Customer Relationship Management

Opportunity management in a relationship marketing framework

5 trends fo CRM in 20161. The Social CRM becomes "viral“: Social CRM, which includes the use of social media to reach and engage customers, plays an increasingly important role in corporate marketing strategies.

2. The CRM traveling on cloud:Although the numbers proposed by different experts of CRM vary, everyone (including Gartner) agree that the presence of the cloud in the CRM solutions is set to grow.

3. The CRM is mobile:The ability to access the CRM on the move results in an exponential increase in sales, offering sales personnel instant access to key information such as the historic accounts, the product information, price lists and promotions.

4. The CRM is integrated:In the past, CRM applications were isolated systems, with limited or no integration with other technologies and data sources. Modern CRM applications are increasingly integrated with other enterprise software.

5. With Big Data and predictive analytics, CRM has the crystal ball:The data analysis capabilities are no longer optional. As the amount of data available is expanding at an exponential rate (Big Data), the ability to make decisions and take action based on the analysis of these data becomes an important differentiating factor for the company over the competition.

Opportunity Management

Opportunity Management in a Relationship Marketing Framework

10 Elements of Great Opportunity Management

EmbeddedCoaching

Motivational Social and Collaborative

Integrated With CRM

Mobile &Cloud

SmartQualification

Map People and Influence

Discover Insights

Competitive Strategy

Action Oriented

Sales Velocity Improves Sales Performance

SALESVELOCITY

V DEALS VALUE WIN RATE

SALES CYCLE

Dealmaker Increases Your Sales Velocity

# Deals $ Value % Win Rate Sales-Cycle Days

AssessmentDisqualify deals early. More time to work only on qualified deals

Maintain focus on Compelling Event, the project, financial condition, & budget to drive velocity

Political MapYou can only win if you know the Key Players, their profiles, and how they view you

If you have relationship with people who can make things happen – deals move more quickly

Decision Criteria

Sell to the customer’s priorities to maintain value (not price) focus

You can only win if you understand what is important to Key Players

Insight MapGain / show understanding of problem, impact and cost of inaction. Maintain value (not price) focus

Customer acts quickly if they fully understand their problem and see a vision of solution

Competitive Strategy

Flanking or Fragment give route to value that you wouldn’t have in Frontal

Maps your approach– compete on your terms – increase win rate

PRIME Actions Retain focus on meaningful PRIME actions – reduce risk

Maintain momentum with your focused action plan

of reps can access key players

54%Only

of reps do not develop a

competitive strategy

30%

of sales repsare good atuncoveringcustomersproblems

61%

Are SalesPeople Doing

the Right Things?

of reps aregood at opportunityqualification

59%Only

Benefits of Sales Coaching

88%

+27%

56%Amount that sales productivity is improved by sales coaching - Sales Executive Council

Increase ROI on sales investment from sales coaching - Gallup

Customer loyalty improvement where

sales coaching is involved

- Gallup

Theory

Opportunity Management in a Relationship Marketing Framework

Opportunity management

Sales Opportunity Management

GeneratingNew

Accounts

ManagingExistingAccounts

PersonalTime

Management

Sales VersusProfits

Qualifying prospects

1. Needs for your products/services

2. Authority to make purchase

3. Credit rating & ability to pay

4. Rating scale applied to characteristics by

each salesperson

(Cost per Call) x (Number of Calls to Close)

Sales Calls as a % of Sales

Different modelsTraditional Model Internet Model

100,000Catalog Drops

10,000Calls

2,000Orders

100,000Website Visits

5,000Calls

500E-Orders

1,750Orders

Account ABC Classification• Classifying your customers may assist you to streamline your sales activities and

help you focus on achieving the desired business goals. • ABC is the most commonly used method.

A represents the ‘top grade’ or ‘ideal’ client in your business. B is a brilliant business customer. C reflects the bulk of your clients eg steady, reliable, profitable, courteous and pays on time.• Example: ABC classification system used at the time to assist us to

schedule our clients call cycles, communications and Christmas gift list.ABC classification system:

-A grade clients had a total spend or invoiced sales of $100,000 + per annum -B business clients spent between $20,000 - $100,000 per annum with our company -C class customers placed orders ranging from $1,000 to $20,000 per annum.

