Many of us who work in marketing have experienced the unique pleasure of participating in a product launch. It’s fascinating to see an idea take shape on paper and then become a physical product. We know from experience that the process of bringing a brand-new product to market is far more difficult than getting it into existence.
The challenge is to get the product seen, to attract paying customers, and to generate enough revenue for future productions. We focus on high-profile activities, such as how and where to advertise. The decisions we make behind the scenes about how and where to distribute the product are just as crucial. Finding cost-effective and effective distribution channels is critical to the success of any product at the beginning stages.
How can you determine which distribution channels are best for your product that is unproven? How can you make the most of a limited marketing budget while still maximizing your supply chain efforts? The dilemma in this issue asks: How do you choose the best distribution channel when your budget is limited and the options are numerous?
Do you have a hangover from the launch party? Please tell us what keeps you awake at night. What quando do you bring with you to work? They would be happy to assist. Ask our SWOT team about your problem by writing to us. Take advantage of the collective wisdom, experience, and strength of this group. You could win a copy of our book, A Marketer’s Guide to eNewsletter Publishing.
Read below to get the best advice from your peers on how you can salvage your CRM investment.
Prioritise internal and external clients before technology
The technology alone cannot produce the desired CRM results. The success of the CRM project depends on the employees and the customers. Get the support of the entire team, including the CEO and CSRs. Also, involve the customers.
I would start by evaluating who supports the initiative and who it affects both positively and negatively. This is a major obstacle if the CEO does not support the industry. It is a problem if other departments or people are affected by the industry (which they should) but do not have ownership. Once the current situation is understood, I would create a plan to overcome any resistance–department by department and individual by individual. Concentrate on the CRM’s value to each department or individual.
If you’re talking to the CEO, use the language that they use: money. Explain how the system can help you expand your service offering and increase revenue by $XXX while improving the bottom line by $0. I am a firm believer in CRM systems but often find that the ownership of these systems is very narrow within organizations (e.g., sales or customer service). Each part of an organization should be involved in the implementation of CRM systems since relating to clients is the responsibility of the whole organization. This will require compromises, but having everyone behind the initiative will make it a success.
Bill James-Wallace of Business on Purpose believes you should refocus on your customer and use technology to support this.
I have found that in my experience, the CRM software/hardware is usually the main focus. The focus is on making the software “work” and not the client. If so many CRM initiatives fail, it’s important to find out why. I believe that it’s ALWAYS what the client wants, and the system facilitates this.
Solution: Keep the IT staff away until you’ve mastered your customer strategy and proven it “manually.” Then, go to IT to ask them to automate your process according to the system that you have established. The customer’s business must be the one to dictate the technology. I’ve never heard a hammer tell what to do with a nail. Instead of CRM, think of CMR (Customer-Managed Relationship) as a slight shift in your thinking. To summarize, to evaluate your CRM shortcomings, you should go back to the customers and ask them what they need and want, then deliver it using technology.
CRM alone can only provide a small portion of the benefits that you envisioned. Your product will not be differentiated by service alone unless your customers rave about it. To tap into the knowledge of your customers, work with account managers or line managers, or those with a direct connection to clients. Use your CRM for mini-campaigns to measure their effectiveness.
Reassess the underlying objectives, processes, and practices
SWOT Team members suggest that you review your initial goals, current practices, and procedures. Reassessment can reveal bottlenecks and kinks in your system that are preventing the success of your project.
Statistics show that 70% of CRM initiatives fail due to the lack of clearly defined processes in sales, service, etc. The problem is not the technology, as many people believe. It’s the way you implement the technology in order to support or match your business processes. Reviewing each area (sales, customer service, etc.) separately is the best way to save your investment. Develop/enhance processes you think will have a real impact on the bottom line and ensure that your technology supports these.
A SWOT Team anonymous member suggests that the original goals of the initiative be revisited to identify any shortcomings:
Many of the Management Gurus spun doctors portrayed CRM as the miracle bullet that could save failing companies. Unfortunately, they were so enthused by this imaginary lifeline that they failed to analyze the pros and cons of the tool. It is a tool. This tool will help your sales team to structure their activities in order to improve customer relations and hopefully increase repeat business. As the old saying goes, “A bad worker always blames their tools.” Those who attribute project failure to CRM should examine their entire customer management system as well as their motivations and objectives. No system can change your attitude towards customers. Only you and your staff can do that.
To assess CRM’s shortcomings, you must first determine your CRM goals and the areas of shortfall. Determine if the deficiencies are procedural or attitudinal. After deciding on the original goals and the weaknesses, you can formulate an action plan to close the performance gaps. If there is no improvement, you should reassess the objectives. Don’t forget to pay accordingly. Paying for A while hoping for B is a waste of money. The financial incentive package must be tied to the consistent and successful use of CRM. Remember that CRM is only one part of your overall customer satisfaction strategy. It will not solve all customer service issues. The only way to solve this problem is by taking a holistic view.