What is Tech Sales?
Tech sales is the process of selling technology as software, hardware, or an IT service. As a tech sales representative, you might be selling only one kind of tech product, such as a cloud CRM platform. Or, you might sell a product that combines different components, like a wearable tech device with embedded software. Whatever your focus, your job is to connect customers with technology that can provide a solution to a specific problem or challenge.
Tech sales is highly competitive, but also highly rewarding. For example, when considering the top 20 Account Executive roles ranked by median OTE, about half of them are in tech sales. Several factors can determine their earning potential, including education, training, certification, experience, and location. In addition to financial rewards, tech sales offers the opportunity to work with cutting-edge technology, build relationships with customers, and make a real impact on their businesses.
Understanding Tech Sales
The RepVue community spans a wide range of sales roles —- but we consistently see the most interest in Tech Sales. And if you’re interested in a career in tech sales, it’s important to understand what it entails.
Tech sales involves selling technology products and solutions to businesses of all sizes. Unlike roles in which you are selling a simple physical good, in tech sales you are generally selling a “solution” — usually a software platform — that is designed to make the customer’s business earn more revenue, operate more efficiently, or solve a specific problem.
The Sales Process
The tech sales process typically involves several steps. First, you’ll need to generate leads by identifying potential customers who may be interested in your product or solution. Then, you’ll need to qualify those leads by determining whether they’re a good fit for your product and whether they have a need for it.
Once you’ve identified qualified leads, you’ll need to research their needs and pain points in order to understand how your product or solution can help them. This may involve conducting a needs analysis or a discovery call to gather more information.
Once you have a clear understanding of the customer’s needs, you can begin developing a customized solution that addresses those needs. This may involve presenting a demo of your product or solution, providing a proposal, or negotiating a contract.
Tech Products and Solutions
Tech sales can involve a wide range of products and solutions, including software as a service (SaaS), hardware, and IT services. Some common examples of tech products and solutions include:
- Customer relationship management (CRM) software
- Cloud computing services
- Cybersecurity solutions
- Enterprise resource planning (ERP) software
- Internet of Things (IoT) devices
When selling these products and solutions, it’s important to understand the features and benefits of each one and how they can help your customers. You should also be able to explain technical concepts in a way that’s easy for non-technical people to understand.
Tech sales can be a rewarding and challenging career that requires a combination of technical knowledge, sales skills, and customer service skills. By understanding the sales process and the products and solutions you’re selling, you can succeed in this exciting field.
Sales Strategies in Tech
When you consider what factors lead to success in tech sales, there are a few key strategies that stand out. Two of the most effective sales strategies in tech are consultative selling and a solution-based approach.
Consultative selling is all about building relationships with your customers. Rather than simply trying to sell them a product, you take the time to understand their needs and recommend solutions that will work for them.
To be successful at consultative selling, you need to be a good listener. You should ask questions to get a better understanding of your customer’s business and what they’re looking for in a solution. You should also be knowledgeable about your product and be able to explain how it can help your customer achieve their goals — but the primary goal should be to truly understand your potential customer’s problem before you recommend a solution
A solution-based approach is similar to consultative selling in that it’s focused on understanding your customer’s needs. However, with a solution-based approach, you’re not just recommending a product — you’re recommending a complete solution that includes your product and any additional services or support that your customer may need.
To take a solution-based approach, you need to be able to think creatively and come up with customized solutions for each of your customers. You should also be able to explain the value of your solution and how it can help your customer achieve their goals.
Both consultative selling and a solution-based approach can be highly effective sales strategies in tech. By taking the time to understand your customers and recommend solutions that work for them, you can build strong relationships and close more deals.
One of the key skills that most great salespeople have is the ability to build strong relationships,. Networking and managing strong customer relationships can make the difference between closing deals and losing them.
Networking is all about building connections with people in your industry. It’s a great way to learn about new opportunities, gain insights into your market, and meet potential customers. Here are a few tips to help you network effectively:
- Attend industry events: Conferences, trade shows, and other industry events are great places to meet new people and learn about the latest trends in your market.
- Join industry groups: Joining groups on LinkedIn or other social media platforms can help you connect with other professionals in your field.
- Be genuine: When you meet new people, be yourself. Don’t try to be someone you’re not. Be genuine, and people will be more likely to want to work with you.
- Be curious: People like to talk about themselves. When you meet someone, ask questions before launching into your life story. And whatever you do, never try to pitch or sell someone when you first meet them.
- Have something to say: If you do a good job of listening to others, they will often ask about you. You should try to have something interesting to say that is more than small talk. Are there stories in the news that are relevant to your industry? If so, educate yourself on them and have an opinion. Try to absorb as much relevant information as possible so that you can engage in a substantive conversation should the opportunity present itself.
Customer Relationship Management
Customer relationship management is the process of managing your interactions with customers and potential customers. It’s important to have a solid customer relationship management strategy in place to ensure that you’re building strong relationships with your customers. Here are a few tips to help you manage your customer relationships effectively:
- Keep track of customer interactions: Use a CRM tool to keep track of your interactions with customers. This will help you stay organized and ensure that you’re following up with customers in a timely manner.
- Personalize your interactions: When you’re communicating with customers, make sure to personalize your interactions. Use their name, and reference previous conversations to show that you’re paying attention.
- Be responsive: When customers reach out to you, make sure to respond in a timely manner. This will show that you value their time and are committed to providing excellent customer service.
- Be authentic: Try not to be too scripted in your interactions. Instead, take the time to show that you know something about your prospects — and also to let your personality shine through. Here are some creative ideas on how to engage with your prospects.
By following these tips, you can build strong relationships with customers and other professionals in your industry, which can help you succeed in tech sales.
Sales Tools and Technologies
If you’re in the tech sales industry, you know how important it is to have the right tools and technologies to support your sales efforts. Two essentialsales tools and technologies that can help you optimize your sales process are CRM software and sales analytics.
CRM software is a must-have for any sales team. It helps you manage your customer relationships and track your sales pipeline. With CRM software, you can easily keep track of your leads, contacts, and deals in one place. The most popular CRM software options are Salesforce and HubSpot.
One of the biggest benefits of CRM software is that it can automate many of your sales tasks. For example, you can set up automated email campaigns to nurture your leads, or use chatbots to answer common customer questions. This frees you up to focus on more important tasks, like closing deals. But don’t take this automation too far — or you’ll risk turning your prospects off to your message.
Sales analytics is another important area of sales tools and technologies. With sales analytics, you can track your sales performance and identify areas for improvement. This can help you optimize your sales process and increase your revenue.
There are many different types of sales analytics tools available, from basic reporting tools to more advanced predictive analytics tools. Some popular options include Tableau and Microsoft’s Power BI.
One of the most important metrics to track in sales analytics is your conversion rate. This measures the percentage of leads that turn into paying customers. By tracking your conversion rate over time, you can identify trends and make data-driven decisions to improve your sales process.
The right sales tools and technologies can make a big difference in your sales performance. By using CRM software and sales analytics tools, you can streamline your sales process, improve your customer relationships, and increase your revenue.
Career Paths in Tech Sales
Ready to start a career in tech sales and wondering how to break into the industry? Check out our guide to Tech Sales Career Paths.