Are you introducing new products
effectively? If not, try a PRM technology!
Companies need to launch New Product Introductions (NPIs) flawlessly or else risk losing precious revenues. Product life cycles continue to shorten. The cycle time from development to introduction is decreasing as well. Product introductions used to be sequentially managed, step-by-step, from design to manufacturing to marketing. But with the constant pressure to release new products to remain competitive, the process has sped up. Technology now allows for the simultaneous development and coordination of new products, encompassing all departments, including design, engineering, manufacturing, accounting, marketing and sales. Today’s reality? More sophisticated products are being launched, more frequently, with diminishing “first mover advantage” in the marketplace.
Today, more and more companies are using Partner Relationship Management (PRM) systems to steer new product introductions to (and through) their dealer network. A PRM system is web-based channel management software that unifies all facets of managing a dealer network into a single partner portal. Article
Case study: converting new product ideas to revenue and profits faster!
Best-in-class companies use advanced technologies that power PRM solutions to enable their re-seller partners to sell more effectively. How does this happen? It’s simple….when dealers and distributors get the information they need and it’s easy to access when they need it, they become more engaged with your products and your company. That leads to more mind share. In short, they’ll focus on selling your products versus another brand and they enjoy doing it because they’ll feel better supported. The result: More units sold and high customer satisfaction. It’s that simple!
Recently, a Program and Training Manager at this client had this to say:
“Before we used LogicBay’s technology, the Performance Center™, we had no method of communicating directly with each sales person. We didn’t even have a list of the sales people at our dealerships. Communications went to sales managers and many emails were never passed on to the sales teams that needed to product information. This all changed when we started managing product launches using the Performance Center™. We were able to communicate the announcement to each dealer sales person on the day of the launch, and provide them all of the materials they needed to initiate their own local selling activities.”
A Senior Executive at this client later proclaimed, “Dealers that use the Performance Center™, sell more trucks.”
Read the complete case study here
Background
A multi-billion dollar heavy-duty truck manufacturer was about to launch a new truck platform that would quickly become over 60% of the company’s revenue volume as it replaced older products. It was a major risk and investment for the company. Once announced to the public, its global dealer channel had to be fully armed with training and marketing resources to immediately begin introducing the new truck to their local customers across the globe. If this was not handled flawlessly, revenues, margins and shareholder value would have been jeopardized.
Several years earlier to better engage, manage and develop their distribution channel the company had selected LogicBay as a Partner Relationship Management (PRM) solution. Enabled by LogicBay’s solutions approach and understanding of PRM best practices, executive personnel, salespeople and service technicians within the dealer network were receiving marketing materials and training courseware in a streamlined environment supported by LogicBay’s Unified Application Portal (UAP) called the Performance Center™.
Challenge
With a dealer network of over 450 locations and over 1,200 sales people, the company’s challenge was to be ready with training, marketing materials, and product information immediately when the truck was announced to the public. The company couldn’t provide any of this material prior to the launch date because of the secrecy surrounding the new truck. A means was needed to deliver this information to the dealers just as the truck was being announced to the public. The company needed to provide the training materials and generate excitement at the sales person level to ensure a grass-roots successful launch.
Solution
The program and training manager knew he could use LogicBay’s Performance Center™ resources to quickly and effectively distribute the information about the new truck to the dealer sales force on the exact day the truck was launched to the public. On the day of the product launch to the press and public, the dealer sales people received an email announcement and were directed to the Performance Center™. There they found the information they needed: an online training course about the new truck, an assessment to confirm their knowledge for certification, a slide presentation they could use for customers, a document with short ‘mini-scripts’ to quickly train them in selling the new product, a comparison of the new truck to its competitors, and other collateral material the dealers could use to develop their own marketing strategy in their territory. No past product launch provided so much information in the sales channel’s hands on the day a new product was launched.
Result
The announcement made an immediate impact on dealer engagement. Dealer sales people took the initiative to download the product information and presentations from the Performance Center. Many took the training and passed their certification assessment in the first week following the launch. Even dealer owners praised the company for the providing so much information so quickly to their sales staffs. This early sales inertia provided for a successful product launch, with sales goals being met throughout the year and increases in profitability as a result.
Point Solution: new product introductions – video spotlight
You think you communicate effectively with your dealers about product launches, but do they really have all of the information they need about new products being released to be ready to sell effectively?
Learn how your company can make new product releases more effective so you too can sell more units
PRM research
Early findings from Aberdeen’s 2012 PRM Study on Sales Performance Management indicates that Best-in-Class companies place more emphasis on supporting channel partners than other firms, and show far better results in revenue growth, lead conversion rates and shrinking the sales cycle. Take the survey and receive a report summarizing the study’s results.