Sustaining a business isn’t merely about maintaining stability; continuous growth is essential for survival. Savvy business owners recognize this reality, employing business developers to explore vast opportunities while the sales team focuses on acquiring new clients and managing contractual aspects. Bringing along a business developer can be a wise step in your business and marketing strategy.
The core function of a business developer is to create revenue growth and to help companies expand. They accomplish this by identifying new business opportunities, opening up new markets, creating new partnerships, finding new ways to enter existing markets, and introducing new products or services to meet the demands of those established markets.
However, there are several reasons for recruiting one.
•First, how do you scope out the volume of work and time you would need to have a business developer help you?
•Second, what are they supposed to do in your company?
•And how do you ensure you know what they are supposed to do in your team?
Let’s tackle these questions one by one.
What does a Business Developer do?
Business Developers are often hired by companies in various industries to help them achieve their business goals. With their knowledge of sales and other business capabilities, they develop new ideas that help a company move forward into the future in its industry.
Their job entails conducting thorough market studies and analyzing their company’s current products and services with the intention of introducing any changes that will increase customer involvement.
Business Developers also travel to negotiate client contracts across different states or countries, trying to get new business partnerships.
Their daily activities are:
Meeting with clients
Business Development Managers (BDMs) initiate client interactions, often through in-person meetings or virtual sessions like video calls and business meals, constituting a significant part of their daily routine. They spend their week engaging with individuals, arranging future meetings, showcasing products/services, and enticing potential clients before passing them to the sales team.
While the sales department also holds many meetings, they are mainly interacting with clients who have been initiated by BDMs. Depending on the company’s structure, it is usually the salesperson who will close deals and sign contracts. Then, the account executive will handle the long-term client relationship.
Prospecting
Cold calls and emails are a basis for the sales. Setting up client meetings involves heavy emailing, with most going unseen or unread. The sales team and BDMs use emails, messages, and calls to ensure quick turnaround times on queries and doubts of clients. Another step would be having a public presence, like a LinkedIn profile, where they can apply social selling techniques.
Researching potential expansion opportunities
Business developers are always scouting for new markets to expand the business. Market research, in this respect, involves PEST(LE) analysis or Political, Economic, Social, Technological, Legal, and Environmental factors. Such an analysis helps BDMs outline potential clients.
The sales force, working under this umbrella, start contacting the customers. They also conduct customized research customer by customer to tailor the offers according to the needs.
Reporting to other stakeholders
Business development and sales will work together and report to upper management for bigger decisions.
Reports are reviewed regularly, often standardized, and include Key Performance Indicators (KPIs). Managers meet the sales team to discuss progress and goal achievements. BDMs present results to upper management, illustrating the realism of their sales forecasts.
Must-have skills for Business Developers
He will be resilient, curious, emotionally intelligent, and adaptable. But on the technical side, each of the skills below will lead to the Business Developer being able to differentiate his strategic positioning in understanding industry dynamics, communicating ideas, and driving business growth through strategic planning and execution.
B2B sales demonstrated ability
This ability indicates the know-how of a Business Developer with the complexities of B2B sales. It is an essential prerequisite for finding, cultivating, and closing deals in business environments where there are interests in long-term relationships and convoluted structures for making decisions.
Knowledge of project management methodologies
Knowledge of project management methodologies helps to design and deploy strategies efficiently. This involves the successful accomplishment of the plans and activities of an action plan that aligns them to the organization’s goal.
Familiarity with the industry, including equipment, logistics, and supply-chain management
Industry knowledge is crucial for Business Developers. Understanding the industry landscape, equipment, logistics, and supply-chain management allows them to tailor solutions that fit client needs and industry trends.
Problem-solving skills to propose mutually beneficial solutions
Identifying challenges and proposing innovative and mutually beneficial solutions is critical. It enables Business Developers to overcome hurdles, satisfy client requirements, and forge strong, sustainable partnerships.
Proficiency in necessary software
The knowledge of documentation tools, spreadsheets, and word processing allows making effective presentations, reports, and proposals. The thought, data, or strategies become clear to the client as well as to internal stakeholders.
Ability and willingness to participate in meetings with potential and existing clients
Being prepared to travel for meetings with clients showcases commitment and dedication. Directly interacting with clients promotes trust and fosters relationships. Those are essential to developing and maintaining a successful business partnership.
Excellent verbal and written communication
Effective communication is the base of relationship building. Business Developer requires this ability to express ideas, negotiate deals, and maintain clear professional communications with clients and stakeholders.
Education and experience
Typical candidates for Business Developer jobs will have a Bachelor’s degree in business management, industrial technology, or other related disciplines.
However, experience in past working jobs is often an ideal substitute for formal education. In addition, non-degrees, like certifications as a Business Relationship Management Professional or a Certified Business Relationship Manager from the Business Relationship Management Institute, are highly valued credentials.
Most of a Business Developer’s training is acquired by doing the job while working to gain experience in sales and business development.
Those applicants who have earlier experience in B2B sales with proven history of meeting their sales goals.
Also, previous experience in project management, industrial technology, supply chain management, and logistics defines an eligible candidate.
Experience in any particular industry also helps Business Developers succeed. Also, management skills developed during other management assignments are particularly appreciated.
Other uses of Business Development
In essence, business developers are widely applicable across most industries since their skills in terms of sales, strategic planning, building relationships, and analyzing the market are major aspects in the growth, development, and success of businesses. Therefore, business developers’ skills apply in diverse industries and areas, with some of these including:
•Corporate sector: Business Developers are a necessity in the large corporations, which help the corporations generate revenue, find new markets, and develop partnerships.
•Technology industry: Within the tech industry, Business Developers assist with creating strategic alliances, finding prospective customers, and increasing market penetration for the sale of tech products and services.
•Manufacturing and industrial industry: This includes identifying business opportunities, the improvement of the supply chain management, as well as partnership building between manufacturing and industrial industries.
•Health Care Industry: Through establishing cooperation between health providers, contracting terms, and also presenting novel ideas, business developers play an essential role in that field.
•Financial institutions: Here, business developers expand portfolios by developing strategic cooperation with financial companies and introducing fresh financial services or products.
•Retail and consumer goods: They help expand the market, find consumer trends, and build relationships in retail and consumer goods sectors.
•Consulting firms: Business Developers assist in acquiring clients, building relationships, and increasing the consulting firm’s service offerings.
•Non-profit organizations: Even in non-profit sectors, business developers assist in securing funding, establishing partnerships, and expanding the organization’s reach and impact.
•Startups and entrepreneurship: They assist startups in market entry strategies, partnership development, and scaling operations.
•Real estate and construction: In these sectors, business developers help identify investment opportunities, negotiate deals, and form partnerships for development projects.