The 4 x 4 Matrix
The fundamental framework for the aQuity Methodology is the 4 x 4 Matrix. It forms the core of the aQuity Opportunity Management app and sets it apart from traditional CRM’s. This matrix helps us to simplify the complexities and categorise the feedback from unfolding events across multiple engagements. It assists in making sense of the interactions with Opportunities and Contacts. The 4 x 4 Matrix is designed to neutralise the competition and to promote Client perceptions through a structured approach.
As such, it is a strategic approach and tool for the benefit of the aspirant sales professional, the entrepreneur and the sales leader. It serves as one key backbone of B2B Sales Strategy Development. The 4 x 4 Matrix and its constituents are inviolate. Meaning, that significant B2B transactions of import are totally dependent on satisfying its requirements. It represents a foundational component of the HOW in the B2B Sales Strategy.
Without a Sales Methodology the Sales Strategy is flawed and its execution is placed in jeopardy. Without a Sales Methodology a mutually understood process, common terminology and measurement metrics are absent.
The purpose of a Sales methodology?
The Sales Strategy should be explicit regarding the target market, the prospecting and marketing campaigns and the product. It should also be unambiguous about the Sales Methodology. A sales review without a common terminology is fraught with misunderstandings. Updating the sales pipeline with disparate criteria is confusing and counter productive. A uniform engagement process provides consistency, without being restrictive.
Many organisations implement a CRM system in the often mistaken belief that it is the panacea to improve their sales processes. Frequently, such systems are implemented without a guiding Sales Strategy, a methodology and a commonly understood Engagement Plan. The cart is firmly planted before the horse. Reliance is placed on technology at the expense of common sense. Typically, such implementations result in a mere Contact Management System as opposed to a Client Management System. Opportunity management becomes a dark art. Invariably such CRM’s fall into disuse and abuse.
The 4 x 4 Matrix
Frequently, we vex over questions such as “Can we win this Client over?” or “Should we pursue this Opportunity?”. The prudent answer should be “That depends.” It depends on the approach and of course maturity of judgement. There are many dependencies in a Sales Engagement. The aQuity Opportunity Management approach identifies the dependencies with useful guidance of each aspect.
Essentially, the 4 x 4 Matrix understands only four vital aspects of any engagement and provides the framework to update these.
- What Stage are you in the Sales Cycle?
- What Stage is the Client in the Buying Cycle?
- What is the Status of the Opportunity?
- The impact of the four key parties involved in the engagement?
The 4 Dimensions of the Matrix
True to its name the 4 x 4 Matrix consists of four Dimensions, each containing four aspects. A brief explanation of the four Dimensions are provided below. A complete account of its workings is available in the ‘B2B or Not to B…‘ eBook and its practical application is manifested in the aQuity OM app.
Dimension #1
This dimension relates to the four key parties in any engagement.
- The Client
- The Supplier organisation
- The Sales Person/ Sales Team
- The Champion/ Detractor
Dimension #2
There are four rational key Stages, each with its own set of Qualifying Questions.
- Should they buy?
- Can they buy?
- Will they buy?
- Will they buy from you?
These are fundamental when engaging in a B2B Opportunity. Wishful thinking is eliminated with these four harsh questions. How do we determine how to respond to these? The aQuity approach is designed to determine the answers and to guide you. Although all 30 Qualifying Questions (QQ’s) are important, some are vital when progressing in an engagement. A key advantage of this structure is the avoidance of wasted time and effort.
Dimension #3
From the Buyer’s perspective the self-evident four Stages are:
- Should we buy?
- Can we buy?
- Will we buy?
- Who will we buy from?
A buyer’s need for a solution and the seller’s ability to deliver a solution is merely the entry ticket to the race, amongst other aspirant suppliers. Failure to show the value to their organisation, especially to those that influence those that sign the contract is invariably a wasted effort. Many sales people fall into the trap of only viewing an Opportunity from their perspective. It is potentially fatal to your efforts if the the buying criteria are not understood or are vague (both internally to the buying organisation and to you), or if you are not engaging with the real owner of the business problem.
Dimension #4
The essential and decisive 4th Dimension of the 4 x 4 Matrix is the nomenclature of the Status of an Opportunity. Determining the Status of an Opportunity is a function of the input from the first 3 Dimensions and the Qualification Process.
The Status is a commonly understood term, used throughout an organisation, to indicate the progress of an Opportunity. It imparts a specific meaning. There are in fact five statuses describing an Opportunity, but the initial one (Named Opportunity) may appear on the marketing list, but shouldn’t even get a mention in the Sales Pipeline. There is a start to every endeavour. We include it here for completeness:
0. Named Opportunity
- Lead
- Suspect
- Prospect
- Forecastable
The final Status of ‘Client’ is of course the desired outcome. This classification approach differs from those typically applied in Sales Funnels. It’s specificity is subject to the Qualification Questions and not some arbitrary percentage allocation and guess work. Specificity creates focus, purpose and identifies action points. The 30 QQ’s are fully explained in the ‘B2B or Not to B…‘ eBook. They form the essence of the aQuity OM app.
The concepts above are succinctly illustrated in this diagram:
