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MAR 4860 Customer Relationship Management MODULE 9

Customer Relationship Management

Module 9 Using CRM in Sales

Prof. Nancy A. Rauseo

Module 9 Learning Objectives

1. Identify the basic functions and activities performed by a salesperson, recognizing that these may vary from one industry to another, from B2B and B2C.

2. Define the general stages of the sales process.

3. Identify the differences in the general sales process for B2C and B2B markets.

4. Explain how CRM technology facilitates the key steps of the sales processes.

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MAR 4860 Customer Relationship Management MODULE 9

Sales Functions and Activities  Vary between B2C and B2B sales channels

 Vary between Inside and Outside Sales

 Vary according to place in the supply chain

 Vary by industry, company, and processes

 Vary with sales position o Account Executive o Sales Consultant o Sales Representative o Account Representative o Account Manager o Relationship Manager o Business Development Manager o Sales Associate o Channel Partner o Inside Sales and MANY MORE

Source: Selling Today: Partnering to Create Value, 12th edition. Manning, Ahearne, and Reece

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MAR 4860 Customer Relationship Management MODULE 9

Sales Functions and Activities

 Sales activities are the lifeblood of any business

 B2B salespeople, on average, spend their time on the following activities. This breakdown depends on the type of position.

o Face‐to‐face selling, consulting, and partnering = 30% o Sales preparation = 15% o Administrative tasks = 25% o Travel and waiting time = 30%

 The role of technology is to help salespeople increase productivity by:

Opportunity o Increasing face time with prospects and customers Management o Improving preparation and quality of research

o Minimize administrative time o Reduce travel and waiting time

Sales Functions and Activities

Relationship Selling  Identify and research key individuals  Call on multiple individuals in B2B  Build trust & credibility  Build commonality & rapport = connect  Ask questions and identify needs & problems  Listen (verbally and non‐verbally) & remember! Read body language  Adapt presentations & customize them  Identify value‐added products and service that match the customer’s needs  Focus on selling unique competencies  Present financials  Negotiate key terms of agreement  Overcome objections  Ask for the sale = close  Plan selling activities (retail)  Correspond and stay in touch with customers  Help customers plan and be successful

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MAR 4860 Customer Relationship Management MODULE 9

Sales Functions and Activities Prospecting  Search for new leads  Work with Marketing to obtain new leads  Conduct research on industry, company and individuals using various sources  Seek and respond to referrals  Submit bids

Networking  Take clients and prospects to lunch or dinner  Play golf  Hold networking events  Attend sports events

Travel  Develop effective routing and territory plans and make arrangements  Drive from one location to another  Fly to various locations

Sales Functions and Activities

Promotional Activities & Sales Service  Point of purchase marketing support  Set up displays  Handle advertising  Demonstrate products  Train customers (resellers)  Sell product accessories  Create newsletters and social media support  Check customer inventories and write up orders  Work trade shows  Handle back orders  Introduce new products and services

Delivery  Ensure prompt delivery of orders  Deliver product samples and stock shelves

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MAR 4860 Customer Relationship Management MODULE 9

Sales Functions and Activities

Training & Educational Activities  Train new sales reps and mentor junior sales reps  Recruit and interview sales candidates  Ride with candidates and sales reps  Attend college recruiting events  Attend sales meetings  Attend company training on new products, technology and strategies  Conduct research and learn new strategies  Continuously learn about assigned markets and industries

Product Support  Supervise customer installations  Perform maintenance  Expedite orders and answer questions  Provide channel support with distributors and brokers/middlemen  Coordinate activities with functional departments

Sales Functions and Activities

Opportunity Management & Administrative  Check emails/calls and respond efficiently  Send follow‐up emails and letters  Collaborate with sales manager and team  Time management

o Develop personal goals o Prepare daily “to‐do” lists and plan weekly activities o Maintain calendar

 Territory management o Identify leads and classify customers o Develop routing and scheduling plans, along with travel arrangements

 Prepare and practice sales calls and presentations  Prepare and write up proposals  Records management

o Collect database information and update CRM technology (lead and prospect data, activity data, and opportunity data)

o Prepare expense and sales reports

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MAR 4860 Customer Relationship Management MODULE 9

Differences Between B2B and B2C Sales

B2B B2C

Longer sales cycle – multiple Shorter sales cycle – if multiple visits, may meetings/sales calls with same be with different salesperson salesperson

More rational sales More emotional sales

Sales experience ‐ More complex skills Less sales experience required ‐ Success curve is shorter

Higher price points Lower price points

Requires ongoing trust and relationship Tends to be more transactional; however, ‐ partnership CRM makes it a company responsibility

More e‐commerce, global More online shopping

Can be team‐based More individual

Less turnover More turnover

Quantity sold is more Quantity sold is less

CRM Core Business Processes

SALES & SALES MANAGEMENT

MARKETING SERVICE

Manage opportunities Assign territories Manage leads Develop account relationships Forecast sales Manage sales force mobility Generate proposals Compensate salespeople

Obtain customer intelligence Conduct market research Plan markets & budgeting Develop new products Design branding & awareness Segment markets & customers Develop new campaigns Manage campaigns Promote channel strategies Manage loyalty programs Plan & manage events Manage marketing operations

Handle complaints & cases Answer inquiries Deliver service Manage contractual activities & warranties Bill customers Schedule service calls Manage returns Manage customer satisfaction Analyze problems & research

Manage customer experiences & customer journeys!

