Definition of MEDDIC Sales
What does MEDDIC stand for?
MEDDIC is the most renowned Sales Qualification Methodology, applicable to any Enterprise Sales Process which is rather complex. The definition of MEDDIC is the acronym it represents, composed of six elements. They represent the MEDDIC checklist as described below:
- METRICS: Measure the potential gain leading to the economic benefit of your solution vs. competition.
- ECONOMIC BUYER : Identify and meet the person who has the ultimate word to release funds to purchase.
- DECISION PROCESS: Know and Influence the process defined by the client to make purchase decision.
- DECISION CRITERIA: Know and Influence the criteria defined by the client to make purchase decision.
- IDENTIFY PAIN: Identify and Analyze the pains which require your solution to be relieved.
- CHAMPION : Identify, Qualify, Develop and Test your Champion or your Internal Seller.
In a nutshell, MEDDIC tells you that if you do the above in any complex B-to-B sales campaign, you win the sale.
What is MEDDICC (with a 2nd C)?
MEDDICC, with two Cs in the acronym, is meant to add the Competition. Obviously knowing your competition and strategizing your account plan based on who you are competing with is absolutely a must. But is MEDDIC without that second C incomplete? Or does it mean you are ignoring the Competition? Absolutely not! As a matter of fact “Competition” is inherently present in every action you engage in the account. In fact, some MEDDIC elements such as Metrics and Decision Criteria would not make sense if you don’t refer to competition. Adding “competition” to your checklist would be like adding the “Purchase Order” : hey don’t forget asking for the PO. (humor).
Where do we cover the Competition?
Metrics are, by definition, a comparative measure of benefits, obviously compared to the competition (which could be the incumbent system or the non-decision). Metrics forces the seller to consider competition.
During MEDDIC courses, at MEDDIC Academy, one of the key concepts you learn is how to link a set of decision criteria to a vendor, whether it’s one of your competitors or your company. Decision Criteria is also another element forcing sellers to consider competition. Are the decision criteria in your favor or in favor of one of your competitors? Is the playing field tilted?
Now if you think you may forget the competition, and feel better referring to MEDDIC as MEDDICC, with a second C, then you are very welcome to do so. It definitely does not hurt to emphasize that we need to know the competition, know what their weaknesses and strengths are, and most importantly who is their champion.
Definition of MEDDPICC
MEDDPICC emphasizes the paper process. Sellers need to understand the process through which a purchase request has to go inside that company for such a deal, and executing accordingly. Anyone with experience in complex enterprise sales knows that interactions with legal department or purchasing could be a nightmare if they are under-estimated. Especially since these interactions are at the end of the sales cycle and the deadline for the PO may be compromised whether it is the end of quarter for the vendor or the implementation expectations for the client. These issues take time to resolve, often leading to a delay in the purchase order. It is absolutely necessary for the Account Executive to understand the “paper process” and anticipate the issues. For instance you can avoid those issues by sharing your company’s standard contract or TOS earlier in the process.
Some would tell that the paper (purchasing and legal) process is part of the decision process, just like the technical approval process and business approval process. Well, the difference is that very often, the champion knows very well the technical and the business process all the way to the approval by the EB. But they don’t always know the paper process themselves. That’s why it does make sense to add it to the checklist to make sure we understand it, and that our champion understands it and we adopt a proactive approach with Legal & Purchasing departments to avoid any delay in the PO.
How did all this start?
MEDDIC & MEDDPICC ares the result of the Sales and Qualification techniques developed at PTC (aka Parametric Technology Corp.). PTC is a software company known for having built one of the strongest sales cultures in the context of Enterprise Software (now SaaS). The company had over 40 quarters of continuous growth during the 90s. The initial Global Sales Management team at PTC developed different elements of MEDDIC in the field. Later, PTC training managers at the headquarters in Boston leveraged the best practices in the field. They put them together in a formal practice course for new hires and gave it a name.
How did MEDDIC Academy start?
MEDDIC Academy’s founder, Darius Lahoutifard, was a member of that initial international sales leadership team at PTC. He took PTC Southern Europe from $4M to $27M in 3 years, beating the main competitor (which was and still is Dassault Sytemes) in their own fiefdom (Dassault is a French company). As anecdotal note, although Darius’ team was able to beat Dassaut in their own home market, Dassault was, and still is, the only vendor that PTC never managed to beat globally (in terms of revenu, market share, head count, etc…).
Darius naturally contributed to the elaboration of MEDDIC and showed example of execution. He later practiced it in his career including his sales leadership roles at THINK3 and Agile/Oracle among other companies. Darius made the first publications regarding MEDDIC and MEDDPICC later in his career. He is also the founder of MEDDIC Academy. It is the first (and as of 2020 still the only) online educational platform. MEDDIC Academy offers on-demand online, instantly available courses. It also offers VILT programs, live online workshops, as well as in-person trainings and workshops globally.
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