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How to Rise Above Today's Economic Challenges: Equip Your Sales Force with Mobile CRM
Sales Force is also known as :
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Leader in Software-as-a-Service,
Sales Force Search,
Considering Sales-Force,
Salesforce Reporting,
Buying Salesforce,
Sales Effectiveness,
Sales Strategy Productivity,
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Direct Sales Force,
Outsourced Sales Solution,
Putting Salesforce,
Sales Training Sales Effectiveness Audits,
Sales Force Automation,
Sales Force Login,
Sales Force Effectiveness,
Sales Force Training,
Sales Force Compensation,
Sales Force Structure,
Inventory Control Sales Processing,
Sales Force Motivation,
Salesforce Ideaexchange,
Term Sales Force Automation,
Salesforce com Integrates,
Salesforce Mobile,
Sales Assessments Sales Force Development,
Covering Salesforce,
Salesforce On-demand,
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Perspectives on Salesforce,
Custom Objects in Salesforce.
Executive Brief
There's never been a time when you haven't needed your field
salespeople to perform at peak ability. But a number of challenges in
today's global marketplace makes it harder than ever for field sales
representatives to stay on top of the game"and keep your company's
bottom line from sinking into the red.
For one thing, there's the constantly changing landscape of customer
demands that sales teams have to navigate. Customers' expectations are
higher than ever before"and continue to change, as statistics show.
Business-to-business (B2B) e-commerce increases yearly and makes up the
bulk of web-based sales: the US Census Bureau E-Stats report published
in May 2008 states that B2B e-commerce in manufacturing and wholesale
industries amounted to $2,716 billion (USD), or 93 percent of total
online sales for 2006. Field salespeople have to remain competitive and
ensure that the Web helps them boost sales by appealing to customers
old and new who are quickly becoming accustomed to the convenience of
accessing products and services from around the world, any time of the
day or night.
The economic downturn is another cause for concern. If it walks like
a recession, and talks like a recession, then it's probably a
recession, bringing with it potential limitations on the opportunities
for companies to make sales. The "R word" can often scare businesses
into cutting costs and reducing budgets, perhaps by finding overseas
suppliers with cheaper products"more reason salespeople may have to
compete on the Web to attract and retain customers. And if your own
company's budgets have been reduced, you may find yourself dealing with
cutbacks in spending on advertising, which only puts extra strain on
your sales reps to come through.
These and other challenges can greatly impact the performance of
field sales teams"and ultimately that of your company. In an economic
downturn, the risk of seeing your profits shrink is high enough. But if
your sales force is unproductive or immobilized, that risk is even
greater.
What you may not know is that traditional, "same-old" sales force
automation (SFA) and customer relationship management (CRM) solutions
probably aren't providing you with the help you need to maximize the
productivity of your sales teams and make gains in your customer
base"and your profit margins.
In fact, sales managers have tremendous difficulty getting the
majority of their sales reps to use their CRM or SFA systems. According
to AMR Research, "33 to 47 percent of customer management applications
[are] facing serious adoption issues""a statistic that doesn't even
account for the reps who do use the system, but use it inefficiently.
All together, this adds up to the fact that large numbers of field
sales reps are not achieving the needed levels of productivity that
help companies succeed when the economy doesn't seem to be on their
side. And what's more, the sales reps themselves report they don't use
or like using these traditional CRM applications because they aren't
user friendly, don't correspond to field reps needs in a variety of
situations, and involve a steep learning curve.
What you also may not know is that your field sales reps needn't be
limited to using only a traditional CRM solution. CRM applications
designed for mobile devices allow your sales reps to have 24/7 access
to customer data and other information with cell phones or smartphones.
Mobile CRM can improve sales reps' productivity and has proven success
in driving sales and increasing profitability.
To make the case for mobile CRM, here are the ways it can provide
the flexibility and accessibility your sales reps need to keep your
business competitive, along with some of the key reasons why
traditional CRM applications may no longer provide sales reps with the
tools and data they need to keep your company on a competitive track.
Traditional CRM Can Stall Field Sales Reps"but
Mobile CRM Can Get Them Going Again
1) Traditional CRM can hamper the productivity of field sales:
- high downtime and wasted time on administration
- lengthy sales cycles
- disconnection from chain of command
High downtime or wasted time:
In an average day in the field, sales reps often find themselves in
transit to meet a client and unable to access important customer data.
Aside from being cumbersome, a laptop equipped with a traditional CRM
solution can only go so far in accommodating the needs of a field sales
rep. When the laptop battery needs recharging, it's possible"but far
from guaranteed"that sales reps can rely on available plugs in airport
waiting areas, or at the client's office or other meeting point. But,
even if the laptop battery is fully charged, the sales rep is dependent
on having access to wireless Internet service; though this is more
available than it used to be, sales reps traveling to smaller cities
and rural areas still cannot find consistent wireless availability.
When taking a taxi to a client meeting, the sales rep can do little
else but sit back and enjoy the ride, missing out on valuable updates
to information that may have been made since the rep left the office.
