Some of your customers carry your bottom line, and some may cost you. Gain a complete view of all touch points for a specific customer by taking advantage of Stratum's CRM Analytics.
Customer Value Assessment
Determine lifetime sales by customer and customer type to identify your most loyal customers and largest market opportunities. Identify and rank customers who are considered "high value" based on discount level and gross margin, and uncover areas where discounting is cutting into profits. Evaluate how sales revenues and gross profits are trending by customer and channel to anticipate future sales and profits and to focus retention efforts on customers whose purchases have decreased.
Perform activity-based management analysis with the Profitability Performance Management module of Stratum to determine true net profitability by customer. Measure the impact of average selling price and cost of goods sold on gross profits to determine if prices or costs are eating away your profitability. Isolate the effect of freight and handling costs on customer profitability and discover low profit customers that may require more cost effective shipping methods. Assess year to date sales revenue performance relative to budgets, forecasts and last year's performance, to determine variance to plan
Customer Acquisition / Targeted Selling
Segment customers by a Propensity to Buy (PTB) score to determine those customers most likely to purchase new products or more existing products. (The PTB metric is customized to accommodate those factors most relevant to your business model, and may incorporate previous sales volume, seasonal trends, regional sales, business type, etc.) Rank customers based on the recency of their purchases, frequency of their orders and the value of their purchases and then segment them into groups and design promotions and sales efforts to target each group with up sell and cross sell promotions. Isolate customers into "opportunity groups" based on purchasing behavior, such as customers that bought from you last year but did not buy this year.
Utilizing the Marketing Performance Management module, create plans by group to estimate the expected incremental sales, gross margin and costs associated with generating new sales. Compare actual to expected results by campaign to measure campaign effectiveness and associated costs, and refine programs for future campaigns. Import campaign or sales transactions from your contact management system, if you are currently using one, to track results and measure sales revenue generated
Customer Management
Identify customer and product return patterns over time to uncover potential problem areas and measure the impact of returns on revenue. Explore product quality issues with the Manufacturing Performance Management module. Compare order fill rates and order line fill rates this year versus last to determine if company goals are being met and what is causing any variances to plan.
Improve customer service by analyzing what products are causing backorders and the duration of backorders, so that problems can be remedied and customer expectations met. Rank and measure the severity and type of customer complaints, as well as how effectively customer service representatives are responding to these complaints, to increase customer service levels. Review year-to-date sales revenue and problems reported by customers to identify any correlation and understand how customer service issues are impacting profits.
