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How to cleverly use sales campaigns to increase order size and grow your B2B sales
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It’s not magic! How to cleverly use sales campaigns to increase order size and grow your B2B sales ©2014 PEPPERI Ltd. All rights reserved. Confidential ©2014 PEPPERI Ltd. All rights reserved. Confidential
What we’ll cover • How to increase order size and grow B2B sales The clever way to manage campaigns in an omni-channel B2B environment • Customer success story How AAB Fashion increased their average order size by 27% Doing it right 4 mistakes to avoid when planning B2B sales campaigns ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
About Pepperi •Launched Pepperi sales platform in 2011 •Serving over 1000 customers in more than 60 countries •Directly and via local and global partners •250,000+ orders per month, over $5B order value per quarter Our customers share with us their challenges, motivation and concerns, and provide us with a unique vantage point. ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Managing campaigns in an omni-channel environment 3. Measure results across channels 1. Choose the right campaign 2. Implement in the chosen channels • Decide on goals • Choose target retailers • Choose means ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
1. Choose the right campaign – what is your goal? Sell more of specific products/ “Clear the shelves” A Increase order size B Encourage loyalty/ entice new retailers C Introduce a new product category or new products D Encourage use of self-service solutions E ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Consider this…what we can learn from Prof. Ariely (An expert on Irrational Human Behavior and author of bestseller Predictably Irrational) ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Goal A: Sell more of specific products / clear inventory 10% discount on items in a group Product bundles 10% discount on orders over $1000 of specified products Buy 3 for the price of 2 ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Consider this #2 (Prof. Ariely again) ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Goal B: increase order size Volume discount: discount per quantity of items or total cost of order Classic cross-sell: offer complementing products Arbitrary discounts: We all love games! Discount all items in a specific color, starting with letter “S”, etc. -10% All blue items are 50% off!!! ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Consider this #3 - Gamification as a tool ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Goal C: Encourage loyalty & entice new retailers Discount first order/ next order Discount cumulative orders Customer loyalty & acquisition Reward system – accumulating credits Offer new channels like self-ordering ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Goal D: Introduce a new product category or new products Bundle new product with popular products New product introduction Offer special, unusual discounts Gamification – start a competition between retailers ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Consider this #4 (Prof. Ariely) ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Goal E: Encourage self-service channel B2B e-commerce introduces a new opportunity • To lower your order taking costs • To help your sales reps make better use of their time • To help your customers order whenever they want to To encourage adoption, share the savings with others • The retailers • Your sales reps Consider promotions that suit the new channel • Shorter in time • Specific to select products ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Managing campaigns in an omni-channel environment 3. Measure results across channels 1. Choose the right campaign 2. Implement in the chosen channels ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Implementation Too many options! Target Customers Conditions Channels • Management should set campaigns and have full visibility and control • Sales reps should have all promotions related to a customer in front of them • Customers should be able to see available promotions on self service channels Note: consistency is key! Make sure campaigns and terms do not contradict ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Managing campaigns in an omni-channel environment 3. Measure results across channels 1. Choose the right campaign 2. Implement in the chosen channels ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Measure results across channels Measure, compare and improve: • Just as we compare sales reps and retailers, we can compare other things: • Discount rates • Promotion types • Length of promotion How: • • • • Choose your target audience Arbitrarily choose a smaller “control” group within that target audience Run your main campaign on the large group and a slightly different one on the smaller group Compare the results: what have you learned? ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Consider this #5 (Prof. Ariely) ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Lee Silverstern, Owner. How we increased average order size by 27%
About AAB Fashion • Founded in 2001 • Australian distributor of cosmetics and hair-care products • Working with 1500 accounts (retailers and distributors) in Australia • Working with several chains as well as independent retailers ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Growth via ongoing campaigns…and technology • Discounts are great for business • Incentivize customers to buy more • Compete in a difficult market • Win new customers • Campaigns are the “official” form of discounts. For example: • Bundles • Tiered pricing ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential
Growth via ongoing campaigns 23 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Discounts and promotions – the old way • Visits retailer • Needs to figure out what campaigns apply SALES REP Calls head office to get deal approved Enters order in system Negotiates • Interested in ordering • Not sure of pricing • Waits for rep RETAILER Negotiates Waits for order to arrive… 24 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Using mobile sales automation – the new way • Visits retailer • Build relationships with new ones SALES REP Calls head office to get deal approved Enters order in system Negotiates • Interested in ordering • Looks for available deals RETAILER Negotiates Waits for order to arrive… 25 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Using mobile sales automation – the new way • Visits retailer • Build relationships with new ones SALES REP • Interested in ordering • Looks for available deals Orders via self service or from rep RETAILER 26 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Using mobile sales automation – summary Pricing, promotions and discounts are known to all • Customers can compare, plan and decide • With all promotions in view, customers are more likely to participate • Sales rep do not need to remember which promotions apply to which customers • With promotions managed in a system, placing an order is fast and easy 27 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Results Total B2B sales across channels 38% Average order size 27% Number of orders 18% 28
Demo: managing smart sales campaigns 29 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Don’t forget! 4 mistakes to avoid when planning B2B sales campaigns Not using CRM data: open issues, debts, buying history, best selling products Offering promotions that are not right for the customer’s business Revenue cannibalization: aggressive promotions when not required Not making the most of omni-channel and automation ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Do you want to increase your order size? Do you want to increase your order size? Increase your overall B Increase your overall B2 2B sales? Want to see how you can easily implement, manage, Want to see how you can easily implement, manage, measure and control sales campaigns? measure and control sales campaigns? B sales? https://www.pepperi.com/request-a-demo/ 31 ©2015 Pepperi Ltd. All rights reserved. Strictly Confidential
Thank You! www.pepperi.com To Contact Pepperi info@pepperi.com 32 ©2016 Pepperi Ltd. All rights reserved. Strictly Confidential