The Challenger Customer An Introduction to The Challenger Customer #ChallengerCustomer © 2015 CEB. All rights reserved

Hard Worker Challenger Relationship Builder Lone Wolf Problem Solver That Was Then... Always goes the extra mile Doesn’t give up easily Self-motivated Interested in feedback and development Always has a different view of the world Understands the customer’s business Loves to debate Pushes the customer Reliably responds Ensures that all problems are solved Detail oriented Follows own instincts Self-assured Independent Builds strong customer advocates Generous in giving time to help others Gets along with everyone Hard Worker Challenger Relationship Builder Lone Wolf Problem Solver

Single Stakeholder Agreement Organizational Consensus Traversing the Solutions Graveyard Customer Status Quo Agreement on a Vision Purchase Decision Single Stakeholder Agreement Organizational Consensus

Bigger Groups, Fewer Purchases n = 3,000. 0% 50% 100% 81% 55% 53% 31% 1 2 3 4 5 6+ Size of Buying Team 60% Purchase Likelihood

Bigger Groups, Fewer Purchases n = 3,000. 0% 50% 100% 81% 55% 53% 31% 1 2 3 4 5 6+ Size of Buying Team 60% Purchase Likelihood 5.4 Average Buying Group Size

1. Accessing Individuals Track Them All down, Win Them All Over Stakeholder 1: CIO Rep Angle: Minimal work-flow disruption Positioning: Seamless integration with legacy systems Stakeholder “Closed” Stakeholder 2: Financial Analyst Rep Angle: Cost savings Positioning: Write-off of existing platform Stakeholder 3: Marketer Rep Angle: Deeper customer segmentation Positioning: Develop effective segmentation targeting strategies 1. Accessing Individuals 2. Closing Individuals

Surprising Findings 8% 4% 0% (4%) (8%) Change in Likelihood of Making a High-Quality Sale Access to Stakeholders Evaluating Purchase Positioning Offering on Value to an Individual Stakeholder

The Real Enemy Stakeholder Dysfunction Index 1.5 Stakeholder Diversity Index Stakeholder Dysfunction Index 2.0 2.5 4.0 5.5 Stakeholders don’t have a fair say Stakeholders avoid discussing key issues Stakeholders have multiple disagreements Kinds of dysfunction:

Stakeholder 2 Mental Model Stakeholder 3 Mental Model The Lowest Common Denominator Stakeholder 1 Mental Model Goal Priorities Metrics Means Stakeholder 2 Mental Model Stakeholder 3 Mental Model

Seven Types of Customer Stakeholders The Teacher The Blocker The Climber The Guide The Go-Getter The Friend The Skeptic

Mobilizers Get the Deal Done

What Now? 1. Identify Mobilizers versus “Champions” 2. Engage Mobilizers with Commercial Insight, not Thought Leadership 3. Equip Mobilizers to Coach Customers toward Collective Change 4. Track Mobilizer Progress through a Customer-Verified Pipeline

Finding Mobilizers

What Now? 1. Identify Mobilizers versus “Champions” 2. Engage Mobilizers with Commercial Insight, not Thought Leadership 3. Equip Mobilizers to Coach Customers toward Collective Change 4. Track Mobilizer Progress through a Customer-Verified Pipeline

Magnitude of Driver Impact Non-Statistically Significant Drivers Break down the “A,” then Build up the “B” 0.013 (0.047) (0.096) (0.132) Magnitude of Driver Impact Representing a Smart/Expert Perspective Being Easy to Understand Containing Interesting Facts or Anecdotes Being Accessible/ Quick to Find Non-Statistically Significant Drivers

Break down the “A,” then Build up the “B” Statistically Significant Drivers 0.302 0.013 (0.047) (0.096) (0.132) Magnitude of Driver Impact 0.446 Teaching Customer Something New about Their Business Needs/ Challenges Providing the Customer with Compelling Reasons to Take Action Representing a Smart/Expert Perspective Being Easy to Understand Containing Interesting Facts or Anecdotes Being Accessible/ Quick to Find Non-Statistically Significant Drivers

Thought Leadership Is not Commercial Insight General Information Accepted Information Thought Leadership Insight Be Credible/Relevant Be Newsworthy Be Frame-Breaking Lead to Supplier Commercial Insight

A B Break down the “A,” then Build up the “B” Current Beliefs/Behavior Desired A B

What Now? 1. Identify Mobilizers versus “Champions” 2. Engage Mobilizers with Commercial Insight, not Thought Leadership 3. Equip Mobilizers to Coach Customers toward Collective Change 4. Track Mobilizer Progress through a Customer-Verified Pipeline

Source: Marketo; CEB analysis. Mobilizer Toolkit Marketo’s toolkit provides guidance on how to navigate internal change and purchase processes Source: Marketo; CEB analysis.

What Now? 1. Identify Mobilizers versus “Champions” 2. Engage Mobilizers with Commercial Insight, not Thought Leadership 3. Equip Mobilizers to Coach Customers toward Collective Change 4. Track Mobilizer Progress through a Customer-Verified Pipeline

Tracking Mobilizers through a Customer-Verified Purchase Process

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