5 Key Differences Between SMB and Enterprise Sales Cycles
July 17, 2023
Share this post
Selling to small and medium businesses (SMBs) versus large enterprises requires different approaches due to their distinct characteristics and buying behaviors. Understanding these differences is essential for creating an effective sales cycle and maximizing conversions.
Here are five key differences between SMB and enterprise sales processes:
1. The Purchase Sequence:
- SMBs often make spontaneous, urgent buying decisions based on the judgment of a single decision-maker, typically the CEO.
- Enterprises have a more organized purchase sequence involving multiple decision-makers. In a typical B2B organization, approximately 6.8 workers on average play a role in the purchases process.
2. Sales Cycle Length:
- The average sales cycle for SMBs is about three months, while enterprise sales cycles take approximately seven months due to their more complex buying procedures and larger budgets.
3. Sales Skills:
- Enterprise sales representatives need strong persistence, one-on-one communication skills with C-level employees, and deep industry knowledge to address objections and build long-term relationships.
- SMB sales representatives should focus on adapting quickly to conversations, paying attention to details, and using a high-touch approach to close deals at a faster pace.
4. Client's Pain Points:
- SMBs prioritize solutions to immediate needs, such as securing stable business growth and increasing team productivity.
- Enterprises focus on long-term goals, addressing pain points related to expanding market share, improving business strategy, and increasing investment returns.
5. Communication Strategies:
- For SMBs, a combination of outbound and inbound tactics, including paid and organic search, is effective.
- Enterprises require a more targeted outbound approach with multiple touches to break through the noise and deliver relevant messages.
Aimoring one's product campaign and revenue-generation approaches at the custom demands and traits of smaller companies as well as big corporations allows for a sales sequence adjusted to every marketplace and increased gains in every area. Remember that SMBs and enterprises are distinct entities with different priorities and requirements, so adapting your approach accordingly is crucial for success.