Expert: Companies need more sales leadership

«Especially in difficult economic times, sales play a key role in a company's success,» says interim manager Eckhart Hilgenstock. Nevertheless, sales potential is being neglected in SMEs due to a lack of leadership in business development. In all of his assignments, he succeeded in increasing sales by 20 percent or more.

Eckhart Hilgenstock: Sales leadership as the number 1 sales lever Source: zvg

«Especially in difficult economic times like the ones we are currently experiencing, sales play a key role in a company's success,» says interim manager Eckhart Hilgenstock. Nevertheless, the sales professional knows from his experience of working in medium-sized companies that sales potential is being neglected in large parts of the SME sector due to a lack of leadership in business development. «In all cases, we succeeded in increasing turnover by 20 percent or more,» he reports from his personal experience as a temporary manager.

According to his observations, the most common mistake is that companies use AI in sales and automatically expect it to generate more turnover. Eckhart Hilgenstock clarifies: «Sales are generated through leadership, AI is just a tool for analysis and acceleration.» He says: «The number one sales lever is not artificial intelligence per se, but sales leadership paired with AI. There is also a fundamental human component, namely trust. Despite all the technology, we must never forget that sales are generated by people whom customers trust.»

Focus as the basis for growth

In second place on the list of mistakes in business development, the sales expert sees a lack of focus on the part of companies. «Many companies treat all customers the same, and that is a major shortcoming,» says Eckhart Hilgenstock. He refers to the Pareto principle, according to which around 80 percent of sales and, above all, the profit margin is generated by around 20 percent of customers. «The figures are slightly different for every company, but the basic principle always applies,» is his experience. At the same time, he clarifies: «There are also unhealthy Pareto ratios.» In the industry, for example, up to half of turnover is sometimes attributable to less than five percent of customers. «That represents too high a cluster risk,» warns the interim manager. He points to the automotive supply industry as an example, where such a focus on a few major customers is not uncommon. «These companies suffer massively from the car manufacturers» weak sales,« he knows from project assignments. His advice: »Companies that have such a cluster risk in their customer base should focus their business development primarily on new markets."

Prioritization is a native management function

Artificial intelligence plays a key role in focusing on profitable customer groups or new markets. When it comes to identifying high-margin segments, the interim manager categorizes the role of AI in the sales process. «Data-based segmentation and potential analysis is basically part of the basics of modern business development, but is criminally neglected by many medium-sized companies,» Eckhart Hilgenstock wonders. The result: sales teams often distribute their resources evenly across all market segments, «with correspondingly low margins». Conversely, the «targeted allocation of sales resources leads to higher profitability with the same effort», as he knows from practical experience. Eckhart Hilgenstock: «Prioritization is a native management function that every sales manager should master. In addition to market and customer segmentation, this also includes differentiating between »urgent' and 'important', as this often marks the dividing line between mere employment and actual productivity. These are all management tasks that AI cannot take over."

Companies fail to recognize the growth potential of existing customers

According to Eckhart Hilgenstock, another common mistake is that companies neglect their existing customers as a growth driver. «Cross-selling and upselling are a completely underestimated lever for more turnover and more profit,» he says, «existing customers are the best growth driver.»

Artificial intelligence can also play a key role here by recognizing purchase triggers and demand windows. AI models for purchase probability are used for this purpose. Put simply, the customer is always offered the product that they are most likely to choose («next best offer»). Studies show that existing customers are on average five to seven times more likely to make a purchase than new customers. «Systematization rather than chance is the key to success in growing business with existing customers,» says the sales expert.

In his experience, many companies overlook this: The basis for growth in the portfolio is often already available in the CRM system. «There are now numerous AI features for all current customer relationship management programs to evaluate the existing database,» says the sales expert, encouraging the use of these functions. Cross/upselling recommendations, next-best-action suggestions and churn predictions (probability of existing customers leaving) are part of the standard repertoire of modern AI/CRM combinations.

Eckhart Hilgenstock has made the following experience during his company assignments: «When I explain to the sales team the potential in the CRM system that can be leveraged with AI, their eyes usually open wide. As soon as it becomes clear how AI can be used for their own success, the enthusiasm is huge. Triggering this enthusiasm is basically a classic management task.»

Sales pipeline instead of gut feeling for more precise planning

«Turnover can be planned,» explains Eckhart Hilgenstock, «but not with a gut feeling, but with precise pipeline control.» He knows from practical experience that sales forecasts are often the result of wishful thinking rather than being based on realistic assumptions. «Many forecasts are created under pressure and are pushed upwards in order to initially meet expectations,» he says, «but as soon as it becomes clear that the forecasts remain unattainable, the situation becomes all the more drastic.» He refers to studies according to which around 80 percent of companies miss their sales forecasts by up to 30 percent. As a remedy, the sales professional advises AI-based predictive sales forecasting. This involves using artificial intelligence to analyze real leads from the sales pipeline in order to evaluate the probability of closing deals and identify risky deals at an early stage. The result: optimized resource planning, better forecast quality and a higher closing rate thanks to realistic prioritization.

Lead qualification often insufficient

Eckhart Hilgenstock has identified inadequate lead qualification as another frequently encountered shortcoming in business development. «Sales often wastes far too much time on the wrong leads instead of focusing on deals with a real opportunity,» he has found. Here too, AI can play a key role in improving the conversion rate, i.e. converting sales leads into actual customers, for example through lead scoring and intent data.

Scoring evaluates the probability of closing a deal based on factors such as demographics (e.g. company and position) and behavior (e.g. website visits or downloads). Intent data, mostly used in the B-to-B sector, shows who is actively researching and thus makes it possible to address companies with current purchasing intentions. In most cases, social networks provide numerous behavioral signals that allow conclusions to be drawn about thematic interests, decision-making proximity and specific problems.

«The range of business development options available today for comparatively little money is broad, but most companies remain stuck in their traditional sales channels,» Eckhart Hilgenstock wonders. He recommends «more leadership and more decisiveness to try out new approaches». In his experience, artificial intelligence is a key to greater success. «But ultimately, sales are not generated by technology, but by its consistent implementation,» he says, «AI accelerates, but it does not replace leadership.»

Eckhart Hilgenstock is one of the most sought-after interim managers in Germany. Companies regularly bring him on board as a temporary manager when it comes to profitable growth and sales as well as digitalization and the use of AI in organizations. «Eckhart Hilgenstock is regarded as a role model in the industry,» WirtschaftsWoche wrote about him. He gained his experience as General Manager EMEA Sales Global Accounts at Microsoft and previously as Managing Director DACH at Lotus Development and IBM Germany. Eckhart Hilgenstock is a member of the Diplomatic Council, a global think tank with advisory status at the United Nations (UN) and author of the book «KI-Einsatz in Unternehmen: Opportunities, Risks, Successes» (ISBN 978-3-98674-114-3), published by the think tank's publishing house. He is one of the authors of the highly regarded «United Interim Economic Report 2025». The Diplomatic Council Future Academy has awarded him the title «Top Interim Manager 2025/26».

https://hilgenstock-hamburg.de

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