Sales Masterclass 5: The Playbook for Successful Demo Meetings

Learn the key steps before, during, and after a demo - and common blunders to avoid. Featuring Shunit Lax-Swisa.

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Episode highlights:

Demo meetings are highly coveted in the startup world, second only to meetings with VCs. Success is a major step towards net new logos; repeated failure can doom your company. 

Demos are a prime opportunity to present their product in all its glory. But a demo is more htan a product showcase; it's a strategic step in a larger dance, where discovery calls unearth the prospect's pain points, qualification ensures alignment with your startup's capabilities, and only then does the demo take the stage. Success here paves the way to a proof of concept or trial and closing the deal if all goes well. 

This masterclass guides you to a structured approach to nailing that demo meeting and executing an effective POC. Let's dive in.

What you’ll learn:

• Integrating demo meetings into your sales strategy

• Key steps before, during, and after a demo meeting

• Crafting an effective POC

Meet the expert: Shounit Lax-Swisa is an executive strategy, marketing, product and presale leader with proven success in establishing a lasting presence in new markets, identifying growth opportunities, positioning core competence, innovative directions, and initiating strong business alliances. 

The Basic Rules Of A Successful Demo Meeting

Often, in the whirlwind of startup activities, founders can lose sight of the true purpose of a demo meeting. It's about continuously validating your product's fit with your prospect. Even after a thorough discovery call, the demo will give you deeper insights into an organization's internal dynamics and specific needs. It's also your chance to fortify trust with your potential client.

In these meetings, you must present your product in a way that resonates with what the prospect is eager to understand. Link their pain points directly to your features, painting a picture of a future where those pains are effectively addressed (See our previous masterclass: 4 Pillars of Successful Startup Sales). Resist the urge to overindulge in self-praise, which can be a cultural faux pas—particularly noticeable in the contrast between Israeli forthrightness and American perceptions of modesty.

The key is to engage in active listening. Aim to speak only half the time. Use the rest to listen, adapting your demo on the fly to address the prospect's concerns. This approach means that no two demos are identical, as you're not reciting a fixed script but rather composing a response tailored to the live feedback you're receiving. Use the insights gained to guide the prospect to the following steps and steer the conversation towards your objectives.

Preparing for a Demo

Contrary to the common Israeli approach, improvisation isn't the most effective strategy here. Preparation is key to ensuring your demo meeting reaches its goals.

Firstly, set the stage for a successful meeting by sending out an agenda in advance and reconfirming the meeting's schedule. This increases predictability, boosts engagement, and helps reduce the likelihood of no-shows. With these steps, you're not just prepared; you're setting the scene for a demo that delivers results.

Then, understand the prospect's pain points. Even if you've conducted the discovery call, revisit your notes. A second look might reveal new insights or refresh your perspective.

Next, research the individual you'll be meeting. Utilize resources like the company website, LinkedIn, Instagram, and Facebook to gather as much background information as possible. You're looking for any details that might help forge a personal connection. Does this person have a passion for innovation? Are they data-driven? Identifying common ground with your product can be priceless.

Before the meeting, outline your ideal next steps, whether moving to a POC, scheduling a follow-up with their purchasing committee, or sending a quote. This plan should be aligned with your sales strategy.

Demo meetings are typically scheduled for an hour and can sometimes encompass the discovery phase, which is typical in SaaS sales. Nevertheless, aim to keep the actual product presentation concise—no more than 7-10 minutes, and don't be afraid to cut the meeting short. A well-tailored presentation will briefly demonstrate the key features relevant to the client's needs.

Demo Day Dynamics

Every founder and salesperson will have their own approach to sales and their formula for telling their product or company’s story. However, here too you should have clear objectives that go are more specific than “get the sale”. Here are some bases you want to hit in the precious ±60 minutes you get with your prospect:

• Refine pain points: The day of the demo is an extension of the discovery process. Take the opportunity to validate your understanding of the client's pain points. Are the issues you're addressing genuinely their primary concerns? Refine and adjust your pitch as needed.

