January 13, 2020

Why is Growth some damn hard!

  It is sad but true, that your opinion of yourself is rarely the same as others opinion of you. The same goes in business and […]
July 28, 2019


For many company’s growth can be just a lovely wish with no real hope of success but for some it is an unforgettable ride which is […]
June 12, 2019

Is your growth strategy sitting in your laptop?

Salesforce.com just acquired Tableau Software for $15.7 Billion, well big deal you might say but what does it tell you about the value of sorting and […]
June 12, 2019

The budget for Business Development is gone!

I have a wage bill of $100,000 per month for BDM’s who don’t even return half of that amount in new business.  As a result, my […]
April 28, 2019

Politicians Segment so why don’t Business Developers?

  Australia is in the middle of an election and as much as it is pretty boring the strategy to win can teach a lot to […]
August 14, 2018

Can you really fix the plane when flying or is it myth?

How many boardrooms have you been in when everyone agrees that you will have to fix the plane whilst in flight, in other words there is […]
January 25, 2018

Organic Growth is Possible and Imperative

I see sales targets being missed, I see a steady progression of new Sales Directors and new BDM’s with no change in the outcomes, I see […]
January 25, 2018

Just keep making calls stupid!

“Call quantity is everything”, said the team leader as s/he walked the floor in front of the new recruits. “The person who makes the most calls, […]
January 25, 2018

You can’t invent a sales culture!

Let me take you back to the mid 70’s with John Smith starting his first day of work. John has just landed a role as an […]
January 25, 2018

Why for most the BDM model is failing!

All companies need new clients and the use of BDM’s has been a successful strategy for many years, but that has changed. We see multiple BDM’s […]
January 25, 2018

The reality for BDM’s working in “IT”

The failure rate of BDM’s working in the IT industry in Australia is extremely high and that cost has to be recouped somewhere so it ends […]
May 9, 2017

I want you to pay me to sell to you

Imagine paying someone to sell you their products not just once but every month, they come to your office, drink your coffee and tell you tailored […]
May 4, 2017

Why employing BDM’s no longer makes sense

Business need new clients to grow and the traditional model of employing a BDM has served many companies well for a long time. However, strategies change […]

Imagine paying someone to sell you their products not just once but every month, they come to your office, drink your coffee and tell you tailored stories to get you to buy more products. This is an outrage you cry, well welcome to the world of Account Management or to be more accurate Commercial Account Management.

Commercial Account Managers carry new business growth targets within your account and on average they are paid 5% commission of the Gross Profit based on how good they are at getting you to spend.

So if you think that is an outrage how about the sales person also having their snout in the trough by convincing you that their product or service will solve all your problems? Also being paid around 5% of total contact gross profit to tell you what they want you to hear. So if I do the maths you are paying 10% of Gross profit added to the cost of your service just to get people to sell you product so they can make commission.

Are you feeling angry yet, well you should!

There is an expression in Business Development, “you can only sell what is on the truck”. Very few sales people can actually give you unbiased advice because, you guessed it that can only sell what’s on the truck. For example if in “IT” I tell you that public cloud is not right for your workloads and that you need to be with a private cloud vendor what does that mean. Option one is I just gave you some great advice to help your business or option two is I just gave you some great advice to help my business. The reality is the foundations of Business Development and Account Management is you get advice to help their business not yours.

There is an answer to how do you get off this merry go round of being played, it’s called a consultant. Now don’t get me wrong there are good consultants and not so good consultants but a good one will tell you what you need to hear without bias. They will understand your business needs and match that with products or services that suit. They can even help you choose the right company to support you and even more they can get you a better deal by demanding you do not pay sales costs or Commercial Account Management fees.

A new type of consultant is emerging a consultant that enlightens you, helps you find the vendor. Helps you manage that vendor and all for a disclosed fee of roughly half that you current pay to be sold what is on the truck.

Dealing directly with the supplier of the service may not be getting you the advice you need.

The world of buying product and services is changing, intermediaries will grow and grow and grow as companies refuse to pay for the costs of sales people and Commercial Account Managers being added to their monthly accounts.

Mark Hood


Australian IT Market Place