Guest contribution by Nils Kretschmar, PSvdL Engineering
For start-ups, the path from idea to successfully selling a product is rarely straightforward, especially in technical or industrial environment.
There are hundreds of tasks, but, especially at the beginning, there are only a few people to carry them out. That’s why it’s important to set the right priorities depending on the development stage (e.g. TRL level). Financing, product development and sales must be balanced.
Although you can only really start selling at TRL levels 7 or 8, you should start gathering interested parties right from the initial idea. Talking to potential customers early on helps you to understand the market, saves time in development and builds trust.
Understanding customer needs
If a start-up wants to understand the market, it must first listen.
- What challenges do potential customers really face?
- How do they take decisions?
- What role do costs, sustainability or legal requirements play?
Those who can answer these questions clearly are laying the foundation for a good value proposition, which forms the basis of any successful product or service.
In practice, there are many types of presentation decks. There is a sales deck for customers, a technical deck for specialist discussions, an investor deck for funding rounds, and much more. Each deck should be tailored to the customer, the problem and the context of the discussion. ‘One size fits all’ does not work here. A deck should always contain the necessary information for its audience.
Customers and investors want to understand the real added value you create, not how complex your solution is. A good sales deck provides the necessary technical details and tells a compelling story about solving the problem. It combines the market, product and team to create a clear value proposition.
Structure creates scale
In technology-driven industries, trust in people or products is usually more important than price. Customers want reliable partners who understand their business. While sales and marketing are important, the product must also be functional and stable. Without a functioning product, even the best presentation is useless.
Sales requires
- patience, presence and continuity – at trade fairs, in newsletters, in webinars or on LinkedIn.
- Visibility is important, as it creates trust and opens doors.
- A professional sales process follows clear phases: lead, sales opportunity, offer.
- CRM tools and structured tables create transparency. They help prioritise activities, evaluate probabilities of success and learn from data.
- It is crucial that sales and marketing work together to guide as many customers as possible through the sales funnel and secure deals.
- Remember that after-sales support is also important. Ideally, customers should become long-term partners.
Know your own value – and market yourself
Many start-ups tend to offer their services for free in the hope of gaining references or trial periods. However, every good product has a value. Working for free at the beginning makes it more difficult to enter the market later on, as price expectations will already have been set.
It is better to test willingness to pay early on using adjusted price levels or pilot models. Feasibility studies or cost estimations can also be monetised or have the customer pay for tests. It is important to always keep your eye on the goal and make conscious decisions about what is important and what price it should have.
The most experienced expert is not automatically the best salesperson. Therefore, responsibility for sales should be organised appropriately within the team. Every conversation with customers brings new insights into the product, better access to the company and information on the decision-making processes for closing a deal. Those who remain open-minded, listen carefully and continue to develop themselves and the product will be more successful in the long term.
Conclusion
For start-ups, sales means mastering the balancing act between financing, product development and sales at an early stage. Those who manage to translate their idea into a clear value proposition, systematically build customer relationships and learn from feedback lay the foundation for sustainable sales success.
About
Nils Kretschmar is the Managing Director of PSvdL Engineering GmbH. With over 20 years’ experience in the energy industry, the M.Sc. in Energy was previously Head of Sales at Open Grid Europe (OGE). He is passionate about sales and the transformation of the energy and hydrogen economy. As a start-up coach with a focus on sales and engineering, he supports young companies in successfully establishing their technologies on the market.
PSvdL Engineering combines technical consulting with engineering expertise in the energy sector. They provide support in energy consulting, subsidy consulting and planning services – from natural gas concepts and hydrogen systems to underground cable projects. As a partner for demanding energy projects, PSvdL Engineering accompanies their customers through all phases – from the initial idea to implementation.