“The sales book of the decade” - Selling Power magazine
Value Capture Selling is the first book to directly address one of the most destructive shortcomings in sales organizations today. Author JC Larreche’s approach is so innovative that Selling Power magazine named it “The sales book of the decade.”
For years, sales professionals have focused on creating value for their customers - the first phase in selling. However, in today’s fast-moving world of business, that is just not enough. Under increased financial pressure, businesses today are being pushed to move to an emphasis on the second phase of selling: the capture of corporate value. However, as all-too-many business leaders are finding out to their great dismay, sales professionals have not been trained in the techniques for the capture of corporate value, and they are at the mercy of very well-trained and tough professional buyers.
Value Capture Selling is the first book to address this gap. It is specifically designed to provide sales professionals - both veteran and new alike - with a complete roadmap for making the transition from value selling to value-capture selling, including:
- Why the creation of corporate value - short, medium, and long term - is essential for the firm and its internal and external partners
- How to master the key drivers of corporate value: profitability, market share, and customer satisfaction
- How to prepare for value capture
- How to frame strategies and tactics for value capture
- How to close deals for higher corporate value capture
Value-capture selling is the current challenge for corporations and sales professionals everywhere - making the transition from a revenue objective to a focus on corporate value. This requires a fundamental shift from a strong belief that bigger is better to a new creed that richer is better. It is what JC Larreche, professor emeritus at INSEAD and an expert on sustainable value creation, calls the 3rd Sales Transformation.
In a future marked by escalating financial pressures, the significance of value capture will only grow, and in Value Capture Selling, JC Larreche provides sales professionals everywhere with the tools they need to become masters at this new art!
Praise for Value Capture Selling:
"Most sales forces focus only on revenue, not value capture. Larreche’s book can help you make the necessary transition. If you are in Sales, read it because the data revolution is increasing scrutiny from Finance and others in your firm about how selling efforts build or destroy enterprise value. And if you are a C-Suite executive, read it carefully, because selling affects core elements of value creation."
―Frank Cespedes, Harvard Business School, author of Aligning Strategy and Sales and Sales Management That Works
"Value Capture Selling is a very compelling and complete work that illustrates well the challenges of the transition from product value to corporate value - both for the customer and for the supplier. JC Larreche lays out a powerful framework for any sales professional anywhere to win in this new world of selling!"
―Laurent Beraza, Director - UK, Germany, France - Microsoft Solutions Support Sales
"Value Capture Selling gives us the powerful insights required to capture more value for our company while keeping the customer at the center - right where they belong."
―Anna Campagna, Sr. Director Global Sales, HEINEKEN
Table of Contents
Preface xvii
Chapter 1 The Advent of Value Capture 1
Selling as Push 4
The Three Sales Transformations 5
Hop on the Bus of Change and Become a Value-Capture Champion 11
The First Step on the Bus of Change 12
The Structure of the Book 13
Chapter 2 The Creation of Customer Value 15
From Product Selling to Customer Value 17
The 1st Sales Transformation 20
The 2nd Sales Transformation 31
Customer Centricity Helps Win the 2nd Sales Transformation 39
But the Creation of Customer Value Is Only One Side of the Story 41
Chapter 3 The Creation of Corporate Value 43
General Electric’s Big Shift 46
The Sources of Value Destruction 48
Changing the Yardstick for Corporate Success 50
Business Transformation for Corporate- Value Creation 54
The Drivers of Corporate- Value Creation 58
Chapter 4 Mastering Multiple Objectives 61
Moving from the First Selling Phase to the Second Selling Phase 63
Revenue Management Systems and the Value- Capture Culture 65
Negotiating According to Incentives 67
Harnessing the Three Drivers of Corporate- Value Creation 76
Upgrading the Role of Sales Pros 80
Chapter 5 Steering Customer Satisfaction 83
Customer Satisfaction and Corporate Value 85
Measuring Customer Satisfaction 87
Chapter 6 The Leadership Attitude 101
Why Should You Be a Leader? 102
What Is Leadership? 103
Your Personal Growth as a Leader 114
Ego and Leadership 117
Your Corporate-Value Capture Mission 119
Chapter 7 Preparation for Value Capture 121
The Art of Preparation 124
The Negotiation Setting 127
Primary Preparation 129
Do You Know Your BATNA? 138
The BATNA Frontier for Value Capture 141
Chapter 8 Value- Capture Strategy 147
The Buyer’s BATNA 150
Do You Know ZOPA? 152
Visualizing Your ZOPA for Value Capture 154
Anticipating the Buyer’s BATNA Frontier 160
Exploring the ZOPA Space 163
Shadow Coaching 167
Chapter 9 Value- Capture Tactics 169
The Negotiation Setting 170
The Negotiation Pathway 174
Active Listening 185
Body Language 188
Putting All This into Action 190
Chapter 10 Value- Capture Closure 197
Always Be Closing 198
Closing the Two Selling Phases 200
Bridging the Gap 203
The Closure Map 207
Managing Risk at Closure 211
Tom Closing 216
Moving On 219
Chapter 11 Win and Learn, Learn to Win 221
Win and Learn 222
Celebrating Wins 230
Learning to Win 232
Winning and Learning Traps 240
Make Yourself Lucky 244
Epilogue 249
Thank You, Dear Reader 253
Acknowledgements 255
About the Author 257
Notes 259
Index 275
