Productivity Breeds Success: 8 Tips To Upgrade Your Routine
Editor’s note: This is one of the LIKE.TG U.S. blog’s most popular articles, so we’ve updated it to keep things fresh and relevant. The most successful salespeople don’t rely on luck. They’re disciplined about building relationships, optimising their sales funnel, and automating their processes – regardless of whether they’re selling from home or in the field. Rather than hoping for sporadic wins, these productive sellers create winning routines that help them consistently close deals. In this article, we explore eight ways to upgrade your everyday selling routine to be more productive. Sales success doesn’t hinge on what you do here and there – it’s about the habits and patterns you adopt every day, so think about how you can use these tips to craft a more effective, repeatable selling motion. 1. Proactively disqualify prospects Productive salespeople focus on investing in leads that are most likely to convert. Determine the exact criteria a prospect needs to meet before you spend time moving them further through the sales process. Ask specific questions to figure out whether the next conversation will be productive and mutually beneficial. If you determine this isn’t an advantageous opportunity for both parties, take the initiative to inform the client you both will be better served in revisiting the partnership at a later time. Be polite, honest, and empathetic as you build customer relationships. 2. Lean into data from your CRM Platform Leverage the power of your CRM platform to surface useful information about your leads. Others in your company may have added insights about leads and notes about previous interactions. Armed with that data — on their history with your company, the products or services that already pique their interest, and other notes — smart salespeople can enter conversations with the relevant background information they need. Plus, with the right CRM system, you’re able to automate a lot of otherwise extra steps, allowing you to create more touchpoints and connect information across silos. This saves reps dozens of hours each month. That’s important because studies have shown that the average rep spends only one-third of their time actively selling. CRM data will also help you and your leaders forecast more accurately, as shown in the next image of a forecast divided by leader. A Sales Cloud dashboard 3. Use mobile tools You’ll be more productive if you can work from your phone instead of only from your desk. Fortunately, sellers have plenty of options for mobile sales tools today, including: Video conferencing Calendars LIKE.TG Inbox Voice memos Mobile CRM Productivity and collaboration tools This doesn’t mean you have to work 24/7. It just ensures that you no longer have to feel tethered to your computer. Take the time to set up your workflows and systems on your mobile device so you can stay productive wherever you are. 4. Focus on channels delivering high lead quality Many inbound and outbound salespeople are naturally inclined to focus on the sales channels that bring them the most leads and keep them busy. This makes sense; more is usually better. However, successful salespeople look especially closely for channels that provide the best lead quality. By taking a full-funnel look at which lead acquisition campaigns bring the most revenue, you’ll invest more of your time on leads that drive revenue, rather than just maintaining a large pipeline of lower-converting prospects. 5. Ruthlessly prioritise your pipeline Adding to the previous point, top-performing sales reps also prioritise their sales efforts based on customers who are more likely to buy. They weigh the revenue potential against their chances of closing the sale and then budget their time and resources accordingly. Ruthlessly prioritising is key to sales productivity. Effective salespeople deprioritise long-shot accounts and postpone activities that generate little or no revenue. This doesn’t mean you have to burn bridges. Rather, it just means you don’t expend an outsized amount of effort on customers who aren’t ready to convert. That way, you’re more disciplined with your time and resources. 6. Use every conversation to add value Make good use of customers’ and your own time by adding value at every touch point. If you don’t have valuable information and insights to add to that email or video call, wait to communicate until you do. Once your customers see that conversations with you always provide new learnings and insights, they’ll start to see you as a trusted advisor. Two examples to bring this to life: Founder & CEO of PepTalkHer Meggie Palmer curated a series of daily #PowerPepTalks encouraging people to find their superpowers and skill-up during extra downtime. The company funneled registrants into LIKE.TG Essentials to track and nurture leads with customised content. A web services firm recently began offering free webinars and office hours to help their customers build skills in remote education while schools are physically shut down. Inspired by these examples? Come up with your own creative, useful ways to connect. 7. Reinvest in existing relationships Renewals and referrals make up a significant portion of most salespeople’s accounts. That’s why it’s important to regularly check in with existing customers to see how they’re doing and discover if you can still provide them with additional resources, support, and value, even if their next renewal date is still months away. Often, you’ll find that extra effort throughout the lifetime of your relationship with customers pays off in dividends when they happily renew their contract with you, increase the scope of their engagement with your business, and even go out of their way to share customer testimonials and new client referrals. Set aside certain blocks on your calendar (maybe it’s every Thursday afternoon or every other Monday) for reconnecting with existing customers. 8. Meet deadlines at all costs As your client list grows, it’s easy to accidentally let different projects slip. Rather than abandon your responsibilities, focus on meeting your deadlines before completing any nice-to-have projects. If you can’t meet a deadline, give as much of a heads-up as possible and propose a new deadline. Delegate, automate, or reassess your processes wherever needed. Your goal is to keep your team and your customers satisfied. Invest in tools and processes that help you streamline repetitive tasks. You may even be able to outsource some of your tasks to other team members or departments, too, to save you time. Even the most productive salesperson you know could likely optimise their routine in certain areas. The point is to keep evolving your habits and practices as the market landscape and your buyer needs change. Check out our complete guide to building a sales forecast for more tips to become an expert seller. This post originally appeared on the U.S.-version of the LIKE.TG blog.
Project Management: Your Comprehensive Guide
If you aim to deliver projects on time and within budget while satisfying all stakeholders, efficient project management is essential. But what does exemplary project management entail? What are the best frameworks, and which features are critical in the software you select? Our definitive guide to project management with LIKE.TG addresses these queries and more. You will gain insights into project management processes, optimal frameworks, and managing a project effectively. What is Project Management? Project management leads a team to achieve all project goals within specified constraints. Typically outlined in project documentation created at the project’s inception, the main constraints include scope, time, and budget. For instance, your objective may be to launch a new product, develop software, or organise a networking event. To attain your end goal, project management encompasses: Establishing goals Scheduling tasks Managing teams Monitoring progress Collaborating with stakeholders Numerous structured frameworks, such as Agile, Kanban, or Scrum, can be employed to reach your project objectives. While these frameworks take different approaches, each is focused on bringing the necessary steps to complete your project on time and within budget. Why is Project Management Important? Project management is vital as it provides the leadership, motivation, and problem-solving skills to introduce new products or services, boost revenue, and meet organisational objectives. Prioritising effective project management styles enables proactive and continuous workflow improvement, preventing mistakes and overspending. The most successful companies understand how to manage a project efficiently and productively. Who Uses Project Management? Organisations of all sizes, from large multinational corporations to small or medium-sized businesses, employ project management. Whether you are leading a team in the office or managing remote teams globally, effective project management ensures your organisation reaches its goals. Project management encompasses various project types, including (but not limited to): Product and service development Software engineering Event planning Construction projects Marketing campaigns IT system implementations Traditionally, a project manager leads the project team and is responsible for the project’s overall success, assigning tasks to team members, monitoring progress, and ensuring deadlines and budgets are met. Multiple team members can share project management responsibilities in smaller teams without a dedicated project manager. The Five Stages of Project Management Successful project management begins by designing and following a straightforward road map to set expectations. As Matt Burns, a project manager at LIKE.TG, emphasises, “The number one thing to do before initiating any project is to outline the project road map at the beginning. Because if you want to go somewhere, and you don’t have this map, you’ll probably get lost.” To help you create your road map, let’s delve into the five essential phases of project management. Here’s a high-level overview of each: Initiating In the project initiation phase, essential preparations are made to complete the work on time and within budget. This phase involves: Defining the project scope Providing a high-level project overview Establishing budgets For larger projects, a project charter or Project Initiation Documentation (PID) may be created to delve deeper into these areas. Planning and creating a clear and deliberate project plan ensures all team members work toward a common goal. During the project planning phase, you will: Select project team members Outline deliverables Estimate required project resources Determine associated activities Set key milestones and dates Additionally, you can outline your team’s project management methodology with options such as Agile, Waterfall, PRINCE2, PMBOK, Scrum, Lean, or Kanban. Executing During the execution phase, you will carry out your project plan to deliver products to stakeholders. This stage runs concurrently with the monitoring and controlling phase and may involve: Managing workflows Recommending changes Suggesting corrective actions Ultimately, it’s about maintaining control, collaborating with the entire team, and staying on track. Monitoring/Controlling Regular monitoring is essential in any project life cycle to answer the question: Where are we versus where should we be, per the project plan? Effective monitoring requires: Regular project check-ins Use of proper project documentation and tracking tools to visualise project progress. Visual and real-time monitoring is more effective. Closing The closing phase, also known as “project delivery” or project closeout, involves wrapping up all activities and delivering the final product. This handover could be to the client, an internal team, or an external stakeholder. It may include concluding contracts or agreements and conducting a comprehensive review or audit. The Four Types of Project Management Various project management types and frameworks can lead to successful project management. Choosing the right one is crucial, as it determines how you structure your team and plan and monitor your projects. Here are concise descriptions of the leading project management frameworks: 1. Waterfall Project Management Waterfall project management focuses on meticulous planning, breaking down and scheduling the entire project from start to finish sequentially. It’s best suited for teams capable of defining all project requirements upfront and comfortable with fixed deadlines. 2. Agile Project Management Agile is an iterative approach that enables quick responses to project feedback. It prioritises adaptability, collaboration, and incremental delivery, making it ideal for complex projects with evolving requirements, especially in software development. 3. Kanban Project Management Kanban focuses on continuous improvement through visualising and managing the flow of work. Tasks move across the Kanban board as the project progresses, allowing for rapid adaptation and resolution of bottlenecks. It is beneficial for projects with unpredictable workloads. 4. Scrum Project Management Scrum divides larger projects into shorter sprints, adapting to project demands as it evolves. It defines rules for team size, roles, planning, meetings, and deliverables. Eight Tips for Successful Project Management Effective project management allows companies to develop products or services, optimise operations, and provide value to customers with minimal friction and greater efficiency. To succeed in project management, follow these eight tips: Invest in the initiation and planning stages to avoid later confusion. Choose the proper framework or methodology for your project. Promote a culture of transparency and ownership to improve communication and collaboration. Define a realistic project scope to prevent scope creep. Prioritise efficient scheduling for better time management. Practice effective resource management to maximise efficiency. Engage your stakeholders and maintain strong communication throughout the project. Leverage tools like LIKE.TG to streamline project management workflows and facilitate decision-making. Start mastering project management with LIKE.TG today and unlock the potential for successful and efficient project delivery.
Prompt Engineering: Your Fast Crash Course
Prompt engineering is not Rocket Science: Learn at a Top Level how easy it can be to get what you want from AI. Have you always wanted a friendly, fast assistant who simply does what you say? In many cases, AI applications like ChatGPT can offer you exactly that. But it only works with your help. To get beneficial results out of AI, you need to master prompt engineering. Don’t panic; you don’t need an IT degree for this. Prompt Engineering is about asking the right questions and giving the right commands to generative AI’s like ChatGPT to get the information you need. In principle, this programming language is very close to our normal language. Before we get into it, we want to make sure you know about LIKE.TG AI Solutions – By using our Einstein GPT platform, AI insights are right at your fingertips. We have complete training modules to help you interact with our AI-based platform, with guidance on how to build prompts, and information on how our AI platform works for various sides of businesses such as Sales, Customer Service, Marketing and Commerce. What is Prompt Engineering? Prompt Engineering is the art of tailoring your input to create specific, desired responses from AI applications, whether through commands or questions. This empowers People and organisations to harness the full potential of AI technologies, such as LIKE.TG Einstein, by refining the way users interact with these systems to achieve greater productivity and superior results. Key Terms to Understand NLP (Natural Language Processing): A field of artificial intelligence that focuses on enabling computers to understand, interpret, and generate human language in a way that is both meaningful and contextually relevant. Many AI applications use this as their base model, including ChatGPT. Intent Recognition: This is a fundamental NLP concept. It involves understanding the underlying purpose of a user’s message or query, a cornerstone for effective prompt engineering. Entities: In NLP, entities are specific pieces of information extracted from user input, like dates or product names. Dialogue Flow: Dialogue flow in AI/NLP is how a chatbot or AI system talks to you: understanding what you say, replying, and keeping the conversation smooth and on track. Training Data: High-quality data is used for training NLP models, which enhances your prompt engineering by improving intent recognition and response generation. Context: In prompt engineering, context refers to the conversation’s history and information, which is crucial for multi-turn interactions. A Beginner’s Look at Prompt Engineering In this post, we will focus on text prompts. But you can get almost anything from a prompt: including pictures! This work was created using the free version of Anime-style Clickdrop, an interface for various tools (Stable Diffusion XL by Stability AI, a deep learning text-to-image generator.) We tried this out with a straightforward prompt: “Show me a picture with blue water and mountains.” So, just think of a prompt like a short and precise briefing. If your generative AI tool receives a meaningful and relevant prompt, it can give you an appropriate answer. And what does Open AI, the creators of ChatGPT, say about prompt engineering? Examples of Prompt Engineering We’ve explained above what a prompt engineer does and how to get started. But what does that look like in practice? Our first example shows how well ChatGPT works when you put a little more thought into your prompt. Here is an example of ChatGPT helping us create Buyer Persona’s. Here is our prompt: “Create five dark chocolate buyer personas using whatever customer survey data you can find. Create a table of personas and give each a name, benefits, and use cases.” Note: If you had your own data to formulate, ChatGPT would use it and include it within its response. You can also ask ChatGPT to put it in a table for you: To master generative AI tools, enter the suitable prompts, and consider these three prompt engineering principles: 1) Provide context: Should AI develop personas as above? Then, specify for which product or service. 2) Be specific: It’s tempting, but don’t get caught up in chatting; it confuses GPT programs. Be brief and precise about what is expected. 3) Proceed Step by Step: Sometimes, slow is better. Break your prompt into multiple detailed questions. Chain-of-thought Prompts Explained Chain of Thought (CoT) is a way for AI to respond in conversations that make sense by considering what was said before, so it feels like a natural chat. At this point, anyone who is not an IT professional may have their head spinning, trying to understand the difference between AI and prompt engineering. Simply put, Prompt engineering is the main factor in the effective use of AI tools. The prompt is the interface between the users and large AI language models (LLM – Large Language Model) like ChatGPT. Nobody has to remember that. But you should know that these language models are based on natural language. LLMs are machine learning models. But they generate human-like texts, and that’s precisely why they work so well. The Real GPT Revolution: Prompts are a new form of code that is entered as text and delivers instant results. This makes us all coders— no specialist knowledge required. For users of Prompt Engineering (and we should all become familiar with it): We have to ensure that the texts we generate achieve the desired goals. So embrace the benefits of prompt engineering, but also be aware of the limitations of generative AI. If the prompt isn’t good, the results aren’t good either. Lastly, let’s look at another example of prompting. To do this successfully and give us good results, stick to the three principles described above. Here are a few prompt types to get you started – all created with the free version of ChatGPT. The Pareto Principle Prompt: “I want to learn about [insert topic (we said “daffodils”)]. List the top 20% of insights on this topic and share them with me, so I can understand 80%.” The Pareto Principle Prompt is a practical way to find out more about a topic. The Power Networking Prompt (Perfect for Cold Emails) Prompt: “Give me a cold calling email chain with parenthetical sections that can be customised to specific people or companies.” Perhaps a bit more content than necessary, but definitely useful as a starting point and can be used as inspiration. You can always click “Regenerate Response” to revise the output text, or Enter “shorten” as a prompt if the output is too long for you. Peak into the Mind of Leaders Tap into the collective wisdom of the top Fortune 500 CEOs with this prompt. We entered “green energy”. “Interview a team of CEOs from Fortune 500 companies on [TOPIC/QUESTION]. Create instructions and strategies to make [TOPIC/QUESTION] possible as if these CEOs answered them.” Advancing your Prompt Skills In these examples, we give ChatGPT a plethora of Real Estate data in point form and ask it when might be a good time to buy property in the area. Here is the output: It gives an unbiased answer as we posed a tricky question, “when is it good to buy in the region?”. But this type of prompt can give you a top-level understanding of what is happening in the region. Users of ChatGPT4 can take it a step further and get the AI to create charts to help them visualise the data, simply by asking it to do so. Harness your potential as a Prompt Engineer and explore the boundless opportunities that lie ahead. It’s important to remember that while generative AIs are incredibly capable, they generate responses from vast online data sources and are sometimes flawed. Protecting sensitive data should always be a top priority for you and your organisation. To enhance the value of your data and capitalise on its potential, consider the synergy between your data and ChatGPT. This partnership opens the door to creating fresh and captivating experiences for your customers, positioning you as a leader in the AI revolution unfolding.