Example: A Client Call Cycle was set as follows: -A grade clients were visited every week -B business clients were visited every month with a phone call in between -C class customers would be visited every 6 months with a phone call in between as well.

At a minimum, a customer or prospective client should be contacted every 90 days, otherwise they forget you or you are not top of mind – your competitor is!

Portfolio Model

Core Accounts

Accounts are veryattractive.

Invest heavily in sellingresources.

Drag Accounts

Accounts are moderatelyattractive.

Invest enough to maintaincurrent position.

ProblemAccounts

Accounts are veryunattractive.

Minimal investmentof selling resources.

GrowthAccounts

Accounts are potentiallyattractive.

May want to investin heavily

Competitive Position

Strong WeakA

ccou

nt O

ppor

tuni

ty

High

Low

Number of Sales Calls Response FunctionD

olla

r Sal

es p

er Q

uarte

r

Number of Sales Calls Per Quarter

$20,000

$10,000

1 2 3 4 5 6

The Sales Funnel

Unqualified

Qualified

Best few

50% closure probability

75% closure probability

90% closure probability

2113 15 23 22 18

24 20 19 1716 14

9 1210

11

8

7 5

6

3

1 2 4

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-17

Increasing Sales Volume

• The successful salesperson depends on:• Right Attitude• Communication and relationship techniques• Good self-management, continuous

improving• Good record keeping• Use of self-discipline in scheduling time and

analysis of their own performance

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-18

Opportunity Management

A four-dimensional process involving:

1. Time management2. Territory management3. Records management4. Stress management

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-19

Time Management

• Time-consuming activities • On average, 60 percent of time spent on administrative

duties and travel• Log keeping shows where time is spent, identifies “time

wasters”• Time management

– Sound time management can lead to increased sales • Time Management Methods

– Develop personal goals– Prepare daily “to do” lists– Maintain planning calendar– Organize selling tools

How Salespeople Spend Their Time

13%

29%16%

17%25%

SellingFace-to-Face

Service Calls

AdministrativeTasks

Waiting andTravel

Selling overthe phone

Time Management

Emergencies

Personal Growth

TimeWasters

Recreation

Importance High Low

High

Low

Urg

ency

Example: Thieves of Time (time = life)

1. Want to do several things

in one time

2. Never say «NO»

3. Interruptions

4. Lack of self-discipline

5. Not listen carefully

6. Tasks not completed

7.Wrong delegation or not delegation

8.Mistaken Priorities9.Mistaken meaning

to situations10.Disorganization

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-23

Goal-Setting Principles

• Reflect on areas where change is desired

• Develop written plan—with steps• Modify your environment• Monitor behavior and reward progress

The To-Do List

• A daily list of activities can help set priorities and save time.

• Today this list is recorded electronically in most CRM or in Office 365.

Prioritized Lists

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-26

Saving Time with Technology

• Conference calls, • Meetings in cyberspace (Web conference)• Some customers prefer telephone/e-mail

contact• Cell phones/pagers as timesaving tools• Electronic file transfers• Office available everywhere (Office 365)

Heather Gardner uses her Smarthphone and Microsoft

Office 365 calendar to record all of her planned activities.

Monthly Planning Calendar

A monthly plan of activities can also set priorities and save time. Like other types of planning lists, it is recorded in CRM or in Office 365.

