Why is the combination of data analytics and transparency a super-powerful and indispensable tool for modern sales departments?
Businesses undergoing digital transformation have all asked themselves the question: is Big Data the new oil? Unlike a technological revolution, the ‘Big Data revolution’ stems from a general awareness of the exploitable capabilities of online accessible data.
What is Big Data? Big Data refers to a gigantic set of data that no traditional information management tool can truly process. This accessible mass of data constitutes a decisive strategic advantage for companies willing to analyze it. Consequently, the analysis and utilization of ‘Big Data’ would be synonymous with a real driver of sales performance, as well as new ways of selling.
Furthermore, the emergence of data analytics, which has become an omnipresent reality for modern sales organizations, means that a cultural transition of companies towards a healthy ‘data culture’ is important. Therefore, in a second article, we will evaluate the benefits of internal transparency in sales.
Finally, the last article in the series will discuss the different steps to take to achieve performance objectives towards a ‘Big Data’ vision for sales industries.
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Big Data Revolution: A New Way to Sell
It is estimated that 95% of salespeople could be replaced by Artificial Intelligence within 20 years. Faced with a technological revolution specifically affecting the sales sector, salespeople’s selling techniques are no longer aligned with how consumers want to buy. Therefore, how can salespeople leverage Big Data daily to increase their performance and adapt ever more to customer demands regarding products and sales processes? Why is Big Data a driver of sales performance?
Time Savings
Update your business analytics and business intelligence methods: the era of manually producing weekly reports on your sales business’s performance is over. Optimize your time with simple digital transparent methods.
- A study reveals a very low maturity among sales companies regarding their ability to prioritize Big Data opportunities: the average index was 2.5 on a scale of 1 to 5 (1 low maturity and 5 high maturity) in 2016. These study results call on companies to focus on long-term organizational transformation projects that promote data analysis to improve their operational performance. This point will be developed in a third article.
- As a successful example of implementing Big Data for time savings, we can cite the strategy of the Royal Bank of Scotland, which used these same resources to strengthen its internal efficiency in customer relations: the mass of data that previously required up to three days of analysis is now processed in minutes.
Facilitates CRM
Thanks to data transparency, salespeople are better informed about their customers’ economic history and needs. As a result, they are better able to meet their expectations.
- For example, part of the Royal Bank of England‘s strategy also lies in allying with startups and services dedicated to Big Data management (e.g., CRM specialists Pegasystems) to carry out their operational and sales analyses. This type of platform allows for transparency and fluidity of accessible data on customers, prospects, and the sales cycle. Other platforms, like Salesforce, also help determine the most opportune moment to call a lead, thereby optimizing the chances of acquiring a client.
- However, be careful to respect the line between transparency and confidentiality. Since the implementation of the GDPR on May 25, 2018, salespeople must ensure that their prospecting and sales tools are up-to-date and that the information contained in their databases complies with the law. Nevertheless, these new provisions are not bad news; quite the opposite! They will facilitate the work of salespeople, who will be encouraged to renew their databases, which will empower them and strengthen their customer relationships.
How to Consolidate a Trust-Based Customer Relationship by Adapting to the Big Data Era?
- The emergence of tools such as Google, Twitter, Facebook, and Yelp provides constant access to consumer data. Naturally, it is observed that consumers, in turn, impose a demand for transparency on the prices and specificities of the products they buy. Furthermore, the protection of data collected by the company about its consumers is key to reassuring them and restoring trust, which impacts the business relationship.
- In 2016, the Pokémon Go controversy illustrated the need to protect consumer data, which is also in the interest of salespeople. Indeed, downloading the application required granting access rights to all data on the user’s phone. Consequently, user trust in the product was eventually broken. It follows that, to consolidate customer trust and gain that of prospects, it is necessary to break free from this hostile image of ‘Big Brother‘ by delivering absolute transparency on the quality and characteristics of the product for sale.
Data-Driven Decisions: Transforming Sales Techniques
The transformation of data into strategic information has an immediate effect on decision-making – across all sectors – and, in particular, on price estimation.
- The secret to ensuring increased marginal profit according to McKinsey? Leveraging Big Data to establish an optimal price corresponding to the product’s qualitative value and its market position, rather than relying on prices observed ‘randomly’. Be more precise with Big Data and invest in your salespeople so they can develop analytical capabilities themselves and increase their field performance.
Design Your Sales Products Based on Customer Demand:
- Before its launch, Netflix had predicted the success of ‘House of Cards’, a series entirely developed based on data collected from the target audience, to perfectly satisfy them. How? Thanks to Big Data. Indeed, Netflix is one of the new generation companies that base their decisions entirely on their databases. This example, illustrating a drastic change in the sales process, implies essential knowledge and expertise in managing customer-related data.
Following the Big Data phenomenon, a new trend towards ‘datafication‘ is observed within companies. The advantages of this organizational transformation will be highlighted in a future article.