Not only do these reps squander time by being in the field without the
data they need, but they also must return to the office to do
time-consuming daily administrative work such as entering new client
information, planning routes, and updating meeting notes or sales
forecasts.
Lengthy sales cycles:
With traditional CRM software, field reps are involved in much
lengthier sales cycles than they need to be"or should be, for your
company to maintain a solid bottom line. Out in the field and meeting
with a client, sales reps can't access the most up-to-date product
information, and so have to wait until returning to the office to
provide answers to the client's questions. With non-mobile-capable CRM,
reps also can't submit an estimate from the customer's location, but
again must wait until they are able to log back into the main system.
The inability to do these tasks while out in the field only adds to
the time spent back at the office on administration"and that time
doesn't affect just the sales rep's personal productivity, but also the
ability to provide customers with the goods or services they expect in
a timely manner. It's a simple formula: long sales cycles equals fewer
customers served and fewer sales made"and ultimately, less money
rolling into your coffers.
Disconnection from chain of command:
If field sales reps can't update the system from the field, then
managers can't analyze vital current data to determine which sales
strategies might be most appropriate for a given customer, and then
tell salespeople how and where to focus their efforts. The inability to
update means incomplete data, which makes it difficult'to'impossible
for managers to view meaningful reports and forecasts. And as new
prospects filter in, the account manager may have to wait until the end
of the day (or even later, depending on how often a salesperson checks
in at the office) to distribute these prospects"further compromising
sales reps' productivity, as well as additionally delaying the sales
cycle.
Benefits of Mobile CRM
- No downtime: Mobile CRM lets field sales reps take advantage
of every spare moment during the working day, to perform administrative
tasks that once required an hour or more after returning to the office.
The flexibility and accessibility of mobile CRM allows field
salespeople to reduce administrative time by up to eight hours per
week, according to one advertising agency we contacted that uses mobile
CRM"which means up to eight more hours of customer face time than with
traditional CRM. Imagine: each of your field sales reps could have at
least an additional hour day to spend with customers and prospects to
drive new sales opportunities. And, with a smartphone device, sales
reps can access the Internet anywhere they have a cell phone signal.
But even without a signal, mobile CRM allows reps to access and update
information, which can be easily synchronized back and forth with the
main system once the signal is reestablished. All totaled, mobile CRM
can deliver an increase of over 30 percent in employee productivity, as
IDC research shows.
- Shorter sales cycles: With a mobile CRM
application, field sales can access client or product data on their
smartphones around the clock from any location"enabling better
responses to customers during valuable face time. Instead of drumming
their fingers on the taxi armrest, your sales reps can be tapping on
the keypad of a smartphone mobile device, entering the most recently
acquired customer information or following up on a new lead. With a
mobile CRM application, one company we contacted reported a 10 percent
reduction in the length of the sales cycle"simply by having the ability
to submit estimates from the customer location. Another study reported
that mobile CRM helped companies achieve nearly a 5 percent reduction
in the number of calls required to close a sale.
- Connection
with chain of command: The uninterrupted accessibility afforded to both
managers and field sales via a mobile smartphone means that sales reps
can follow up on new prospects the minute leads come in to managers
back at the office. Overall, according to IDC, information flow between
the sales rep and the manager is improved, as vital data is available
to the manager sooner, which can aid in decisions made about the sales
cycle.
2) Lack of real-time visibility in the field and from the field
- lack of ability to share documents with colleagues and managers
- lack of ability to see the latest status or profile on a customer or prospect, moments before walking into a meeting with them
- lack of visibility into other systems, such as enterprise resource planning (ERP)
Lack of ability to share documents:
By relying on traditional customer relationship software, field
sales reps may be unable to access documents such as historical e-mail
threads, proposals, contracts, or other important information that can
help them prepare for meetings and improve their chances of closing a
sale. Not having this information at his or her fingertips means a
sales rep must take time to contact someone back at the office who does
have access to documents and can provide the information.
Lack of access to latest updates to client or prospect profile:
While the sales rep is traveling to the next client meeting, he or
she may not know that the client has just spoken with someone back at
the office regarding a problem with the latest order or shipment. This
lack of information can cause potential embarrassment during the
meeting as well as derail the meeting's original objective. At the very
least, this lack of information wastes time as the client fills in the
sales rep on what the call was about and as the sales rep tries to
address the problem on the spot. Rather than making a sales call, the
field sales rep ends up making a service call, stretching the sales
cycle even further.
Lack of visibility into other systems, such as ERP:
Not having access to real-time inventory figures means sales reps
can only estimate how soon a product will be shipped and arrive at the
customer's door. Being unaware of sudden depletions in stock means that
salespeople may provide customers with inaccurate estimates of delivery
time"and by so doing, risk inconveniencing and even angering customers
if the product isn't delivered until later than they've been led to
expect.