• Develop a personal connection: Start the conversation on a personal note. People appreciate when you show interest in their experiences and challenges. Allocate 10-15 minutes for an open, human conversation. This makes the prospect feel valued and builds trust and receptivity towards your product.

• Narrate the pain: Kick the demo off with a narrative that expresses the client's pain point, then transition into how your product can make that pain point a thing of the past. A story illustrates the tangible benefits of your solution in a relatable way.

• Elicit genuine feedback: It can be daunting to seek honest feedback, especially when the product is your brainchild. Nevertheless, you must leave the meeting knowing whether your product truly addresses their needs and is considered essential within their organization.

• Plan the follow-up: While it might be tempting to set up a trial account and hope for the best, a more hands-on approach would work better. Facilitate the prospect's journey to the next step without being overbearing. Before concluding the demo, schedule a follow-up meeting and agree on the forthcoming actions with the client. This ensures momentum and clarity in the sales process.

Post-Demo Protocol

After the curtain falls on your demo, you’re still nowhere near done - in enterprise sales, there are going to be many additional touchpoints before you can move the opportunity to Closed Won. 

Your primary task at this stage is ensuring the agreed-upon next steps occur. It's only sometimes straightforward or doable - deals can and will fizzle out at this stage, for a thousand different reasons - but you must do everything in your power to increase the odds of having a next meeting:

• Send meeting summary: Summarize key discussion points within 24 hours of the demo. This keeps the engagement alive and demonstrates your professionalism.

• Persistently follow-up: If no response is received within 48 hours, follow up. Your demo is one of their many tasks so that a reminder can be necessary.

• Set an Agenda for Advancement: If a trial or POC has been agreed upon, immediately arrange a meeting to define the next steps. If an additional meeting is necessary before this, arrange it without delay to maintain the momentum.

The POC Dilemma: Essential Or Expendable?

The proof of concept stage is often seen as a key step toward sealing a deal. However, you shouldn’t always try to pressure the prospect into starting one right there and then. A POC without internal champions or commitment can fumble in large organizations, and fail to justify the significant effort required on your end. This is particularly risky in the final quarter of the fiscal year when the POC could cause you to miss a crucial spending window.

If a free or paid POC is the logical next step and you have buy-in from the buyer to move it forward within an agreed-upon timeframe, keep these guidelines in mind:

• Keep it short and specific: design a brief, defined trial period that allows the client to experience the product without getting distracted by competitors.

• Insist on commitment: don't initiate a POC without an internal advocate and budget commitment. Without these, a POC is likely to fail.

• Set clear objectives: establish what success looks like before the POC begins. Define measurable KPIs to ensure that the trial's outcomes are unambiguous.

As you embark on a POC, appoint a dedicated person from both your team and the client to oversee the trial. Together, establish KPIs for success and outline the post-trial steps. This is often formalized in larger organizations through a contract stating the final pricing. Your goals for the trial don't need to promise the moon—modest improvements can be just as persuasive.

Structure your POC around three key meetings:

1. Kickoff meeting: engage all relevant stakeholders and outline the POC process.

2. Status meeting: monitor progress and address any issues.

3. Summary meeting: review results and analyze outcomes.

These meetings should be scheduled before the POC begins.

Stay proactive throughout the trial. Assign a team member to monitor the trial's progress, ensuring the client actively uses and finds value in the product.

If the trial doesn't yield the anticipated results, take ownership of the outcome. Demonstrating transparency and a willingness to learn can set you apart from the competition, showcasing your dedication to continuous improvement.

Most Demos Will be Duds. Keep Going

Demo meetings and POCs are necessary strategies for securing your place in the competitive market. Each of them is an opportunity to refine, adapt, and impress. As you pursue them, remember that success is not just in closing the deal but in the lessons learned and the relationships built along the way.