Prospect vs Lead vs. Sales Opportunity: The Differences
Understanding the differences between leads, prospects, and sales opportunities is crucial for businesses looking to optimise their sales processes and boost revenue. By effectively managing these distinct stages of the sales funnel, organisations can allocate resources efficiently, prioritise high-potential opportunities, and ultimately increase their chances of closing deals. The sales team plays a pivotal role in building business relationships with leads, prospects, and sales opportunities, which is essential for nurturing and closing sales effectively. This article aims to clarify the distinctions among leads, prospects, and sales opportunities, emphasising the significance of each and providing practical tips to help businesses navigate the sales funnel successfully, with sales reps playing a key role in optimising the sales process through effective lead qualification and prioritisation. What is a lead? Within the sales space, the concept of a lead holds immense significance. A lead refers to an individual or an organisation that has expressed interest in a specific product or service, indicating they may be a potential customer. These leads are often generated through various marketing endeavours, including advertising campaigns, engaging social media content, or targeted email marketing initiatives. Not all leads are created equal. Some leads possess a higher likelihood of converting into loyal customers, while others may require more nurturing and attention to transition from a lead to a potential customer who requires nurturing. The quality of a lead is influenced by a myriad of factors, including the industry they belong to, the size of their organisation, and their financial capabilities. Recognising and prioritising high-quality leads is essential for optimising sales strategies and maximising conversion rates. Effectively managing sales leads is crucial in optimising sales strategies and ensuring the sales funnel is populated with more qualified opportunities. Nurturing leads throughout the sales process is of paramount importance. This involves providing them with valuable information about the product or service, promptly addressing their inquiries and concerns, and consistently building a relationship of trust and credibility. By effectively nurturing leads, businesses can significantly enhance their chances of converting them into satisfied customers, fostering long-term loyalty and driving business growth. What is a prospect? A prospect is a lead who has been qualified as being more likely to convert into a customer through a meticulous qualification process. This process assesses a lead’s interest level, budget, authority to make a purchase decision, and timeline, ensuring they are a good fit for the company’s product or service. Prospects are typically identified through lead qualification, which involves evaluating these factors to determine the suitability of leads for specific offerings. There are a number of ways to identify prospects. One common method is to use a lead scoring system, which assigns points to leads based on their demographics, firmographics, and behaviour. Leads with a high score are then considered to be prospects. Another way to identify prospects is to use a qualification questionnaire. This questionnaire asks leads a series of questions about their needs, budget, and timeline. Leads who answer the questions in a way that indicates that they are a good fit for the company’s product or service are then considered to be prospects. Once a lead has been qualified as a prospect, it is crucial to engage in lead nurturing. This involves building relationships with potential customers and guiding them through the buyer’s journey by providing targeted, valuable content and communication. This keeps leads engaged and helps differentiate between leads and prospects based on deeper relationship development and qualification. By nurturing prospects effectively, you can increase the chances of converting them into customers. This can lead to increased sales and revenue for your business. Here are some tips for nurturing prospects: Provide them with valuable content. This could include blog posts, white papers, webinars, and case studies. Respond to their inquiries promptly. This shows that you are interested in their business and that you are willing to help them. Build a relationship of trust and credibility. This can be done by being honest, transparent, and reliable. By following these tips, you can increase the chances of converting prospects into customers and growing your business. What is a sales opportunity? A sales opportunity is a qualified lead that has the potential to become a customer. Sales opportunities are typically identified through a process of opportunity qualification, which involves assessing a prospect’s needs, budget, and timeline for making a purchase. This process includes opportunity level qualification to determine if the prospect could effectively implement the company’s offering and benefit from the product or service at the opportunity level, before proceeding to the stakeholder level. Once a prospect has been qualified as a sales opportunity, it is important to track and manage it through the sales process. This involves developing a sales strategy, creating a timeline, and assigning resources to the opportunity. It is also important to regularly update the status of the opportunity and to communicate with the prospect throughout the process, with the ultimate goal of converting them into paying customers. By tracking and managing sales opportunities, businesses can increase their chances of closing deals and growing their revenue. There are a number of software tools that can be used to track and manage sales opportunities, such as customer relationship management (CRM) systems. Here are some of the benefits of tracking and managing sales opportunities: Improved sales forecasting: By tracking sales opportunities, businesses can get a better understanding of their sales pipeline and forecast their future revenue. This information can be used to make informed decisions about staffing, marketing, and product development. Increased sales efficiency: By managing sales opportunities effectively, businesses can streamline their sales process and reduce the amount of time it takes to close deals. This can lead to increased sales productivity and profitability. Improved customer satisfaction: By tracking and managing sales opportunities, businesses can ensure that they are providing their customers with the best possible experience. This can lead to increased customer satisfaction and loyalty. Overall, tracking and managing sales opportunities is essential for businesses that want to grow their revenue and improve their customer satisfaction. The importance of differentiating leads, prospects, and opportunities Understanding the differences between leads, prospects, and opportunities is critical for sales teams to optimise their sales process and allocate resources effectively. By properly segmenting individuals and organisations based on their level of interest and qualification, including organisation level qualification, sales teams can tailor their approach and focus on the most promising opportunities. Differentiating leads, prospects, and sales opportunities enables sales teams to: Prioritise efforts: By identifying qualified leads and prospects, including conducting stakeholder level qualification to ensure the contact has the authority to make purchasing decisions, sales teams can prioritise their efforts on individuals and organisations most likely to convert into customers. This allows them to allocate their time and resources more effectively, focusing on the most promising opportunities. Tailor outreach: Understanding the specific needs and interests of leads and prospects allows sales teams to tailor their outreach and messaging accordingly. This increases the relevance and effectiveness of their communication, leading to higher engagement and conversion rates. Improve sales forecasting: Accurate differentiation between leads, prospects, and sales opportunities, while ensuring organisation-level qualification is met, helps sales teams make informed forecasts about their sales pipeline. By tracking the progression of individuals and organisations through the sales funnel, sales teams can better predict revenue and make strategic decisions about resource allocation. Enhance customer experience: By understanding the unique requirements and expectations of leads, prospects, and customers, including the importance of stakeholder-level qualification, sales teams can provide a personalised and exceptional customer experience. This fosters positive relationships, increases customer satisfaction, and ultimately drives business growth. In summary, differentiating leads, prospects, and sales opportunities, with a keen focus on organisation level qualification and stakeholder level qualification, is essential for sales teams to optimise their sales process, target the right individuals and organisations, and deliver a superior customer experience. By leveraging this knowledge, sales teams can significantly increase their chances of success and achieve their revenue goals. Lead vs. prospect Leads and prospects are two important terms in sales and marketing, but they represent different stages in the sales funnel and have distinct characteristics. To effectively manage your sales pipeline, it’s crucial to understand the differences between leads and prospects. Leads are typically individuals or organisations that have shown some initial interest in your product or service. They may have visited your website, downloaded a brochure, or attended a webinar. At this stage, leads may not be fully aware of your company or its offerings, and they may require more nurturing and education to become sales-qualified leads. On the other hand, prospects are leads who have been qualified as having a higher likelihood of converting into customers. They have been identified as a good fit for your product or service based on various criteria, such as their industry, budget, and timeline for making a purchase. Prospects are typically further along in the sales funnel and are more familiar with your company and its offerings. They may be actively considering your product or service as a solution to their needs. The key difference between leads and prospects lies in their level of qualification. While leads are a broader group of individuals who have expressed some interest in your company, prospects are those leads who have been vetted and determined to be more likely to make a purchase. By understanding the distinction between leads and prospects, you can tailor your sales and marketing efforts accordingly. Leads may require more nurturing and educational content to move them further down the sales funnel, while prospects may be ready for more detailed product demonstrations and discussions about pricing. By segmenting your audience and personalising your outreach, you can increase your chances of converting leads into customers. Lead vs. opportunity In the sales process, leads and opportunities are two crucial concepts that represent different stages of the customer journey. While leads indicate an initial expression of interest in a product or service, opportunities represent prospects who have been deemed more likely to make a purchase. Understanding the distinction between leads and opportunities is vital for optimising sales strategies and focusing efforts on the most promising prospects. Leads are often generated through various marketing initiatives, such as advertising, social media engagement, or website visits. These individuals or organisations have shown some level of interest, but their level of engagement and purchase intent may still be uncertain. To convert leads into customers, it’s essential to nurture them through the sales funnel by providing relevant information, addressing concerns, and building trust. On the other hand, opportunities signify a more advanced stage in the sales process. These are leads that have been carefully qualified based on specific criteria, indicating a higher likelihood of converting into customers. Identifying opportunities involves assessing factors such as the prospect’s needs, budget, timeline, and decision-making authority. By focusing resources on qualified opportunities, sales teams can prioritise their efforts and allocate resources more effectively. The key difference between leads and opportunities lies in their level of qualification and readiness to purchase. Leads require more nurturing and cultivation to move them further down the sales funnel, while opportunities demand more focused attention and tailored sales strategies. By understanding this distinction, sales professionals can optimise their approach, improve lead conversion rates, and ultimately drive revenue growth. Stages of a sales opportunity The stages of a sales opportunity are prospecting, qualifying, needs analysis, proposal, and closing. Prospecting is the initial stage of the sales process where potential customers are identified and contacted. This can be done through various channels such as cold calling, email marketing, social media, or networking. The goal of prospecting is to generate leads, which are individuals or organisations that have shown some interest in the product or service. Qualifying is the process of evaluating leads to determine their potential for converting into customers. This involves assessing factors such as the lead’s budget, timeline, and decision-making authority. The goal of qualifying is to identify prospects, which are leads who have a higher likelihood of making a purchase. Needs analysis is the stage where the salesperson gathers information about the prospect’s specific needs and requirements. This involves asking questions, listening actively, and understanding the prospect’s pain points. The goal of needs analysis is to identify the prospect’s key challenges and tailor the product or service to meet their specific needs. Proposal is the stage where the salesperson presents a customised solution to the prospect’s needs. This typically involves creating a proposal that outlines the product or service, the benefits it offers, and the terms of the sale. The goal of the proposal is to convince the prospect that the product or service is the best solution for their needs and to obtain a commitment to purchase. Closing is the final stage of the sales process where the salesperson finalises the sale and collects payment. This involves negotiating the terms of the sale, obtaining signatures on contracts, and processing payment. The goal of closing is to complete the sale and turn the prospect into a customer. By understanding and effectively managing each stage of the sales opportunity, businesses can increase their chances of closing deals and growing their revenue. Keep tabs on your leads, prospects, and opportunities with LIKE.TG LIKE.TG is a powerful Customer Relationship Management (CRM) platform that can help you manage your leads, prospects, and opportunities more effectively. With LIKE.TG, you can: Create custom fields and reports to track the specific information you need about your leads, prospects, and opportunities. Automate tasks, such as sending follow-up emails or creating new leads, to save time and effort. Access your data from anywhere, on any device, so you can always stay up-to-date on your sales pipeline. LIKE.TG can also help you qualify leads and move them through the sales process more efficiently. By using LIKE.TG, you can: Score leads based on their level of interest and likelihood to convert. Create and manage sales campaigns to target specific leads and prospects. Track the progress of your leads and prospects through the sales process. With LIKE.TG, you can get a complete view of your sales pipeline and make informed decisions about how to best allocate your resources. This can help you close more deals and grow your business. Here are some specific examples of how LIKE.TG can be used to track leads, prospects, and opportunities: A real estate agent can use LIKE.TG to track the leads they generate from open houses, online listings, and referrals. They can create custom fields to track the lead’s contact information, property preferences, and budget. They can also automate tasks, such as sending follow-up emails or creating new leads, to save time and effort. A car salesperson can use LIKE.TG to track the leads they generate from car shows, online ads, and referrals. They can create custom fields to track the lead’s contact information, vehicle preferences, and budget. They can also automate tasks, such as sending follow-up emails or creating new leads, to save time and effort. A software salesperson can use LIKE.TG to track the leads they generate from trade shows, webinars, and online ads. They can create custom fields to track the lead’s contact information, company information, and IT needs. They can also automate tasks, such as sending follow-up emails or creating new leads, to save time and effort. These are just a few examples of how LIKE.TG can be used to track leads, prospects, and opportunities. With LIKE.TG, you can get a complete view of your sales pipeline and make informed decisions about how to best allocate your resources. This can help you close more deals and grow your business.
Ready for Dreamforce 2022? Here’s How You Can Experience the Magic
Every year, our flagship event Dreamforce brings the LIKE.TG community together to inspire with insights from thought leaders and Trailblazers. This year, as Dreamforce celebrates its 20th anniversary, the magic of this event will be streamed live and available on-demand on LIKE.TG+ from September 21-23 (Asia Pacific Timezones). At the Dreamforce campus, there will be 1,000+ sessions and workshops on a variety of topics — from sustainability and the journey to net zero, mindfulness, wellness and customer success. Dreamforce 2022 will attract tens of thousands of Trailblazers from around the world to the Moscone Center in San Francisco. There will also be plenty of innovation, inspiration, and customer stories from across the Asia-Pacific (APAC) region. So get ready to experience the magic of Dreamforce on LIKE.TG+ anytime, anywhere. The Dreamforce 2022 experience on LIKE.TG+ Register for our immersive LIKE.TG+ experience that brings the best of Dreamforce to you, for free. This reimagined virtual experience is a full three days that includes two channels, 72 hours of live broadcast, 200+ on-demand sessions, and many exclusive, digital-only moments. It’s your perfect opportunity to connect, learn, and have fun at our LIKE.TG family reunion — Dreamforce. Be inspired by Marc Benioff, change-makers Matthew McConaughey, Bono, Jane Goodall DBE and Al Gore, and a whole host of Trailblazers, customers, partners, actors, activists, world-class athletes, and thought leaders. Sessions you don’t want to miss Dreamforce Main Keynote Co-CEOs Marc Benioff and Bret Taylor will kick off Dreamforce by sharing the vision for the future of LIKE.TG. Hear customer success stories and find out about our latest innovations. APAC Encore: Dreamforce Main Keynote 12:00 p.m. SGT, 21 September 2022 Presenting the Dreamforce Main Keynote — but with an APAC twist! Catch up with LIKE.TG executives Pip Marlow, CEO, ANZ & ASEAN; Arundhati Bhattacharya, CEO, India; Leandro Perez, VP & CMO, APAC, and some very special guests, to hear their insights on the exciting future of the Asia Pacific region. ASEAN Customers Share Insights Azureen Azita Abdullah, Head of Downstream Digital & Innovation, PETRONAS will be featured in the Energy and Utilities main session. Catch it on-demand on LIKE.TG+ from 21 September. Erville Magtubo, Head of Customer Care, Meralco; Atiporn Jaroensri, Chief Information Officer, CP Lotus Corporation, and Aadrin Azly, Chief Digital Officer, PETRONAS will also be speaking at Dreamforce. What you can learn from thought leaders Find these sessions and more on the Dreamforce schedule and get ready to sit back and enjoy the show! Digital Transformation for an Evolving Future Learn how to lay the foundation that empowers you to support technologies that will be prevalent for many years to come. Building a Human and Humane Future of Work Learn how to prepare for the next era of technological innovation to ensure your workers are equipped with the right digital literacy skills. Leading in a Flexible Work World Understand how organisations are navigating an evolving digital environment where employees need to succeed from anywhere. Using Business as a Platform for Change Learn how business leaders are helping promote social justice, prioritising diversity and leading with empathy and responsibility. Are you a LIKE.TG Partner? Don’t miss Dreamforce! Dreamforce is a fantastic opportunity for LIKE.TG Partners to connect with current customers and prospects, and nurture relationships. “I look forward to the opportunity to welcome our APAC Partners at Dreamforce. Whether it’s in person or online, Dreamforce is a great way to help Partners connect with customers. The sessions will be very helpful in demonstrating our Partners’ expertise through success stories, and the innovations they leverage in delivering customer success with LIKE.TG,” said Latika Minocha, VP of Alliances and Channels, ASEAN. We have put together a handy Dreamforce Watch Party Kit to help Partners organise watch parties with their customers and teams. Sustainability at Dreamforce 2022 At Dreamforce, we’re committed to accelerating the world’s journey to net zero. Each year, we make every effort to have a more sustainable Dreamforce. This year, along with carbon-friendly and eco-friendly measures, we also have expert speakers educating and enabling us to take climate action. Learn how to get to net zero across your entire organisation and also how ‘ecopreneurs’ benefit people and the planet through innovative sustainability businesses. The details — with more to come Watch Dreamforce Today for the latest news and special guests, Global Programming for all the sessions designed for you, and the nightly show Dreamforce Tonight – all available on-demand, so you don’t miss any session! You can also search for sessions by topic, industry and role on LIKE.TG+. Main channels: Prime Time: The channel for the best of Dreamforce from around the world featuring LIKE.TG executives, global leaders, and changemakers (including the APAC Encore: Dreamforce Main Keynote). Trailblazer: Hear from Trailblazing pioneers, innovators, and lifelong learners on this channel. Discover how to use LIKE.TG to do well and do good in your career, company, and community. When: September 21–23, 2022. Join us as we count down to the APAC Encore: Dreamforce Main Keynote from 8 a.m. SGT, 21 September 2022 Where: Wherever you are!
Realising the Power of Community and Purpose
Suraj Naik has had a diverse career, which took him on a journey from running Bollywood events to doing media sales. He’s now found his place as Chief Marketing Officer and Executive Director of the Genius Group. Suraj is motivated by the energy and passion of the global entrepreneur community that the group has established. Joining us on the Future of Work, Now podcast, Suraj discusses the growth of this community and how it’s evolving in the digital world. He also shines a light on how communities like Genius Group give back to society. Here are the key takeaways: The compelling nature of entrepreneurship Suraj was exposed to the world of entrepreneurship while running an event. He listened to many entrepreneurs and was captivated by the transformation they’d undergone to get to where they wanted to be. “Entrepreneurs go through different phases of transformation. There is the self-awareness phase of getting to know who you really are, the self-expression phase where you’re able to connect with other people and express who you are, and then you get to self-mastery,” said Suraj. Genius Group supports entrepreneurs in their transformations with its technology solutions. These include its online education platform and entrepreneurial assessment tool. The group also runs events and spaces like Genius Central Singapore where entrepreneurs can co-work and make new connections. “We are a 1.7 million strong global community today, which presents opportunities for entrepreneurs to learn from one another,” said Suraj. Tapping the power of trust During the pandemic, Genius Group’s physical spaces had to close. It came up with the idea of the Trusted Buyer’s Club to help members sustain business. The premise of the club was for members to buy from one another and many used the opportunity to transform digitally. Small businesses, which had largely operated offline, brought in consultants to rollout customer relationship management (CRM) software and deploy chatbots. Others engaged consultants to help them with digital marketing and social media. “Trust has always played a role in our community and so we created this club where everyone made a pact to buy from one another. It helped entrepreneurs to keep their businesses running and they received feedback from the community on how to improve their products,” said Suraj. Suraj acknowledged that business was still difficult for some entrepreneurs and many had to adopt a better approach to selling. “When COVID-19 hit, there was panic and people were not buying. It became clearer that you could not sell with the mindset of ‘here’s my product, now buy it’,” said Suraj. “Instead, you need to go to market with the idea of solving someone’s problem and that has been our approach from early on.” Staying true to culture Genius Group has navigated the pandemic by staying true to its culture. Everything the group does is aligned to the United Nations Sustainable Development Goals. Part of goal number eight is to promote full and productive employment and decent work for all. Genius Group’s commitment to this goal influenced its decision to not let anyone go during the pandemic. Instead, everyone rallied together and created a 100-day plan to help the organisation pivot. Focusing on just 100 days made goals easier to achieve and brought the finish line closer. Many parts of the organisation are now back to operating as normal and Suraj said Genius Central Singapore is buzzing. “There are often queues outside the cafe at lunchtime, but it’s a good problem to have. With recent acquisitions, we now have an opportunity to bring more people together and transform more lives,” said Suraj. Listen to the full podcast to learn more about Genius Group and its community of purpose-driven entrepreneurs. Access the podcast on demand at our podcasts page, Spotify, and iTunes. You can also listen over at the Singapore Community Radio Twitch page, Facebook page, and website. Sign up here for our LIKE.TG Blog newsletter to get monthly updates on the latest LIKE.TG stories.
