Close More Deals: 5 Things You Should Know about MEDDIC
MEDDIC is an acronym for the most renowned Sales Qualification Methodology, which applies to any enterprise sales process. It stands for Metrics, Economic Buyer, Decision Criteria, Decision Process, Identify Pain, and Champion.
This process works as a checklist for sales professionals to objectively assess the level of qualification in the sales campaign and the degree of confidence for the forecast. It tells you whether you should increase your efforts to get a customer into your sales funnel.
Let's take a closer look at each step of the process:
1. Metrics – quantification of the desired outcome and the economic benefit.
In plain text, metrics determine the economic impact of the solution. You should know what elements the customer cares about, so you can provide them with a suitable solution to get a good return on investment (ROI). If you can't justify your efforts from an economic standpoint, then you're wasting your time.
2. Economic Buyer – interaction with the one who has decision control over the funds.
The economic buyer is the one who has the profit and loss responsibility for a given sale. Knowing the person who has the power to make decisions and authorize pending, I will help you close sales. Because learning about the economic buyers' expectations, personal metrics, and decision-making process will make the deal palatable.
3. Decision Criteria – the criteria used by the company to make a decision and choose among different options.
You should know the criteria that a company uses in making its decisions. Different countries are presented with different solutions forcing them to compare and choose the best one. By understanding how they choose, you can better tailor your efforts towards convincing them.
The criteria in some companies include integration, simplicity of use, budget constraints, and potential ROI.
4. Decision Process – the process to reach a purchase decision.
When the decision criteria tell you what basis a company makes its decisions, the decision process tells you how the decision is actually made. The decision process includes the person who makes the decision or formally approves it.
When you know the decision process, you will never lose a sale because you know what will make them decide.
5. Identify Pain – the actual limitations and constraints at the company that could require your product and service as a solution.
A good sales pitch offers the buyer a solution to resolve an existing problem causing the pain. This pain can be in different forms like high cost, low revenue, or slow production. When you are directly targeting the customer's pain, it will be impossible for them to turn you down.
6. Champion – influential and powerful people that favor your solution.
A champion is an insider who is invested in your sale and supports the solution you offer. It is mostly the individual most affected by the pain old who will directly benefit from the solution.
Having someone with influence and respect in your corner will make a massive difference in closing the deal.
Image Source: salesmeddic.com
What Is MEDDIC Used For?
The meddic sales process is a simple checklist for sale professionals because it shows that they have all the right information needed. The simple acronym simplifies the sale qualification process by relying on attaining knowledge instead of using sale tactics.
Moreover, the meddic sales process is easy to use for all individuals, even those who are not particularly "salesy". It helps you learn about your customer to understand better whether they are worth investing your time and effort in.
Thus, you can accurately forecast your sales without wasting time on unwinnable leads.
Benefits of Using MEDDIC Sales Methodology
The benefits of using meddic process are:
- It is methodology is easy to learn and execute.
- Create fluid communications among sales teams.
- It encourages self-assessment by every salesperson.
- Helps monitor the level of progress and qualification of a deal.
- Leads to progressive sales activity in a campaign.
- Does not require the use of discounts to get a deal.
- Improves the accuracy of sales forecasts.
- Helps identify the potential risks and reveals gaps.
- Increases revenue through better qualification and sales efficiency.
- Helps expand the sales funnel and get unwinnable deals.
How to Implement MEDDIC Sales Methodology?
The meddic sales process gives clear direction to learn more about your potential customers and convince them to purchase your product or service. But how do you start implementing this process?
Follow these simple steps:
First, you need to understand how each step looks specifically for your business and sales goals. You can build a flowchart or any other visual alternative to understand every stage of MEDDIC and how to identify each section according to your business.
2. Document Each Step
Have your sales team identify and document every customer interaction by keeping the meddic sales process in mind. It will ensure that they work through the whole process and will identify any gaps. For example, your company may be missing the decision process step. You can now work on that and fully streamline your efforts and strategies according to the MEDDIC process.
3. Identifying Leads
Once your sales reps truly qualify and identify your customers, they will spend their time on potential leads. These will be more likely to succeed, and you will be able to close the deal.
Keep monitoring the process and see how your salespersons implement the process on a daily basis. Using a standardized language for a deal qualification will help your sales team fully understand the goal.
Which time keep optimizing your meddic sales process. Set goals like reducing the length of the sales cycle or reducing sales costs by analyzing regular data. Get feedback from your team and implement changes wherever necessary to meet the new goals.
Popular Sales Methodologies Like MEDDIC
1. The Challenger Sale
This methodology categorizes sales professionals into 5 classes: hot workers, relationship builders, lone wolves, reaction problem solvers, and challengers.
Image Source: meddic.academy
2. Command of The Sale
This methodology customizes your company's sale enablement tools and activities based on solutions.
3. Conceptual Selling
This method encourages a seller to persuade the buyer to purchase a concept (the desired solution) and not a product. It focuses on empathy, active listening, and personal communication.
Image Source: pleinairestrategies.com
4. Customer-Centric Selling
This method is based on the challenges, goals, and inconveniences of the customer. The objective is to become a reliable source for your client and give them a deal that suits their objectives and situation.
Image Source: lucidchart.com
5. NEAT Selling
NEAT selling depends on need, economic impact, access to authority, and timeline. This method allows you to identify customers based on their needs, financial status, decision making power, and the period in which the customer can make a purchase.
Image Source: lucidchart.com