Why is CRM a Distributor’s Bread and Butter
A big portion of distributors have implemented a CRM system to improve their business efforts and it’s expected that this number will only continue to grow in the future. Customer relationship management is utilized by distributors because it fills their needs.
Through it they can manage their sales using a structured process, valuable metrics and data which can help them guide their efforts in the right direction and measure their effectiveness.
Here is a good example of CRM software for distributors: https://www.bpmonline.com/distribution.
CRM helps improve coordination with suppliers
Distributors and manufacturers need to have good collaboration. If both the distributor and manufacturer get the same CRM platform or simply share one across all of their markets, they will be able to collaborate and communicate better.
A distributor can also share important CRM data with the manufacturer, without allowing them to take any action. This is how manufacturers will understand your needs and be able to suggest new strategies to improve collaboration.
Managing different accounts
A lot of distributors have the need to segment their customers based on two factors – account profitability and value services. They do this so that they are able to give their customer the adequate support they need on an individual basis.
With this approach they are able to remain profitable and get good margins. With a good CRM, distributors are able to do this effectively and calculate their account profitability.
Solving customer problems
Salespeople usually aren’t aware of the problems which get reported to customer service, and this is why they are unable to incorporate the right changes that could provide greater value to accounts. With a good CRM, distributors can have greater visibility and allow their sales teams to have all the information they need in order to provide better services and products.
Tracking and creating sales forecasts
All of the sales opportunities within the sales pipeline need to be tracked and analyzed. A good CRM solution allows you to track them in real time and see all of the important details.
Through it, distributors can also review sales opportunities individually or as a whole team and make forecasts based on services, products or customers. Furthermore, a CRM allows you to make timely adjustments to ensure that you will stick to your forecasts.