Report: Making Singapore’s Workforce Digitally Ready
By 2025, Singapore will need 1.2 million more digital workers to remain competitive. This digital skills gap requires urgent action from business leaders and the government alike. The Salesforce-YouGov Digital Skills – Singapore report reveals the current capabilities, expectations, and requirements for digital skilling across industries. It includes private, public, and not-for-profit organisations with one to more than 100 employees. These findings are based on a survey conducted with more than 1,000 mid-level managers and senior management professionals in Singapore. The road ahead for digital skilling in Singapore looks positive with technology innovations and strategic collaborations between businesses and the government, like the Professional Conversion Programme. Making training a continual practice through technologies like Trailhead, will further enable businesses to gain a competitive advantage. The Singapore Government is also increasing its effort in growing jobs and training opportunities. The Future Economy Council, chaired by the Deputy Prime Minister Swee Keat Heng focuses on reskilling and upskilling programmes for Singaporeans. The National Jobs Council, chaired by Senior Minister Tharman Shanmugaratnam focuses on identifying and developing job opportunities for Singaporeans. Check out the infographic below for a summary of key findings from the report. To read the full report, click here.
Resilience and Other Takeaways From LIKE.TG Live: Asia 2022
LIKE.TG Live: Asia 2022 was a day of inspiration, innovation, and celebration! It brought our ASEAN community of Trailblazers, industry leaders and partners together virtually to share inspiring stories. We discussed a wide range of topics — from building trust and resilience, to committing to a sustainable future. Trailblazers also shared transformational tales of customer success and career change. You can now experience LIKE.TG Live: Asia 2022 on-demand. Here are the key highlights: Resilience to fuel recovery and growth One of the greatest takeaways from LIKE.TG Live: Asia 2022 is around how successful teams build resilience. By fostering personal and organisational resilience, businesses can achieve greater fulfilment and success. This year, we invited bestselling author Simon Sinek and Chin Yin Ong, Chief People Officer at Grab, to share insights on how building resilience helps individuals and organisations on their growth journey. At an organisational level, connectedness is the foundation of resilience. Chin Yin shared that in today’s hybrid workspace, Grab leaders make a concerted effort to reconnect with their employees, merchants, and consumers to understand their needs. “We’re now starting with our teams to rebuild a lot of the social bonds that have weakened,” Chin Yin said. Bringing people together is the first step towards building resilient teams. Simon also emphasised the importance of an ‘infinite mindset’ in developing both personal and organisational resilience. Having an infinite mindset means approaching solutions to problems with a spirit of service, and understanding that helping others also helps us grow. “When we see people as human, it not only builds resilient individuals, but definitely contributes to building resilient organisations,” Simon remarked. Only with empathy and trust, can teams build resilience and come together to solve complex problems. The LIKE.TG community continues to ‘do well and do good’ In his keynote, Sujith Abraham, LIKE.TG Senior Vice President and General Manager for ASEAN, took us through some key milestones from the last 12 months. By working closely with our LIKE.TG community, we empower organisations to do well and do good. Guided by our core values, we put trust in our people and products, support customer success, champion innovation, and promote equality for all. We are also fully committed to stepping up for our planet and giving back to our communities. Aligning our business with the newly unveiled core value — sustainability, we embrace business as a platform for change and believe success is for everyone on Earth and the planet itself. How ASEAN businesses are crafting the ‘wow’ experience LIKE.TG solutions continued to empower businesses in an increasingly connected world. Cecily Ng, SVP & GM Singapore, showed us how LIKE.TG solutions are helping Tokopedia craft a seamless connected customer experience. By leveraging Customer 360, Service Cloud, and Slack, their service agents are promptly resolving cases and keeping customers up to date throughout the process. Boxian Tan, Co-founder and Chief Product Officer of Ninja Van Group, shared how LIKE.TG solutions help to boost their business performance. Sales Cloud empowers their remote teams with timely and accurate information, leading to significantly higher conversion rates. This improvement in sales experience helped Ninja Van Group emerge stronger from the challenges of the pandemic. How a Trailblazer transformed her career Jia Ying Lee is a Singapore-based Trailblazer. With no prior experience in technology, Jia Ying was enrolled in the Professional Conversion Program by her employer to upskill on LIKE.TG. This helped her take on the role of People Technology Analyst, and she now builds automated workflows, including Slack bots, to empower employees globally. For people looking to transform their careers, she advised, “Don’t stop learning; seize any formal learning opportunities available,and teach your newly acquired skills to someone else.” Jia Ying was awarded a Golden Hoodie for transforming her career and sharing her learnings with others. Pathway to sustainability Naomi Rajendram, Head of LIKE.TG ASEAN, Accenture, talked to Stephanie Goveas, Regional Vice President, Alliances at LIKE.TG, about how Net Zero Cloud is at the centre of Accenture’s sustainability journey. Naomi shared how ASEAN businesses can chart their pathway to sustainability. “First, understand what sustainability means to your organisation,” advised Naomi. “If net zero is your focus, know what your current emissions are and get access to accurate data.” “Then, set appropriate science-based targets. Put a price on carbon emissions and get your teams to focus on immediate reduction. And third, track your progress. Get data-driven insights to drive your sustainability.” LIKE.TG Live: Asia 2022 was a celebration of ideas, innovation and inspiring stories from the ASEAN community. Thank you to our Trailblazers, industry partners, and thought leaders for sharing their insights and learnings. Watch LIKE.TG Live: Asia 2022 on demand.
Responsible AI in Marketing: Embedding Ethics by Design
The marketing and advertising industries are being influenced by consumer demands for greater privacy and data control, as well as impending artificial intelligence (AI) regulation. Kathy Baxter shares how LIKE.TG builds trusted AI into marketing automation software. More from Kathy here. We are in a crisis of trust. According to LIKE.TG’s State of the Connected Customer, 92% of consumers believe there is a moderate to major need for companies to improve their trustworthiness, and 61% reported that it’s difficult for a company to earn their trust. The growing use of artificial intelligence (AI) in marketing makes things even more complicated. Fewer than half (48%) of customers trust companies to use AI ethically, and 65% are concerned about unethical use of AI. This may be because we see more negative headlines about biased AI (as in facial recognition, healthcare recommendations, or hiring) than positive ones about AI (for example, identifying cancer tumors that doctors miss). Optics aside, the burden is on marketers to respect privacy when personalising marketing messages with AI. There’s a fine line between useful, targeted ads and ones that are downright invasive. It’s also easy to slip into stereotype bias – attribution of particular qualities to a member of a particular social group – or exclude segments of your customer base by focusing on demographic variables. So, how do you ensure your marketing is accurate, inclusive, valuable, and privacy-preserving? AI can only be trusted when it is built transparently and has protection for human rights, explainability, accountability, and inclusion at its core. (LIKE.TG infuses ethical practices and processes into our AI development.) Next, it is up to marketers to make sure the technology benefits customers. Last month, Emily Witt, Sarah Flamion, and Annie Chin of LIKE.TG shared four principles for responsible marketing with data: Use and collect individual information appropriately Be transparent about the data use Give customers control and clarity Provide clear benefits in exchange for data Let’s apply these principles in the context of AI in marketing. 1. Collect and use sensitive data only when necessary and when it can benefit the customer Einstein Content Selection scans the fields in your models and highlights any sensitive fields (such as age, race, gender) or their proxies (ZIP code, name). Using these variables can add stereotype bias into your models. By highlighting these fields and proxies, customers can make an informed decision about whether or not they should include these fields in their decision making. Our Lookalikes model excludes age, race, gender, and income level to mitigate that type of bias. Relying more on behavior or interest-based variables rather than solely on demographics is less biased and more inclusive. You’re likely to discover new prospects you didn’t even know might be interested in your products or services! 2. Be transparent This refers to being open and clear about how you developed your AI models. What training data did you use? Was it representative of all your customer base or only part of it? What are the variables in your model, and did you weigh or exclude any? We publish model cards for our global models so all of our customers can understand how we created them. 3. Give customers control over the data you collect and respect their preferences The State of the Connected Customer report found that 61% say they feel like they’ve lost control over how their personal information is used. No wonder there is a crisis of trust. Now is the time to give your customers control over their data. Third-party cookies are on their way out and digital marketers need to start preparing now. One way to do this is by collecting first-party data directly from customers. In addition to being more accurate than third-party data brokers, it’s also cheaper because you cut out the middleman. Nederlandse Publieke Omroep (the Netherlands version of the BBC) has moved from cookie-based ad sales to context-based ad sales and seen their profits grow by 62%. 4. Demonstrate the benefits customers receive in exchange for use of their data Using features like Einstein Content Selection and Copy Insights helps personalise message and tone. Einstein Send Time Optimisation and Einstein Engagement Frequency ensure messages arrive at the right time and not so often that they overwhelm your customers. Together, these features ensure you send the right message to the right customer at the right time. Putting these four principles into practice will help customers trust your company with their data and increase loyalty and sales, because your customers see the value you provide. Want to learn about removing bias from your data and algorithms? Take the Responsible Creation of Artificial Intelligence trail on Trailhead. This post originally appeared on the U.S.-version of the LIKE.TG blog.
Retail Supply Chain Management Guide: The Importance & Strategies
Retail is an industry that is constantly changing and growing, so managing the supply chain effectively is essential to its success. Improving collaboration with suppliers and utilising technology to streamline all aspects of the supply chain can significantly enhance overall supply chain performance. Join us as we take a closer look at the complexities of retail supply chain management, exploring the interplay of processes, people, and technology that bring products from suppliers to customers. Along the way, we’ll uncover challenges that retailers face, including demand uncertainty, supply chain disruptions, and inventory management. We’ll also examine the practical strategies to overcome these hurdles and discover the best practices and emerging trends that are reshaping the future of retail supply chain management. From the transformative power of AI and machine learning to the growing emphasis on sustainability, this guide will equip you with the knowledge and insights needed to excel within the retail industry. What Is Retail Supply Chain Management? Within retail, the supply chain encompasses a vast network that orchestrates the movement of products and services from the hands of suppliers to the doorsteps of customers. This intricate system involves a multitude of players, from raw material providers and manufacturers to distributors, retailers, and end consumers. Retail Supply Chain Management (RSCM) emerges as the art of meticulously planning, executing, controlling, and monitoring all activities within this network. Its primary objective? To generate net value, establish a competitive infrastructure, and seamlessly align the supply chain strategy with ever-changing demand. RSCM encompasses every step of the product journey, from the initial sourcing of raw materials to the final delivery to the customer. It involves the coordination of various processes, including manufacturing, warehousing, transportation, and retailing. Each step demands careful management to ensure the smooth flow of goods, minimise costs, and maintain optimal inventory levels. Effective RSCM is not simply a logistical endeavour; it’s a strategic imperative that can significantly impact a retailer’s success. By optimising the supply chain, retailers can enhance customer satisfaction, reduce operational costs, and gain a competitive edge in the dynamic retail business. Retail Supply Chain Management Explained Retail Supply Chain Management (Retail Supply Chain Management, or RSCM for short) is a critical aspect of the retail industry, encompassing all the processes involved in bringing products from suppliers to end customers. It’s a complex network that requires careful planning, coordination, and execution to ensure efficient and cost-effective operations. The key components of RSCM include: Sourcing and procurement: This involves identifying and selecting suppliers, negotiating contracts, and managing the flow of raw materials and components into the production process. Manufacturing: This stage involves converting raw materials into finished products. Retailers may own and operate their manufacturing facilities or outsource production to third-party manufacturers. Warehousing and distribution: This involves storing finished products in warehouses and managing their distribution to retail stores or directly to customers. Retailing: This is the final stage of the supply chain, where products are sold to end consumers through various channels, including physical stores, online platforms, and mobile apps. Throughout the supply chain, retailers face numerous challenges, including demand uncertainty, supply chain disruptions, inventory management, and the need to maintain high levels of customer service. Effective RSCM involves developing strategies to mitigate these challenges and ensure that products reach customers in a timely, cost-effective, and satisfactory manner. Challenges in retail supply chain management Retailers face a myriad of challenges in managing their supply chains. One of the most daunting is the inherent uncertainty of demand. Consumer preferences can be highly volatile, influenced by factors such as fashion trends, economic conditions, and unforeseen events. This makes it challenging for retailers to accurately forecast demand and align their supply chains accordingly. Overestimating demand can lead to excess inventory and associated costs while underestimating demand can result in stockouts and lost sales. Another significant challenge in retail supply chain management is the vulnerability to disruptions. The COVID-19 pandemic has underscored the fragility of global supply chains, exposing retailers to risks such as factory closures, port congestion, and transportation delays. Geopolitical tensions, natural disasters, and trade disputes can further exacerbate these disruptions. Retailers must develop contingency plans and build resilience into their supply chains to mitigate the impact of such disruptions and ensure business continuity. Inventory management is another challenge in retail supply chain management. Retailers and supplier management must strike a delicate balance between maintaining adequate stock levels to meet customer demand and avoiding excessive inventory that ties up capital and incurs storage costs. Factors such as product seasonality, lead times, and inventory turnover rates need to be carefully considered to optimise inventory levels and minimise the risk of stockouts or overstocking. Building and maintaining strong relationships with suppliers is essential for effective retail supply chain management. Retailers rely on suppliers for a steady flow of quality products at competitive prices. However, for many retail businesses, managing supplier relationships can be complex, involving negotiations, contract management, and ensuring compliance with ethical and sustainability standards. Retailers must foster collaborative partnerships with suppliers to ensure mutual benefit and supply chain efficiency. In addition to these challenges, retailers must also contend with the rapid pace of technological advancements. The rise of e-commerce, the proliferation of mobile devices, and the increasing adoption of automation and artificial intelligence are transforming the retail industry. Retailers must embrace these technologies and adapt their supply chains accordingly to remain competitive and meet the evolving needs of their customers. Strategies for effective retail supply-chain management Effective Retail Supply Chain Management (RSCM) is necessary within retail. To achieve supply chain excellence, retailers must adopt innovative strategies that optimise inventory management, leverage technology, foster supplier collaboration, and ensure continuous monitoring and improvement. One key strategy for managing inventory well is the utilisation of data analytics to optimise inventory levels. By leveraging historical sales data, demand forecasting, and real-time inventory tracking, retailers can strike a balance between minimising stockouts and avoiding excess inventory. This data-driven approach reduces carrying costs, improves cash flow, and enhances customer satisfaction by ensuring product availability. Embracing automation and technology is also essential for streamlining supply chain processes. Implementing automated systems for tasks like order fulfilment, warehouse management, and transportation scheduling can significantly enhance efficiency and accuracy. Technologies such as radio frequency identification (RFID) and blockchain can provide real-time visibility and traceability throughout the supply chain, facilitating better coordination and reducing the risk of errors. Collaboration with suppliers is another basis for effective RSCM. Establishing strong relationships built on trust and transparency fosters open communication, enabling retailers to gain insights into suppliers’ production schedules, inventory levels, and potential disruptions. This collaboration facilitates proactive planning, reduces lead times through inventory optimisation, and minimises the impact of unforeseen challenges. Developing robust contingency plans is paramount in mitigating risks and disruptions. Given the changing nature of the retail industry, retailers must be prepared to handle disruptions such as natural disasters, supplier bankruptcies, or market fluctuations. Creating alternative sourcing strategies, maintaining safe stock levels, and diversifying transportation routes can help retailers navigate disruptions effectively and minimise their impact on customer service. Continuous monitoring and evaluation of supply chain performance are vital for identifying areas of improvement. Establishing key performance indicators (KPIs) and regularly analysing data related to inventory turnover, order fulfilment rates, and transportation costs enables retailers to pinpoint inefficiencies and make data-driven decisions for ongoing optimisation. By implementing these strategies, retailers can achieve a resilient, efficient, and agile supply chain that supports their business objectives and delivers exceptional customer experiences. Best practices for successful retail supply-chain management Retailers can achieve significant improvements in their supply chain management practices by adopting a range of proven strategies. One crucial element is implementing real-time inventory tracking systems. These systems provide accurate and up-to-date information on inventory levels, enabling retailers to make informed decisions about replenishment, production, and distribution. This reduces the risk of stockouts, optimises inventory levels, and minimises the need for costly expedited shipping. Another best practice involves optimising warehouse operations. Retailers should strive to streamline warehouse processes, such as receiving, put-away, picking, and packing. This can be achieved through efficient warehouse layout design, the use of automation and material handling equipment, and the implementation of inventory management systems. By optimising warehouse operations, retailers can reduce labour costs, improve order fulfilment accuracy, reduce shipping costs and enhance overall supply chain efficiency. Building strong relationships with suppliers is also essential for successful retail supply chain management. Retailers should work closely with their suppliers to establish clear communication channels, agree on performance expectations, and collaborate on inventory planning and forecasting. This fosters trust and cooperation, leading to improved product quality, reliable supply chain partners, and reduced lead times. Additionally, retailers can benefit from supplier expertise and gain access to innovative products and technologies. Leveraging technology to automate tasks is another key best practice. Technology solutions, such as inventory management software, transportation management systems, and warehouse management systems, can automate repetitive and time-consuming tasks, freeing up resources to focus on strategic initiatives. Automation also enhances accuracy, reduces errors, and improves overall supply chain visibility. Finally, retailers should continuously monitor and analyse their supply chain performance. This involves collecting and analysing data on key performance indicators (KPIs), such as inventory turnover, order fulfilment rates, and transportation costs. By regularly reviewing this data, retailers can identify areas for improvement, make data-driven decisions, and proactively address potential issues. This ongoing monitoring and analysis enable retailers to maintain a competitive edge and adapt to changing market dynamics. By implementing these best practices, retailers can achieve successful Retail Supply Chain Management, resulting in improved operational efficiency, reduced costs, enhanced customer satisfaction, and increased profitability for retail businesses. The Future of the Retail Supply Chain The retail supply chain is undergoing a period of rapid transformation driven by technological advancements and changing consumer behaviours. Retail Supply Chain Management is embracing innovative technologies such as artificial intelligence (AI) and machine learning (ML) to optimise various aspects of the supply chain. AI and ML algorithms are being used for accurate demand forecasting, enabling retailers to maintain optimal inventory levels and reduce the risk of stockouts. These technologies also enhance logistics planning by suggesting efficient routes and modes of transportation, resulting in reduced costs and improved delivery times. The growth of omnichannel retailing has further emphasised the need for seamless integration between online and offline channels. Customers expect a consistent and convenient shopping experience regardless of the channel they choose. To meet this demand, retailers are investing in Retail Supply Chain Management systems that can synchronise inventory levels, order fulfilment, and customer data across all channels. This integration ensures that customers can easily purchase products online and pick them up in-store or have them delivered to their doorstep. E-commerce has significantly impacted traditional brick-and-mortar stores, leading to increased pressure on supply chains to become more flexible and agile. Retailers are adopting new strategies such as drop shipping and micro-fulfillment at distribution centres, to reduce inventory holding costs and speed up delivery times. These approaches require real-time visibility and coordination throughout the supply chain to ensure that products reach customers quickly and efficiently. Sustainability has become a critical consideration in Retail Supply Chain Management. Consumers are increasingly demanding products that are produced ethically and with minimal environmental impact. Retailers are responding by partnering with suppliers and chain partners who share their commitment to sustainability and implementing eco-friendly practices throughout their supply chains. This includes reducing packaging waste, optimising transportation routes, and using renewable energy sources. Blockchain technology is also gaining attention as a means to improve supply chain transparency and traceability. By providing a secure and immutable record of transactions, blockchain can help retailers track the movement of goods from their origin to the end consumer. This enhances product authenticity, reduces the risk of counterfeiting, and enables faster product recalls in case of quality or safety issues. Essentially, the future of Retail Supply Chain Management is characterised by the adoption of innovative technologies in warehouse automation, omnichannel integration, e-commerce adaptation, sustainability practices, and the exploration of blockchain technology. Retailers who embrace these trends and invest in efficient and resilient supply chains will be well-positioned to meet the evolving demands of consumers and stay ahead of the competition. LIKE.TG and Retail Supply Chain Management As the retail industry grows and changes, technology plays a main part in optimising supply chain management. Retail Supply Chain Management involves a complex network of processes, people, and technology that bring products from suppliers to customers. LIKE.TG, a leading customer relationship management (CRM) platform, offers a comprehensive suite of tools that can significantly enhance retail supply chain management. LIKE.TG’s supply chain management solutions provide retailers with real-time visibility into their inventory levels, order fulfilment status, and transportation activities. This enhanced visibility enables retailers to make informed decisions, optimise inventory levels, and inventory costs, and reduce the risk of stockouts. LIKE.TG also streamlines order management processes by automating order capture, processing, and fulfilment, resulting in faster and more accurate order fulfilment. LIKE.TG offers robust transportation management capabilities that help retailers optimise their logistics operations. Retailers can utilise LIKE.TG to mine inventory data, plan and execute shipments, track shipments in real time, and manage carrier relationships. These features enable retailers to reduce transportation costs, improve delivery times, and provide a superior customer experience. One of the key advantages of using LIKE.TG for Retail Supply Chain Management is its ability to integrate with other supply chain management systems. Retailers can seamlessly integrate LIKE.TG with their existing enterprise resource planning (ERP) systems, warehouse management systems (WMS), and transportation management systems (TMS). This integration ensures a unified view of the entire supply chain, eliminates data silos and facilitates smoother information flow. Another advantage of using LIKE.TG is its cloud-based platform. LIKE.TG’s cloud-based solutions offer retailers flexibility, scalability, and accessibility. Retailers can access their supply chain management data and insights from anywhere, anytime, using any device with an internet connection. This flexibility allows retailers to make real-time decisions and respond swiftly to changing market dynamics. By leveraging LIKE.TG’s supply chain management solutions, retailers can gain a serious competitive advantage and edge in the market. Improved visibility, reduced costs, enhanced customer service, and the ability to integrate with other systems empower retailers to streamline their supply chain operations and deliver exceptional customer experiences.
