A sales close plan, also sometimes called a mutual action plan or closing plan, is a sales roadmap that goes through all the steps required to close a sales deal.
The document is typically collaborative and created by a salesperson and their potential clients. It lays out everything from key milestones to decision points, and provides a more specific timeline toward a deal’s closure.
In a busy world, having a clear close plan is a really solid idea to maintain transparency, align expectations on both sides of a transaction, and also just make sure that both sides are committed to the same goal and idea. By having a clear, thought-out plan, with deliverables it makes the whole sales process a lot easier, a lot clearer and a lot less likely to fail, while keeping the sales cycle on track.
Whether you already have a solid structure of close plans in your sales department or not, this blog should outline for sales leaders and their teams how to make the most of close plans to achieve better outcomes and results for their sales overall. We’ll look at the essential parts of a sales close plan, what are the best practices and benefits, while also how it can be included in a sales strategy that is already in place. It will break down some of the potential issues that can arise, along with practical solutions on how to overcome them.
The end result should be that following the guidance, sales teams can ensure that closing deals is easier, more efficient, clients will be happier and ultimately the revenue can grow as a result.
Understanding the Importance of a Close Plan
When trying to streamline and secure sales, having a good close plan will help to provide a structured approach to the whole sales process. Like a set of instructions on “how to do the sale”, a close plan provides a roadmap that outlines every step that needs to be fulfilled, from both sides of the sales process.
Not only does this take the guesswork out of sales, which can be rather tumultuous at times, but it also helps to prevent any potential obstacles and roadblocks along the way. This allows for a salesperson and the client to deal with them head on and stop the cycle from delays, or collapse.
One of the most important benefits of a close plan is that it matches up all the team’s efforts. When there is a clear plan in place, every member of the team knows their specific roles and responsibilities. This makes sure that all efforts are coordinated and resources are being allocated and used most effectively.
This kind of cohesive teamwork ensures that members can work together seamlessly, without hitches. A close plan can also set strong, clear customer expectations by simply outlining the key milestones and decisions that need to be made. This means a transparent plan that helps to build trust with the client. The client is fully aware of the roadmap, what to expect at each stage of the sales process, reducing any chances of uncertainty and increasing their confidence in both the deal and the team looking after them.
As a result of using a close plan, it is far more likely to go smoothly, which leads to a better close rate. With a plan laid out, there are no critical steps overlooked and the chance of last-minute surprises that could derail a deal are accounted for, or avoided completely.
And one real benefit of a close plan is that the collaborative nature of close plans enhances the relationship between the salesperson and the client, fostering a sense of partnership that is crucial for closing deals.
A quick recap of the benefits are:
- Alignment of team efforts: Ensures coordinated actions and optimal resource utilization.
- Clear customer expectations: Builds trust and reduces uncertainties by outlining key milestones and decision points.
- Increased close rates: Minimizes the risk of overlooked steps and last-minute surprises, enhancing the likelihood of successful deal closures.
“If you aren’t going all the way, why go at all?” –
Components of an Effective Close Plan
When creating a close plan, it’s really important to include a number of things as standard. Having these elements creates the foundation for your close plan, and makes sure that the document is going to be able to fulfill its purpose.
These fundamental elements are:
Timelines
Having a clear timeline is a really important part of any sales plan. Having a schedule for the sale process is crucial so that everybody knows when and what needs to be completed. Having a set-out sales timeline makes it easier for everybody to know where everybody needs to be, keeps the sales team on track and allows the deal to progress at the correct pace.
Some of the important things to include on a timeline include dates for meetings, presentations and other activities. When a close plan has a well-thought-out timeline, clients and sales teams can manage time effectively, which prevents unnecessary delays and makes sure that all deadlines are met and deliverables are given on time.
Customer Pledges
When creating a clear sales close plan, it is also important to have customer commitments and pledges on the document. These are actions that the client agrees to do as part of the sales process. This could provide specific documentation, attending scheduled meetings, or offering feedback on proposals within a certain time frame.
When a client is aware of these commitments it will make sure that they are actively engaged in the process and aware of what their responsibilities are. This prevents any hold-ups in the cycle, but also makes sure that the client is aware of what is expected of them. This engagement makes sure that the momentum is maintained in the deal process and fosters a better relationship between the client, sales team and the companies in general.
