Why Sales Strategy Isn't Just for the Sales Team
You might think sales strategy belongs to the sales or marketing department. But product managers have a core mission: ensuring the product succeeds in the market. That means you need to think about sales from the start. A great product can fail if it never reaches the right people or if the channel economics don't work.
Product strength alone no longer guarantees success. The best product managers start planning how to sell while the product is still in development. They weave sales strategy into the product's DNA. This approach dramatically increases the odds of market success.
What Exactly Is a Sales Strategy?
A sales strategy is a broad framework. It covers who your target users are, where they get information, which channels can reach them, what types of messages capture their attention, and how you'll motivate channels to push your product. It also includes pricing, profit distribution, and how to drive repeat purchases.
This isn't the same as a launch promotion plan. It's bigger. It's about the overall architecture of how you'll get the product into customers' hands and keep them coming back.
Gathering the Right Information
Before you can build a sales strategy, you need solid data. Here's what to collect:
Target User Insights
Create detailed user personas. Include gender, age, hobbies, income, buying channels (online or offline), and the communities they frequent. Most importantly, listen to their stories. Deep understanding of their lives and pain points will guide every decision.
Channel Characteristics
Different channels have different costs, strengths, and weaknesses. You want to find the most cost-effective path to customers. Let's look at some common options:
- E-commerce platforms (like Amazon, JD, Tmall): Great for low-complexity, lower-priced products (under $500). The downside? Customers can't touch or try the product, so complex or high-value items might not sell well online. Plus, platforms often hold payment for a period, which can strain cash flow.
- Community websites and forums: These attract highly targeted audiences. Ads can be effective, but these sites rarely sell directly—you need a landing page or a link to a purchase page.
- Social commerce (like WeChat business): This leverages personal networks, which builds trust. It reduces the friction of buying from a stranger.
- Short-video platforms: Videos show products in action, reducing decision anxiety. They're now a mainstream sales channel.
- Traditional supermarkets: Good for high-volume, low-complexity items. But they're self-service, so complex products struggle. Watch out for payment terms too.
- Distributors/agents: Ideal for complex products that need explanation. But the chain is long, and efficiency suffers. You'll need to plan profit sharing. On the plus side, distributors often pay cash upfront.
- Trade shows and events: Common for B2B products. They attract serious buyers, and salespeople are often technical experts.
Competitor Intelligence
You need to know your rivals inside out. Look at three areas:
- Product features: What segments do they target? What's their unique selling point? How do they position themselves?
- Sales channels and pricing: Where do they sell? What's their price structure across different segments (retail, wholesale, etc.)?
- Revenue model: How do they actually make money? Some sell hardware at a loss and profit from services or ads (like Xiaomi). Others rely on content subscriptions (like smart speakers). Understanding this prevents you from getting into a price war you can't win.
Differentiation and Positioning
Study how competitors position themselves. Wanglaoji (a Chinese herbal tea) is a classic example. In a crowded beverage market, they carved out a niche with “怕上火喝王老吉” (Drink Wanglaoji to prevent getting heaty). They owned that positioning. Similarly, Momo (a social app) found a gap by focusing on stranger social networking, while WeChat was for close friends.
Ask yourself: What's your product's differentiation? Is it technical innovation (like Apple's original iPhone), a specific underserved user group (like an app for square dance video tutorials), or a cost advantage (like Xiaomi)?
How to Analyze and Build Your Sales Strategy
Step 1: Empathize with the Buyer
Put yourself in the customer's shoes. How do they make buying decisions? What information do they trust? Use an empathy map to systematically understand their thoughts, feelings, and actions. Always ask “Why” behind their behavior.
Step 2: Understand Decision Drivers
Consumers decide based on three forces:
- Past experience: They stick with what worked before. They might ignore new information because they trust their own history.
- Company marketing: When the product is new and unfamiliar, customers rely on ads and salespeople. This is your chance to shape perceptions.
- Third-party reviews: For mature product categories, consumers check expert reviews, forums, and comparison sites. Your marketing matters less; you need to win over the reviewers.
Knowing which force dominates for your product will guide your channel, pricing, and messaging.
Step 3: Map the Consumer Journey
The buying process has four stages: problem recognition, information search, evaluation of alternatives, and purchase. Your strategy should address where customers get stuck. If they don't realize they have a problem, your marketing should create that awareness. If they're evaluating options, offer compelling comparisons.
Step 4: Choose Your Channels
Based on your analysis, pick channels that fit. High-margin products can support e-commerce ads or distributor margins. Complex products need expert salespeople, so go with direct sales or agents. If your target audience is young, e-commerce wins; older demographics might respond better to offline channels.
Step 5: Re-examine Your Product
Sales strategy might force you to rethink the product itself. Consider:
- Positioning: Can you differentiate through technology, user group, or user experience? Tech barriers are high (like Huawei's camera), user group focus is common (like Nike's SNKRS app), and UX can be a game-changer (like Haidilao's service).
- Product category: If customers have strong preconceptions, maybe you need to redefine the category. Don't fight their mental models.
- Key selling points: Build in features that make the product worth talking about—like social currency, emotional triggers, or practical value.
Step 6: Validate with Internal Resources
Finally, bring in R&D, supply chain, and strategy teams. Discuss whether the product definition aligns with company capabilities. If there's conflict, you may need to adjust the product or the strategy. This collaborative check prevents nasty surprises later.
Putting It All Together
Sales strategy isn't a one-time task. It's a continuous loop of understanding, planning, executing, and learning. By thinking like a seller, you'll become a better product manager. You'll design products that not only solve problems but also sell themselves.
Start with empathy, back it with data, and always keep the end user in mind. That's the path to a product that doesn't just exist but thrives in the market.
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