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-28

Territory Management

Step 1: Classify Customers

• Classify according to potential sales volume• Track current dollar amount and potential dollars• Realize a small amount of customers may provide a majority of sales volume

Step 2: Develop Routing and Scheduling Plan

• Map territory/use smaller zones if large• Develop routing plan for a specific time frame• Schedule around customer needs• Establish tentative calls• Use 80/20 rule

– 80 percent of time spent calling on most productive customers– 20 percent on prospects and smaller accounts

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-29

Sales Call Plans

• Action plan initiated by sales manager

• Ensures efficient and effective account coverage

• Plan discussed with sales staff

• A sales call plan can also be recorded in CRM systems or in Outlook integrated

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-30

Records Management

• Some complain about “paperwork” time• Accurate and timely records are important• Facilitates closing sales and improves customer

service• Common record types

• Customer and prospect files• Call reports• Expense records• Sales records

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-31

Stress

• Refers to two simultaneous events: – An external stimulus (a stressor)– The physical and emotional responses to that

stimulus, such as anxiety, fear, muscle tension, or surging heart rate

• Too much stress is unhealthy if unchecked

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-32

Stress Management

• Develop stress-free work environment• Maintain optimistic outlook• Practice healthy emotional expression • Maintain healthy lifestyle

Copyright © 2010 Pearson Education, Inc. Publishing as

Prentice Hall 16-33

Five-Minute Stress Busters

1. Take 5 minutes to identify and challenge unreasonable ideas that produced your stress

2. Take a 5-minute stress release outdoor walk

3. Enjoy stress relief with a 5-minute neck and shoulder massage

Barry L. Reece and Rhonda Brandt, Effective Human Relations: Personal and Organizational Applications (Boston: Houghton Mifflin Company, 2008). Reprinted by permission of the publisher.

4. Spend 5 minutes visualizing yourself relaxing at your favorite vacation spot

5. Take a 5-minute nap after lunch6. Spend 5 minutes listening to a

recording of your favorite comedian

Table 16.2

Exercise : Recap and Discussion

• Discuss the four dimensions of opportunity management

• List and describe time-management strategies

• Explain factors that contribute to improved territory management

• Identify and discuss common elements of a records management system

• Discuss stress management practices

Example: Opportunity Model

New (10%) Develop (20%)

Prototyping (40%)

Architecture defined

(60%)

Issued Offer (80%)

Signed (100%)

Several companies define the standard stages of an opportunitiy and attach to it the probablity, this is usefull to calculate the wheighted forecast.The probability, the due date and the value of an opportunity are the mostimportant data Declared due date

Wheighted sales forecast

Example: Italplastubi

Value 3.000 * probability 60% at due date 31 March 2015

The value for thet opportunity in the March forecast would be 1.800 €

Technology

Opportunity Management in a Relationship Marketing Framework

Office 365 Overview

Get virtually anywhere access to the Microsoft Office tools you know and rely on, plus easy to administer business-class IT services

Anywhere Access

Video Demo CRM Online Microsoft• https://youtu.be/-L7rcj1LFxs

Email e CRM Integration

4 Key Questions to qualify the opportunity

100% Native on the Salesforce Platform.Reliable and Secure.

Visual representation of your status … …

… and your competitors

Chatter enabled for collaboration

Expand each section for more detail

Detailed attributes describes each person

Color shows friend or enemy, weak or strong

Quickly build a visual map of buyer’s organization

Read / write reporting lines from Salesforce

Drag & Drop to change reporting lines

Insert placeholder

Use your contacts in Salesforce

Show Influence lines as well as reporting lines

Identify Key

Players

Learn how to sell to each buyer. Smart coaching on each contact.

Store LinkedIn address

Learn about the buyer

Map the buyer’s Business Drivers, Challenges, and Evidence of problems

Attach business problems to individuals

Show your understanding of the conversations with the customer

Context sensitive smart deal coaching

Quicklinks: Learn how to address each risk

Intelligent sales coaching to identify risks in the deal

Rob Dudley, Director of Global Sales Operations

The percent of wins when they used coachingwas twice what it was for the other deals.

Unisys Doubled Their Win Rate

assessment identifies qualified opportunities

Dealmaker provides better insights for sales coaching

Asking the right questions helps reps better understand their buyers

Imrana Ghani, Sales Operations Manager90% of sales managers do deal reviews in Dealmaker.