Decision Criteria
Decision criteria are the factors that a client will use to work out if your offering is right for them and to make a final choice on whether to proceed with the sale or not. Things that can be considered here are product features, budget constraints and implementation times. A clear understanding of these criteria allows the sales team to tailor their approach, address any client concerns, and prioritize accordingly. With this knowledge, the sales team can craft a compelling value proposition that aligns with the client’s needs and desires.
Key Milestones
Key milestones are significant events or achievements that mark progress in the sales process. These can include completing a product demo, receiving verbal agreement, contract signing, or scheduling implementation dates. Milestones serve as checkpoints to help the sales team measure the progress of the deal and ensure everything is moving forward within the specified timeline. Each milestone should be clearly defined with a date and specific actions. This clarity ensures both the sales team and the client know what’s happening, when, and how, preventing small delays from becoming bigger issues later on.
By incorporating timelines, milestones, and customer commitments into a sales plan, it becomes easier for both sides to understand the deal’s progress and provides a transparent approach. Responsibilities are clearly defined, and progress is continuous rather than last-minute. Having a structured framework in place not only makes sales efforts more successful but also helps build long-lasting, solid relationships with clients.
What Does a Close Plan Look Like?
A close plan is typically a well-structured document, although it can also be managed using various digital tools and platforms. It is not just an abstract concept but a tangible roadmap that outlines the entire sales process in detail. This document can be created in a word processor, spreadsheet, or specialized project management software, making it accessible and easy to update.
Physical Appearance and Presentation
Document Format: A close plan can be presented as a formal document with sections clearly labeled for timelines, customer commitments, decision criteria, and key milestones. This format ensures that all relevant information is easily accessible.
Digital Tools: Many sales teams use CRM systems like Salesforce or project management tools like Asana, Trello, or Monday.com to manage their close plans. These platforms allow for real-time updates, collaboration, and tracking, making it easier to keep all parties informed and aligned.
Visual Aids: Incorporating visual elements such as Gantt charts for timelines, checklists for customer commitments, and flowcharts for decision criteria can enhance the clarity and usability of the close plan.
Visibility to Clients
Shared Document: While the salesperson typically owns the close plan, it is often shared with the client to ensure transparency and alignment. Sharing the plan helps build trust and keeps the client engaged in the process.
Collaborative Platforms: Using collaborative platforms allows both the sales team and the client to access the close plan, provide updates, and track progress. This collaboration fosters a sense of partnership and shared responsibility.
Presenting the close plan as a structured and accessible document or through collaborative digital tools, sales teams can effectively manage the sales process, ensuring that all parties are aligned and working towards a common goal. This approach not only enhances the efficiency of the sales process but also strengthens the relationship between the salesperson and the client.
Aligning Close Plans with Customer Needs
Aligning close plans with customer needs is essential for ensuring that the sales process is smooth, efficient, and successful. A one-size-fits-all approach often falls short, as different customers have unique profiles and buying processes. To maximize the effectiveness of close plans, sales teams must tailor these plans to meet the specific needs and preferences of each client.
Strategies for Tailoring Close Plans
Understanding Customer Profiles: The first step in tailoring close plans is to thoroughly understand the customer’s profile. This includes their industry, company size, organizational structure, and decision-making processes. For instance, a large corporation with multiple decision-makers will have a more complex buying process than a small business with a single point of contact. By identifying these characteristics, sales teams can create a close plan that addresses the specific challenges and requirements of each customer.
Adapting to Buying Processes: Different customers have different buying processes, and a successful close plan must adapt to these variations. For example, a customer with a formal procurement process may require detailed documentation and multiple approvals, while another might prioritize a fast-track decision-making process. Sales teams should gather information on the customer’s buying stages, preferred communication channels, and decision-making timeline. This knowledge allows them to create a close plan that aligns with the customer’s internal procedures, ensuring smoother and faster progression through the sales cycle.
Customization and Flexibility: Customizing close plans involves more than just understanding customer profiles and buying processes; it requires a flexible approach that can adapt to changes and feedback. Sales teams should be prepared to adjust timelines, milestones, and commitments based on the customer’s evolving needs and circumstances. This flexibility demonstrates a commitment to meeting the customer’s needs and can significantly enhance the effectiveness of the close plan.
