Why Your Sales Team Needs a (Good) CRM

Why Your Sales TeamNeeds a (Good) CRMC. LEE SMITH AND JANDELL HERUM

LMA WEBINAR – FALL 2013

C. LEE SMITH

• Lee is President/CEO of Sales Development Services

• Media Sales Veteran: newspaper, radio, cable TV, online

• Founded company in 1989 in Columbus, Ohio

• Currently serves over 2,000 U.S. properties with the tools, training and intelligence for consultative local media sales.

5 FACTSEvery Media CompanyShould Know BeforeINVESTING IN CRM

Media companies lose 20 to 30% of their total revenue every year from lost and shrinking accounts.

• Analysis of over TWO MILLION advertising transactions nationwide

• Advertising sales teams can no longer “outsell” this high level of negative momentum.

• CRM must be as focused on retention as new business.

• Accounts showing no signs of “distress” to the rep will account for 2/3 of “lost revenue.”

1.

Source: “Momentum Selling,” Jerry Kackley, K Group Consulting, 2012.

Advertising salespeople spend three-fourths of their time on accounts that have the least growth potential.

• One major shortcoming of most CRM systems is that they rely on the salesperson to know who to put in the pipeline and when.

• For local media companies, a CRM must be more like a GPS than a rear view mirror - directing AEs to the accounts that will most impact the bottom line.

• “Leads in the pipeline” do not equal revenue if the leads are junk, fiction or are never closed.

2.

Source: “Momentum Selling,” Jerry Kackley, K Group Consulting, 2012.

88% of local advertisers believe "if you don't know my business, you can't know which advertising is right for my business."

• If advertisers don’t perceive their AE as someone who knows about their business, you’ll have a more difficult time selling them.

• Business intelligence is critical to the adoption and success of CRM.

• How will your CRM solution generate ROI if you only use it as a reporting tool?

• How will you have anything to report if AEs don’t embrace the CRM tool?

3.

Source: 2013 Small Business Marketing Forecast, Ad-ology Research, Jan. 2013.

6 of 10 media sales managers that have CRM systems say they are less than satisfied with AE adoption/use.

• Among those currently using CRM systems, only 40% were satisfied with the adoption level from their sales team.

• Only 42% say their CRM helps them reduce churn.

• Don’t skimp on training.

• How will the new AEs you hire six months from now get trained?

4.

Source: 2013 Local Advertising Sales Forecast (United States), AdMall.com, Jan. 2013.

Only 27% of media sales managers are satisfied with their CRM’s mobile apps.

• Among U.S. media sales managers currently using CRM systems, only 27% were satisfied with their CRM’s mobile apps.

• Don’t let CRM become an excuse for spending more time in the office, less time in the field.

5.

Source: 2013 Local Advertising Sales Forecast (United States), AdMall.com, Jan. 2013.

CASE STUDY

SOUTH BEND TRIBUNESouth Bend, Indiana

Daily: 62,000 / Sunday: 80,000

JANDELL HERUM

• Jandell is Vice President of Advertising for South Bend Tribune

• Jandell has worked for Gannett, Knight Ridder, Lee Enterprises, Journal Communications and several family owned media companies

• Her career has included positions in circulation, classified, display and digital.

BEFORE LAUNCH PICTURE

South Bend Situation

▫ Little-to-no accountability▫ Random data points ▫ No good way to coach▫ No accurate way to gauge performance▫ Sleepy with data▫ “Co-op – had that and it didn’t work”▫ Zero research information for accounts▫ Fairly successful in spite of themselves

GETTING STARTED

▫ Launch Program coordinated with strong follow-up and bonus program

▫ The 12-week Training and Integration Plan▫ Weekly homework assignments▫ Launched with a contest – The Carrot▫ Launched job description, performance

standards, new commission plan and SOPs▫ Reinforcement with reviews and salary changes

HOW WE ARE EATING THE ELEPHANT

• Constant monitoring• Carrot and Sticks• Using “The Big-Ask” program• Account assignments• Mileage• New hire training• Presentation and account conversations• Sales meetings

WHAT WE LOVE…

• “SalesTouch is a reminder for the sales representatives to call advertisers on a certain day and time, helping us to keep organized.”

• “SalesTouch helps me to organize my calls and my work week. It is also helpful in prioritizing clients - by momentum, revenue, etc. I like the "Get Smart Fast" portion as well.”

• “SalesTouch has been great at keeping track of who to contact/when to contact them, what I has been pitched to them and what they like to buy. Things I would not remember on my own.”

WHAT WE LOVE…

• “AdMall is letting us know when to start planting seeds in advance with our advertisers.”

• “Pull up AdMall right from our iPads to look up important information to use on a sales call, demo a digital ad show examples of videos, provide co-op information.”

• “SalesTouch allows customized presentations and proposals that are quick to make.”

WHAT WE LOVE…

• “AdMall (and the daily AdMall Minute) helps with tips on leads for current "hot" items such as nationwide initiatives from the automotive manufacturers - one example is the upcoming summer launch of the new 2014 Jaguar F-TYPE. This type of information alerts me to these opportunities and provides me with points of interest to discuss with my Auto Dealers.”

THE LOVE CONTINUES…

• “Sales Intelligence assisted a $20,000 ask from a local Hospice account.”

• “Specifically with Leco Corporation. Over the last 6 months they have gone through 3 HR people due to turnover and promotions. Using Sales Touch allowed me to have the contacts of each person that was easily accessible. It made the transition from one person to the next practically seamless.”

• “AdMall peak season indicator in selling a local carpet company a program that started this month and will run through November.”

THE PROOF IS IN THE RESULTS

• “Used upcoming Summer opportunities & national tourism info in AdMall when talking with the Visitor Bureau of Ft. Wayne to do Summer Fun Tab & June Insert = $3,122.”

• “Using AdMall digital information was gathered on seniors for a local senior living community. This account committed to a month of unique advertising units in digital.”

• “AdMall Intelligence for Home Remodeling was used to influence Peacock & Company to reallocate his ad budget, generating a 52-week InTheBend contract and $25,000 annual spend.”

THE PROOF IS IN THE RESULTS

• “AdMall helped me secure an ad campaign with ND Federal Credit Union to get people to switch from a bank to a credit union. The information from the Intelligence Report pointed out the top reasons why people choose a financial institution and the top reasons on that list were what NDFCU stands for. The campaign netted $4,000 of new money.”

• SalesTouch+AdMall+The Big-Ask BUILDS sales, not just reports on them.

WANT TO KNOW MORE?

• More on the 5 Facts we covered today, plus two more stats

• Get the FREE eBook at salestouch.com

WANT TO KNOW MORE?

JANDELL HERUMSouth Bend TribunePhone: 574-235-6558

Email: [email protected]

BARRY SHAWGOSales Development Services, Inc.

Phone: 614-794-0500 x.105Email: [email protected]

Why Your Sales TeamNeeds a (Good) CRMC. LEE SMITH AND JANDELL HERUM

LMA WEBINAR – FALL 2013