CRM Are you ready for the change? David Cosgrave CRM Product Manager Sage Ireland

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Technology 4 Business Work Smart
CRMAre you ready for the change? David
CosgraveCRM Product ManagerSage Ireland
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Agenda

• CRM what is it and why
• should you care?
• Louis Copeland Case Study
• Sage CRM Survey

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What is CRM ?

• Customer Relationship Management
• Definition
• CRM is the process of managing all aspects of
  interaction a company has with its customers

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What is CRM?

• CRM is not a technology any more than accountancy
  is a technology
• A technique for building a profitable and
  sustainable business based on your customer
  relationships
• In Summary
• Getting new customers and keeping the ones you
  have

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Why should you care about CRM?

• High Cost of direct sales
• CRM can help increase sales force productivity
  and in turn contain or decrease the cost of sale
• Increased competition
• CRM puts you in better control
• Need for better information
• - With CRM you know more about what is
  happening with your people and your customers

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Customer view of your business

• Have you ever asked yourself what are we like
  to do business with ?
• In research only about 20 of the time do
  customers talk about Price or features 80 of
  the time they talk about
• They are easy to do business with
• They are responsive or proactive
• A service and a value tailored for me
• Consistent Performance over time
• They ask me questions
• Great expertise
• .ALL Relationship based issues

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What does a good relationship look like?

• The customer feels that you understand their
  needs and requirements
• The customer feels that they are important and
  not just another number
• You respond quickly and efficiently to your
  customers needs.

Remember the golden rule If you dont look
after your customers, someone else will
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Sample Scenario before CRM

• Customer calls with a pre-sales query and gives
  their details
• The sales rep discusses their needs promises
  to call back tomorrow with pricing
• The sales rep forgets, then is out of the office.
• The customer calls back, only to speak to a
  different rep, give all their details again,
  promised a callback, doesnt get it
• Sales rep calls back a few days after returning
  and finds that.
• Surprise surprise, the customer has bought
  elsewhere has told colleagues of how
  disorganised the company is

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Sample Scenario after CRM

• Customer calls with a pre-sales query and gives
  their details
• Sales rep stores this information in CRM system,
  creates a sales lead and assigns it to herself.
  Promises to call back tomorrow with pricing
• Sales rep gets a pop-up reminder tomorrow to call
  customer she calls, gives prices and arranges
  follow-up call when she gets back to the office.
  Rep writes a note of what they discussed and how
  much she quoted
• Customer wants to verify the pricing while sales
  rep is out her colleague retrieves his details
  from the CRM system and reiterates the prices
  quoted by the other rep.
• Customer decides to buy straight away gets an
  excellent first impression of an efficient,
  customer-focussed organisation

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Benefits of CRM

• Improve Loyalty / Churn
• Gain Competitive Advantage
• relationship based differentiation
• Increase Sales Revenue
• Increase Profitability
• Improve internal Productivity
• Enhance executive decision making
• Decrease costs and expenses

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Benefits for Your Salesperson

• Easy to use
• Centralized customer data
• Automate redundant tasks
• Integrate with applications you use everyday
• Stay on top of all key deliverables
• Increase quality and effectiveness of
  communications
• Improve opportunity management and predictability

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Benefits for Your Sales Manager

• Enable every sales rep to perform like your best
• Accelerate time to productivity
• Increase quality/effectivenessof communications
• Reduce administrative burden on sales force
• Improve timely access to critical customer
  information
• Improve business predictability
• Ensure user adoption and productive use

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Benefits for Your Admin/IT

• Centralize customer data
• Multiple levels of security
• Flexible deployment and administration options
• Speedy rollout to get users up and running
  quickly
• Remote access options
• Customize and integrate asmuch or as little as
  you like
• Low total cost of ownership

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Value Add..

• 10 increase in Gross sales
• Sales staff are more efficient and more effective
• 5 decrease in general and admin cost of sales
• 5 increase in win rate for forecasted sales
• 5 or more improvement in quality rating by
  customers (NPS)
• Source ISM/Insight Technology Group studies

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Why dont we all have one then..

• the reasons why CRM is not widely adopted yet

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Problems in CRM

• Unclear what CRM can do for me
• Lack of Sales, Marketing , Support services
  strategy
• Lack of Corporate commitment
• In company politics
• Lack of proper training
• Lack of Know How
• Resistance by System users

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So to implement CRM you need

• To know what you need to change in Sales,
  Marketing and support services
• Be willing to share information within the
  organisation
• Overcome feeling intimidated by the technology
• Have staff willing to undergo changes to work
  practices
• Sales people need to overcome the Big brother
  fear
• Invest over time in terms of man hours and
  discipline

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..or in summary, implementing CRM involves Change

• Many of us are not yet ready or willing to make
  the change
• Are you ready ?

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What is this likely to cost ?

• It varies significantly depending on the
• Functional needs
• Number of Users
• Where the company is starting in terms of
  strategy
• Attitude of the staff towards technology
• .etc
• Rule of thumb Average spend of 1000 per user
  in the first year ( Hardware) for software,
  implementation, training and support based on
  experience.
• Simple contact management requirement much
  less
• Highly integrated and automated much more

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Mobility

• Desktop
• Laptop
• Remote Desktop
• Remote Laptop
• PDA
• Internet

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Customer example
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Retail Example Louis Copeland
Business type Mens tailors
Location Dublin Galway
Products Line 50 ACT!
Key need To grow the size of the customer base To keep natural focus on customer relationships and personal service
How they use it Save and manage customer data as well as sizes, styles and personal information. Archive relevant customer information to help them to tailor services and products Reinforce the customer/business relationship with personalised communications SMS
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Customer Relationship Process
New customer buys
Customer information card filled in
Information is entered into ACT!
ACT! reminder for Courtesy Call 30 days later
Phone call/SMS/Voicemail/Email when new stock
arrives or at pre-sale time
When customer returns, salesperson consults ACT!
for details
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What this brings to the business

• Much closer customer-business relationship
• Consistency of service
• Allowed them to increase their customer base
  while keeping the personal touch
• If you took the software away today, the impact
  on the business would be severe

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Louis Copeland

• Because of the large number of customers that we
  have, no one person within our company can
  possibly remember every unique customer
  requirement. ACT! helps us to remember.
• ACT! puts old-fashioned values into technology.
  Im very pleased with it, and anticipate using
  the system to help us foster even better
  relationships with our customers.
• Louis Copeland, Managing Director

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Sage CRM Survey April 2006

• Sage Ireland carried out a unique survey of its
  CRM customers.
• The first to determine the difference CRM made
  to
• Business effectiveness,
• Credibility
• Profitability.

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Sage CRM Survey
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Sage CRM Survey
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Sage CRM Survey
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Thank YouQuestions?David Cosgravedavid.cosgra
ve_at_sage.com1800 255 300