Relationship equity with the customer is still the driving force to success in sales, however, many of us under estimate the value of that relationship equity between inside sales, customer service and the customer.

Relationship building has always been the mantra of outside sales people and the relationships on the inside often times doesn't get the credit that is due. Of course relationship equity is important to success in outside sales but who actually has more contact with the customer? In fact studies show that customers would give up their outside sales contact before giving up their inside contact if that is their only choice eighty three percent of the time.

So, ask yourself this question; why aren't we maximizing the leverage of those inside relationships to grow sales? How can we take advantage of existing relationships between Inside Sales/Customer Service personnel and customers?

How Do We Tap Potential

This age-old question has caused managers to implement a variety of approaches in the attempt to tap perceived potential, but many fail and the question persists. Why?

Most firms do not have adequate measures installed to determine who does what within an Inside Sales/Customer Service group. Often times the customer service/inside sales function becomes so convoluted that selling becomes the last priority on anyone's mind. Additionally, this culture of chaos is the primary reason "Outcall Programs" fail. There is never enough time.

You hear that comment repeatedly; there just isn't enough time. Yet, when you try to examine the issue and search for root cause, the easy explanation is we are understaffed. Personal experience in this area has validated my opinion that in most cases under staffing is not the reason we can't leverage those relationships and expand proactive selling on the inside.

You Can't Manage What You Don't Measure

Lack of adequate measures is the real reason behind the inability for management to define department productivity or level of activity much less individual productivity.

Without consideration for the level of inbound call activity, it is common for management to want Inside Sales/Customer Service personnel to use suggestive selling techniques during inbound calls. Further, some firms also assign outbound sales call responsibility within the framework of an Outcall Program.

The reality of many Inside Sales/Customer Service operations is: they are very busy handling inbound calls from customers. Their motivation is to handle each call as quickly as possible so they can get off the phone with the customer and take the next inbound call that is waiting for them. In a given day, one individual may handle upwards of 50-100 inbound calls and related tasks, e.g., taking and processing orders, mailing requested literature, preparing bids or quotes, expediting, providing price and delivery information, checking inventory, and even purchasing buyouts, scheduling trucks and who knows what else.

Although some Inside Sales/Customer Service people are better than others at using suggestive selling techniques during inbound calls from customers, this practice depends upon:

• Product and applications knowledge, probing skills, knowledge of suggestive selling techniques
• Having other resources in the department who are available to handle other inbound calls

Even experienced personnel will stop this practice when incoming call levels peak. Why? Because they do not want to take the time during calls to talk with the customer, identify needs and interests, discuss options available, and make recommendations. In other words, they switch to a different mode during peak incoming call periods. Their motivation is driven by the need to handle each call as quickly as possible so they can take the next call.

Strategy?

One strategy used by some managers is to remove Inside Sales/Customer Service personnel from the order desk so they can make outbound calls to customers assigned to them. Some actually create a separate "Outcall" room.  For example, an hour a day is set-aside for several days a week for them to make these calls. However, when they return to the 'order desk,' they are faced with callback messages from customers who requested them.

Although management may perceive this strategy as a method for increasing Inside Sales/Customer Service productivity, this approach must be well managed. Again, the lack of measures of this function is a direct cause of problems here.

Desired increases in productivity within the Inside Sales/Customer Service group have also prompted the installation and use of Voice Mail systems. Taken from the customer's perspective, what this often means is: the customer cannot get orders and other information requests handled at the customer's convenience.

The customer has several options: 1) wait for a return call from the distributor; 2) FAX the order or request if possible; or 3) locate a different supplier who is organized for the customer's convenience.

The effect of many Voice Mail systems is to cut the distributor off from customers. In today's service economy, the practice of organizing the company for its own convenience can be the cause of lost orders and customers. Further, installing Voice Mail may preclude analysis, definition, and solutions to the real problem.

A staff deployment problem may exist. Although Voice Mail appears to solve the problem by smoothing out peak incoming call times, customer inconvenience is at issue.

The lack of appropriate Inside Sales/Customer Service measures is also the cause of:

• Management misperceptions about the Inside Sales/Customer Service primary function. This is the distributor's front line. It is the customer's primary interface with the company. Through this job function, the distributor proves or disproves a commitment to service excellence.
• Management tactics designed to increase productivity without consideration for their impact on existing customers. Any decision that cuts the distributor off from customers must be seriously evaluated.
• Inappropriate compensation practices. If the distributor cannot measure individual productivity, it is not possible to recognize it much less compensate for it.
• If management wants to take advantage of the Inside Sales/Customer Service opportunity, the first step in this process is to evaluate what exists in that department today. Questions managers need to answer include:

Are existing personnel so busy handling incoming calls that the mind-set is to get off each call as fast as possible so they can take the next call? Conversely, does the staff have time to sell on inbound calls? If not, what do we need to do to make time available to them?

Do we have the necessary base measures in the department to prove there is or is not time available to increase productivity? What measures do we need to install? Do we need a time study to find our root cause?

Have we trained our people to know:

• Our products, value-added services, and what questions to ask customers to identify their needs and interests in using them?
• What promotions are available?
• What direct mail materials are available for them to mail to customers? What questions should be asked customers to determine their needs for our materials? What questions should be asked to identify if others at the customer's location need our materials besides the buyer?

Key Questions

Have we installed computer support systems that help prompt people to use suggestive selling techniques? What measures do we need to install to identify individual performance and productivity so we can recognize individual contributions and reward accordingly? Do we have actual "Inside Sales" people in the department or are they all strictly customer service people? Do we have a hybrid mixture of the two?

The Future

Inside Sales – Customer Service is no longer just sales support and order takers of the past.  Inside Sales - Customer Service has taken center stage with customers. It is the front-line to the customer, the back bone of the business, and the primary influence that proves your commitment to service excellence and growing sales.  It's the way of the future.

Management needs to evaluate existing operations. Everything from corporate culture to attitudes, reporting relationships, support systems, recruiting specifications to training needs must be analyzed. This is the proper focus of management attention.

A new business model may be warranted to meet changing customer demands and expectations of your front-line.  

Rick Johnson, expert speaker, wholesale distribution's "Leadership Strategist", founder of CEO Strategist, LLC a firm that helps clients create and maintain competitive advantage. Need a speaker for your next event, E-mail rick@ceostrategist.com.  Don't forget to check out the Lead Wolf Series that can help you put more profit into your business.