Unleashing Success: The Ultimate Sales Strategy to Conquer the AI Market!
The Sales Strategy Conquering the AI Market
What happens when technology evolves faster than your sales process can adapt? The last fifteen years have seen startups focused on building software around well-understood processes. We constructed an assembly line for software sales, from SDR to AE to customer success manager, calculating ratios and driving the factory toward improved yields. However, AI is upending all of that.
The underlying workflows are changing so quickly that software buyers no longer know what the ideal processes are, much less which software is best for their needs. Model capabilities have evolved at tenfold improvements every two years. Users are grappling with how to take advantage of these advances, while boards are pressing teams to adopt AI.
This combination of factors has led to a reinvention of customer success: the forward deployed engineer (FDE).
Who Are Forward Deployed Engineers?
Forward deployed engineers are the new customer success managers and solutions architects. They work closely with customers to understand their business challenges and leverage technology to deliver solutions—essentially selling usage and outcomes.
- As buyers seek education and understanding, the necessity for educated FDEs grows significantly.
- The pace of technological advancement is faster than many organizations can keep up with, creating a demand for specialized knowledge.
The Emergence of New Models
Companies like OpenAI and Anthropic have recognized this trend, offering consulting services and creating specialized enterprise implementation teams. Palantir pioneered this model with the insight that succeeding with a software platform now involves delivering tangible outcomes.
However, the costs often don’t justify staffing an FDE for smaller contracts. The math simply doesn’t work when one considers a $200k FDE for a $10k contract. Thus, organizations targeting mid-market and enterprise software need to rethink the financial metrics involved in customer success.
Transforming Sales and Marketing
Forward deployed engineers take core AI platforms and customize them, identifying new ways to streamline sales and marketing. For instance, combining efforts from marketing and engineering teams into roles such as agent managers is becoming commonplace.
Moreover, the future customer success managers will need to be tech-savvy to code and configure new platforms to deliver results. Their capacity to adapt and innovate will be crucial in an era where customer expectations for value delivery are shorter than ever.
Benefits for Business
- Enhanced Customer Engagement: FDEs provide personalized support that resonates with customers, improving retention and satisfaction.
- Optimized Sales Processes: Streamlining sales efforts using FDE insights can lead to more effective conversions.
- Increased Revenue: With better customer retention and optimized conversions, businesses can expect a rise in revenue.
Expected ROI from Benefits
- Time Savings: FDEs streamline communication and reduce the time spent on troubleshooting, leading to potential savings of 20-30% in operational costs.
- Revenue Growth: By effectively aligning sales strategies with customer needs, businesses can aim for a 15-25% increase in annual revenue through repeat business.
- Improved Customer Lifetime Value: Companies may see an increase in customer lifetime value by 30-40% due to higher engagement levels.
Actions for Implementation
To capitalize on these benefits, businesses should:
- Invest in training for existing staff to transition into FDE roles.
- Partner with AI specialists to tailor solutions according to customer needs.
- Revise sales strategies to focus more on value delivery rather than just transactional sales.
Conclusion
The integration of forward deployed engineers into the sales process represents a significant shift in how businesses approach customer success in the rapidly-evolving AI landscape. As companies adapt to these changes, they can expect enhanced engagement, optimized processes, and a greater return on investment.
Ready to redefine your customer success strategy with forward deployed engineers? Schedule a consultation with our team today!