The Importance of Customization
Customization is really important in a close plan, even if there is a set template that you follow internally, because it shows the customer that the sales team is attentive and responsive to their unique situation. A customized close plan builds trust and credibility, as it reflects a deep understanding of the customer’s business and challenges. This personalized approach can differentiate the sales team from competitors who may take a more generic approach.
Consider two hypothetical scenarios to illustrate the importance of customization:
Scenario 1: Tech Startup
A sales team is working with a tech startup looking to implement a new software solution. The startup has a small, agile team that makes decisions quickly. In this case, the close plan should emphasize a short, intensive sales cycle with rapid iterations. The plan might include a quick demo, a fast-track proposal review, and a tight timeline for final decision-making. By aligning with the startup’s fast-paced environment, the sales team can match the customer’s expectations and close the deal swiftly.
Scenario 2: Healthcare Provider
Another sales team is engaging with a large healthcare provider that requires a thorough evaluation process involving multiple departments and compliance checks. The close plan for this customer needs to be detailed and extended, with specific timelines for each stage of the approval process. This plan would include comprehensive documentation, scheduled meetings with various stakeholders, and a clear outline of compliance requirements. By tailoring the plan to fit the healthcare provider’s meticulous process, the sales team can ensure that all necessary steps are completed without unnecessary delays.
In both situations, the tailored close plan enhances the likelihood of a successful deal by aligning with the customer’s specific needs and processes. Customization not only facilitates smoother progress through the sales cycle but also strengthens the relationship between the sales team and the customer. It demonstrates that the sales team values the customer’s unique context and is committed to providing a solution that fits perfectly within their operational framework.
Below you’ll see a video that delves into more detail about why customization and personalization is so key in this age of automation.
The Role of Leadership in Facilitating Effective Close Plans
Sales leaders play a crucial role in the successful crafting and execution of close plans. Their involvement can significantly impact the effectiveness of these plans, ensuring that sales teams are well-prepared and supported throughout the sales process. Leaders can aid their teams in several key areas, including training, resource allocation, and providing ongoing support.
Training is fundamental to equipping sales teams with the skills and knowledge required to develop and implement effective close plans. Sales leaders should organize comprehensive training programs that cover the essential elements of close plans, such as timelines, customer commitments, decision criteria, and key milestones. These programs should also include practical exercises and real-world scenarios to help salespeople understand how to tailor close plans to different customer profiles and buying processes. By investing in training, leaders ensure that their teams are proficient in creating customized and effective close plans.
Resource allocation is another critical area where sales leaders can make a significant impact. Developing and executing close plans often requires various resources, such as advanced CRM tools, market research data, and marketing collateral. Leaders should ensure that their teams have access to these resources to streamline the sales process and enhance the quality of close plans. Additionally, leaders can allocate dedicated personnel, such as sales analysts or customer success managers, to support the sales team in gathering necessary information and maintaining client engagement.
Leadership support encompasses providing ongoing guidance and encouragement to sales teams. Leaders should foster a collaborative environment where team members feel comfortable seeking advice and sharing insights. Regular check-ins and progress reviews can help identify potential obstacles and provide opportunities for leaders to offer strategic advice. Furthermore, leaders should recognize and celebrate successes, reinforcing the importance of effective close plans and motivating teams to continue refining their approach.
Integrating Technology in Close Plan Execution
Integrating technology into close plan execution can greatly enhance the efficiency and effectiveness of the sales process. Tools such as CRM systems, video meeting recorders with AI capabilities, and other technological solutions are invaluable for tracking and managing close plans.
CRM Systems are at the core of managing close plans effectively. They provide a centralized platform where all information related to the sales process can be stored, accessed, and updated in real-time. CRM systems enable sales teams to track customer interactions, set reminders for follow-up actions, and monitor progress against defined timelines and milestones. Features such as automated alerts and reporting capabilities ensure that no critical steps are overlooked, and sales teams can stay on top of their tasks, enhancing accountability and productivity.
Video Meeting Recorders with AI Capabilities offer another layer of efficiency. These tools can record sales meetings, transcribe conversations, and analyze key points discussed during the meetings. AI can identify action items, commitments made by both parties, and decision criteria mentioned by the client.
This technology not only helps in maintaining accurate records but also aids in preparing for subsequent meetings, ensuring that sales teams are well-informed and ready to address any concerns or queries from the client. For example, tools like tl;dv or fireflies provide these capabilities, allowing sales teams to gain deeper insights from their interactions with customers.
