Starting a business is a big achievement for leaders, but maintaining it is the larger concern. There are many challenges that most businesses face every day. This includes maximizing profits, minimizing costs, customer satisfaction, tracking the KPIs (Key Performance Indicators) etc. Most of the sales reps tend to be under stress as they find it hard to increase the revenue.
What is a KPI?
A KPI (Key Performance Indicator) is a measure to determine how efficiently an organization is accomplishing its core business objectives. Companies use KPIs as various levels to evaluate their success rate.
A business that does not measure its success in each aspect of its customer deliverables is just on the way to lose. You may have a great customer relationship, but an inferior service or a rude behavior can hamper your lifetime customer relationship. Moreover, if you are not aware of the exact reason behind spoiled customer relationship, the problems will standstill.
All organizations have their different KPI tracking process, also it’s inappropriate to maintain performance records on paper. Tracking KPI without a proper system is a perilous process. You can decide and set-up KPI attributes depending upon the area of concern like customer satisfaction or sales KPI etc. When the result doesn’t meet the desired performance level, management needs to analyze the root cause and take counteractive action. Ever since customer is the one to decide with whom to do business with, hence KPIs play a big role in retaining the annoyed customers.
With correct KPI analysis, one can transform company’s sales management process into an improved data-driven system.
How to Define a KPI
- Strictly state the required information
- Explain who will be responsible to gather it
- Define the steps to achieve it
- State its source
- Explain who will receive it
Though all performance metrics are important, CRM KPIs are more vital as they serve to be an early indication that your business is off track, which signifies a high probability of risk.
Lead response time
Leads are a perishable asset. Keeping response time to its minimum increases the probability of lead conversion by almost three times. Follow-up proves to be an important aspect of business strategy. If the leads are contacted immediately, the chances of converting a lead into a customer is tripled. CRM tools provides you the opportunity to analyze each possible aspect of lead conversion. You can determine the lead response time by the appropriate CRM tools. In addition, CRM system escalates unanswered queries to the superior person after a specific waiting period. This guarantees customer satisfaction while simultaneously scrutinizing one of the vital KPIs.
Action response time
While maintaining the contact with clients, you should study their response patterns. Sometimes, tracking the success rate despite of continuous efforts like emails, meeting invitations, calls enables you to know what mode of communication has made it possible to reach customer. Customer actions allows seller to know what would be the customer reaction for their respective action, when customers stop responding to their calls/messages, unsubscribes from their websites, newsletters, or simply blocks them. These customer behavior patterns helps you boost your system’s efficiency.
Conversion Rate Key Performance Indicators
Do you know how interested customers are in your proposal? How frequent customer response do you receive? CRM metrics help you track and determine how often your attempts led to assessable action. This helps you figure out whether your actions are effective enough or not. If you aim to generate sales for your new product or service and don’t get expected views, you need to re-evaluate your page, product/service etc. Sales KPI lets you know how much time it took to move a customer through your sales funnel.
Help Desk Key Performance Indicators
Help desk executives, also known as client support play a vital role in uplifting your product or service to its best because customers are the most valuable asset to the company. Your customer support staff must realize the same and must strive to facilitate the best possible support. CRM helpdesk metrics such as ticketing, agent performance etc. help you analyze the exact customer issues
Understand existing customer engagement
Actually, there is no need to explain the significance of customer satisfaction as it is a vigorous element of your sales process. But detecting the precise customer requirements is most challenging task. In fact, there is no specific parameter to measure customer interest. You can only monitor and diagnose the customer interaction with the help of CRM metrics. CRM dashboard facilitates you the option to update or modify the customer related information while providing you valuable insights about customer engagement.