Sales Velocity Increased 400%

47% more deals

25% greater average deal size

58% increase in win rate

27% shorter sales cycles

Adoption of Salesforce jumped from 37% to 90%

Video Demo CRM Online Microsoft

• https://youtu.be/-L7rcj1LFxs

10 minuti

Opportunity Management in a Relationship Marketing Framework

Example: Opportunity management in action

Example: Operational Sales & Marketing model

Relationship activities

Phisical events, presentaztions, participations to

events, Fairs

Contacts from websites, social

networks

Telemarketing activities

Word of Mounth by customers

Virtual events webinars

Advertising

Qualifyed Contacts, Prospects

Identify and assig opportunities Qualify Opportinities

Process / activities / project on opportunities

Forecast processes

Project, Sale

Case hystories

Marketing Processes Sales Processes

Marketing /Sales investments Tailoring

Closing Opportunities

Acco

untin

g

Marketing Engines

Sales processes

LEGENDA

Opportunity management processes /1Attività di relazione

Attività di relazione

attraverso i partner

Contatti spontanei

da sito

Segnalazioni da Microsoft

Segnalazioni da clienti acquisiti

Attività di telemarketi

ng

Eventi fisici e virtuali

Contatti qualificati ed opportunità in CRM

Assegnazione opportunità

Qualificazione opportunità

Attività per chiudere

opportunità

Processo di forecast

Progetto

Caso a fine progetto

PROCESSO DI MARKETING PROCESSO DI VENDITA

Ripianificazione investimenti Marketing

Opportunità chiuse

Amm

inist

razio

ne

Objective: Generate qualified contacts

MKTG Engine Activities Target contacts Estimated qualified

Customer Relationships

• customer decision map• new proposals Identification• Visits at rotation• Reports from project groups

Online contacts • website launch• digital marketing plan• Database online contacts

Partner mention • Identify partners,• contact them and create win win• Periodically follow up

Telemarketing/ mail marketing

• buy lists• mailing activities• Outside telemarketing activities

Virtual events / webinars

• Organize webinars on various topics

Phisycal events • Organize events with customers and prospects

network mentions • Activate a network of detectors / commercial paid at parcentage % of revenue on the reporting

Sales Processes/1Attività di relazione

Attività di relazione

attraverso i partner

Contatti spontanei

da sito

Segnalazioni da Microsoft

Segnalazioni da clienti acquisiti

Attività di telemarketi

ng

Eventi fisici e virtuali

Contatti qualificati ed opportunità in CRM

Assegnazione opportunità

Qualificazione opportunità

Attività per chiudere

opportunità

Processo di forecast

Progetto

Caso a fine progetto

PROCESSO DI MARKETING PROCESSO DI VENDITA

Ripianificazione investimenti Marketing

Opportunità chiuse

Amm

inist

razio

ne

Objective: Generate OpportuntiesAssigning Qualified contacts

Sales Agent actions Opportunity Data Base

From the various channels they have arrived of qualified leads of people allegedly involved in BI projects that are assigned to the sales persons

• Check goodness of qualification by phone and fix appointment

• If he does not care now it maintains the status and change time frame to get back in touch

• Meet your potential customers and try to collect the list of opportunities

• Record opportunities in CRM and periodically contacts the prospect to see if there are opportunities

• Advances opportunities with sales activities on customer

• Customer• Sales Representative• Opportuinity Name• Opportunity description• Status• Type of Opty• Estimated/confirmed value• Due date• Probability

Opty Status

New Assigned Qualified

Sales Processes /2Attività di relazione

Attività di relazione

attraverso i partner

Contatti spontanei

da sito

Segnalazioni da Microsoft

Segnalazioni da clienti acquisiti

Attività di telemarketi

ng

Eventi fisici e virtuali

Contatti qualificati ed opportunità in CRM

Assegnazione opportunità

Qualificazione opportunità

Attività per chiudere

opportunità

Processo di forecast

Progetto

Caso a fine progetto

PROCESSO DI MARKETING PROCESSO DI VENDITA

Ripianificazione investimenti Marketing

Opportunità chiuse

Amm

inist

razio

ne

Objectives: opportunity follow upActive opportunities to advance

the pre sales support activities

Qualified opportunities Data Base

A subset of opportunity is active in the period and must be advanced stage, and probably also you must try to keep the two dates

