MEDDIC is a sales methodology based on qualification for complex (enterprise level) Business to Business sales environments.
MEDDIC was created by Dick Dunkel and Jack Napoli while they were at PTC corporation in the mid 90’s.
Metrics – Quantifiable and measurable results that a customer perceives as valid for his industry/project/initiative (cost savings, increase in revenue/profit, time savings, higher quality) and are used to build the Business Case/ROI.
- Metrics are important because:
- they answer, “why buy anything?”
- Establishes our ability to solve the pain
- Quantifies the pain
Economic Buyer – is the person with discretionary approval to spend.
Decision Criteria – Detail outlining what the customer will want to see before making a decision.
- Technical criteria
- What are the technical MUST HAVES in the customer’s eyes?
- Are these documented? If so, who wrote it
- Who is involved in the technical evaluation?
- Have we met them all?
- Have we met a previous vendor who has been through this before?
- Is there a cut off date by which this needs to be done?
- Commerical/Vendor Criteria
- What are the technical MUST HAVES in the customer’s eyes?
- Are these documented? If so, who wrote it?
- Can we get our criteria into the document?
- Who is involved in this commercial evaluation? Have we met them all?
- Have we met a previous vendor who has been through this before?
- Is there a cut off date by which this needs to be done?
Decision-Making Process – Detail around the process the customer will go through to make a decision ands complete the transaction including how “paper” gets processed in their system
- Route to money
- What is the documented process to approve budget?
- Can you document this as a FLOW CHART?
- Are there specific forms/meetings/milestones?
- How long does each step take?
- How is the decision made? (Committee, One Project Manager, Department VP)
- Who authors the forms? Inks the forms? Handles the forms?
- Do we know all these people? Have we met them?
- What other deals are they trying to get done and where are we in line?
- Can you position our Champion or EB to get us moved up in priority?
- It’s important because:
- It answers Why buy from your company
- Defines who signs the PO
- Defines Requirements – Influence RFP
- Defines THEIR process and milestones
Identification of Pain – The impact of doing nothing (time/cost/risk/revenue) – example
- Do we REALLY understand the PAIN?
- What is the impact of NOT doing anything (i.e. their network fails)
- And the important of their network failing – lost revenue?
- And then the impact of lost revenue – lost customer satisfaction?
- Do we understand the cost of NO DECISION?
- Does our Champion agree?
- Can we magnify the pain and the cost of doing nothing?
- Can we REALLY solve the Pain?
- How have we proved this?
- Does our Champion agree?
Champion – A Champion will answer two crucial questions, “Why do anything?” and “Why buy now?” and will sell for you when you’re not there.
Anthony Lobosco
