A lot of sales teams with impeccable sales methods often record below-par results. It is not because of the lack of efforts they put in, but their strategies. For successful sales, the first and foremost thing you must do is, understand your customers, and prepare your sales strategy accordingly. To do that efficiently, you should conduct a thorough customer analysis.
With customer analysis, not only will you be able to understand your target audience better, but it also increases your team’s chances of getting more deals done.
Indeed, for analyzing your customers, a collective view of all their data is a valuable asset. However, gathering all customer data stored in different silos can be a chaotic task. For a handful of clients, you can manage it manually, but when the number of customers rises, you can employ technology to your benefit.
Think CRMs, sales automation software, marketing software, and so on. They form a strong core of any forward-thinking sales team. But it is still what it is – an important step out of many.
What matters most is if you’re selling your product or service to the right people. For this purpose, customer analysis enables you to get through the vagueness and act deliberately on the information available of people using your service.
Let’s look at some ways in which customer analysis can benefit your team in the long run.
Customer Analysis Exposes Customer Behaviour
When customers visit your website, for instance, they do so for a particular reason. Knowing why they do so gives you leverage in selling your product or service to them. On a larger scale, it helps you in your segmentation and, most importantly, your messaging.
This is because the needs of each customer vary. For example, if your team sells insurance policies, you most likely have more than one or two portfolios like car insurance, health insurance, home insurance. As a result, you don’t want to push an email selling car insurance to someone who needs home insurance. Procedures like customer analysis help you to know what each person potentially wants by merely looking at the data available.
Additionally, with easily accessible data in one place, you can study all your interactions with the customers. This will help you to identify the methods to which your customer is highly receptive. So with this, you can revamp your operations and provide a remarkable customer experience.
Customer Analysis Helps You Target Customers Better
Marketing campaigns on platforms like Facebook, LinkedIn, Twitter, Email, can be hit or miss when it isn’t done correctly. Part of the benefits of customer analysis is the increased ability to get insights into what is working and what is not.
Since you have a warehouse of customer information sitting in your sales pipeline, you can quickly analyze this to get helpful information like where most of your customers are from, which sales copy brings the most traction; the product in your portfolio generating the highest interest.
All of these come together to inform whatever sales and marketing campaign you’re launching next, as opposed to flying blind with no data to back you and your team.
Customer Analysis Shows Your Ideal Customers
With customer analysis, you have a clearer view of your demography, which is an important part of any marketing strategy. If you run a business in India for instance, there is a high probability that this is where most of your audience will be found. You can even dig deeper to see what category of audience fits the mould of your ideal customer.
For instance, a married person is more likely to purchase a life insurance policy than someone who is still in college. Having someone in the latter audience in your customer base might then be redundant if your niche is life insurance.
In essence, customer analysis tells you WHO you should be selling to. This way, your team members won’t spend time chasing a customer that would end up not contributing a dime to your ROI.
Customer Analysis Allows you to Forecast Better
Most successful teams are like that because they can predict what is going to happen in the business later. Through customer analysis, they look at the buying behavior of customers over time, their current status, location, etc. As a result, they’re able to make better decisions on marketing campaigns, sales strategy, tools, and everything else that can make these goals easier to achieve.
For you, this means taking great advantage of the data that is at your disposal. It can be a more efficient path to increasing your sales volume.
Customer Analysis helps you Retain More Customers
A lot of companies – about 62% – are now investing in resources to meet the changing demands of customers. This is to tell you how customer retention is just as important as getting new customers. For instance, not personalizing communication to your customers can make them leave your company for the competition. According to Accenture, 41% of customers left for other business because they felt there wasn’t enough personalization.
This has also become increasingly important because only a handful of customers complain about issues like this instead of making that sudden switch. Customer analysis helps you to get out of this bubble. It can help you understand customers’ pain points, what interests them, as well as important information like their preferred means of communication.
Customer Analysis is Easier with A CRM
As a tool that helps you manage the relationship with your customers and leads, CRMs are one of the essential tools any sales team can have.
We have listed a couple of ways customer analysis benefits your team. However, executing this can be easier with the use of a CRM. If you already have one, check if your CRM has this feature. Most platforms enable you to categorize your leads based on how they’ve interacted with your digital assets. This way, you can also personalize your communication with customers and leads without mixing things up.
Ultimately, the ideal CRM also comes with a customer analysis feature that helps you perform an in-depth analysis of your lead sources, site visits, customers, demographics, etc. This information is often presented in an easy to read dashboard, ensuring that you have everything you need about your prospects and current users.
Do it with LeadSquared
Now that we’ve established the importance of customer analysis to potentially increase your sales volume and how CRMs can help you do that efficiently, look no further than LeadSqaured’s CRM software. Built with the peculiar needs of different industries in mind, the platform can help you understand and serve your customers better than ever before.