• Technical meetings with the client• Define any prototype• Prepare technical proposal• Support preparation of financial

offer• Get to get the customer up to the

signature of acceptance of the offer• any contract• In case of lost motivation and always

request to record

• Customer• Sales Representative• Opportuinity Name• Opportunity description• Status• Type of Opty• Estimated/confirmed value• Due date• Probability

STATUS

Qualified Active Offering Issued

Lost

Stand by/deactivated

WIN

Sales Processes/3Attività di relazione

Attività di relazione

attraverso i partner

Contatti spontanei

da sito

Segnalazioni da Microsoft

Segnalazioni da clienti acquisiti

Attività di telemarketi

ng

Eventi fisici e virtuali

Contatti qualificati ed opportunità in CRM

Assegnazione opportunità

Qualificazione opportunità

Attività per chiudere

opportunità

Processo di forecast

Progetto

Caso a fine progetto

PROCESSO DI MARKETING PROCESSO DI VENDITA

Ripianificazione investimenti Marketing

Opportunità chiuse

Amm

inist

razio

ne

Objective: Reporting and remodeling pipeline

Pipeline ranked Activities Forecasts

Opportunity DB updated promptly and every month

• Check DB update opportunities, especially% probability and two dates

• Pull weighed value and commitment to any project days

• Report forecast of the month and the subsequent

• Sales forecast• Cash forecast• Resource Forecast

commitment (days / person)

Reshaping marketing activities and sales

• Check monthly forecast by targets• Schedule jobs to decide budget

Sales & Marketing• Increase / decrease in

marketing investments• Increase / decrease sales costs

Marketing processes/2Attività di relazione

Attività di relazione

attraverso i partner

Contatti spontanei

da sito

Segnalazioni da Microsoft

Segnalazioni da clienti acquisiti

Attività di telemarketi

ng

Eventi fisici e virtuali

Contatti qualificati ed opportunità in CRM

Assegnazione opportunità

Qualificazione opportunità

Attività per chiudere

opportunità

Processo di forecast

Progetto

Caso a fine progetto

PROCESSO DI MARKETING PROCESSO DI VENDITA

Ripianificazione investimenti Marketing

Opportunità chiuse

Amm

inist

razio

ne

Objective: Collecting testimonials and case

Closed Sales Sales activities Case numbers

potential testimonial collection, famous names or innovative projects

• Submission feedback questionnaire for customer satisfaction

• Meeting customer in the case of negative feedback for motivation

• In all positive wonders you can mention the name of making the references to sign release

• 90% of all sales

Case preparation Request participation and case historyIn the negative case, at least one quotation (1 sentence by a manager)Customers have given positive feedback are contacted to schedule an appointment with interviewerThe reference document is drawn up and verified jointlyThe case is published online

• All customer are potential testimonial

Sales Forecast in reporting processes

Annual Budget Documents

Actual data collection

Periodical Forecast

Annual Budget

Periodialactual

documents

Forecast documents

Revised Budget (6 months)

Differences

Documents of revised Budget

Processes for closing Year

OtherExamples

Example: a project company

Tipi di progetto Deal medio Occorrenza% occorrenzaData Warehouse 28.000 18 49%Training 10.000 3 8%Analisi 5.000 1 3%Budget 7.000 2 5%Reporting e analysis 5.000 5 14%Scorecard e dashboard 13.000 7 19%Sviluppo 100.000 1 3%

37

Qualified Contacts

Opportunity Identification

Opportunity management

Project Execution

ORDER invoice payment

Customer assistance

Sell new projectsTime / project type

Lead time xxxx

Targeted improvement actions:• On size of deal• Of the number of deals• The time from contact order• Of new products• Cash on total time

A CRM process manages all those activities

activity activity activity activity activity

The lead time can also be established for channel Marketing reporting

activity

Example: collect from sales special opportunities Community site

Example: collect from sales special opportunities

The sales person quickly input opportunity dataPeriodically the list is extracted by Excel an the reporting is prepared

Reporting

Opportunity Management in a Relationship Marketing Framework

Dashboards

Dashboards

Quinck dasboard on Dynamics CRM

New dashboard on tablets