ROI: Return on Investment Meaning and Formulas
Return on investment (ROI) is a crucial metric used to assess the profitability of an investment or project. It measures the return an investor receives relative to the amount of money they initially invested. Whether you’re a business owner, investor, or someone looking to make informed financial decisions, understanding ROI is essential. In this blog post, we’ll delve into the concept of ROI, explore its significance, and provide practical examples to help you make smarter investment choices. We’ll also discuss calculating ROI, interpreting results, and using leverage to enhance your returns. By the end of this comprehensive guide, you’ll have a firm grasp on ROI and how it can empower your investment decisions. What is Return on Investment or ROI? Return on Investment (ROI) is a financial metric used to evaluate the profitability of an investment by comparing its gain or loss relative to its cost. It is a crucial tool for assessing the potential returns from asset investments such as stocks or business ventures. Calculating ROI entails determining the ratio between the net income (or profit) obtained from an investment and the total cost incurred in making that investment. Typically expressed as a percentage or a ratio, ROI enables investors to gauge the efficiency and profitability of their investments. By comparing the ROI of different investment opportunities, individuals can make informed choices, channelling their resources into ventures that promise the most lucrative returns. Beyond its role as a standalone metric, ROI is a vital tool for comparing investment options. By evaluating the ROI of various investment vehicles, such as stocks, bonds, real estate, or business ventures, investors can identify those that align best with their financial goals and risk tolerance. This comparative analysis empowers individuals to allocate their capital strategically, maximising their chances of financial success. The significance of ROI cannot be overstated, particularly for businesses and investors seeking to optimise their financial performance. By leveraging ROI as a guiding metric, decision-makers can enhance their investment strategies, minimise risks, and maximise returns. Embracing ROI as a cornerstone of financial decision-making empowers individuals and organisations to navigate the often-complex investment landscape with greater confidence and acumen. How to Calculate ROI To calculate return on investment (ROI), the net income (or profit) obtained from an investment is divided by the total cost incurred in making that investment. The ROI formula is as follows: ROI = (Net Income / Total Cost) x 100 For example, if an investment of $1,000 generates a net income of $200, the ROI would be 20%. This means that the investment generated a return of $0.20 for every $1 invested. When calculating ROI, there are a few things to keep in mind. First, it is important to use the net income (or profit) after all expenses have been paid. This includes the cost of goods sold, operating expenses, and interest. Second, the total cost of the investment should include the initial investment and any ongoing costs, such as maintenance or marketing. ROI can be used to compare different investment options and assess the efficacy of financial decisions. For example, a company may be considering two different marketing campaigns. The first campaign has a lower upfront cost but is expected to generate less revenue. The second campaign has a higher upfront cost but is expected to generate more revenue. By calculating the ROI of each campaign, the company can determine which is the better investment. ROI is valuable for businesses and investors seeking to optimise their financial performance. By understanding how to calculate ROI, you can make better investment decisions and achieve your financial goals. Here are a few tips on how to improve your ROI: – Use leverage. Leverage is borrowing money to finance an investment. When used effectively, leverage can magnify an investment’s returns. However, it is important to use leverage carefully, as it can also magnify losses. – Combine ROI with other metrics. ROI is a valuable metric, but it is not the only metric that should be used to make investment decisions. Other metrics, such as net present value (NPV) and internal rate of return (IRR), can also be helpful. Combining ROI with other metrics gives you a more complete picture of an investment’s potential return. – Monitor your investments regularly. The financial landscape is constantly changing, so monitoring your investments regularly is important to ensure they are still meeting your goals. You can make adjustments as needed to improve your investment performance by tracking your ROI and other metrics. How to Interpret ROI A positive ROI indicates that an investment has generated a return greater than its cost, while a negative ROI indicates that an investment has resulted in a loss. The magnitude of the ROI provides insight into an investment’s profitability or success. A higher positive ROI generally signifies a more successful investment, while a lower negative ROI suggests a less severe loss. When comparing different investments, it is essential to consider their respective ROIs. The investment with the highest ROI is not necessarily the best option, as other factors may need to be considered. For example, an investment with a lower ROI may have a shorter payback period or involve less risk. It is important to remember that ROI is just one metric used to evaluate investments. Other factors, such as risk tolerance, time horizon, and liquidity, should also be considered when making investment decisions. Investors can make informed decisions that align with their financial goals by carefully considering all relevant factors. ROI examples To illustrate the calculation of ROI, consider the following examples: Example 1: Real Estate Investment Suppose you purchase a rental property for $100,000 and incur closing costs and other expenses of $5,000. You rent out the property for $1,500 per month and incur annual expenses of $10,000 (including mortgage payments, property taxes, insurance, and maintenance). After one year, you sell the property for $120,000. To calculate ROI, first determine the net income: Net Income = (Rental Income – Expenses – Cost of Property) Net Income = ($1,500 x 12) – $10,000 – $105,000 = $15,000 Next, calculate the total cost of the investment: Total Cost = Cost of Property + Expenses Total Cost = $100,000 + $5,000 = $105,000 Finally, calculate ROI: ROI = (Net Income / Total Cost) x 100 ROI = ($15,000 / $105,000) x 100 = 14.29% In this example, the ROI of the real estate investment is 14.29%, indicating that for every dollar invested, the investor gained $0.1429. Example 2: Stock Investment Consider an investment in a stock that is purchased for $50 per share. After one year, the stock price increases to $60 per share, and the investor receives a dividend of $2 per share. To calculate ROI, first determine the net income: Net Income = (Sale Price + Dividend – Purchase Price) Net Income = ($60 + $2) – $50 = $12 Next, calculate the total cost of the investment: Total Cost = Purchase Price Total Cost = $50 Finally, calculate ROI: ROI = (Net Income / Total Cost) x 100 ROI = ($12 / $50) x 100 = 24% In this example, the stock investment’s ROI is 24%, indicating that for every dollar invested, the investor gained $0.24. These examples demonstrate how ROI can be calculated for different types of investments. Investors can make informed decisions about which investments to pursue by considering ROI. How to calculate ROI To calculate ROI, it is necessary to determine the net income or profit generated from the investment and divide it by the total cost incurred. The resulting figure is then multiplied by 100 to express it as a percentage. Here’s the formula: ROI = (Net Income / Total Cost) x 100 For instance, if an investment of $10,000 yields a net income of $2,000, the ROI can be calculated as follows: ROI = ($2,000 / $10,000) x 100 = 20% This indicates that the investment generated a return of 20 cents for every dollar invested. It’s worth noting that there are variations of the ROI formula that may be used depending on the specific context or industry. Some variations include: ROI = (Net Income – Initial Investment) / Initial Investment x 100 This formula calculates the ROI based on the initial investment rather than the total cost. ROI = (Current Value of Investment – Initial Investment) / Initial Investment x 100 This formula considers the current value of the investment rather than the net income. Regardless of the formula used, the fundamental principle of ROI remains the same: it measures the financial return of an investment relative to its cost. Comparing Investments and Annualised ROI When comparing different investments, it is essential to consider their respective ROIs. However, simply comparing the ROI figures may not be sufficient, as it does not consider the time value of money. This is where annualised ROI comes into play. Annualised ROI considers the time value of money by considering the total return on investment over a specific period, typically one year. It is calculated by multiplying the ROI for a given period by the number of periods in a year. For example, if an investment has a quarterly ROI of 5%, its annualised ROI would be 5% x 4 = 20%. Annualised ROI provides a more accurate measure of investment performance as it considers the compounding effect of returns. Compounding refers to the process where interest earned on an investment is added to the principal, and then interest is earned on the increased amount in subsequent periods. As a result, the annualised ROI provides a better representation of the long-term growth potential of an investment. When comparing investments, it is essential to use the same time period. This allows for a fair and accurate comparison of their performance. For example, if you compare the annualised ROI of two stocks, you should use the same one-year period for both stocks. Finally, annualised ROI can also compare investments with different risk profiles. Higher-risk investments typically have the potential for higher returns but also have a greater chance of loss. By comparing the annualised ROI of different investments, investors can make informed decisions about which investments align with their risk tolerance and financial goals. Combining Leverage With ROI Leverage is a financial concept that uses borrowed capital to finance an investment or project. By using leverage, investors can magnify their returns but also increase their risk of loss. The more leverage used, the higher the potential return and the greater the risk of losing the initial investment. In the context of ROI, leverage can increase the potential return on investment by increasing the amount of capital invested. For example, if an investor has $10,000 to invest and uses leverage to borrow an additional $10,000, they can invest $20,000. If the investment generates a return of 10%, the investor’s ROI would be 20% ($2,000 profit on a $10,000 investment). However, it is essential to remember that leverage can also magnify losses. If the investment loses 10%, the investor would also lose 20% ($2,000 loss on a $10,000 investment). Therefore, using leverage carefully and only when the potential rewards outweigh the risks is important. One way to mitigate the leverage risk is to use it with other risk management strategies, such as diversification and stop-loss orders. Diversification involves investing in various assets, which can help reduce the risk of losing money if one particular investment performs poorly. Stop-loss orders can automatically sell an investment if it reaches a certain price, which can help limit losses. Overall, leverage can be a powerful tool for investors, but it is important to use it carefully and understand the risks involved. By combining leverage with other risk management strategies, investors can potentially increase their ROI while protecting their capital. Advantages of ROI Return on investment (ROI) is a widely used and valuable metric for evaluating investment success. Its simplicity and universal comprehension make it a powerful tool for investors, businesses, and financial analysts. ROI offers several distinct advantages that make it a preferred metric for assessing investment performance. One of the primary advantages of ROI is its simplicity. It is calculated by dividing an investment’s net profit or gain by the total cost incurred. This straightforward formula makes it easy to understand and interpret, even for those without extensive financial knowledge. The resulting percentage provides a clear indication of the investment’s profitability. Another advantage of ROI is its widespread usage and recognition. It is a standard metric employed across industries and investment types, making it a universal language for discussing and comparing investment performance. This shared understanding facilitates effective communication and decision-making among investors, analysts, and stakeholders. Furthermore, ROI enables investors to compare different investment opportunities. By calculating the ROI of various investments, investors can make informed decisions about allocating their resources. This comparative analysis helps identify the most lucrative opportunities and optimise investment portfolios. ROI also serves as a useful benchmark for measuring the performance of investment managers or companies. By setting ROI targets and tracking performance against these benchmarks, investors can assess their investment strategies’ effectiveness and make necessary adjustments. This monitoring process helps ensure that investments meet their objectives and deliver desired returns. In summary, ROI’s simplicity, universal understanding, comparability, and benchmarking capabilities make it an invaluable metric for evaluating investment performance. Its widespread adoption and ease of interpretation provide a common ground for investors, businesses, and analysts to make informed decisions and achieve their financial goals. Disadvantages of ROI Return on investment (ROI) is a widely used metric for evaluating investment success, but it also has certain limitations and disadvantages. One of the main drawbacks of ROI is that it is a backward-looking metric that measures past performance and does not provide any insights into future performance. This can be a significant limitation, especially in dynamic and rapidly changing markets, where past performance may not indicate future results. Another disadvantage of ROI is that it needs to consider the time value of money. This means that it does not consider that money today is worth more than the same amount in the future due to the potential for earning interest or inflation. This can lead to misleading conclusions, especially when comparing investments with different time horizons or cash flow patterns. Additionally, ROI can be misleading if the initial investment is large. This is because the percentage return may appear impressive, but the actual profit may be relatively small compared to the risk taken. For example, an investment that generates a 10% ROI on a $100 investment may seem attractive, but the actual profit is only $10, which may not be worth the risk involved. Furthermore, ROI can be difficult to calculate accurately, especially for complex investments or projects. This is because it can take time to determine all the relevant costs and benefits associated with an investment, including opportunity costs and indirect expenses. In some cases, assumptions or estimates may be necessary, which can introduce errors into the calculation. Finally, ROI does not always accurately reflect the risk involved in an investment. This is because it focuses solely on the financial return and does not consider other risk factors, such as market volatility, credit risk, or operational risks. As a result, ROI may present an overly optimistic view of an investment’s potential, leading investors to underestimate the actual risk involved. How LIKE.TG can help you with Sales ROI LIKE.TG is a powerful customer relationship management (CRM) platform that can help businesses track, measure, forecast, optimise, increase, and improve their sales ROI. With AI-powered tools, automation, and personalised experiences, LIKE.TG gives businesses the insights and capabilities they need to make data-driven decisions and drive sales growth. Some of the ways LIKE.TG can help businesses improve their sales ROI include: Tracking and measuring sales performance: LIKE.TG provides businesses with a comprehensive view of their sales performance, including metrics such as sales volume, conversion rates, and average deal size. This information can be used to identify areas for improvement and adjust sales strategies. Forecasting sales: LIKE.TG’s forecasting tools help businesses predict future sales based on historical data and current trends. This information can be used to make informed resource allocation and inventory management decisions. Optimising sales processes: LIKE.TG provides businesses with tools to optimise their sales processes, such as lead management, opportunity management, and quote management. These tools can help businesses streamline their sales processes and improve efficiency. Increasing sales: LIKE.TG provides businesses with tools to increase sales, such as email marketing, social media marketing, and e-commerce. These tools can help businesses reach new customers and generate more leads. Improving customer experiences: LIKE.TG provides businesses with tools to improve customer experiences, such as customer service, support, and loyalty programs. These tools can help businesses build relationships with customers and increase customer satisfaction. By leveraging LIKE.TG’s power, businesses can gain valuable insights into their sales performance and make data-driven decisions to improve their sales ROI. With AI-powered tools, automation, and personalised experiences, LIKE.TG provides businesses the capabilities they need to drive sales growth and achieve success.
