Since the 1950s, give or take a few blips (we see you thalidomide crisis), the biotechnology, life science and pharmaceutical markets have been serving up an dynamic landscape and increasingly competitive marketplace. There’s a boom of start-ups and spinouts like never before. In fact, in the UK, life science start-ups are appearing at almost double the rate compared to 10 years ago.
This surge in entrepreneurial activity makes for an exciting time in the life sciences as start-ups harness cutting edge technologies and scientific breakthroughs to transform our world. We’re seeing novel therapies like mRNA vaccines that can treat stubborn cancers, new methods for making longer, more complex, more accurate synthetic DNA and just about everyone harnessing the power of machine learning and artificial intelligence.
But with an earthquake of start-ups is followed by a tsunami of competitors in every niche – making it not just an exciting time for innovation but an exciting time for sales people too.
You're never safe
It’s generally understood that biotechnology and life science companies are risky business. Innovation, whether that be in scientific technology or pharmaceuticals, takes time and money. But it’s been a particularly bad year for biotech with more companies filing for bankruptcy in 2023 than any year since 2010.
And it’s not just start-ups that fail.
Long-standing businesses aren’t immune from fresh competitors snapping at their heels and making dents in their sales figures. Take Xerox, the very first to invent the PC. In 2018, after 115 years in business, Xerox ceased to exist. Xerox had a lot of technical knowledge, invented the PC, the ethernet, and the graphical user interface. Yet, when its copying system patents expired, it lost 95% of its customer market.
One of the main reasons for their failure was the increasing competition from Japanese companies, who were selling products at a lower cost and with better quality. A failure to react quickly to the competition and adapt their strategies was one of their major failings – and not one their alone in.
“I see it time and time again. Businesses who have enjoyed the lion’s share of the market, with little to no competition, suddenly find themselves in turmoil. A rival company has launched a competitive product. It’s modern. It’s cheaper. And it’s sexier. Sales teams who have long reveled in the ease of a monopoly have suddenly landed in the world of competitive selling – and they’re not prepared." – Pru Layton, Senior Trainer at george james ltd.
The painful truth is that good technology, or good science for that matter, doesn’t guarantee success.
Invest in your sales team
If you’ve enjoyed the luxury of the easy sell, chances are your sales people haven’t refined their sales skills and it can be particularly disheartening when they find themselves losing out to a competitor. On the other hand, if you’re a start-up, your company is likely packed full of technical prowess but might be limited on the number of people who understand sales. It can be difficult to know you have a great product but the buyers aren’t flooding in.
Investing in your sales team should be high on your priority list. Ensuring they understand how to differentiate their product from competitors and have the skills to adapt to a new, competitive landscape is ultimately what keeps the deals on the table.
Discover sales training specifically for science organisation’s
Know your market
You’ve been in the game for a long time so you think you know you’re market like the back of your hand? You’ll need to know it better if you want to find your sweet spot.
Whether you’re an old hat or fresh in the game, there will inevitably be customer profiles that fit your product or service perfectly. The further away you get from these customers or applications, the harder the sell will be. So why make the sale more difficult than it needs to be?
Take the time to fully understand your target market and put together an ideal, best, or perfect customer profile. It will show you where you are most likely to win sales and thus, how to invest your time wisely.
Pru explains “When I was selling graphite furnace atomic absorption spectrometer (GFAAS) – an instrument used to measure or quantify elements at trace and ultra-trace levels – our competitor brought out a new feature. It was a little camera that checked that the autosampler dispensed the sample correctly. Our system just used a little dental mirror.”
“The camera was analytically pointless but fantastic for demonstrations. Thus, it was also great for teaching labs so I knew we wouldn’t win here. By identifying this, I was able to give more time to sales opportunities where we would be more likely to win.”
“The lesson? Stick with your core, don’t work on the periphery, and your sales figures will thank you”.
Keep your competitors close
Your competitors aren’t just going to go away.
Knowing your competitors business, their product or service, and their differentiators is essential if you’re going to best them. If you know your competitors well, you won’t be panicked or flustered when a prospect raises they’re advantages with you. In fact, you’ll be prepared to counter, minimise or deal with it – preferably with proof!
“It’s perfectly fine that your competitors have elements to their product or service that sound more attractive than yours. It’s more than likely you offer benefits that are better than theirs. Think about how you can maximise your unique selling points,” says Pru.
Objection, objection
There’s no doubt about it, in a more competitive marketplace you’re going to face more objections. Good competitors will plant seeds of doubt about your product or service in the prospects’ mind – and prospects are likely to raise these with you during sales conversations.
Handling these objections can be a daunting prospect for many sales professionals but it’s all part of a normal, healthy, positive sales process. Identifying what objections you may face, and being prepared with how you can overcome them will set you up for success.
Hint: price objections always come up.
Find the fun
“Winning in a competitive marketplace is so much sweeter than simply order taking” says Pru. It’s like the feeling of watching your team win after a hard fought sports match. Or reaching the summit of a mountain when you’ve worked your legs and your lungs to their limit. The victory is sweeter when it’s hard fought.
Pru explains “As a sales professional, we have to enjoy competitive selling. If you go into a sales conversation defeated, your prospect will feel it. You’re the person who makes the difference. How you speak and interact with prospects is your business’s biggest asset.”
Don’t be like Xerox
Xerox didn’t keep pace with the competition and folded for it. Training your sales team helps them stay on top of their sales game – and ready to adapt to any curveballs your competition may throw. Our tactical selling skills training course will teach your team the fundamentals of complex sales, selling successfully in a competitive marketplace, handling objections, and much more… so your organisation won’t end up like Xerox.
Have a question about one of our services?
Not sold on sales training quite yet? If you want a little more information or just fancy a chat about our services, fill in the contact form or send us an email training@georgejamesltd.com and we’ll get right back to you.
Or sometimes it’s easier to just pick up the phone and give us a call on: +44 (0) 1494 867655