Benefits of Mobile CRM
- Share documents: Mobile CRM allows reps to access and share
documents such as contracts while in the field. The rep can e-mail a
contract to the prospect while in the prospect's office, and then have
the contract printed and signed on the spot, closing the sale with
maximum efficiency. This shortens the sales cycle (the sales rep
doesn't have to wait until returning to the office to send the
contract)"and furthermore, the sales rep demonstrates to the client not
only the desire but also the ability to provide excellent service. In
the long run, this can increase your profits and save you money
(following the generally accepted concept that the cost of keeping a
customer is five to ten times less than the cost of attracting a
customer in the first place).
- Access the latest client and
prospect data: With mobile CRM, sales reps can review timely and
accurate data about the interaction history of each client with a
single click, adding insight to all client meetings. When there are
problems with orders, mobile CRM allows the sales rep to address the
situation prior to a client meeting, so that upon arrival, the rep can
let the client know that the resolution is already in progress. The end
result: the sales rep saves time while making a good impression and
increasing the chances of making a sale"and additional sales. And, the
progress of a customer's case can be tracked much more easily and
accurately with a mobile CRM system.
- View data in other
systems: Having on-the-fly access to real-time information in other
business systems, such as ERP, helps field sales provide accurate and
timely answers to client questions about inventory, shipping, account
status, and more.
3) Poor customer and prospect relationships affect your top line:
- inability to send information such as product quotes to
customers in an instant (in various formats: phone call, e-mail, text
message, fax)
- inability to properly escalate issues; lack of
responsiveness to customer demands or issues (resulting in increased
customer frustration)
- inability to respond to changes in customer profiles
Inability to send info to customers:
Field sales reps on a laptop without wireless access can't send
e-mail to clients to respond to requests or to set up meetings. Even
with wireless laptop access, salespeople may not be able to provide
instant quotes or estimates or other information, as the laptop data
may not have been synchronized with data on the main CRM system. Not
getting replies to requests for information from sales reps can
frustrate clients and push them away from closing vital sales.
Inability to properly escalate and resolve client issues:
Salespeople on the road who don't have complete access to
information can't adequately respond to and resolve client problems or
complaints. The rep may not even be aware that the client has
complained or expressed concern about, for example, a shipment or
invoice. But even if the rep does know, she or he will spend
unnecessary time getting the information or documents that will settle
the issue. Resolution time is delayed"as well as potential further
sales"until the sales rep can access the necessary resources to mollify
the disgruntled customer.
Inability to respond to changes in customer profiles:
Sales reps need client information prior to meetings with clients
not only to appear knowledgeable and develop a well-aimed pitch. But
without access to that client info"from a history of purchases and
problems to how the client responded to the sales rep's attempts at
humor"the salesperson will be hard-pressed to create the intimacy that
is required to keep customers. And keeping customers you already have
is less costly than trying to find new customers.
Benefits of Mobile CRM
- Improve communication with client: Mobile CRM systems
deployed on smartphone devices can improve communication between sales
reps and customers by allowing sales reps to contact clients or
prospects via e-mail, text message, or even fax, depending on the
information being relayed and the customer's preferences (from a mobile
device with fax capability, sales reps can send documents or images to
the client's fax number). But primarily, it's the 24/7 availability and
accessibility of mobile CRM that allows sales reps to stay in touch
with and respond to clients.
- Better resolution of issues:
Access to up-to-date CRM info on a smartphone allows sales reps to get
what they need to deal with customer complaints. From asking managers
for permission to give discounts, to accessing information about
policies for returning goods or providing reasons that field service
wasn't done as promised, mobile CRM applications help sales reps soothe
frustrated customers. Consequently, customers won't be lost due to bad
service but will stay loyal"and happy.
- Better access to
accurate client info: With a mobile device, sales reps can show up to
meetings with clients, with all client data one click away"helping the
meeting to go smoothly from the salesperson's perspective. But that's
only half of the situation"a salesperson's ability to access client
data also helps create trusting relationships with customers, leading
to more sales and higher customer satisfaction.
Moving Forward with Mobile CRM
By using traditional CRM solutions alone, your bottom line can be
compromised not only by the downtime of field sales reps, but also by
these systems' inherent lack of flexibility and accessibility.
But, if you ramp up your CRM system with mobile functionality, you
can stop wondering about how productive your field sales reps are,
because you'll know. With mobile CRM, you'll know that your reps are
more productive, and doing what they do best"making sales"in order to
help your company stay on top. With many analysts predicting a global
economic recession until well into 2010, you need to adopt strategies
now that will help your company maintain current profits, and even
grow. With a mobile CRM application, you increase your chances of
surviving and thriving"no matter how tough the market conditions.
About the Author
Jane Affleck, MA, is a writer, editor, researcher, and analyst at
Technology Evaluation Centers (TEC). In addition to writing blogs,
articles, and case studies about enterprise software and selection best
practices, she has also written numerous executive reports focusing on
how software solutions can address the business pains of specific
industries. Prior to working at TEC, she taught English and worked for
over a decade as a freelance editor and writer.