Rule the Market: 9 Retail Pricing Strategies 2024
Pricing is everything in retail. Understanding price elasticity, or how price changes affect demand, is so important for setting effective retail pricing strategies. Get it right, and you can drive sales, profit margin and customer loyalty; get it wrong, and you can quickly lose out to your competitors. Adopting a competitive pricing strategy, which involves setting prices based on market conditions to offer the lowest possible prices and monitoring competitors’ prices, can be effective but may also affect profits and customer perceptions. But with so many different pricing strategies to choose from, how do you know which one is right for your business? Within this guide, we’ll explore 9 common pricing strategies that small businesses can use to succeed in 2024. From value-based and competition-based pricing to penetration and psychological pricing, we’ll cover it all. We’ll also provide real-world examples and expert insights to help you find the perfect pricing strategy for your target market and business goals. So, whether you’re just starting out or you’re looking to take your business to the next level, read on to learn how to rule the market with your pricing strategy. 9 Common Pricing Strategies for Small Businesses Selecting the right pricing strategy is a game-changer within retail. To assist you in this decision, we present 9 effective discount pricing strategies that can propel your small business to success in 2024. From value-driven approaches to psychological tactics, we’ve got you covered. Value-Based Pricing: This strategy revolves around setting prices based on the perceived value of your product or service to the customer. By understanding your target market’s preferences and willingness to pay, you can determine a price that aligns with their perceived benefits. For instance, if you offer a unique and high-quality product that solves a specific problem, you can command a premium price. Competition-Based Pricing: Keeping an eye on your competitors’ pricing is essential. By setting your prices in line with or slightly below theirs, you can attract customers looking for a competitive deal. However, avoid engaging in wholesale price wars, as this can erode your profits. Instead, focus on differentiating your offerings through superior quality, customer service, or unique features. Cost-Plus Pricing: This straightforward method involves adding a markup to the cost of producing your product or service to determine the selling price. While it ensures you cover your expenses and make a profit, cost-plus pricing may not always reflect the market value of your offerings. To strike a balance, consider market demand and customer willingness to pay before finalising your prices. Penetration Pricing: If you’re looking to quickly capture market share, penetration pricing can be a powerful tool. By setting your prices significantly lower than the competition, you can entice customers to try your product or service. Once you’ve established a customer base, you can gradually increase your prices to more profitable levels. Loss Leader Pricing: Loss leader pricing involves setting a low price on a popular item to attract customers, with the expectation that they will purchase additional items at regular prices. This strategy can drive traffic and increase overall sales. Psychological Pricing: This strategy taps into the psychology of consumers to influence their perceptions of higher price or value. Techniques such as setting prices just below a round number (e.g., $9.99 instead of $10) or using odd-numbered prices can create the illusion of a better deal. Additionally, offering discounts, limited-time offers, or free shipping can further enhance the perceived value of your products or services. Bundle Pricing: Bundle pricing, also known as multiple pricing, involves selling a group of products for a single price, such as a three-pack of socks or a five-pack of underwear. Retailers use bundle pricing to streamline marketing campaigns and attract customers. However, it can impact the sale of individual items and may lead to cognitive dissonance among consumers. Keystone Pricing: Keystone pricing is a product pricing strategy in which the retail price is doubled based on the wholesale cost paid for a product. It is a simple approach to pricing, often used for products considered to be necessity items. However, it may not work for all items and could potentially lead to overpricing or underselling. Price Skimming: Price skimming involves setting a high initial price for a new or innovative product and gradually lowering it over time. This strategy helps maximise profits from early adopters before targeting more price-sensitive customers. How to choose a pricing strategy Selecting the right Retail Pricing Strategy is necessary for the success of your business. Several factors come into play when determining the optimal pricing strategy. Here are key considerations to guide your decision-making process: Understand Your Target Market: Begin by thoroughly understanding your target market’s preferences, needs, and willingness to pay. Conduct market research to gain insights into their price sensitivity, purchasing behaviour, and the value they place on your products or services. Assessing price sensitivity, or how responsive consumers are to changes in price, can provide valuable insights into setting optimal prices. This knowledge empowers you to set prices that resonate with your customers and align with their perceived value. Align with Business Goals: Your pricing strategy should directly support your business goals. Whether you prioritise maximising profits, increasing market share, or enhancing customer loyalty, your pricing decisions should reflect these objectives. For instance, if customer acquisition is a primary goal, consider implementing a penetration pricing strategy to attract new customers. Conduct a Cost Analysis: Accurately calculate the costs associated with producing and delivering your products or services. This includes direct costs such as raw materials, labour, and shipping, as well as indirect costs like rent, utilities, and marketing expenses. A complete cost analysis ensures that your pricing covers all expenses and contributes to your business’s profitability. Research Competitors’ Strategies: Analyse the pricing strategies of your competitors to gain valuable insights into market trends and customer preferences. While it’s not advisable to base your pricing solely on competitors’ prices, understanding their approach can help you position your products or services effectively and identify opportunities for differentiation. Consider using the manufacturer-suggested retail price (MSRP) as a baseline for creating your pricing strategies and standardising prices across retailers. Test Different Pricing Approaches: Don’t hesitate to experiment with different pricing strategies to determine what works best for your business. Implement A/B testing or conduct market surveys to assess customer response to various price points. This data-driven approach allows you to make conscious decisions about your pricing strategy and optimise it for maximum success. By considering these factors and adapting your pricing strategy accordingly, you can effectively position your business in the market, drive sales, and achieve your business goals. Remember, the right pricing strategy is one that strikes a balance between customer value, cost coverage, and business profitability. Competitive pricing strategy examples To gain a deeper understanding of these pricing strategies, let’s explore real-world examples of their implementation. 1. Cost-Plus Pricing: Example: A boutique adds a 50% markup to its clothing items, which includes the cost of materials, labour, and overhead expenses. 2. Value-Based Pricing: Example: An electronics store charges a premium price for a high-end smartphone due to its advanced features and brand recognition. 3. Competition-Based Pricing: Example: A grocery store matches the prices of its competitors to remain competitive in the local market. 4. Penetration Pricing: Example: A new coffee shop offers discounted prices for a limited time to attract customers and establish a loyal customer base. 5. Psychological Pricing: Example: A clothing store prices its items at Retail Pricing Strategies just below a whole number (e.g., $9.99 instead of $10.00) to create the perception of a better deal. Additionally, displaying a discounted price alongside the original price can enhance this perception by highlighting the savings. 6. Dynamic Pricing: Example: An airline adjusts ticket prices based on demand, time of booking, and competition to maximise revenue. 7. Premium Pricing: Example: A luxury car brand sets high prices for its vehicles to reflect their superior quality and exclusivity, attracting affluent customers. These examples demonstrate how businesses across various industries apply different Retail Pricing Strategies to achieve their specific goals. By carefully considering customer perceptions, market dynamics, and business objectives, retailers can leverage these strategies to optimise their pricing approach and drive business success. Finding the best pricing strategy for you So, you’ve familiarised yourself with the various retail and wholesale pricing strategies available. Now, it’s time to embark on a journey to discover the pricing strategy that resonates most effectively with your retail business. This involves a holistic approach that encompasses several crucial considerations. First and foremost, it’s essential to gain a strong understanding of your target market and their willingness to pay. Conduct thorough market research to decipher their preferences, purchasing patterns, and the value they associate with your products or services. This knowledge acts as a fundamental principle for crafting a pricing strategy that aligns seamlessly with their expectations. Next, take a deeper look into your business’s cost structure, meticulously evaluating all expenses incurred during production, distribution, and marketing. This analysis will provide a clear picture of your break-even point, ensuring that your pricing strategy safeguards profitability while remaining competitive. It’s all-important to conduct a meticulous competitor analysis, examining the competitive pricing strategies employed by your industry peers. Identify their strengths and weaknesses, and leverage this knowledge to position your pricing effectively within the competitive landscape. Consider using price anchoring, where a higher-priced item is placed next to a lower-priced item to make the latter appear more attractive, to influence customer perception and drive sales. Lastly, don’t shy away from experimentation. Test different pricing strategies on a small scale before committing to a long-term approach. This hands-on approach will provide valuable insights into customer response, allowing you to refine your pricing strategy until you discover the perfect formula for success. Remember, the retail landscape is ever-changing, and customer preferences are constantly evolving. So it’s imperative to regularly review and adjust your pricing strategy based on market conditions and customer feedback. This proactive approach will ensure that your own discount pricing strategy always remains relevant, competitive, and aligned with your business goals, ultimately leading to sustained success in the ever-evolving retail industry. Finding the best Retail Pricing Strategy for your business is a process of exploration, analysis, and adaptation. By meticulously considering your target market, costs, competition, and customer feedback, you can craft a dynamic pricing strategy that propels your retail business to new heights of profitability and customer satisfaction. Pricing strategy FAQ As you navigate the dynamic landscape of retail pricing, it’s natural to encounter questions that may influence your approach. Let’s address some frequently asked questions to clarify key aspects of pricing strategies: How do I assess the effectiveness of my current pricing strategy? Evaluating your current pricing strategy is necessary for identifying areas of improvement. Here are a few metrics to consider: Sales Volume: Monitor changes in sales volume over time. A consistent increase or decrease can indicate the effectiveness or ineffectiveness of your pricing. Customer Feedback: Gather input from customers through surveys, reviews, or direct conversations. Understand their perceptions of your pricing compared to competitors and the value they associate with your products. Profit Margins: Analyse your profit margins to determine the profitability of your pricing strategy. Ensure that your prices cover production costs and allow for sustainable growth. How can I implement pricing changes without losing customers? Implementing pricing changes requires a delicate balance to minimise customer churn. Here are some strategies to consider: Communicate Clearly: Openly communicate the reasons behind the price change to your customers. Explain the value they will continue to receive or any improvements being made. Offer Incentives: Provide incentives such as discounts, loyalty programs, or added value to offset the price increase and retain customer loyalty. Implement Gradually: Consider implementing price changes gradually over a period of time, allowing customers to adjust and understand the new pricing structure. What are some common pricing pitfalls to avoid? Avoid these common pricing pitfalls to maintain a competitive retail price edge: Price Wars: Engaging in aggressive price wars can lead to a race to the bottom, eroding profits and diminishing brand value. Ignoring Customer Value: Focusing solely on cost-based pricing without considering customer-perceived value can lead to missed opportunities for higher profits. Ignoring Competition: Setting prices without considering competitor pricing can result in being overpriced or underpriced, impacting sales and market share. How can I test different pricing approaches? Testing different premium pricing approaches allows you to gauge customer response and optimise your strategy. Here are a few methods to consider: A/B Testing: Conduct A/B tests by offering different prices to different customer segments or on different platforms. Analyse the results to determine the most effective pricing approach. Surveys and Feedback: Collect customer feedback through surveys or focus groups to understand their willingness to pay and preferences for different pricing options. Experimental Pricing: Implement temporary price changes for a limited period to gather data and insights into customer behaviour and demand. What is price discrimination and how can it be used effectively? Price discrimination involves charging different prices to different customer segments based on their willingness to pay. This strategy can maximise revenue by capturing consumer surplus, but it must be implemented carefully to avoid customer dissatisfaction. By addressing these frequently asked questions and implementing the recommended strategies, you can fine-tune your retail pricing strategies for success in 2024. Embrace the power of effective pricing to drive sales, enhance customer loyalty, and optimise your business performance.
Sales AI: The Future of Artificial Intelligence in Sales
We surveyed thousands of marketing leaders about today’s marketing trends. What did we find? Marketers ranked artificial intelligence (AI) implementation as both their number one priority and number one headache — highlighting its pivotal role as both a beacon of promise and a daunting challenge. Key takeaways from our new State of Marketing report To some, the words “new era” mean big ideas and fresh innovations. To others, it means unanswered questions, uncharted territory, and unsolved challenges. No matter which camp you find yourself in, we’re all trying to build better relationships that move our business forward. We surveyed marketers about how they are tackling this new era. The results found in our new State of Marketing report reveal trends that are impacting marketers — emerging AI, data unification, and personalisation tools — and the challenges they face to continue to create customer connections in a new era. Let’s take a look at highlights from the report. 1. Successful AI implementation leads 2024 marketing trends There’s a difference between AI implementation and successful AI implementation. In our survey, only 34% of marketers are completely satisfied with their efforts to reap the value of AI. Even fewer are fully satisfied with their attempts at unifying customer data to improve the customer experience. The two go hand in hand. Unlike other marketing trends and technologies, AI isn’t a standalone tool. It can touch and impact almost every aspect of a marketing strategy. Looking to build better personalisation? Predictive AI can forecast customer behaviour and trends, allowing businesses to anticipate needs and tailor their strategies accordingly. Curious about how to create engaging content quickly? Generative AI generates various types of content at scale based on data analysis and natural language processing algorithms. Our report found that 71% of marketers plan to use both predictive and generative AI within the next 18 months. While marketers are embracing AI, they’re also considering associated risks — data risks in particular. Marketers are focused on making AI successful with the right data but are concerned about its integrity, protection, and customer trust as adoption ramps up. But it’s not just data that keeps marketers on their toes. One in four team leads is worried about generative AI replacing human workers. However, unlocking AI’s full potential requires a strategic fusion of human expertise and cutting-edge technology. What better AI means for marketers Predictive insights, segmentation, and content generation is just the beginning when it comes to better AI. But don’t let the magnitude of AI scare you away — or worse, jump in without a vision. Start small and focus on solving a specific, well-defined problem that aligns with your organisation’s goals and capabilities. Gradually scale up as you gain experience and insights from initial deployments. There’s power in experimentation — as long as it’s followed by implementation. 2. Trustworthy data powers genuine customer connection More than two thirds (68%) of customers said advances in AI make it more important for companies to be trustworthy. And 98% of marketers say trustworthy data is more important in times of change. Marketers who prioritise trustworthy data may just have a head start in the new era. Trustworthy data is free from errors, biases, or manipulation, and adheres to established standards and best practices for data collection, storage, and usage. Access to this data builds better external and internal relationships. Externally, it allows you to build better connections with your customers, and a foundation built on trust and fulfilled expectations. When you have a clean set of data, you know you’re making decisions based on accurate, up-to-date information. It allows you to personalise messages and put the customer first in marketing decisions, knowing that you’ve got a complete picture of their journey and preferences. Personalisation isn’t just one of the hot marketing trends today — it’s the expectation. Internally, marketers are using trustworthy data to track and assign value to accounts and move sales forward through approaches like account-based marketing, which require close marketing and sales team collaboration. Our survey found that marketers use an average of nine different tactics across the customer experience to collect this data, with customer service data, transactional data, mobile apps, website registration/account creation, and loyalty programs topping the list. It’s clear that there’s no shortage of data. Putting that data to work is the challenge. As third-party cookies are deprecated and AI continues to develop, marketers are trying to bring that data together into a holistic understanding of customers. But how important is data if you can’t act on it when you need it? More than half of marketers can get real-time data, but they need technical assistance to activate it. What better data means for marketers The right data is the backbone to actionable customer profiles, analytics, and decision-making — actionable as the key differentiator. Centralised data management platforms that aggregate and harmonise data from various sources in real-time are that much more critical as marketers navigate new marketing trends. 3. Marketers are all in on personalisation Personalisation is the new marketing mantra, but what that means can vary. A lifecycle approach is evolving as more than half of marketers (57%) aim to provide personalised content across the entire customer journey — not just their journey to become a customer. In fact, marketers are more likely to personalise content for existing customers, including support and customer retention content. But they’re not forgetting about their prospects either. Effective personalisation, although a work in progress for many, requires cross-channel recommendations. Let’s say a customer has recently been browsing your website. Based on this history, they later receive an email promoting a new product, followed by a social media ad showcasing the same product. Suddenly, you’ve created a connected and personalised experience across multiple channels. The challenge with implementing cross-channel personalisation is not only the ability to access trustworthy data across all these channels, but do so consistently on the channels customers prefer. And there’s a stark difference between how the highest- and lowest-performing marketing teams are adapting. Underperforming marketers are fully personalising across only three channels, compared with five channels for moderate performers and six channels for high performers. What better personalisation means for marketers When marketers personalise across more channels, they are customising their messaging and interactions to what customers want — and where they want it. Doing this creates a more consistent experience for customers, strengthening brand relationships and making it more likely they keep engaging and converting. Adopting AI and machine learning algorithms can help automate data analysis and segmentation. This allows you to derive actionable insights and give your customers a more tailored experience, no matter where they interact with your brand.. New marketing trends are pushing progress for marketers as expectations around data and AI rise. Marketers are still figuring out what they can and can’t do – and how they can make this tech work for them. However, what’s fuelling this new era is still the same: building strong relationships that deliver value for both the business and the customer.
