Commercial consulting is an initiative that allows detailed analysis of a company’s current actions and promotes some benefits, such as churn reduction.
In practice, through this strategy, it is possible to understand not only the current moment of your business, but also to identify bottlenecks or errors in the operation that are causing negative results, whether in the negotiation process or in another area of the sales flow.
In this sense, so that you understand what the churn rate is and how commercial consulting can help reduce this number, we have prepared a complete content. Keep reading and find out more!
What is the churn rate?
In practice, the churn rate can be defined as the customer cancellation rate of a business. More broadly, it consists of the metric that shows how many consumers terminated their contract with your company in a given period of time.
Tracking this indicator makes it possible to analyze a corporation’s loss of revenue more closely and, in turn, allows for the elaboration of actions for more sustainable growth.
In practice, the acceptable churn rate is around 5% to 7%. To calculate, simply take the number of customers that entered and subtract the number of partners that canceled in a pre-established period.
By controlling the churn rate to a minimum, your organization can reach a much more mature level in the market by retaining a maximum number of customers, gaining competitiveness and better performance in the sector.
How does business consulting help reduce churn?
But, after all, how can commercial consulting help reduce a corporation’s churn? See some examples:
Makes it easy to find out what’s causing the churn
If your company has a churn rate above the acceptable level, you can be sure that there is something wrong with your sales or service processes.
One of the most common reasons that lead B2B customers to cancel is the lack of results from the contracted company.
That is, the consumer bought a type of service expecting a certain return, however, these expectations were not achieved.
In this scenario, the client in question can no longer see value in the contracted project and ends up choosing to terminate the contract.
Some other common causes are: the customer has no money to pay for the service, opted for the competition’s product, financial crisis, pause in the operation, bankruptcy or obsolete service provision.
Through sales consulting, it is possible to analyze in more detail each of your corporation’s processes, identify bottlenecks and the reasons that are causing these difficulties.
With this, it is much easier to implement strategies to correct these flows and promote better processes in your company.
Map your customer’s trust in the company
Another feature of commercial consulting that helps reduce churn is mapping the customer’s trust in your company.
We know that a lack of credibility with your business or solution can be one of the reasons for a possible cancellation. Therefore, it is possible to predict this and understand what your consumer satisfaction index is.
To this end, sales consulting can help structure a strong after-sales team, in order to monitor this customer in more detail, as well as measure the results generated by your organization.
An important aspect of this relationship must still occur during the sale, it is of paramount importance that the company be sincere with its customer, regardless of what the reality is, because, in this way, it is possible to create a more lasting relationship.
Promotes the monitoring of competitors
Understanding what your competition does gives you ammunition to never be “behind” them in the market. That is, the chances of providing obsolete products or poor quality services are much smaller.
This is because the deep analysis of the sector helps you to implement constant improvements in your performance and, in this way, maximize the competitive differential and reduce the churn rate.
In this sense, commercial consulting can be of great value. Through specialized professionals, it is possible to map the performance of the competition and always be “one step ahead”, minimizing the risk of losing consumers to another brand.
Train your B2B sales team
Finally, another feature of commercial consulting that helps reduce churn is the implementation of training for your B2B sales team.
In practice, after identifying some characteristics that are hindering its sales processes and how to improve them, the specialized company also analyzes the performance of its team and recognizes points to be developed.
With this, a training plan is carried out focused on the deficiencies of the team, in order to prepare employees in the best possible way, enhancing the results of the commercial team.
Count with ASB Marketing to increase your sales
If you want to implement demand generation strategies in your business, it is of paramount importance to start with planning.
In this scenario, understand your audience, online behavior, preferences and, especially, make an analysis of your competitors and current demands of the market.
Then understand how your sales process works and what characteristics need to be changed to meet your ideal customer profile.
In addition, it is essential to keep in mind that demand generation does not only occur by paid media, on the contrary, inbound marketing actions (attraction marketing) and demand generation generate very advantageous results for organizations when well employed.
Finally, you can count on an experienced marketing and sales company to support the implementation of these strategies, such as ASB Marketing.
With the best innovative methodologies and tools, ASB Marketing finds its ideal customer and qualifies them through fully automated and personalized email cadence.
When the lead arrives at the purchase decision phase, we only passed on to your commercial team to close the negotiation. With this, we guarantee increased sales, reduction of trade cycle, cost optimization and support in long -term business expansion.
Do you want to know more? Go now and see how ASB Marketing can help your business!