According to Peter Ostrow with the Aberdeen Group, companies that integrate sales analytics into their overall operations tend to see an increase in their profit levels. In fact, users of sales analytics report a 10 percent increase in the number of reps who are able to meet their quotas. These users also enjoy a 10 percent increase in customer retention rates. It should also be noted that users of sales analytics are more than two times as likely to develop trusted forecasts and deliver them to the appropriate upper-level entities.
Although the statistics favor sales analytics, many B2B sales leaders are overwhelmed with trying to understand how these critical numbers and analyses apply to their operations. Fortunately, though, sales analytics don't have to be a nightmare. With the proper tools, anyone can analyze pertinent business data. More importantly, these tools can help predict accurate forecasts, allowing sales leaders to mitigate human factors -- fear, greed, other emotions -- that often play into the sales process.
When using sales analytics to drive business practices, it is paramount to give leading KPIs the appropriate amount of observation. And even though it's important to analyze revenue according to each sales rep, it's essential that contacts per week and the rate of follow up be analyzed, as well. By monitoring each contact and deal from start to finish, you can then pinpoint any leaks and fix them accordingly. These KPIs enable your analytics team to identify issues within your sales pipeline before a sale is missed.
- Total sales for the year
- Total sales for a specific period of time
- Calculate the opportunity pipeline by sales stage
- Calculate gross margin by customer
- See what sales reps are selling, and which customers are buying
- Compare sales territories to one another
- See which items are being sold in which territories
- Align marketing campaigns with appropriate territories
When it comes to meeting the specific needs of your sales team,
Furthermore, sales analytics can be combined with your marketing data; this facilitates the ability to see where your best leads are coming from, which in turn provides valuable information to your marketing team. Sales analytics create a bridge that can be used to collaborate between departments, giving you a 360-degree view of the entire company.
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