Sales Analysis: The Complete Guide
Sales analysis is a major component of business success, providing valuable insights into sales performance, customer behaviour, and market trends. By leveraging data analysis techniques, businesses can identify areas for improvement, increase sales strategies, and gain a competitive edge. In this exhaustive guide, we’ll look deeper into sales analysis, exploring its significance, various types of products, sales analysis, key metrics, and the benefits it offers. Additionally, we will uncover the powerful sales analysis tools available within LIKE.TG, empowering businesses to make data-driven decisions and drive growth. What is sales analysis? Today, sales analysis has emerged as a powerful tool that empowers businesses to make informed decisions, better sales strategies, and drive growth. It involves the systematic collection, analysis, and interpretation of data related to sales performance, customer behaviour, and market trends. By leveraging sales analysis, businesses gain valuable insights into their sales operations, enabling them to identify areas for improvement, address challenges, and capitalise on opportunities. Sales analysis plays a key role in understanding the effectiveness of sales strategies and tactics. By analysing sales data, businesses can determine which strategies are yielding positive results and which ones need to be revised. This data-driven approach allows sales managers to allocate resources efficiently, focus on high-potential opportunities, and eliminate ineffective strategies. Sales analysis also provides insights into customer behaviour, preferences, and buying patterns. This knowledge empowers businesses to tailor their sales strategies to meet the specific needs and expectations of their target audience, resulting in enhanced customer satisfaction and increased sales. To continue, sales analysis enables businesses to identify trends and patterns in sales performance. By recognising these trends, businesses can anticipate market changes, adapt their strategies accordingly, and stay ahead of the competition. Additionally, sales analysis helps businesses identify underperforming sales representatives and provides valuable feedback for coaching and training purposes. This data-driven approach to performance management ensures that sales reps and teams are equipped with the skills and knowledge necessary to excel in their roles. The importance of sales analysis Understanding the significance of sales analysis is crucial for businesses aiming to achieve sustainable growth and success. It’s a powerful tool that empowers businesses to make informed decisions, advance their sales strategies, and drive revenue growth by providing valuable insights into their sales performance. Through meticulous analysis of sales data and market research, businesses can uncover hidden trends, patterns, and correlations that reveal customer behaviour, preferences, and buying habits. Armed with this knowledge, they can tailor their sales approach to better align with customer needs, leading to increased sales opportunities and enhanced customer satisfaction. Sales analysis acts as a diagnostic tool, helping businesses identify areas for improvement within their sales process. By pinpointing strengths and weaknesses in sales processes, businesses can allocate resources more efficiently, focusing on high-potential opportunities and providing targeted training to their sales teams. This data-driven approach ensures that sales efforts are optimised, resulting in increased productivity and overall performance. Sales analysis provides a solid foundation for strategic decision-making. It enables businesses to make choices based on facts and evidence rather than simple assumptions or intuition. This analytical approach to sales strategy significantly reduces risks and increases the likelihood of success, allowing businesses to remain competitive and thrive in a dynamic market environment. In essence, sales analysis is an indispensable tool for businesses seeking to drive growth and success. By using sales data analysis and harnessing the power of data, businesses can gain profound insights into their sales performance, identify opportunities for improvement, and make informed decisions that lead to increased revenue and long-term sustainability. Embracing sales analysis is a strategic move that sets businesses on a path of continuous improvement and competitive advantage. Types of sales analysis There are several types of sales analysis that businesses can use to improve their sales performance and grow their business. Some of the most common types of sales analysis include: 1. Sales performance analysis: This type of analysis involves collecting and analysing data on sales performance, such as sales volume, revenue, and market share. This data can be used to identify trends and patterns in sales performance, as well as to identify areas for improvement in the sales pipeline. 2. Sales forecasting: This type of analysis involves using historical sales data to predict future sales. This can be used to help businesses make informed decisions about resource allocation, production levels, and marketing campaigns. 3. Customer segmentation: This type of analysis involves dividing customers into different groups based on their demographics, psychographics, and buying behaviour. This can be used to help businesses tailor their marketing and sales strategies to specific customer groups. 4. Product profitability analysis: This type of analysis involves calculating the profitability of individual products or product lines. This can be used to analyse sales and help businesses make decisions about which products to focus on and which products to discontinue. 5. Competitor analysis: This type of analysis involves collecting and analysing data on competitors’ sales performance, marketing strategies, and product offerings. This can be used to help businesses identify competitive advantages and develop strategies to differentiate themselves from their competitors. Get articles selected just for you, in your inbox Sign up now Sales analysis metrics KPIs Sales analysis metrics and KPIs are essential for measuring sales performance, using sales targets, identifying areas for improvement, and making informed decisions about sales strategies. These metrics provide businesses with valuable insights into their sales performance and help them track their progress towards achieving their sales goals. Some of the most common predictive sales analysis, metrics and KPIs include: 1. Sales revenue: This metric measures the total amount of revenue generated from sales. It is a key indicator of the overall financial performance of the sales team and can be used to track the team performance and sales growth over time. 2. Number of sales: This metric measures the total number of sales transactions completed. It can be used to track the sales volume and identify trends in sales activity. 3. Average order value: This metric measures the average amount of money spent per sales transaction. It can be used to track the profitability of a sales rep and identify opportunities to increase the average order value. 4. Customer acquisition cost: This metric measures the cost of acquiring a new customer. It can be used to track the efficiency of sales and marketing efforts and identify opportunities to reduce customer acquisition costs. 5. Customer lifetime value: This metric measures the total amount of revenue that a customer is expected to generate over their lifetime. It can be used to track the profitability of customers and identify opportunities to increase customer loyalty. 6. Sales cycle length: This metric measures sales pipeline analysis and the average amount of time it takes to complete a sales transaction. It can be used to track the efficiency of the sales process and identify opportunities to shorten the sales cycle. 7. Win rate: This metric measures the percentage of sales opportunities that result in a closed sale. It can be used to track the effectiveness of the sales process and identify opportunities to improve the win rate. These are just a few examples of the many sales analysis metrics and KPIs that businesses can use to measure their sales performance. By tracking these sales trend analysis metrics and KPIs, businesses can gain valuable insights into their sales performance and make informed decisions about their sales strategies. Benefits of sales analysis Sales analysis is a powerful tool that can help businesses improve their sales performance and efficiency. By analysing sales data, businesses can identify areas for improvement and growth, and make informed decisions about resource allocation and sales strategies. One of the key benefits of sales analysis is that it provides actionable insights for decision-making. By understanding which sales strategies are working and which ones are not, businesses can make adjustments to improve their sales performance. For example, if a business finds through sales analytics that a particular product is not selling well, it can decide to discontinue that product or develop a new marketing strategy to increase sales. Sales can perform a sales analysis that can also help businesses with forecasting and budgeting. By analysing historical sales data, businesses can make informed predictions about future sales. This information can be used to develop budgets and make decisions about staffing levels and inventory. Finally, sales analysis can help businesses improve customer satisfaction and loyalty. By understanding customer buying patterns and preferences, businesses can develop products and services that meet the needs of their customers. This can lead to increased sales and customer loyalty. A sales analysis report is a valuable tool that can help businesses improve their sales performance, efficiency, and customer satisfaction. By analysing sales data, businesses can gain insights into their sales process, identify areas for improvement, and make informed decisions about resource allocation and sales strategies. Sales analysis tools at LIKE.TG Sales analysis tools are essential for businesses that want to understand their sales performance and make informed decisions. LIKE.TG offers a range of various sales analysis reports and tools that can help businesses of all sizes improve their sales performance. These tools include LIKE.TG Analytics Cloud, Einstein Analytics, Tableau CRM, Datorama, and LIKE.TG reports and dashboards. LIKE.TG Analytics Cloud is a powerful business intelligence platform that provides users with a variety of tools for data analysis and visualisation. With LIKE.TG Analytics Cloud, businesses can create custom reports and dashboards to track their sales performance, identify trends, and make informed decisions. Einstein Analytics is a cloud-based artificial intelligence platform that can help businesses predict future sales trends and identify opportunities for growth. Einstein Analytics uses machine learning and artificial intelligence to analyse data and provide businesses with actionable insights. Tableau CRM is a cloud-based analytics platform that provides businesses with a variety of tools for data visualisation and analysis. Tableau CRM can be used to create interactive dashboards and reports that make it easy for businesses to track their sales performance and identify trends. Datorama is a cloud-based marketing analytics platform that can help businesses track their marketing performance and measure the ROI of their marketing campaigns. Datorama can be used to integrate data from multiple sources, including LIKE.TG, Google Analytics, and Adobe Analytics. Finally, LIKE.TG reports and dashboards provide businesses with a way to track their sales performance and identify trends. With LIKE.TG reports and dashboards, businesses can create custom reports and dashboards to track the sales metrics that are most important to them.
Sales Data: How to Perform a Sales Data Analysis
Sales data is a powerful tool that can help you understand your business, make informed decisions, and improve your sales performance. Regularly analysing sales data is crucial for gaining real-time insights into the sales cycle, driving improvement, and setting the team up for success. By doing so, you can track your progress, identify trends, and forecast future sales growth. You can also segment your customers, evaluate your marketing campaigns, and make data-driven decisions about your business. In this blog post, we will show you how to collect, analyse, and use sales data to improve your business. We will also discuss some of the key sales data metrics that you should track, and how to present your sales data in a way that is easy to understand. What is sales data? Sales data is a valuable asset for businesses of all sizes. It provides insights into customer behaviour, sales performance, and market trends. By analysing sales data, businesses can make informed decisions about product development, marketing, and sales strategies. Sales data can be collected from various sources, including point-of-sale systems, customer relationship management (CRM) software, and e-commerce platforms. Once collected, the data can be analysed using various tools and techniques, such as business intelligence (BI) software and data visualisation tools. Sales data can be used to track key performance indicators (KPIs), such as revenue, profit, customer acquisition cost, and customer lifetime value. By tracking these metrics, businesses can measure their progress and identify areas for improvement. Additionally, sales data can be used to identify trends and patterns, such as seasonal fluctuations in demand or changes in customer preferences. This information can be used to make informed decisions about product development, marketing, and sales strategies. For example, a business might use sales data to identify which products are most popular with customers, or which marketing campaigns are most effective. This information can then be used to make decisions about which products to invest in, or which marketing campaigns to continue. In summary, sales data is a valuable tool that can help businesses improve their performance. By collecting and analysing sales data, businesses can gain insights into customer behaviour, sales performance metrics, and market trends. This information can be used to make informed decisions about product development, marketing, and sales strategies. Key sales data metrics Businesses need to track a variety of sales metrics to measure their performance and make informed decisions. Some of the most important sales data metrics include: Total Revenue: This is the total amount of money that a business brings in from sales over a given period of time. It is calculated by multiplying the number of units sold by the price per unit. Total revenue is a key metric for measuring the overall success of a business and can be used to track growth over time. Profit Margin: This is the percentage of revenue that a business keeps after subtracting all costs associated with producing and selling its products or services. It is calculated by dividing the gross profit (total revenue minus the cost of goods sold) by the total revenue. Profit margin is a key metric for measuring the profitability of a business and can be used to identify areas where costs can be reduced. Customer Acquisition Cost: This is the average amount of money that a business spends to acquire a new customer. It is calculated by dividing the total marketing and sales expenses by the number of new customers acquired over a given period of time. Customer acquisition cost is a key metric for measuring the efficiency of a business’s marketing and sales efforts and can be used to identify ways to reduce costs. Customer Lifetime Value: This is the total amount of money that a business can expect to earn from a customer over their lifetime. It is calculated by multiplying the average customer lifespan by the average revenue per customer. Customer lifetime value is a key metric for measuring the profitability of a business’s customer relationships and can be used to identify ways to increase customer retention and loyalty. Average Deal Size: This metric is crucial for calculating Customer Lifetime Value (CLV) and monitoring upsell performance. It reflects the average revenue generated from each deal, helping businesses to determine pipeline velocity and provide targeted training to sales reps to maximise deal values. Average Order Value: This is the average amount of money that a customer spends on a single purchase. It is calculated by dividing the total revenue by the number of orders over a given period of time. Average order value is a key metric for measuring the effectiveness of a business’s pricing strategy and can be used to identify ways to increase sales. These are just a few of the key sales data metrics that businesses should track. By understanding these metrics, businesses can make informed decisions about their product development, marketing, and sales strategies to improve their sales teams overall performance. How to collect sales data There are several methods for collecting sales data, each with its own advantages and disadvantages. Some common methods include: Tracking website analytics: Website analytics tools, such as Google Analytics, can provide valuable insights into how customers interact with your website. This data can include information such as the number of visitors to your site, the pages they visit, and the amount of time they spend on each page. By analysing this data, you can gain insights into customer behaviour and identify areas where you can improve your website to increase sales. Sending surveys to customers: Customer surveys can provide valuable feedback about your products, services, and customer experience. By sending surveys to your customers, you can gather information about their satisfaction levels, identify areas for improvement, and collect suggestions for new products or services. Surveys can be conducted online, via email, or over the phone. Using a CRM system: A customer relationship management (CRM) system can help you track customer interactions and manage your sales pipeline. CRM systems can store customer contact information, track sales activities, and provide insights into customer behaviour. By using a CRM system, you can improve your sales efficiency and effectiveness. Monitoring social media mentions and online reviews: Social media and online reviews can provide valuable insights into customer sentiment and brand reputation. By monitoring social media mentions and online reviews, you can identify areas where you can improve your products or services and address customer concerns. You can also use social media and online reviews to generate leads and build relationships with potential customers. By collecting and analysing sales data, you can gain valuable insights into your business and make informed decisions to improve your sales performance. The importance of sales data analysis Sales data analysis is important because it can help businesses make more informed decisions, understand customer behaviour, identify their most profitable products and services, track their progress, and stay ahead of the competition. Informed Decisions With accurate and timely sales data, businesses can make more informed decisions about their product development, marketing, and sales strategies. For instance, by analysing historical sales data, businesses can identify seasonal trends, customer preferences, and market demands. This information can then be used to develop new products or services, target specific customer segments, and optimise marketing campaigns. Additionally, analysing sales per region helps in determining where products or services are selling the best, enhancing sales and marketing efforts through intelligent performance insights and actionable suggestions for improving these efforts. Understanding Customer Behaviour Sales data analysis provides valuable insights into customer behaviour, including their buying patterns, preferences, and pain points. By using sales analytics and understanding customer behaviour, businesses can develop targeted marketing campaigns, improve customer service, and create products and services that better meet customer needs. Identifying Profitable Products and Services Sales data analysis helps businesses identify their most profitable products and services. This information can then be used to allocate resources more effectively, focus on high-potential opportunities, and discontinue underperforming products or services. Tracking Progress Sales data analysis allows businesses to track their progress over time and measure the effectiveness of their sales and marketing strategies. By using predictive sales analysis and comparing current sales data to historical data, businesses can identify areas of improvement and make necessary adjustments to their strategies. Staying Ahead of the Competition In today’s competitive business environment, it is crucial for businesses to stay ahead of the competition. Sales data analysis provides businesses with the insights they need to make informed decisions, identify new opportunities, and develop strategies that give them a competitive edge. You’ve recorded your sales data — now what? Understanding the sales funnel After collecting your sales data, the next step is to analyse it to gain valuable insights into your business. By identifying trends and patterns through sales analysis, you can make informed decisions about your sales strategy and improve your overall performance. One way to analyse your sales data is to look for trends over time. This can help you identify seasonal fluctuations, changes in customer behaviour, and the impact of marketing campaigns. For example, you might see a spike in sales during the holiday season or a decrease in sales during the summer months. By understanding these trends, you can adjust your sales strategy accordingly. Another way to analyse your sales data is to segment your customers. This involves dividing your customers into different groups based on shared characteristics, such as demographics, purchase history, or location. By segmenting your customers, you can target your marketing and sales efforts more effectively and increase your chances of success. For a sales cycle for instance, if you have a group of customers who frequently purchase high-priced items, you could create a targeted marketing campaign specifically for them. Or, if you have a group of customers who live in a particular region, you could hold a local sales event. Finally, you can use your sales data to evaluate your marketing campaigns. By using sales targets and tracking the results of your marketing campaigns, you can see what is working and what is not. This information can help you fine-tune your marketing efforts and get the most out of your marketing budget. For example, if you run a paid advertising campaign, you can track the number of leads generated by the campaign and the conversion rate of those leads. This information can help you determine the effectiveness of your campaign and make adjustments as needed. By analysing your sales data, you can gain valuable insights into your business and make informed decisions to improve your sales performance. So, what are you waiting for? Start analysing your sales data today! Perfecting your sales team performance and sales process Sales data can also be used to perfect your sales process. By analysing your sales data, you can identify bottlenecks and inefficiencies in your sales process and take steps to streamline it. For example, you may find that your sales team is spending too much time on administrative tasks or that they are not following up with leads quickly enough. By identifying these inefficiencies, you can take steps to improve your sales process and increase your sales. Understanding the sales funnel is crucial for evaluating the health of your sales process and the team’s ability to move prospects through the funnel to turn them into customers. In addition to identifying bottlenecks, you can also use sales data to automate your sales process. By automating tasks such as lead generation, qualification, sales pipeline analysis and nurturing, you can free up your sales team to focus on more important tasks. This can lead to increased sales and improved customer service. Finally, you can use sales data to train your sales team and develop targeted marketing campaigns. By understanding your sales data, you can identify the needs of your customers and develop marketing campaigns that reach your ideal customers. You can also use sales data to track the performance of your sales team and provide them with feedback to help them improve their sales team performance further. By following these tips, you can use sales data to improve your sales process and increase your sales. Sales data is a valuable tool that can help you make informed decisions about your business and achieve your sales goals. How to present your sales data with dashboards You’ve collected and analysed your sales data, and now it’s time to present your findings in a way that’s easy to understand and actionable. Dashboards are a great way to do this, as they allow you to visualise your data and track your progress over time. When creating a sales data dashboard, it’s important to focus on creating a data-driven narrative. This means telling a story with your data, and highlighting the key insights that you want your audience to take away. For example, you might want to show how your sales have increased over time, or how your conversion rate has improved. To do this, you’ll need to use the right charts and visualisations. Bar charts and line graphs are a good way to show trends over time, while pie charts and scatter plots can be used to show relationships between different variables. It’s also important to consider your audience when choosing your charts and visualisations. If your audience is not familiar with data analysis, you’ll need to use simple charts and visualisations that are easy to understand. Finally, keep your dashboard simple. Don’t try to cram too much information onto one dashboard, as this will only make it difficult to read and understand. Instead, focus on presenting the most important information in a clear and concise way. By following these tips, you can create sales reports and data dashboards that are informative, actionable, and easy to understand. This will help you make better decisions about your business and improve your sales performance. Sales data analysis with LIKE.TG LIKE.TG is a powerful customer relationship management (CRM) platform that can be used to analyse your sales data and gain valuable insights into your business. With LIKE.TG, you can combine data from various sources, such as your CRM, marketing automation platform, and website analytics, to get a complete view of your sales performance. You can then use LIKE.TG’s analytics cloud to create reports and dashboards that visualise your data and make it easy to understand. One of the most powerful features of LIKE.TG for sales data analysis is Einstein Analytics. Einstein Analytics is a predictive analytics tool that uses artificial intelligence to identify trends and patterns in your data. This information can be used to forecast future sales, identify at-risk customers, and develop targeted marketing campaigns. In addition to its analytics capabilities, LIKE.TG can also be used to automate repetitive sales tasks, such as your sales reps sending follow-up emails and creating sales orders. This can free up your sales team to focus on more strategic tasks, such as building relationships with customers and closing deals. Finally, LIKE.TG can be used to centralise all of your sales data in one place, making it easier to access and to analyse sales further. This can be especially helpful for businesses that have multiple sales channels or locations. By using LIKE.TG for sales data analysis, you can gain valuable insights into your business and improve your overall sales performance.
