8) New Product Launch - PACT versus Traditional CRM

In order for PACT to replace traditional CRM, Planning and Communication need to be the focus throughout the organization. As posted before, tremendous planning needs to be done to ensure sales reps have all the information they need in order to plan a successful sales call. Sales reps also need to be held accountable for proper territory and sales call planning as many sales reps are lacking in these important skills. This does not mean that we are telling sales reps how to plan, but rather, guiding them in what to plan. The following hypothetical company statement illustrates how PACT is supposed to work.



PACT - "High Card" Approach

"In order to prepare for our new product launch, our goal is to have 300 new product presentations conducted with customers next month. In order to assist field sales in achieving this goal, we are adding the following sales call planning reports in PACT:"

• Data sheets on the new product line


• Sell-in sheets


• A copy of the suggested presentation format


• Customer leave-behinds customized to each customer.


• Target demographics for the new line


• Product photos


• Independent reviews of the new line


• The latest competitive intelligence for this line

"When planning sales calls for next month, please select this package of information for each target customer. Please note that customer feedback on these tools is very important, so please pass along any feedback you receive. You will also be able to view cumulative reports on the feedback that has been received."

Accountability in the "High Card" approach:

Before I give the "Low Card" approach to this scenario typically found in CRM, it is important to understand how using PACT has shifted the accountabilty for the sales reps involved. Again, with apologies in advance to the IT experts, I am a "Sales Guy," not a "Network Guy".

In the above scenario, sales reps have been made accountable for 1) Planning and scheduling appointments with customers. 2) Selecting the new product line package for target customers, and 3) Providing customer feedback on the presentation, which they can also access cumulative reports on. (This last add also tells reps that management will be reading the feedback as well).

CRM - The "Low Card" approach to this same scenario:

Even if all the same sell-in tools were provided, "Low Card" reporting is added to satisfy quantitative reporting. The added statements are in red.

"In order to prepare for our new product launch, our goal is to have 300 new product presentations conducted with customers next month. In order to assist field sales in achieving their portion of this goal, we are providing the following tools in CRM:"

• Data sheets on the new product line


• Sell-in sheets


• A copy of the suggested presentation format


• Customer leave-behinds customized to each customer.


• Target demographics for the new line


• Product photos


• Independent reviews of the new line


• The latest competitive intelligence for this line

"On the attached template containing a list of all your customers, please check off the customers you will be doing the presentation with next month. In CRM, each customer will now have a check box added that should be selected once you have completed the presentation. You will also find a drop-down lists to indicate the results of the presentation and, if the order is not placed, the reason the customer has given."

Accountability in the "Low Card" approach:

In this typical "Low Card" scenario, sales reps have been made accountable for 1) Selecting the customers that will receive the presentation so as to provide their "portion" of the total goal. 2) Provide "proof" that they have completed the presentation by checking off a box in the customer record. 3) Provide further "proof" that the presentation was completed by choosing the results of the presentation from a drop-down list. 4) If the presentation did not result in a sale, to provide the reason the rep was unsuccessful.

Such data is fantastic at providing quantitative reports on the activities of reps, right? Wrong!

1. In selecting which customers reps intend to do the presentation for in advance, reps will satisfy their portion of the goal for the quantitative report which will satisfy or exceed the overall 300 presentation goal. BUT...They haven't made the appointments yet! The time to state the intention to do the presentation is at the time the appointment with the customer is made.


2. Proof the presentation was completed: We seem to forget sometimes that most sales reps hunger constantly for new products to present and sell to customers. I know that having a nice report on "X Presentations completed = X% sell-in success rate", but this is achievable in PACT, without forcing the reps to create this report for you.


3. Results of the presentation: Your ERP system will tell you if a sale came out of the presentation. This drop down is designed to put further pressure on reps to account for their activities and builds on the battle to make CRM go away.


4. What did you do wrong? I guarantee you the drop-down selected here (If chosen at all) will be the one that puts the least responsibility on sales reps for the sale not being made.

"It is a rare dog that will carry the stick with which it is to be beaten." - Douglas Hartle

I will let this sink in while I prepare my next post.