December 2 by Marie Francis
It’s not only retailers who can boost their bottom lines with sophisticated promotions strategies.
Black Friday, the opening bell to the chaotic holiday shopping season, came and went. IBM Trends noted the top selling items were Beats by Dre, Apple Watches, and new TVs from Samsung, Sony, and LG were amongst the most purchased items. Some shoppers fought and forced their way through the crowds in big box stores, other more savvy shoppers clicked to buy form the couch, and a cohort of the turkey induced comatose waited until Cyber Monday to start their shopping.
From the seller’s side of the equation, retailers all over the country announced new holiday promotions and discounted prices to compete for a share of your wallet this season. But promotions are not limited to the Black Friday and the holiday season, nor are they limited to consumer goods. B2B companies compete for a share of the market just as retailers compete for a cut of your gift budget, and strong promotions campaigns can be highly effective at motivating B2B customers to buy more and more often.
The Benefits of a Promotions Management Solution
Promotions management solutions, often called trade promotions in consumer industries, help manage campaigns and analyze their performance. The best solutions offer flexibility to manage complex promotional campaigns that fit the markets or channels your business is targeting. Your promotions management software should help you answer questions about which products or combinations of products move sales the fastest, and whether those items vary across customer groups. Which priority products does your company want to sell, and under what conditions? There is a lot going on
behind a discount code, and your promotions management
solution needs to be able to handle that complexity.
For marketing and trade promotions managers, it is critical to have deep visibility into customer buying behavior. What do past purchases reveal about customers’ needs? What price motivates customers to buy quickly? A promotions management tool that is integrated into your CRM and sales automation software can provide visibility far beyond what a stand-alone solution can achieve.
Here are 4 key benefits of an effective promotions management solution:
1. Profitably Manage Campaigns
Keeping promotions campaigns profitable can be a major challenge for marketing managers. Discounts may motivate customers, but they also cut into margins. An effective promotions management solution is one that is integrated into Configure Price Quote (CPQ), the sales automation software that eliminates rogue discounting through sophisticated pricing rules. Powerful integration with a CPQ system allows managers to leverage those rules and pricing insight as they work to grow sales profitably. In addition, you now gain real-time insight into promotions campaigns that can significantly improve their performance.
2. Micro-target to Boost Sales
Promotions drive sales volume and velocity by motivating customers to buy more and buy quickly. But not every customer is going to be motivated by the same discount or product offering – especially for B2B customers, whose individual needs are so specific, the most successful promotional campaigns will be highly targeted.
A promotions management tool should allow you to micro-target customers by channel, geography, account and even individual user. With CPQ integration, you gain unparalleled insight into previous purchase behavior, price and product needs. So, you can structure promotions to target exactly who you want with an incentive to buy that is as specific as you need to drive your desired consumer behavior.
3. Test, Launch & Optimize
Take the guesswork out of running promotional campaigns by testing strategies against each other. A robust system provides controls that allow for A/B testing even within a channel or account grouping. Then see how campaigns perform in real time so you can optimize your strategy on the fly to continuously drive toward stronger results.
4. Enhance the Power of CPQ with Promotions Management
CPQ can be so much more than a sales automation tool. CPQ can be the foundation of a broader Quote-to-Cash vision, transforming business processes from the moment the sales cycle begins to recognizing revenue from that deal and converting buyers into repeat customers. Including a promotions management solution to the Quote-to-Cash vision offers marketing professionals
a powerful new tool to drive customers to buy more and more often.