A company has approached you for advice due to problems experienced while attempting to convince their salespeople to adopt and effectively utilize sales force automation (SFA) technology. What managerial advice would you provide the company, in communicating with its sales force, to reduce those problems and increase the efficacy of its use? Discuss the benefits of SFA for its key competitors and the growing capabilities gap. Position the benefits of SFA from the perspective of buyers and their satisfaction. Explain the benefits of SFA for management tracking and oversight. Communicate the benefits of SFA adoption on performance for each individual salesperson.

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
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A company has approached you for advice due to problems experienced while attempting to convince their salespeople to adopt and effectively utilize sales force automation (SFA) technology. What managerial advice would you provide the company, in communicating with its sales force, to reduce those problems and increase the efficacy of its use?

  1. Discuss the benefits of SFA for its key competitors and the growing capabilities gap.
  2. Position the benefits of SFA from the perspective of buyers and their satisfaction.
  3. Explain the benefits of SFA for management tracking and oversight.
  4. Communicate the benefits of SFA adoption on performance for each individual salesperson.

 

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Step 1

Sales Force Automation (SFA)

A sales force automation system is intended to build a turmoil process flow for the sales team, reducing the amount of manual labour required when selling a product or service. The benefit of using SFA tools is that all sales-related data, such as task management, customer relationship management, pipeline management, or sales and marketing forecasts, can be found in a single location. This streamlines the job to everybody involved and increases overall workplace efficiency.

1. Benefits of SFA for its key competitors and the growing capabilities gap are as follows:

  • Enhance productivity

When manual processes are automated, the additional labour added to the sales team's daily tasks is eliminated. This will enable them to devote all of their time and energy to developing nearly indestructible techniques or meeting with prospective clients.

There are also a few SFA instruments that can be used on smartphones to increase the productivity of sales representatives. With a few clicks, the user has quick access to a customer's data, sales validation, or company campaigns. Users do not need to open their desktops to retrieve important information when it is easily accessible on their devices.

  • Reduces sales costs

Time-consuming manual tasks stymie the company's revenue growth. When the trying to sell structure is digitalized, the process becomes more reliable, consistent, and efficient.

SFA tools can help keep saving hours and hours of sales team time and reduce sale prices costs by providing a smooth, revenue-driven process that improves the performance of every salesperson.

·        Reduce Response Time

The sales process is simplified not only for salesmen but also for customers. Given that the customer's information is already in the structure, sales force automation combined with conversational AI can react to a customer in a matter of seconds. Customer satisfaction will skyrocket if you provide consistent, quick, and dependable service.

  • Reduce human error and bias

A potential customer can be turned off by even the littlest human error. For example, failing to arrive on time for a meeting. It is obvious that these minor variables caused by human mistakes and biases can have a significant impact on the probability of making a sale. To keep a professional image with clients, sales force automation systems will reduce involuntary human errors. Remember that happy customers mean more earnings for you.

 

2. Benefits of SFA from the perspective of buyers and their satisfaction are as follows:

  • Information Processing

SFA applications are intended to help salespeople gather, analyse, and start sharing product, consumer, and competitor information. SFA enable sales force-facilitated and faster access to a massive amount of data on products, customer information, competitive offers, and new leads thanks to a centralised CRM database.

As a result, sales staff can better inform customers about technical specifications and usage scenarios, as well as more accurately meet customer needs, allowing the business to offer more services and products and conduct more suitable customer data analyses.

SFA can assist salespeople during initial customer contacts by providing faster access to specific indicators, reducing the time required to prepare for achieving presentations as well as the amount of follow-ups when the customer requests additional information. Technology allows salespeople to sift through consumer data and concentrate on important data, putting them in a stronger place to demonstrate consumer interest and close the sale.

  • Salesperson Competence

In this study, competence refers to the customer's perception of a salesperson's knowledge of products, consumer demands, and market intelligence. SFA improves salespeople's perceived competence by increasing the volume and quality of market knowledge as well as the speed of access. According to a survey, sales managers believe that information technology influences buyers' perceptions of salesperson competency; 90% of those polled decided to computerise their sales team because it made the salesperson appear more professional and competent.

Furthermore, increased access to database information carried elsewhere in the sales organisation can be critical in assisting the salesperson in developing customer trust and loyalty, as well as fending off competitors. All of these arguments point to an indirect impact on the quality of customer relationships.

  • Customer Relationship Quality

Customer relationship quality can be thought of as the result category that crystallises the effect of SFA on sales force skills and behaviours on the customer side. Customer relationship quality is defined as a buyer's trust in a salesperson and gratification with the relationship and refers to the bundle of added assets related to the junction between buyers and sellers. Elevated concentrations of mutual commitment and trust between parties characterise wonderful relationships. It also defined that "salesperson service behaviours" like responsiveness, speed in responding to customer queries, and salesperson diligence, emphasising their role in assisting to build trust and satisfaction.

SFA enables the growth of buyer-seller relationships in a selling context by impacting trust drivers and increasing the buyer's trust in the salesperson. Five factors may increase the likelihood of buyer-salesperson trust. Customer orientation, competency, integrity, dependability, and likability are examples. SFA may aid salespeople in creating consumer trust by allowing them to demonstrate trust-building behaviours more effectively.

Customer orientation in salespeople is dependent on their ability to illustrate customer interest by emphasising product benefits, supplying solutions to existing problems, and being available when needed. Technology can help salespeople communicate customer benefits more effectively through engaging sales presentations that place the product in an appropriate context or situation for the buyer. The salesperson can recover the proper data that will solve the buyer's problems in terms of his or her goals and constraints by accessing databases. The ability to respond quickly to customer issues and concerns can boost salesperson credibility and trust.

E-mail, faxes, voice mail, and cellphones are examples of widely used technology that help continue providing easy accessibility to salespeople, allowing customers' concerns or problems to be addressed more quickly.

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