What is sales-led growth?
Sales-Led Growth and Why It Works
Sales-led growth is a winning formula to acquire and maintain end users as customers. Sales-led means sales initially go through a sales rep as opposed to other techniques as shown below:
- Buyer-led growth
- Founder-led growth
- Marketing-led growth
- Product-led growth
Sales-led growth is developed by a team effort with a singular goal; generating sales of a product and then retaining a customer base in terms of return purchases. The sales-led approach is a highly effective customer relationship management tool. As such, a product becomes a sales-guided model. This process uses a few simple strategies such as free trials and superior-quality products to generate flourishing interest and recurring sales. In addition, service and guidance after the sale is taken into consideration.
Sales reps play a crucial role in controlling leads by funneling them through an information source so no details or product features are neglected. This process is known as a primary customer relationship management tool and can be a unifying instrument for developing simultaneous teams to the same result.
Key differences between PLG and SLG
SLG: business is organized around selling the product
The intent of traditional focus-led growth is the product and then the sale. The quality of the product is important but should not be relied upon to simply sell itself. Subsequently, marketing and sales initially attract customers with leads which then produce sales.
For software companies, a composite approach to sales is now the trend leading to a rather speedy rise in popularity and increased sales.
- The success of the business is dependent on the sales process
- The collective sales force team is conducive to increased users and sales
- Leads and the demonstration of the value of the product produce sales
- The success of the business goes hand-in-hand with the strength of the sales process
- People working together produce the winning formula for growth through sales
In conclusion, the sales team in the process of sales-led growth is the main driver of customer base increase, customer acquirement, and subsequent business expansion. As such, the strategy for growing a company portends success.