Do Clients Really Need a CRM System to Grow Their Business?

The most fundamental requirement for growing a business is having sound sales processes that can be tracked, measured, and audited. Such processes must be written down and followed closely, not shared through word-of-mouth like an urban legend. A documented sales processes allow your clients to create a repeatable blueprint for success.

So where do they keep such data and monitor their results?

---

Ask These Questions & Help Your Clients Act on the Answers
An excellent way to determine your need for a CRM system is to assess how well they are handling the essential business functions listed below with the related questions.

Sales

• Sales Cycle per Product: It is too long or what you’d expect? Do you track each phase of the sales cycle? What steps can you take to reduce the cycle length for each product?
• Revenue per Closed Lead: What is the average revenue generated per closed lead? Are improvements needed?
• Cost per Lead: Can you quantify this cost and if so, is it higher than you’d like? What can you do to reduce it?
• Quote-to-Sales Conversion Ratio: How easy or difficult is it to calculate this metric? How are you using it to evaluate your sales success?
• Win-Loss Ratio: How are you calculating this measure relative to quotes issued? Are you losing more than you’re winning? What factors are driving these wins and losses?
• Average Cost per Sales Call: Is it higher than expected? What should it be to maintain profitability? Do you know which costs provide the best returns?
• Sales Losses: Why do reps lose sales? What are the patterns relative to market, product, and individual sales rep? Do you have the data needed to convert more losses to wins?
• Sales Process Compliance: Do you have documented sales processes? Which sales reps are (or are not) following those processes? How do you track and follow up on individual compliance?
• Buying Potential: Are reps approaching the right customers with the right opportunity? How do they assess a customer’s buying potential for a particular product?

 Marketing

• Lead Generation: Is marketing generating the right kinds of leads for your business? How do marketing and sales collaborate on lead generation? Are the lines of responsibility clear and formalized?
• Sales Territories: Do you know your market share by sales territory? What tools do you use to regularly assess and define each territory?
• Sales Pipeline: Is it robust enough to sustain continuous growth? Are prospects viable and easily qualified? Which lead sources add the most value to the pipeline?
• Value Proposition: Are marketing and sales aligned on your product’s value proposition? Is sales selling what customer service can effectively support? How do you monitor this alignment?

 Customer Support

• Customer Satisfaction: How do you define it? Measure it? Analyze it? Do you have the appropriate insights to improve customer engagement and satisfaction?
• Problem Resolution: How many open services issues have key customers had in the last 30-days? Do stakeholders across the organization have visibility into outstanding and resolved customer issues, including billing concerns?
• Customer Engagement: Are sales reps and account managers communicating regularly with key customers? How do you determine where improvements may be needed?
• CLV: Do your reps known the lifetime value of their top 20% customers? How do they calculate this metric?

 Let me know how I can support your efforts as a resource – call Bob 330-929-1353 x224