What is Managing by Numbers?
"Automotive Sales Predictive Analytics"
Developed using the worlds best database, MbN has been under development for 4 years and software development for 2 years.
MbN is the new age of Sales Predictive Analytics for dealership new and used car sales departments.
Our observations are that high performance Sales Managers are seeking a more effective way of managing a sales team and doing so without the normal attitudinal roadblocks that can sometime occur without unemotional MbN Sales Predictive Analytics. Managing by Numbers is a system designed by dealers for dealers and it provides all of the relevant information a Sales Manager needs to analyse the current performance of a sales team compared to various Path to a Purchase (known as Road to a Sale) process disciplines and best practice KPI’s.
Managing by Numbers, is often referred to by DP’s, GM’s and sales managers, as the Sales Management tool that lifts the veil of mystery currently created by insufficient data.
Managing by Numbers reduces the confrontation of addressing low performance issues with sales team members.Managing by Numbers de-personalises any productivity and efficiency discussions as the numbers discussed are based on the sales process information provided and entered by the various sales managers and based on actual performance. Managing by Numbers is a positive performance motivator if the numbers are viewed as data and not used and interpreted as a personal criticism of any individual or collective group. Managing by Numbers is an efficiency tool to examine performance and apply management logic that will be used to create more effective operational performance and cultural improvement. The Managing by Numbers methodology is utilised to develop a self-empowering high performance culture.
Managing by Numbers provides unemotional data to assist your sales management team to:
• Develop high performance specific training and operational plans • Create specific action plans to develop consistent high performance
• Anticipate and plan in advance,
• Unemotional data that can’t be disputed!
Managing by Numbers
Provides the data that is critical to sales success assuming that the sales team is skilled, drilled and rehearsed in the sales processes. It provides the senior sales related executives and sales managers with critical up to the minute data that can be viewed and acted upon to identify any areas of lower performance. As an example, dealers acknowledge that there is a KPI for demonstration ratios of 65%. It is known that a guest is less likely to purchase any vehicle unless they have been given the opportunity to drive and experience the vehicle. Managing by Numbers data indicates that the sales managers who are able to drive a realisation in their sales teams that unless they achieve the KPI’s, they are less likely to close the sale. MBN live data confirms a direct correlation between the demo ratio and the closing ratio. Sales team who only average 35% demo ratio will close about half of the sales that the high performance sales teams will close.Another key concept that we provide data on is the follow up process! MbN data indicates that 8-12% of guests choose to purchase a vehicle on their first visit. And16-18% of used car guests. So if a dealership is not focused on strategic follow up there is no way that they will achieve the best sales outcomes. Managing by Numbers data proves the assumptions that unless there is a managed follow up process and the sales manager is aware of the day 1 sales KPI data, as well as the follow up KPI data, there is little chance of achieving the best sales potential.
Managing by Numbers Predictive Analytics is also focused on “Global Income” achievement KPI’s.
The term “Global Income” refers to the potential income that can be achieved based again on certain best practices occurring during the sales process. Terms like Business Manager introductions, car care introductions, maximisation of trade ins; are all major contributors to Global Income. Managing by Numbers tracks that data.
Below are graphs depicting tracking trade in ratios and Business Manager introductions:
> The MbN KPIs for Business Manager Introductions is 70%.
> This dealership is achieving a finance penetration of 62%.
> It’s about early Business Manager introductions assisting guests.
The benefits of Predictive Analytics for any Sales Manager in any sales organisation?
Possessing the current data and Predicting and rectifying poor performance. Knowing the where, what, when and how, alerts sales managers to what is occurring and if the sales consultants are operating productively and effectively. Managing by Numbers Predictive Analytics can be used to predict future actions if the actual results are not meeting the desired results KPI’s. Managing to Numbers produces many metrics including actuals to targets in all sales process steps. This provides the insight that allows good sales managers to predict what will continue to occur unless a change in attitude or process takes place. It even predicts precisely what to do to correct the current trend.
MbN advantages to users:
Ask yourself these questions to evaluate the MbN advantages a sales tool.
- Can my current systems provide me similar sales data?
- How long does it take you or your management team to see live data?
- Is your current sales tracking system a live interactive tool?
- How do you track your trade in ratios?
- How do you track your Business Manager Introduction ratios?
- How do you track the effectiveness of your sales teams follow up of unsold prospects?
A number of our clients have stated that the strength of new MbN portal is that it’s easy use and the flow of live data on the dashboard as well as the drill downs is exceptional information.
One GSM user said:
“Seriously, the information for me to access is brilliant and even now when doing the weekly sales meeting, I simply use the MbN portal as opposed to previous systems. It is very simple to use and live and interactive.”
Are you seeking a 25-30% increase in sales?
Contact us and book a FREE 30 minute consultation and discuss the ways that Managing by Numbers will assist your dealership. Email or click to free call now!