Count the benefits from well-used, purpose-build CRM
You can be measure tangible benefits in hard numbers.
With CRM you can:
1. Increase in time spent by sales personnel with existing customers, per day - Measure the number of service calls made per day by sales personnel or the number of hours spent by sales personnel in face-to-face contact with existing customers.
2. Increase in the number of new customer prospects pursued by sales representative - Most representatives prefer to call on existing customers, with whom they have an ongoing relationship. But for future growth you need new customers too. To determine this benefit, measure the number of new prospects versus existing customers contacted by the sales representatives per day, per week, per month or per quarter.
3. Increase the time spent by sales managers in contacting customers and working with sales representative on customer issues -"Coaching" sales personnel is critical, and managers never seem to have enough time to do it. To determine this benefit, consider measuring the number of hours per day that sales managers spend in contact with customer and prospects, and with sales representatives discussing customer issues.
4. Increase the customer service efficiency - Customer service may well make the difference between companies that lead and companies that wonder what happened! Measure the turnaround time for customer service issues, as well as the number of customer service errors made as a result of misinformation
5. Increase the timeliness of follow-up correspondence to prospects and customers - Measure the number of days between when the customer/prospect was contacted and when the customer/prospect follow-up information was sent
6. Increase in revenue per month per sales representative - This is an important benefit of CRM. It takes careful management to ensure that time saved as a result of automation is used productively to deliver more sales. Measure the increase in base revenue generated per month per sales representative.
7. Increase in overall business results - For example, have the sales manager setup a competition between sales personnel based on their use of the CRM system. Measure the percent of dollar increase over budget for the entire sales team per month
8. Increase how often your company's name is in front of your customers and prospect - The "out-of-sight, out-of-mind" syndrome will harm your sales efforts. Measure the number of pieces of correspondence sent to customers and prospects by sales and marketing personnel.
9. Increase in customer satisfaction and positive experiences - Consider using a customer satisfaction survey rating and hanging these ratings in a location for all personnel to review. View the analytics from your customer service CRM dashboard on turn-around time of successful resolutions.
10. Improved communications within the company (people working on the same page)- As more and more personnel spend time in the field with customers and prospects, the need will grow to secure effective communications between personnel. Measure the time spent giving and getting information between the field and regional or headquarters offices and review the quality of information shared.
11. Increase the "close" rates for new business - Measure the percentage of business orders closed
12. Reduction in the "close" time (lead to customer buying cycle)- Measure the speed of bringing new business orders to a close.
Imagine what these tangible rewards can mean for your business success.
We can help you create a dashboard to measure exactly what you want to know.
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Additional Helpful Resources:
Editor's Note: This post was originally published in February 2010 and has been completely revamped and updated for accuracy and comprehensiveness.
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