Sales Promotion: Definition and Examples
Sales promotion is a marketing strategy that businesses use to boost sales, create brand awareness, and drive customer loyalty. It involves various techniques and tactics to incentivise customers to make a purchase or take a specific action. In this article, we will delve into the world of sales promotions, exploring its definition, uncovering its benefits and drawbacks, and examining different types of sales promotions. We’ll also provide insights on how to effectively plan, execute, and measure your sales promotions, and how LIKE.TG can assist you in optimising your sales promotion efforts. What is sales promotion? Sales promotion is a marketing strategy designed to increase the sales of a product or service. It involves various techniques and tactics to incentivise customers to make a purchase or take a specific action. Unlike advertising, which focuses on creating awareness and building brand recognition, sales promotion is more action-oriented and aims to drive immediate results. Sales promotions can be used for a variety of purposes, including: Introducing a new product or service: Sales promotions can help create excitement and generate buzz around a new offering, encouraging potential customers to try it out. Increasing brand awareness: Sales promotions can help increase visibility and recognition of a brand, especially when they involve unique or creative offers. Generating leads: Sales promotions can be used to capture contact information from potential customers, providing businesses with valuable leads for future marketing and sales efforts. Benefits of sales promotions Sales promotions can be used to achieve a number of benefits, including increasing brand awareness, generating leads, boosting sales and revenue, building customer loyalty and repeat business, and clearing out old stock or inventory. Increasing Brand Awareness Sales promotions can help to increase brand awareness by introducing new products or services to potential customers. They can also remind existing customers of your brand and encourage them to make repeat purchases. By offering discounts, free samples, or other incentives, sales promotions can attract new customers and get them to try your products or services. This can lead to increased brand recognition and loyalty. Generating Leads Sales promotions can also be used to generate leads for your business. By offering a free consultation, a white paper, or other valuable content, you can capture the contact information of potential customers who are interested in your products or services. This information can then be used to follow up with these customers and nurture them into becoming paying customers. Boosting Sales and Revenue Sales promotions can also be used to boost sales and revenue. By offering discounts, rebates, or other incentives, you can encourage customers to make purchases that they might not have otherwise made. This can lead to increased sales and revenue for your business. Building Customer Loyalty and Repeat Business Sales promotions can also be used to build customer loyalty and repeat business. By rewarding customers for their purchases, you can show them that you appreciate their business and encourage them to continue to buy from you. This can lead to increased customer loyalty and repeat business, which can help you to grow your business over the long term. Clearing Out Old Stock or Inventory Finally, sales promotions can also be used to clear out old stock or inventory. By offering discounts or other incentives, you can encourage customers to purchase products that are not selling well. This can help you to free up space in your warehouse and make room for new products. Drawbacks of sales promotions Sales promotions, while effective, are not without their drawbacks. One potential downside is the risk of cannibalising sales from other channels. For instance, if a product is heavily discounted during a sales promotion, customers may be more inclined to purchase it during the promotion rather than at its regular price. This can lead to a decrease in sales at full price, offsetting the gains from the sales promotion. Another challenge lies in accurately measuring the effectiveness of sales promotions. While some promotions may result in an immediate boost in sales, it can be difficult to determine the long-term impact on customer behaviour and brand loyalty. Additionally, tracking the ROI of sales promotions can be complex, as it involves considering various factors such as the cost of the promotion, changes in sales volume, and customer acquisition and retention rates. Furthermore, sales promotions can potentially trigger price wars among competitors. When one business offers a significant discount or promotion, other businesses in the same industry may feel compelled to follow suit to maintain their market share. This can lead to a race to the bottom, with businesses continually slashing prices to outdo each other, ultimately eroding profit margins for all involved. Finally, if not executed properly, sales promotions can damage a brand’s image. Offering excessive discounts or promotions too frequently can cheapen the brand’s perception in the eyes of consumers. This can make it challenging to restore the brand’s value proposition and premium pricing once the promotion ends. To mitigate these drawbacks, businesses should carefully consider the objectives, target audience, and potential impact of sales promotions before implementation. Balancing the benefits and risks, setting clear goals, and continuously monitoring and evaluating the results are crucial to ensuring the success of sales promotions while minimising any negative consequences. 10 types of sales promotions There are many different types of sales promotions that businesses can use to increase sales. Some of the most common include: Price discounts: Price discounts are one of the most common types of sales promotions. They involve offering a product or service at a reduced price for a limited time. Price discounts can be effective in generating leads, increasing brand awareness, and clearing out old stock. Loyalty programs: Loyalty programs are another popular type of sales promotion. They involve rewarding customers for their repeat business. Loyalty programs can help to build customer loyalty and repeat business, and they can also be used to collect valuable customer data. Free samples: Free samples are a great way to introduce new products or services to potential customers. They can also be used to generate leads and build brand awareness. Buy-one-get-one (BOGO) offers: BOGO offers are a type of sales promotion that involves offering two products or services for the price of one. They can be effective in generating leads, increasing brand awareness, and clearing out old stock. Rebates: Rebates are a type of sales promotion that involves offering a refund to customers who purchase a product or service. Rebates can be effective in generating leads, increasing brand awareness, and clearing out old stock. Contests: Contests are a fun and engaging way to generate leads, increase brand awareness, and build customer loyalty. Contests can be held online, in-store, or through social media. Referral programs: Referral programs are a type of sales promotion that involves rewarding customers for referring new customers to a business. Referral programs can be effective in generating leads and building customer loyalty. Flash sales: Flash sales are a type of sales promotion that involves offering a product or service at a deep discount for a very limited time. Flash sales can be effective in generating leads, increasing brand awareness, and clearing out old stock. Social media promotions: Social media promotions are a type of sales promotion that involves using social media platforms to promote a product or service. Social media promotions can be effective in generating leads, increasing brand awareness, and building customer loyalty. Email marketing promotions: Email marketing promotions are a type of sales promotion that involves using email to promote a product or service. Email marketing promotions can be effective in generating leads, increasing brand awareness, and building customer loyalty. How to prepare your sales force for a sales promotion To ensure the success of a sales promotion, it is crucial to adequately prepare the sales force. This involves setting clear and achievable objectives for the promotion. These objectives should be specific, measurable, achievable, relevant, and time-bound. For instance, a sales promotion objective could be to increase sales of a particular product by 15% within a two-week period. Providing comprehensive training is also essential to equip the sales team with the knowledge and skills necessary to execute the sales promotion effectively. This training should cover product knowledge, sales techniques, and communication skills. Role-playing exercises and simulations can be incorporated into the training to enhance the sales team’s preparedness. Furthermore, it is important to ensure that the sales team has the necessary resources to support the sales promotion. This may include marketing materials, such as brochures, flyers, and social media graphics. Additionally, the sales team should have access to customer relationship management (CRM) systems and other relevant technology to facilitate their tasks. Motivating the sales team is crucial to driving their performance during a sales promotion. This can be achieved through various incentives and rewards, such as commissions, bonuses, and non-monetary recognition. Setting up friendly competitions among the sales team can also foster a sense of healthy competition and motivation. By following these steps and ensuring that the sales force is well-prepared, businesses can increase the likelihood of a successful sales promotion. A well-prepared sales team is more likely to effectively communicate the value of the promotion to customers, drive sales, and achieve the desired objectives. Where to hold your sales promotion When choosing a location for your sales promotion, there are several key factors to consider to ensure its success. The first is the location of your target market. Your sales promotion should be held in a place that is easily accessible to your target audience. If your target market is local, consider holding the promotion in a central location within your community. If your target market is broader, you may want to consider holding the promotion in a larger city or region. The size of your sales promotion is also an important factor to consider when choosing a location. If you are expecting a large number of attendees, you will need to find a location that can accommodate the crowd. This could include a convention centre, a large retail store, or an outdoor space. If you are expecting a smaller number of attendees, you may be able to get by with a smaller location, such as a conference room or a restaurant. The cost of the location is another important factor to consider. Some locations may be more expensive than others, so it is important to set a budget before you start your search. Be sure to factor in the cost of renting the space, as well as any additional costs, such as parking, catering, and security. The accessibility of the location is also important. Make sure that the location is easy to get to, both by car and public transportation. If possible, choose a location that is close to major highways or public transportation hubs. Finally, consider the atmosphere of the location. The atmosphere should be conducive to the type of sales promotion you are holding. For example, if you are holding a product launch, you may want to choose a location that is modern and stylish. If you are holding a customer appreciation event, you may want to choose a location that is more relaxed and informal. How to make sales promotion effective To make sales promotion effective, it is crucial to follow a strategic approach. Here are some key steps to ensure the success of your sales promotion: 1. Define Your Target Audience: Clearly identify your target audience and tailor the sales promotion specifically to their needs, preferences, and buying behaviour. Understand their pain points, interests, and motivations to create a promotion that resonates with them. By targeting the right audience, you increase the chances of your sales promotion being successful. 2. Set Clear and Achievable Goals: Define specific, measurable, achievable, relevant, and time-bound (SMART) goals for your sales promotion. Determine what you aim to achieve, whether it’s increasing brand awareness, generating leads, boosting sales, or building customer loyalty. Having clear goals helps you measure the success of your promotion and make necessary adjustments. 3. Choose the Right Sales Promotion Type: Select the most appropriate sales promotion type based on your product or service, target audience, and business objectives. There are various options available, such as discounts, loyalty programs, free samples, BOGO offers, rebates, and contests. Choose the promotion type that aligns best with your goals and resonates with your target market. 4. Promote Your Sales Promotion Effectively: Once you’ve chosen the right sales promotion type, effectively communicate it to your target audience. Utilise multiple channels to promote your sales promotion, including social media, email marketing, website, in-store signage, and paid advertising. Create a sense of urgency and excitement to encourage customers to take advantage of the promotion. 5. Track and Measure Results: Continuously monitor and measure the results of your sales promotion to assess its effectiveness. Use key performance indicators (KPIs) such as sales volume, website traffic, lead generation, customer engagement, and conversion rates to evaluate the success of the promotion. Analyse the data to identify what worked well and what needs improvement for future promotions. How LIKE.TG can help with sales promotion LIKE.TG is a powerful customer relationship management (CRM) platform that can help businesses with sales promotion in various ways. It offers a range of tools and features designed to streamline and enhance sales promotion campaigns. LIKE.TG enables businesses to track and manage sales promotion campaigns effectively. With its robust reporting and analytics capabilities, businesses can gain valuable insights into the performance of their sales promotions, including metrics such as campaign reach, engagement rates, conversion rates, and revenue generated. This data-driven approach allows businesses to make informed decisions and optimise their sales promotion strategies for better results. LIKE.TG also facilitates the creation of personalised sales promotions for customers. By leveraging customer data and preferences stored in the CRM, businesses can tailor their sales promotions to meet the specific needs and interests of individual customers. This personalised approach enhances customer engagement and increases the likelihood of conversions. LIKE.TG streamlines sales promotion processes through automation. The platform allows businesses to automate tasks such as sending promotional emails, generating coupons, and tracking customer interactions. This automation saves time and resources for sales teams, enabling them to focus on building relationships and closing deals. LIKE.TG enables businesses to measure the success of their sales promotions accurately. With its advanced analytics tools, businesses can track key performance indicators (KPIs) such as sales volume, revenue, customer acquisition, and customer retention. This data helps businesses evaluate the effectiveness of their sales promotions and make necessary adjustments to improve future campaigns. Additionally, LIKE.TG integrates seamlessly with other marketing and sales channels, providing a unified platform for managing sales promotions. Businesses can connect LIKE.TG with their website, social media platforms, email marketing tools, and point-of-sale systems to create a cohesive sales promotion experience for customers. This integration ensures consistency in messaging and enhances the overall customer experience. In summary, LIKE.TG offers a comprehensive suite of tools and features that empower businesses to execute successful sales promotion campaigns. By leveraging LIKE.TG, businesses can track and manage campaigns effectively, create personalised promotions, automate processes, measure success, and integrate sales promotions with other marketing and sales channels.
Sales Prospecting: How to Find the Right-Fit Customers You’re Looking For
Prospects — the potential customers you want to sell to — are the fuel for the sales pipeline. Every prospect represents a possible deal. Growing your base of sales prospects and working to nurture them will grow your revenue. Even though sales prospecting is important, it may sometimes feel like you’re just wishing and hoping the right people will show up. Let’s see how to make prospecting a science instead — less like drilling for oil and more like filling up on gas. What you’ll learn: What is sales prospecting? Why is sales prospecting important? How does sales prospecting work? The stages of the sales prospecting process How to find sales prospects Inbound vs. outbound prospecting How to move sales prospects to the next stage in the sales cycle How to qualify a sales prospect Sales prospecting questions to ask Prospecting email examples How to use sales prospecting tools What is sales prospecting? Prospects are potential customers, and prospecting is the process of finding them. Sales reps use sales prospecting to expand the size of their potential customer base. They’ll reach out to leads (potential sales contacts) and nurture them into opportunities (leads who have been warmed up over time). There are various sales prospecting techniques, from making calls to sending direct mail, attending networking events, and connecting on social media platforms such as LinkedIn. (Back to top) Why is sales prospecting important? Sales prospecting is fundamental to what we do because it sets the stage for everything that follows in our sales funnel. It’s about focusing on and engaging those most likely to benefit from our products or services. From my experience as an account director, effective prospecting directs our resources toward the most promising opportunities and gives us a steady stream of leads for conversion. By focusing on the right leads, we enhance our chances of conversion and align our sales strategies with the expectations and needs of our prospects. That drives our business forward. (Back to top) How does sales prospecting work? Reps need to understand that the lead coming to a website has likely already done a lot of legwork. Eighty-one percent of prospects conduct research before inquiring about your product or service, according to the latest State of Sales report. They’ve formed opinions about your offerings before they’ve even engaged with any of your content, such as articles, white papers, or webinars. The challenge? Capture the attention of these well-informed prospects and convert their interest into engagement. Reps may face a prospect with preconceptions and opinions based on generic messaging received from others. So the rep’s outreach has to be personalised. It has to resonate. A rep must do their own legwork to understand the prospect’s needs, the technologies they’re using, and how they make buying decisions. That helps move them through the sales funnel, from interest to an actual sale. (Back to top) The stages of the sales prospecting process The sales process goes from cold leads to warm opportunities to red-hot deals. Prospecting is what happens in between: From leads … Sales and marketing source leads.Leads are unqualified prospects. Leads can come from marketing (think a webinar that requires a form fill) or sales (think cold outreach). … to opportunities … Sales qualifies leads into prospects.Sales gets to know leads and decides whether they’re a good fit for the product. If they are, the lead is “qualified” to become a prospect. Sales nurtures prospects into opportunities.As sales works to make prospects more and more interested in the sale, these prospects become “opportunities” who are more and more likely to buy. … to customers Sales closes opportunities into deals.In the end, after many conversations, there will be two kinds of opportunities: “closed-lost” (boo) or “closed-won” (yay!). (Back to top) How to find sales prospects We could talk about all the other platforms out there. However, we’ll let Stephanie Svanfeldt, LIKE.TG Strategic Sales Vice President, Auto Vertical, say it for us: “When it comes to sourcing prospects online, LinkedIn is the biggest game in town.” Indeed. So, here are some tips to get into that game: Identify top target accounts: When choosing prospects, start with a strategic approach and focus your list. If you’re assigned 100 accounts, concentrate on the top 10. Plan meticulously to ensure every engagement is targeted and relevant. Tap into the power of social selling: Social selling and sales management tools can help reps better understand the organisational dynamics of target companies. For example, reps can map out the decision-makers within a company and learn about their roles and influence. That helps tailor messages to the person who can make or steer purchasing decisions. Use your CRM to speed up research on your prospect: Let your customer relationship management (CRM) system do the heavy lifting by automating prospect and account research. This saves you time and gives you instant access to the insights you need to connect with your prospects more effectively. Personalise your outreach: Reach out with custom messages that demonstrate a clear understanding of each prospect’s business needs and challenges. For example, you could send a video message to a potential lead to introduce yourself and briefly cover how your solution could address a specific challenge they mentioned in a recent LinkedIn article or post. The goal is to make every communication feel customised and relevant, showing you’ve done your homework. Continue to deliver value: Keep the conversation going by offering value in every interaction. This could be by sharing industry insights and relevant articles or inviting your prospect to events that align with their interests. It’s about continuously reinforcing their positive opinion of you and subtly positioning yourself as a go-to resource in their professional network. Evaluate and refine: Monitor and analyse the effectiveness of your outreach strategies. Adjust your approach based on what’s working and what isn’t. Pay attention to the technologies your prospects use and look for integration points that can streamline their processes or enhance their existing systems. This iterative adjustment ensures your tactics remain fresh and effective. (Back to top) Inbound vs. outbound prospecting Inbound and outbound prospecting are key tactics in a sales strategy. Though they serve different purposes, each presents unique advantages. Inbound prospecting attracts prospects through content, SEO, online chats, and social media interactions. The main advantage is that it draws in higher-quality leads who initiate contact on their own terms, making it less intrusive. However, this strategy requires a significant investment in time and resources to develop effective content and optimise digital channels that attract these leads. On the other hand, outbound prospecting involves actively reaching out to potential customers via email, phone calls, and direct messaging on platforms such as LinkedIn. It allows for quicker lead generation because you’re directly initiating conversations with potential buyers. However, it can be seen as more of an intrusion, and the quality of leads might vary if they haven’t shown previous interest in your offerings. Combining the two strategies covers more ground — capturing those looking for solutions and those who may not yet be aware of how a product or solution can help them. (Back to top) How to move sales prospects to the next stage in the sales cycle Research is important, but you’ll need more than that to take the conversation to the next level. After all, it’s just as easy for prospects to research you as it is for you to research them. You won’t get anywhere with them by repeating the same general information from your company’s website. How can you go deep and deliver an insight no one else has? You’ll need to learn their accent — not just their language — and become knowledgeable about their lives at work. That means learning about specific trends in their industries, their companies, and even their lives. Keep the conversation moving. Don’t just think about closing the deal. Think about closing every step of the deal. It can be easy to get carried away in your excitement to move the conversation along. But don’t forget to cover all your bases: Obsess over the next step: Don’t forget to end every conversation with a question. “Can we connect for five minutes after you’ve taken a look?” “Is there someone on your team I could work with on that?” “If you’re not the right person to ask, can you tell me who is?” Advance but qualify: Prospecting is all about marching onward. But don’t over-focus on a deal that won’t be worth the effort. As you move the conversation forward, you need to keep qualifying at the same time. At every stage, ask whether the prospect is still a fit. Qualification also means making sure that they’re ready to move on to the next step. You won’t have all the answers, but someone else will: Selling is a team sport. You need to lean on everyone you can to get the information you need. Ask subject matter experts at your company to teach you about a new domain. Reach out to technical and digital advisors to help you map out a solution. Ask marketing for help with a new pitch. You don’t have to do this alone. Qualifying a prospect is an important piece of the puzzle, but don’t mistake “qualifying” for “deciding whether someone is important.” Everyone you talk to is important — because if they’re not the right person to talk to, then they can point you to the person who is. (Back to top) How to qualify a sales prospect Qualifying a prospect is an essential part of the sales process, and a highly qualified prospect will check most of these boxes to move to the next stage of the sales cycle. Remember, though: “Qualifying” doesn’t mean “deciding whether someone is important.” Everyone you engage with is significant. If they’re not the right contact, they could lead you to someone who is. To qualify whether a prospect is a good fit, consider these questions: Is this the right person? Does the prospect fit your ideal customer profile? Are they already interested in your product? Do they have the influence to push the deal forward, or the authority to make buying decisions? Is this the right company? Is the company within your designated territory? Is the industry compatible with your business model? What is the organisation’s size? Think beyond the number of employees. For instance, if you’re selling a subscription or usage-based service, consider the potential volume of its usage. Is this the right project? Is the department funded to pay your price? Will the project be a priority for the company this year? Will the team be using the product for the right use case — in a way that will create an impact? (Back to top) Sales prospecting questions to ask Good sales prospecting questions start a dialogue that qualifies the prospect and builds a relationship by showing genuine interest in their needs and challenges. Here are a few to start with: What challenges are you currently facing with [insert relevant topic or service]? This question helps identify their pain points, allowing you to build your discussion around how your product addresses these issues. What has been your experience with similar products or solutions? This tells you what has (or hasn’t) already worked for them, helping you position your solution better. Can you tell me about your decision-making process? Who else should I invite to the next call? Knowing that is crucial for understanding how decisions are made and ensuring all decision-makers are engaged early on. What is your timeline for implementing a solution? This helps determine their urgency and expectations, which can guide your engagement strategy. Do you have the budget allocated for this project? Directly addressing the budget helps you qualify the prospect in terms of financial capacity. It also guides the conversation toward realistic solutions within their price range. (Back to top) Prospecting email examples From my perspective, standout emails and smart LinkedIn engagement strategies can make all the difference. Here are some tried-and-true examples from my own experience: Email outreach: When it comes to sales prospecting, it’s all about making that connection count. Here’s an email I sent during the holidays. It wasn’t just a pitch; it started with a genuine “thank you” for the recipient’s military service, which creates a moment of personal recognition and gratitude. It’s about finding common ground. Here’s an example that worked well: [Name], We connected briefly on LinkedIn before the holidays. I wanted to thank you for your service. My brother-in-law, a lieutenant colonel, has served in Iraq and Afghanistan, and I’ve seen the challenges firsthand. I noticed your work in driving transformation and improving processes at major financial institutions, which is crucial for staying competitive. Digital acceleration makes understanding customer journeys and reducing friction challenging. Leaders like you have shared that personalisation and efficiency are key struggles. Glassbox is designed to address this, providing session replay and analytics for improved customer experience visibility, helping banks optimise journeys, enhance quality, and cut costs. If you’d like to connect to discuss this further, let me know. Regardless, thank you for your service. Best, Lindsey Video outreach: One of my reps used this video strategy, sending a personalised video right after connecting with a prospect on LinkedIn. That’s going the extra mile. It shows you’re about more than just words; you’re making real connections. The response? An immediate engaged reply that opened the doors to further conversation. Hi [Name], Great to connect! I see you’re working with [tool] for digital experience analytics. I’d love to show you how [company] can add even more value. Let’s chat soon if you’re up for it! LinkedIn outreach: And let’s not forget the power of a LinkedIn notification. Tagging a prospect in a post tailored to their interests gets their attention. It’s like giving them a virtual tap on the shoulder and saying, “Hey — thought you might find this interesting.” This works because it directly engages them with content relevant to their interests, making your approach feel personal and showing that you understand their professional needs. (Back to top) How to use sales prospecting tools CRM systems don’t just keep track of data; they turn it into a tool of its own. These systems keep a history of prospect interactions within reach, so every touchpoint is relevant and personalised. However, in my experience, the key is not just to rely on sales tools, but to use them to enhance the human elements of sales. Identify your ideal customer profile (ICP): Get a clear picture of who your ideal customer is. What are their pain points? What solutions are they seeking? Understanding your target audience is the first step in effective prospecting. Build a list of contacts: Cast a wide net. Scour various channels — from LinkedIn to industry forums — to identify potential leads that match your criteria. It’s all about finding those needles in the haystack. Create an omnichannel approach: To connect with prospects effectively, you’ve got to be everywhere they are. Don’t limit yourself to one channel of communication. Connect with prospects in their preferred space, whether it be email, social media, in person, or a phone call. Use the right tools at the right time: Don’t just use sales prospecting tools for the sake of it. Be strategic. Tools such as Sales Engagement or LinkedIn Sales Navigator are for understanding the landscape: who the decision-makers are and what messages will resonate with them. It’s about crafting persona-based messaging that hits the mark. Build real connections: Think beyond just generating leads, and use soft skills as a prospecting tool. Whether sending an email acknowledging professional milestones or sharing tailored content, a rep who leans into active listening and empathy skills can help prospects feel valued — and more than just a potential sales target. (Back to top) Fuel your sales prospecting engine Sales prospecting isn’t just about wishing and hoping for the right opportunities — it’s about making it a science. By using a combination of inbound and outbound strategies, personalised engagement, and effective sales tools, sellers can rev up sales prospecting and turn more potential leads into closed deals.
