What are KPIs?
If you are part of the business world, you are probably used to working with KPIs. I you are not, we’ll briefly tell you that KPIs or Key Performance Indicators are, as its name states, indicators that help you measure the success of your actions.
Some examples are the sales volume, the number of visitors to your website, your customer satisfaction index, etc.
It’s extremely useful to establish your goals and to design your KPIs around those, but this can be tricky; depending on the type of company, the sector and on many other aspects, our KPIs will be one way or another.
These indicators are especially popular in the marketing world; it doesn’t matter if you work in digital marketing, trade marketing, social media… establishing your KPIs will help you define your strategy and measure your performance.
What if they are not working?
As we’ve mentioned, establishing KPIs is not easy. First of all, these must be in accordance with your marketing strategy; if our main goal is to increase the sales of a particular product and our KPI measures our web traffic, we’re wasting our time.
Our objectives should be realistic and achievable. If we set a goal that is not consistent, we can measure it as much as we want to; we won’t see any improvement.
Moreover, it’s important that the data we are willing to go over is properly saved in an appropriate system. Nowadays, leading technologies will analyze our KPIs for us; we are talking about sale force automation tools or SFAs.
What is an SFA?
An SFA or Sales Force Automation is a software especially developed to completely automate your commercial strategy and help you easily reach your goals.
These apps optimize the whole sales process, giving you full control in each and every phase.
What do they have to do with our KPIs? You can enter your information and objectives in your SFA so the software monitors your KPIs for you, obtaining market information in real time through specific reports, which will allow you to analyze your results.
We now offer you 5 examples of KPIs a good SFA can help you improve, so you overcome all your doubts!
- Measure your goals
The first advantage of an SFA is, of course, the opportunity to relax and let it analyze your results for you. As it has all your data and goals in its system, it’s capable of offering you a great analysis from several perspectives, from every role, not only from the commercial one. It can combine both internal and external data, and this makes its reports detailed and relevant.
In the end, KPIs measure your actions, and an SFA allows you to do it in an automatic and quick way. Once your results are analyzed, you’ll have way more control over the situation in every point of sales of yours, and you’ll be able to take the right decisions.
- Take your competitors into account
Having a benchmark is crucial, so you need to compare your data with the one from other companies in your same sector. An SFA can also do this for you.
It gives you so much information of your point of sale’s shelves that you’ll be able to compare your product’s visibility with the competitor’s. You’ll see their promotions, their prices… and find out their strategy!
- Grow more and better
It doesn’t matter which is your department; one of the ultimate goals of any company is growth.
An SFA, thanks to its automation, optimizes the visits and the orders from every client, making the commercial agent’s work incredibly easy. This lets them focus on negotiation, tracking the current and future promotions and the new product launches when they reach the point of sales.
This way, this tools allow the work of commercial agents to be focused on Trade Marketing actions rather than on plain organizational issues, and this leads them to improve their results.
- Improve your client retention rate
Increasing sales is important, indeed. However, a sudden increase of sales means nothing if these clients are not satisfied and, therefore, don’t buy our product again. A short-term increase of sales is worthless; we need happy, long-term clients, and engagement is the key.
An SFA can show us which clients grow, which ones don’t, how have their last orders been, the promotions they have chosen… with this information, we can define a client scoring and take preventive or corrective decisions depending on the type of client. If we don’t know where we are, we won’t be able to get where we want to be.
Whatever your KPIs are, they won’t depend on a single area: having aggregated data is important to improve your decision making through team cohesion, and a good SFA takes this into account.
An SFA considers omnicanality so everything stays reflected in a single system and every department can access the same information, which facilitates the establishment of common goals and, of course, reaching them.
We hope we’ve helped you understand the importance of defining KPIs to measure your company’s performance and how an SFA can help you reach all your goals. Now it’s your turn to try it out!