The Future of Predictive Sales, Forecasting and Upselling
Technology is a great equalizer. In each and every industry and all of their departments, technology is and should be central to performance and achievement capacity. AI, Machine Learning and Big Data powered projects have been talked of the town for a long time now. Technology is moving forward with AI setting up new trends. Integrating these technologies in Sales has open doorways for possibilities that ensure improved marketing and sales alignment.
More so, consumers have also undergone a makeover and emerged as a digitally-empowered creed. AI enabled recommendation engines have been the source of increased sales for brands, especially e-commerce, since quite some time now.
In Business Intelligence, AI resources were traditionally taking over the repetitive tasks of business analysis. These were mostly related to big data processing, but recently they have taken a step further to analyze this data, and even suggest further steps. They have helped in showing growth and improved the four most important aspects of sales- Improving Lead Quality, Shortening Sales Cycles, Predicting Cross sell and Up sell opportunities. Let’s go deeper into understanding what this means and how its done.
Big Data’s most important feature can be considered predictive analytics. It is a set of techniques that have become fundamental to the business strategies of many household name brand firms, such as Netflix, Google, and Amazon. Along with these firms, there are many more dominating their respective markets, due in large part to the significant use of predictive analytics.
Predictive analytics is a form of business intelligence gathering, the strategic business use of which is powerful enough for the industry. Driven by the high-revenue generating potential, many other firms are investing in the necessary infrastructure, such as data storage and processing hardware and software and both database administrators and data analysts. As they do so, predictive analytics tools and techniques, grow in sophistication and refinement.
Sales forecasting is one of the most critical factors determining long-term business growth. It consumes a large portion of managers’ time and focus. The majority (74%) of large (>$10B in annual sales) B2B companies engage in forecasting on a weekly basis. Unfortunately, despite the significant time investment, sales forecasting tends to be an imprecise art. Research indicates that the majority (69%) of all B2B companies, regardless of size, consider their forecasting efforts to be ineffective.
Enter AI. AI can be a force multiplier in terms of heightening the accuracy of sales forecasting. According to research from the Aberdeen Group, companies boasting accurate sales forecasts are 10% more likely to grow their revenue year-over-year and 7% more likely to hit their targets. AI addresses many of the inherent flaws associated with shortening sales cycles and other traditional forecasting methods.
CROSS-SELLING AND UP-SELLING
Cross-selling and Up-selling techniques have been in practice from generations. Cross-selling is a technique that allows one in educating of products that would be essential with the product purchased, while Up-selling, is a technique that allows one to decide on purchasing a better product than the one that is being purchased.
A business would not just need to be aware of the current and past status of the product but would also need to know what would be its value in the future. Predictive analysis plays a vital role in these situations. By implementing an algorithm that considers the past and present, value of a product is ascertained and the progress of its value over the future is predicted. This helps businesses in deciding whether to consider the product for production or not. Predictive analytics are used in most of the businesses. These analyses help in the production of items along with playing a role in informing the shareholders about what the value of the product is and what it would be in the future.
In conclusion you can transform your sales techniques in 2019 by leveraging the power of automation, data analytics, artificial intelligence and machine learning to upgrade towards a smarter and more effective sales approach.