Manufacturing Tomorrow


How To Use Manufacturing CRM Systems For Improving Sales And Profitability

Feb 02, 2016
By: Terry Kerscher
Manufacturing and Distribution

You might think of manufacturing CRM software as a tool to help you manage your customer relationships, but it offers much more than that. CRM systems have the potential to provide you with the data necessary to boost profitability.

The more insight you have into market share, the better equipped you are to improve your business. For manufacturers that put their products on the market exclusively through distributors, fortunately, tracking market share typically comes down to measuring basic metrics.

It's important to start by categorizing your metrics into activities sales reps are performing (such making quotes and placing follow-up calls) and then create metrics around managing the pipeline related to those actions.

Track analytics to identify performance trends among sales reps and in specific regions.

For example, are you doing well in the Pacific Northwest, but struggling in the Southeast? Use your manufacturing CRM software's access to sales and service data to gain a better understanding of the situation.

You should know exactly where you stand from a market share perspective. If you're not meeting your goals, consider your options for exploring new sales channels or remarketing your product to improve sales.

Having access to market share information helps you understand what must be done to drive success.

Unfortunately, manufacturers working with distributors often don't have much visibility into sales velocity. This is typically because distributors have a "this is our customer, not yours" mentality. In that situation, it's difficult to gain a true sense of market share, because the distributors don't want to give "their" customer information to the manufacturer.

Sometimes you're able to purchase market share information from an industry association. If you're struggling to get a sense of your market share, look into this option.

Once you have market share information loaded into your manufacturing CRM system, you should see your overall market penetration and be able to pinpoint market opportunities.

If you input enough market share data into your CRM system, you may find opportunities for unexpected growth. For example, perhaps you see that in one region your products are dominating the market. Knowing this, you could go to your distributor and try to negotiate a better deal, since you're likely responsible for a significant portion of their business.

This strong-arm approach should only be used in the right situations, but the idea behind it is applicable across the board: The more market share information you have in your manufacturing CRM software, the more insight you have into ways to improve your profitability.


Terry Kerscher
Sales Leader
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