Other sales tools such as project management software and collaborative platforms can also play a crucial role in close plan execution. Tools like Trello, Asana, and Monday.com enable sales teams to create detailed project plans, assign tasks, set deadlines, and track progress.
These platforms facilitate better coordination among team members and ensure that everyone is aligned with the close plan’s objectives. Additionally, collaborative tools like Slack or Microsoft Teams allow for real-time communication and information sharing, making it easier for sales teams to stay connected and respond quickly to any changes or new developments.
Pitfalls in Close Plan Development and How to Avoid Them
Developing and executing close plans is essential for successful sales outcomes, but several common mistakes can undermine their effectiveness. Recognizing these pitfalls and knowing how to avoid them is crucial for any sales team.
CHALLENGE: Lack of Customization
A common mistake in close plan development is failing to customize the plan to the specific needs and processes of the client. Generic close plans often overlook critical client-specific factors, leading to misaligned expectations and reduced engagement.
SOLUTION: Tailored Approach
To avoid this, sales teams should invest time in understanding the client’s unique requirements and buying process. Developing a tailored close plan that addresses these specific needs enhances relevance and effectiveness. Utilize customer data and insights to customize timelines, decision criteria, and key milestones.
CHALLENGE: Inadequate Communication
Poor communication can lead to misunderstandings and missed deadlines, derailing the close plan. If team members and clients are not kept informed of progress and updates, the plan can quickly fall apart.
SOLUTION: Regular Updates and Clear Channels
Establish regular communication routines, such as weekly check-ins or progress reports. Use a dedicated Slack channel or similar to keep everyone informed and engaged. Clearly define communication channels and ensure that all stakeholders are aware of their roles and responsibilities.
CHALLENGE: Overlooking Critical Steps
Another common mistake is skipping essential steps in the close plan due to oversight or rushed timelines. This can lead to incomplete information, missed approvals, or overlooked objections, ultimately causing delays or deal failures.
SOLUTION: Detailed Planning and Checklists
Develop a detailed plan that includes all necessary steps and milestones. Use checklists to ensure that each step is completed before moving on to the next. Regularly review the plan with the team to identify and address any missed steps or potential issues.
CHALLENGE: Insufficient Customer Engagement
Failing to engage the customer throughout the close plan can result in a lack of commitment and eventual disengagement from the process.
SOLUTION: Active Involvement and Collaboration
Engage the customer actively by involving them in the planning process and seeking their input on key milestones and decision points. Regularly solicit feedback and adjust the plan as needed to maintain alignment with their expectations and needs.
CHALLENGE: Inadequate Training
Inadequate training can leave sales teams ill-prepared to develop and execute effective close plans. Without proper training, salespeople may not fully understand the components of a close plan or how to tailor it to different client needs, leading to ineffective execution and missed opportunities.
SOLUTION: Comprehensive Training Programs
Sales leaders should implement comprehensive training programs that cover all aspects of close plan development and execution. These programs should include detailed instructions on creating timelines, identifying customer commitments, understanding decision criteria, and defining key milestones. Sales training should also involve practical exercises and real-world scenarios to help salespeople apply what they’ve learned. Ongoing education and refresher courses can ensure that sales teams stay up-to-date with best practices and evolving customer needs. By investing in thorough training, sales leaders can equip their teams with the skills and knowledge necessary to create and implement successful close plans.
Encouraging the Use of Close Plans
Having a solid close plan that you can tailor and adapt to all your sales process is a great way to approach all deals. By having a clear understanding what the timelines with key milestones should be, along with the customer commitments and their particular decision criteria, it’s much easier for sales teams to get through complicated sales processes that require a lot of nurturing and negotiation. Sales leaders in particular play a really key role in the setting up, facilitating and success of these close plans. This can be through training, making sure there are enough resources and generally offering and ensuring there is enough ongoing support on both sides of the sales process. By investing in these, sales directors and managers can increase the opportunities for their teams to execute carefully customized close plans that seal the deals properly.
To maximize the potential of close plans, sales leaders should consider integrating advanced tools like tl;dv into their sales processes. tl;dv offers sales coaching templates and insightful analytics that help create and manage close plans efficiently, ensuring that no step is missed and that customer interactions are meticulously recorded and analyzed.