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The General Sales Process

Source: Customer Relationship Management. Wagner & Zubey (2007)

Example of Dashboard

MAR 4860 Customer Relationship Management

7 Prof. Nancy Rauseo

MODULE 9

MAR 4860 Customer Relationship Management MODULE 9

15Step 1. Generate More Leads  Plan and execute marketing campaigns that generate demand for your product or service.  Capture those leads through a variety of channels including your Web site.

Example of Metrics & Dashboards

Top Search Terms Leads by Source Campaign ROI

Web FormWeb Site Visitors

Lead Quality

What’s the link between Sales & Marketing?

Plan and Execute Marketing Campaign • Organic Web traffic • “Contact me” request

• AdWords referrals • Free trial Leads• Google AdWords • Email responses • Event registration • Email Marketing

• Have an e-book or offer • Direct Mail • Cold Calls • Partners • TV Create New Leads Inbound Calls Lead Capture • Radio • Events • Yellow pages • Search for the customer in Salesforce • Set up auto-response emails • Networking • Google Maps • If one doesn’t exist, create a new lead -”Thank you for your interest” • Trade Shows • Word-of-mouth referrals -Your trial information • PR -Event details + Other Prospecting Methods • Set up lead assignment rules

Lists Organic Views -Geography -Company size

• Purchased list • Social networks -Product of interest

• Trade show • Content marketing

Module 9: Using CRM in Sales

Generate Leads Through Social Media

Example of Metrics & Dashboards

Module 9: Using CRM in Sales

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MAR 4860 Customer Relationship Management MODULE 9

17Step 2. Optimize Lead Flow  Create a closed‐loop follow‐up process so leads don’t slip though the cracks.  Establish a lead qualification process to make sure all sales reps use the same consistent methodology.

Example of Metrics & Dashboards

Converted Leads by Month Lead by Status Lead Conversion % Top Sales Reps

Convert Leads to a Contact with an associated Opportunity & Account How to Convert? Through the research & qualification process

My Open Leads Duplicate Lead? Working Leads Establish Contact? Qualified? Yes Yes

Set up different views The find duplicate button When you’re working a No No Create a set of to manage your searches for similar lead, you’ll set up a qualification questions, leads. leads or contacts in series of tasks, which such as current

Salesforce. might vary based on the situation, product of For example, type of lead. For interest, timeframe, key Keep an archive of your dead leads. today’s leads or If a lead turns out to be a example: decision makers leads sorted by lead duplicate, easily merge Use email marketing and call type. the two records. Day 1: Personalize mass If the lead is qualified, downs to re-market to your

email convert it into a contact, archived leads. Salesforce has a number Day 2: Call/voicemail with an associated of AppExchange Day 4: Call/voicemail opportunity and partners that provide Day 7: Personalize mass account. high volume de- email duplication and data cleansing tools.

18Step 3. Close More Deals  Close deals faster by providing a single place for updating deal information, tracking opportunity milestones,

and recording all key interactions and activities.  Easily analyze your sales pipeline so you can quickly identify and eliminate any bottlenecks in the sales cycle.

Example of Metrics & Dashboards

Top 10 Deals Month-to-Date Trending Closed Business by Month Top Sales Reps Sales

Marketing

A CLOSE! Opportunity

Open Opportunities Presentation Proposal Negotiation Won Yes

You can monitor your Customize Salesforce to fit your New Customers Support opportunities reports and internal sales methodologies and No

dashboards to keep track processes, making it easier to Salesforce gives your entire company of your top deals and monitor your sales pipeline. a 360-degree view of your customers prioritize your time.

Salesforce allows you to upload You should record all presentation and proposal activities, tasks and key templates and files. progress within each opportunity record to keep other informed, like your sales manager.

Keep an archive of your dead opportunities.

Use email marketing and call downs to re- market to your archived opportunities.

and facilitates collaboration across your organization, helping you build strong, lasting customer relationships.

You want key service people to access information gathered during the relationship-building process.

Module 9: Using CRM in Sales

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MAR 4860 Customer Relationship Management MODULE 9

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MAR 4860 Customer Relationship Management MODULE 9

Sample Opportunity Stages with Inputs & Outputs 22 Stage of Sales

Process %

Complete Inputs Outputs Actors

Lead Conversion 10 •Converted lead (already qualified & assigned)

•First meeting scheduled •Presented product suite

Salesperson Pre‐sales Support

•Reviewed requirements with prospect

Needs Analysis 20 •First meeting held •List of requirements generated

•Identified decision makers at prospect •Identified how to meet requirements •Entered estimated amount of opportunity

Salesperson Pre‐sales Support

•Entered estimated close date

Proposal Creation 30 •Requirements and solution determined

•Three proposals are created •Proposals are approved by Ops, Manager (VP if > 20% discount) •Updated amount and close date •Scheduled meeting to review proposal with decision makers

Salesperson Pres‐sales Support Sales Operations Sales Manager Sales VP

Proposal Presentation

50 •Scheduled meeting •Presented all three options •Prospect verbally commits to a deal or signs a letter of intent

Salesperson Pres‐sales Support

Negotiation 90 •Prospect agrees to the proposal

•Contract is drawn up (by legal if non‐ standard) •Prospect signs contract •Prospect issues PO

Legal Sales Operations Salesperson

Closed Won 100 •PO is approved •PO is set up for invoicing •Product is shipped

Sales Operations

Shipped 100 •Product is shipped Sales Operations

Closed Lost 0 •Prospect ends sales cycle Sales Operations Sales Consultant

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