\nmost comfortable with proven solutions, as they present lower risk for them to\nrecommend<\/li><\/ul><\/li><li>Value Statements refer to qualitative\nexpressions of value, whereas Value Propositions are quantitative expressions\nof that same value.<\/li><li><em>The credibility of your Value Proposition is\nonly as good as is the level of influence of the customer who assisted you in\nformulating the assumptions behind it.<\/em><\/li><li>Value Statements consist of four components:\n(ex: point-of-sale software solution)<ul><li>Critical Business Issues (ex: increasing\nstand-alone movie theater profitability by at least 10 percent)<\/li><\/ul><ul><li>Area of Improvement (ex: increase the number of\ncustomers each theater can serve at the concession stands)<\/li><\/ul><ul><li>Business Impact (ex: total cost of ownership)<\/li><\/ul><ul><li>Credibility (ex: similar successful\ninstallations)<\/li><\/ul><\/li><li>In most cases, you will not arrive at a\ncompleted Value Proposition in just one or two meetings. It is typically the\nresult of collaboration with the right people over time.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 10 Creating Demand to Displace Competitors<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><em>There is no budget. You need someone powerful\nenough to create the budget or pull it from someplace (and someone) else.<\/em><\/li><li>There are two opportune times for creating\ndemand. <ul><li>The first occurs when a Fox who moves into a new\nposition with a different company drafts you. <\/li><\/ul><ul><li>The second opportune time takes place when you\nneed to penetrate a competitively held account.<\/li><\/ul><\/li><li>Set four objectives when preparing for an\nexecutive meeting<ul><li>1. Establish your credibility early in the\nmeeting by using your intel. <\/li><\/ul><ul><li>2. Demonstrate that you are able to contribute\nas a thought leader, suggesting unconventional possibilities to advancing the\ncustomer\u2019s business. <\/li><\/ul><ul><li>3. Initiate a relationship; talk about what you\nand your company believe in to establish a cultural fit, if it exists. If it\ndoes not, look for common personal ground where you may have overlapping\ninterests. <\/li><\/ul><ul><li>4. Gain the executive\u2019s explicit sponsorship and\nsupport to work together to further develop your draft Value Statement and then\nform the right set of assumptions that will lead to a sound Value Proposition.<\/li><\/ul><\/li><li>Build Your Support Base Map to include the following:<ul><li>An Executive Sponsor<\/li><\/ul><ul><li>A Financial Supporter<\/li><\/ul><ul><li>An Operational Sponsor<\/li><\/ul><ul><li>End User Supporters<\/li><\/ul><\/li><li><em>Penetrating a competitively held account is all\nabout quietly establishing a proof of concept.<\/em><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Part 4: Strategy<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 11 Introduction to Compete Strategy<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Combine strategy with unexpected customer value,\npolitics, and other traditional sources of relative superiority \u2014 like product\n\u2014 to form Compete Strategy<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 12 Competitive Differentiation<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>You must know how your solution and company are\ndifferentiated from those of the competition in order to formulate a strategy<\/li><li><em>Nothing produces more Competitive Differentiation\nthan moving north up the Sales Value Chain and providing customers with the\nUnexpected Value<\/em><\/li><li>Stage IV sellers are assertive, innovative, and\nrespectful but never arrogant toward customers<\/li><li>Two major principles apply when you are\ngathering competitive intel:<ul><li>1. Keep the questions you ask about the\ncompetition tightly focused and recognize that asking closed questions is\nappropriate and necessary. \u201cTightly focused \u201cquestions are halfway between open\nand closed. An open-ended question might be, \u201cWhat is my competition proposing?\n\u201cA tighter question would be, \u201cWhat is it about my competitor\u2019s solution that\nyou find interesting? \u201d<\/li><\/ul><ul><li>2. Complete the analysis from the perspective of\nyour customer\u2019s Power Base. How do you and the competition fare on the prospect\u2019s\nbuying criteria?<\/li><\/ul><\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 13 The Direct Strategy<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 14 The Indirect Strategy<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>With an Indirect strategy, you work to change\nthe ground rules by which your customer will make a decision. You identify\nunexpected customer value in your Attack box and work with the customer Power\nBase to make this the primary buying criteria for the decision.<\/li><li>Timing is critically important with the Indirect\napproach, in terms of Upfront Speed. It requires that you quickly identify\nunexpected customer value and align it with the Situational Power Base early in\nthe sales cycle.<\/li><li>Back-end Surprise: It requires that the seller\nhold back on proposing Unexpected Value to a customer until a specific point\nlate in the sales cycle.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 15 The Divisional Strategy<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>You go Divisional when you can\u2019t overpower the\ncompetition and take all the available business.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>CHAPTER 16 The Containment Strategy<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The purpose [of the containment strategy] is to\ndelay the customer\u2019s decision, therefore buying you enough time to gather\nstrength and win the business with an Indirect approach. The two strategies\nwork seamlessly in tandem with each other.<\/li><li>A good place to start is to arrange a meeting\nwith someone of stature from your company whom the customer will perceive as\nbringing new insight worthy of knowing before they make a decision.<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>EPILOGUE Helping Others Elevate the Sales Profession<\/strong><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>The New Power Base Selling by Jim Holden and Ryan Kubacki Overall Review The Good Provides a good deep dive into how to identify and engage people with high organizational influence, independent of authority\u201d Great reminder to provide unexpected value throughout the sales process There was no self-promotion The Bad With all due respect to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":754,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_import_markdown_pro_load_document_selector":0,"_import_markdown_pro_submit_text_textarea":"","_monsterinsights_skip_tracking":false,"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[1],"tags":[],"class_list":["post-753","post","type-post","status-publish","format-standard","has-post-thumbnail","category-uncategorized","entry"],"aioseo_notices":[],"aioseo_head":"\n\t\t<!-- 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