Sales Strategy Guide: 5 Steps to More Efficient Selling
Prospects — the potential customers you want to sell to — are the fuel for the sales pipeline. Every prospect represents a possible deal. So growing your base of prospects and working to nurture them will grow your revenue. Even though prospecting is important, it may sometimes feel like you’re just wishing and hoping the right people will come. Let’s see how to make prospecting a science instead — less like drilling for oil and more like filling up on gas. What is sales prospecting? Prospects are possible customers, and prospecting is finding possible customers. Sales reps use prospecting to expand the size of their potential customer base. They’ll reach out to leads (potential sales contacts) and nurture them into “opportunities” (leads who have been warmed up over time). There are various sales prospecting techniques, from making calls to sending direct mail, attending networking events, and connecting on social platforms like LinkedIn. The stages of the sales prospecting process The sales process goes from cold leads to warm opportunities to red-hot deals. Prospecting is what happens in between: From leads … Sales and marketing source leads. Leads are unqualified prospects. Leads can come from marketing (think a webinar that requires a form fill) or sales (think cold outreach). … to opportunities … Sales qualifies leads into prospects. Sales gets to know leads and decides whether they’re a good fit for the product. If they are, the lead is “qualified” to become a prospect. Sales nurtures prospects into opportunities. As sales works to make prospects more and more interested in the sale, these prospects become “opportunities” who are more and more likely to buy. … to customers Sales closes opportunities into deals. In the end, after many conversations, there will be two kinds of opportunities: “closed-lost” (boo) or “closed-won” (yay!). How do I find new sales prospects? We could talk about all the different platforms out there, but let’s be real. “When it comes to sourcing prospects online, LinkedIn is the biggest game in town,” says Stephanie Svanfeldt, a strategic account executive at LIKE.TG. Here are tips to get going: 1. Follow the prospect before you connect Unless you’re sending InMail, which is a sponsored message, you’ll need to get connected with prospects before you can message them on LinkedIn. Start by following them. From there, you can begin to comment on, like, and share their status updates and work your way into their world. If they think you’re providing value, they’ll be more likely to respond to a connection request. 2. Find them in groups Joining a group where your prospect is active can give you a shortcut to getting connected. Look for the groups they belong to on their profile and see if there’s one that also makes sense to join. Then you can chime in on the group’s posts. Even if you can’t respond to them directly, they might get email alerts about the best comments left in the group, which is a great way to end up directly in their inbox. 3. Hype them up Everyone wants to go viral. Follow the prospect’s activity and help drum up engagement. This is a great way to show that you’re interested in your prospect’s ideas. You can also look at the information they highlight on their profile — like courses, presentations, and thought leadership — and “endorse” them for skills that matter most to them. How has the sales prospect changed? Prospecting used to be a volume play. Salespeople could make 200 calls a day and send out blasts of emails and know that enough of them would stick to be worth it. Cold outreach is still an important piece of the puzzle, but sales development representatives (SDRs) and sales reps will need to balance broad quantity outreach with targeted quality outreach. Here’s why: The new prospect isn’t waiting by the phone like they used to Prospects are spread out across digital platforms — mainly LinkedIn, but also Twitter, Facebook, and messaging apps — and they have strong opinions about where they like to communicate. The new prospect is flooded with more messages than ever. Our inboxes have never been more crowded. First, in a trend The Economist calls, “It could have been an email,” meetings are getting shorter — by 20%, according to this Harvard Business School study. Conversations that used to happen in meetings are happening in emails instead. Second, that same study shows that more emails are being sent in the pandemic (by 5%) — with more recipients on average (by 3%), and more frequently after hours (by 8%). The question becomes: How can you capture people’s attention as their inboxes overflow? The new prospect wants more out of their interactions. The intense, shared experience of the pandemic has taught us all to go beyond the superficial layer. To get a prospect’s attention now, you have to be authentic and relevant. Get articles selected just for you, in your inbox Sign up now How can I approach this new sales prospect? Account-based marketing made a splash when companies began to personalise marketing campaigns to individual companies. Now this trend of personalisation is coming to sales. Here’s Stephanie Svanfeldt again: “Everyone talks about account-based marketing, but it’s also about account-based sales. We need to study the individual and be relevant when we reach out.” What are the prospect’s preferred channels? How can you stand out from the crowd? How can you find an authentic common ground that gives the relationship traction? Here are the steps to take: Lean on customer relationship management (CRM) Sales prospecting is harder than it used to be, now that we need to be more relevant and personalised with every approach. It takes more time and more care, and it’s harder to scale. We need technology to close the gap. CRM gives you a control room for all your interactions with our prospects — the last email you sent, notes from all of your meetings, and the pitch deck you presented — so all the information you need is at your fingertips. Research your way into their world Research is the groundwork. If it’s a publicly traded company, read their investor reports. If it’s a small or medium business (SMB), then set up Google alerts to learn about their press, and devour everything they put out there about themselves. Insights about opportunities and accounts (at LIKE.TG, we use Opportunity Management) help you bring more value to the table. You’re trying to learn about problems and people, so by the time you reach out, you’re not only saying the right things — you’re also saying them to the right person. Find the channel that sticks Everyone is different. Every approach needs to be different too. Some of us are old school and like to talk on the phone. Some of us live in our inboxes. Some of us really love getting gifts in the mail. How can you find the right channel? The answer is to leave no stone unturned. If the prospect doesn’t pick up the phone, try connecting on LinkedIn. Still no luck? Reach out again and be as relevant as you can. Craft an email that grabs them. Keep working on the interaction until you see a spark. Earn the right to ask them what their favourite communication channel is — and meet them there. How do I qualify a sales prospect? Qualifying a prospect is an important piece of the puzzle, but don’t mistake “qualifying” for “deciding whether someone is important.” Everyone you talk to is important — because if they’re not the right person to talk to, then they can point you to the person who is. Here are questions to help you qualify whether a prospect is a good fit: Is this the right person? Does the prospect match your ideal customer profile? Are they already interested in your product? Can they influence the deal, or even decide to buy it? Is this the right company? Is it in your territory? Is the industry a good fit? What’s the size of their organisation? (Don’t just think of how many employees they have. If you’re selling a subscription or usage-based service, then also think about the size of their consumption.) Is this the right project? Is the department funded to pay your price? Will the project be a priority this year for the company? Will the team be using the product for the right use case — in a way that will create an impact? How can I move sales prospects to the next stage in the sales cycle? Research is important, but you’ll need more than that to take the conversation to the next level. After all, it’s just as easy for prospects to research us as it is for us to research them. We won’t get anywhere with them by repeating the same general information on your company’s website. How can you go deep, and bring them an insight that no one else has? You’ll need to learn their accent — not just their language — and become knowledgeable about their lives at work. That means learning about specific trends in their industries, their companies, and even their lives. Ready to take your very best practices for prospecting, and set them into motion at scale? Sales Cadences lets sales managers set steps for sellers to follow — things like: when to email versus call, what call script to use, and what material to send if they say no. Keep the conversation moving. Don’t just think about closing the deal. Think about closing every step of the deal. It can be easy to get carried away in your excitement to move the conversation along. Here’s how: Obsess over the next step Don’t forget to end every conversation with a question. “Can we connect for five minutes after you’ve taken a look?” “Is there someone on your team I could work with on that?” “If you’re not the right person to ask, can you tell me who is?” Advance but qualify Prospecting is all about marching onward. But don’t over-focus on a deal that won’t be worth the effort. As you move the conversation forward, you need to keep qualifying at the same time. At every stage, ask whether the prospect is still a fit. Qualification also means making sure that they’re ready to move onto the next step. You won’t have all the answers, but someone else will Selling is a team sport. You need to lean on everyone you can to get the information you need. Ask subject matter experts at your company to teach you about a new domain. Reach out to technical and digital advisors to help you map out a solution. Ask marketing for help with a new pitch. You don’t have to do this alone. Head over to Trailhead and learn how to prospect for better sales. You’ll discover why prospecting is important, how to develop a contact strategy, and when it’s best to reach out.
Sales Support: What It Is and Why It’s Essential
According to the State of Sales report, reps spend only 28% of their week selling. The rest? Manual work, planning, maintaining deal records. Ideally, reps would spend more time with prospects and customers, but unless they have sales support to handle the 72% of non-direct-selling work, that face time won’t happen. Learn how sales support can help free your sellers up to focus on relationships, turning your sales team into a closing powerhouse. What you’ll learn: What is sales support? 5 functions of sales support Why is sales support important? Benefits and risks of sales support 3 tools to support your sales team What is sales support? Sales support is a function or role that handles administrative tasks like maintaining customer records, managing sales leads, and answering customer queries. On some sales teams, this includes business development representatives (BDRs) and sales development representatives (SDRs). Above all, individuals in this role focus on streamlining the sales process for reps and enhancing customer relationships. 5 functions of sales support Simply put, the goal of support professionals is to make the sales team better at their jobs. People in support work tirelessly behind the scenes to provide the information and resources that enable sales representatives to focus on what they do best — selling. Here are some specific ways it can positively impact sales efforts: 1. Lead management: This involves tracking potential customers through the sales pipeline, and promptly following up on leads (with the help of automated technology). As an example, if a potential client shows interest in a product demo, sales support will book the demo and coordinate for a sales rep to take over the interaction. 2. Data management and analysis: Sales support teams maintain and organise customer data within CRMs. As an illustration, they might update customer contact information, record sales interactions, and track customer preferences. CRMs with integrated data analysis functions can help identify sales trends and customer behaviour patterns that are essential for strategic sales planning. 3. Customer service and communication: This team acts as a crucial link between the sales team and customers. Accordingly, they handle customer inquiries, provide product information, and resolve issues — contributing to positive customer experiences. 4. Administrative support: This involves organising and scheduling meetings, preparing presentations, and managing documents. Before a big sales pitch, the sales support team might handle preparing the presentation and handouts, allowing the salesperson to concentrate fully on client interaction. 5. Sales planning and strategy assistance: In addition, they might assist in market research, competitor analysis, and identifying potential sales opportunities. These insights can help shape sales approaches and tactics, using deal data and market analysis to make them more effective and targeted. While the specifics of those in sales support roles may vary according to the needs of individual teams and sales reps, when support does its job well, sales teams are freed up to connect with prospects, earn trust, and close more deals. (Back to top) Why is sales support important? What’s better than a customer? A repeat customer. And what’s at the heart of building customer loyalty? Customer experience. According to PwC research, the top reasons consumers leave a brand are experience-related: Over one-third (37%) of people surveyed said they’ve left brands due to bad experiences with the product or service itself. As a matter of fact, that number is even higher among younger generations. One of the most crucial functions of sales support is enhancing customer experiences. Providing timely and accurate information ensures that customer interactions are positive. This is especially important in today’s market, where it’s easier than ever to brand hop and comparison shop. A great customer experience can influence brand loyalty and lay the groundwork for a long-term relationship. Sales support teams also play a vital role in streamlining operations. By handling administrative tasks, data management, and initial customer inquiries, they free up sales professionals to focus on client interaction, closing deals, and generating revenue. Another key aspect is data analysis. Sales support teams gather and analyse customer data, market trends, and sales performance metrics. This analysis provides important insights that guide strategic planning, helping businesses to identify opportunities, forecast trends, and make informed decisions about their sales strategies. (Back to top) Get articles selected just for you, in your inbox Sign up now Benefits and risks of sales support It’s vital to put a strong system in place to help your team succeed. Here are some of the consequences of good and poor sales support: Benefits: Focus: By handling administrative and operational tasks, sales support allows client-facing team members to dedicate more time to selling and developing client relationships. This efficiency leads to higher productivity and more closed deals. Streamlined sales funnel: Through lead qualification and nurturing with tools like CRM systems and chatbots, sales support helps zeros in on the most promising leads and moves them through the pipeline and into sales rep’s hands. Strengthened customer relationships: Consistent communication — email marketing, prompt query resolution, and other nurturing efforts — keep your company top-of-mind for customers, fostering trust, loyalty, and referrals. Risks: Disrupted sales focus: Without a support team to assist with routine tasks, sales reps and account executives can get bogged down and have less time for important sales activities. Wasted time: When leads aren’t properly qualified, sales teams waste time on low-potential prospects instead of focusing on leads with a higher likelihood of converting. Neglected customer relationships: Sporadic communication and slow response times can make clients feel undervalued, risking the loss of future sales opportunities and damaging your company’s reputation. (Back to top) 3 tools to support your team In today’s fast-paced sales environment, the right tools can help support your sales team and benefit your entire organisation. Here are a few of our favourites: CRM tools offer a “single source of truth” for all customer data. Having a central hub makes access to data and sharing information across your sales team (and beyond, to marketing and support) a breeze, ensuring everyone is on the same page and no detail is missed. Sales automation tools can take routine manual work like data entry, appointment scheduling, and following up on leads off your team’s plate. This frees sales support staff and reps up to focus on more strategic tasks. Tools like Slack can help your sales team get in touch faster and collaborate on the spot. Slack is an easy way to share information and ideas between teams no matter where they are. (Back to top) Boost your sales with strong sales support Like an actor, artist, or athlete, even the best sales reps won’t reach their best by going it alone. Sales support performs vital functions — from nurturing leads to helping create dynamic presentations — that let sales pros focus on selling. Back your sales reps up with a great support team, give that team the technology they need to track and analyse sales activity, and watch your bottom line grow.
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