Presented by: CRM and Distributors: Essential, Nice-to-Have, or Irrelevant?" January 31, 2013 Mark...

Presented by:

CRM and Distributors: Essential, Nice-to-Have, or Irrelevant?"

January 31, 2013

Mark Dancer, Channelvation

Scott Thomas, Parksite

Today’s discussion

Adoption and use

Selection and implementation

Best practices

What’s ahead?

Facts and best practices

– CRM for Wholesaler-Distributors: A Strategic Guide for Planning and Results (Spring, 2013 )

Real-world experience

– Parksite examples

© 2013 Channelvation, Inc. All rights reserved. 2

Software tool for managing interactions with customers and prospects– Organize, automate, and synchronize business processes and metrics

• Principally sales, but also marketing, customer service, technical support, etc.

Goals– Find, attract, and win new customers– Service and retain existing customers

Value– Increase sales– Reduce costs– Improve productivity

3© 2013 Channelvation, Inc. All rights reserved.

What is Customer Relationship Management (CRM)?

Innovation

Cloud / SaaS benefits

Mobility

Ease of use


Why is CRM “hot”?

CRM creates a clear picture the pipeline, tracks win rates by sale person, product and supplier, and reports product and segment performance Construction Equipment Distributor

We use CRM to manage prospects, customer activity and lead generation. CRM also assists in outbound calling to lower sales cost activity Sanitary Supply Distributor

CRM accelerate sales, new products and technology, not so much for existing products that are well understand by sales people and customers Industrial Distributor

CRM enables contact management, emarketing campaigns, sales dashboards, opportunity tracking. We don’t use CRM for funnel or forecasting Electrical Wholesaler

CRM provides a common base of information that includes customer's technical and anecdotal information, quotations and contacts Gas and Welding Distributor

5

How are distributors using CRM?

© 2013 Channelvation, Inc. All rights reserved.

Are wholesaler-distributors adopting CRM?


CRM is an essential tool and standard practice for any sales organization. Distributors that don’t use it will fall behind.

Healthcare Distributor

Will CRM impact partnerships with manufacturers?



Which CRM vendors are used by distributors?

Potential vendors are those that reflect our core values in their products, support, sales strategy and profitability.

Motion Control Distributor

Our research found 24 vendors in use and a marketplace with ~300 companies

- Contact Activity Manager (SX)- Clear Technologies- Constant Contact- CORrelation- Epicor Prophet 21- Goldmine- Infor- Insightly CRM

- ITML CRM- Microsoft Dynamics- Oracle- Sage ACT!- Sage SalesLogix- Salesforce.com- SAP- SAS

- Siebel- SMP (Sales Management Plus)- Solve360- SugarCRM- Tour De Force- Tribridge- WP-CRM (WordPress)- ZOHO

How can I get the most from CRM for my business?


Recognize Denial & Push Forward

Overcome Barriers & Create

Success

Improve Performance & Expand Use

Benefits are achieved through three phases of implementation

CRM isn’t about micromanaging. It’s about changing the way we manage.

Building Materials Distributor

A data-driven world

– Manage by metrics, improved analytics, Big Data


What’s ahead for CRM and distributors?

360o communication

– Across functions, customers and suppliers

Customer experience

– Multi-channel selling; build the distributor brand

Historically in distribution, the sales rep has owned the relationship and that is dangerous. The company needs to own the customer relationship, with visibility provided to all functions to know the customer’s business and meet the customer’s needs

Building Materials Distributor

What should leaders do?


Tool STRATEGY RESULTS Capabilities

– People

– Process

– Tools

Culture

– Values

– Behaviors

– Rewards

Change

– Plan

– Manage

– Measure

Introducing Parksite:


Parksite’s CRM history


2013 +2003 - 2006 2007 - 2009 2010 2011 2012

Co-op App & Customer Program AppSelf-designed for 2012

Managed More with CRMEarly Buy PromotionSurfaces Sales Contests w/AppNew product Launches

Chatter App“Business is Social”Real-Time FeedbackSales Opportunity Tracking via Live Feed UpdatesInternal Chatter Groups

CRM FutureIntranet on Chatter platform / Content LibrariesLogistics Team makes Chatter main Com. ToolSales Teams have KPI’s and salary criteria related to Pipeline ManagementShared Chatter Feeds with Vendors

90% usage80% usage 25% usage

Initial VendorSales Logix (on Premise)

Switched VendorsSalesforce.com

Supplier Request

Switched to CloudSales Logix (Cloud based)

Re-tooling / re-training turned off users

Lost site of tool during downturn


Return on Marketing $: Co-op Management


Sales Effectiveness: Early Buy Opportunities


Social Media: Chatter App

1. CRM’s value to a distributor is determined by matching functionality to strategy Tip: Start with what you want & work backwards to customize

2. Sales & Marketing Leaders need to commit & collaborate with IT on customization & rollout Tip: Don’t buy all your licenses at once, stage in by user groups

3. Leadership must embrace the CRM tool and respond to its outputs visibly Tip: It’s a 50/50 Proposition

4. Dedicate a resource and don’t underestimate the importance of a strong administrator (in-house or 3rd party) that understands your business Tip: Don’t wing it with a 3rd hat

5. Train, Train, Train again – preferably interactive

6. Don’t cave to high profile non-believers – “everyone plays”

7. ROI creates transparency into sales opportunities, sales activities, and process / communication improvement Tip: Use tool to drive “revenue generating behavior”


Lessons Learned

About the Presenters

Mark DancerPresidentChannelvation, Inc.

Channelvation works with leaders and entrepreneurs to create competitive channels and winning sales teams. Our working style is collaborative, challenging and fact-based, and focused on achieving each client’s specific and unique goals. We bring experiences and ideas, and follow through with hard work and dedication.

Contact information:

[email protected]

http://Twitter.com/Channelvation

Scott ThomasDirector of MarketingParksite, Inc.

A 16 year career in distribution has provided experience in sales, marketing, and management. CRM has become a major focus in achieving sales and process efficiencies in an ever tightening distribution channel. By focusing on strategy first; great outcomes have been realized through the continued application of CRM to meet business needs.

Contact information:

[email protected]


mailto:[email protected]

http://twitter.com/Channelvation



mailto:[email protected]

Presented by: CRM and Distributors: Essential, Nice-to-Have, or Irrelevant?" January 31, 2013 Mark...

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