Moving the needle with references


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If I had to think about it, I guess this enthusiam comes from a marketing background exposed to too many carefully crafted, super cool campaigns that required a ton of work and money, but just didn’t move the needle on results for the business.

Testimonials from customers are different because they are so directly involved in the sales process. At the same time it’s sometimes hard to put your finger on exactly how to quantify it.

When working with clients and prospects, Boulder Logic typically starts by looking at the number and size of deals that can/should use references and then considers the impact that a positive testimonial can have on the deal closing.

Here’s a table illustrating that formula for a single sales rep with some hypothetical values:

Number relevant opportunities per sales rep 90
Poorly matched reference requests (50% x 90) 45
Estimated impact on deal close rate 3%
Average deal size $125,000
Total impact per sales rep (90 x 3% x 125K) $168,750

If this is of interest, our company recently recorded a webinar that walks through this and other customer reference ROI calculations step by step. It’s about 15 minutes long.

Republished with author's permission from original post.

Joshua Horwitz
Boulder Logic
Joshua Horwitz is president and a founder at Boulder Logic, a company specializing in customer reference management. Companies with complex products and selling cycles rely on Boulder Logic for an easy-to-deploy, highly customizable enterprise solution to accelerate sales and marketing using their existing customers. Blog:


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