dnbi credit enabling sales | d&b
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Credit Enabling Sales - D&B Confidential & Proprietary Information
Credit Enabling Sales
Presented by:Robert Porreca D&B – Dun & BradstreetJune 26, 2014
Credit Departments as drivers of profitable growth
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Today’s Discussion
Prescreen and enable instant decisions to shorten the sales cycle
Reduce credit holds and find upsell opportunities
Optimize and segment your portfolio to find the profile of your best customers
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What are Credit Professionals Saying?
“Credit People need to be as interested in growing the business as the salespeople are”
“I look for ways to sell more product, being creative and finding ways to make the sale when traditional credit extension methods are not realistic”
“Every time we set up a new account, we send a letter explaining the credit line/terms, we also attach a flier highlighting the products being featured that month”
“We create a “good pay” list, customers who pay on time and underutilize their limits, then we give this to sales to solicit additional business”
“I am a sales person, I sell credit offerings to keep them engaged”
“A customer centric operating model leverages account level expertise along with providing sales a single point of contact”
Source: Credit Today; NACM Elevator Speech Contest
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Is the trend of “Credit Enabling Sales” real?
Source: Key Issues Study, The Hackett Group, 2014 CFO Agenda
Strategic Financial Priorities
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Prescreen and Enable Instant Decisions to Shorten the Sales Cycle
1
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Prescreen and shorten the sales cycle by…
Prescreening accounts that meet your criteria for acceptance
Enabling sales to get an instant answer directly from the CRM system you use today
Allowing customers to submit an order online and be instantly notified of their acceptance
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Making content available when and where sales need it
Business Insight
Risk Prescreen
Firmographic Data
Real-time Location
Information & Nearby
Companies
Industry Information
Integration with Custom Data
Sources
Additional Contacts
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Which prospects are worth speaking to?
Help sales reps quickly determine the potential of the prospect
Create status indicators using your own or third party
data
Sales reps can qualify prospect based on creditworthiness
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Enable sales to get an “instant answer” right from the CRM they work in everyday
CreditManager
SalesPerson
DecisionEngine
1 Sales submit credit application in SFDC
3
Credit Application is automatically decisioned
Credit Applications that require manual review is decisioned by credit manager
4Sales user gets the decision automatically in SFDC
2 Sales user confirms the company matched
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Shorten the sales cycle by enabling customers, sales or service to submit via an “online application”
Enable both 1) New customers, as well as 2) Returning Customers
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Deliver back an “instant” answer to improve efficiency and customer satisfaction
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2
Reduce Credit Holds and Find Upsell Opportunities
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Reduce Credit holds and find upsell opportunities by…
Taking a proactive approach to reduce credit holds
Using a risk based approach to identify accounts for upsell or cross sale
Understanding total corporate family exposure to determine service levels, resource allocation and cross sell/up sell potential.
Monitoring portfolio risk to adjust polices so you are not leaving money on the table
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Targeting accounts nearing or over their credit limit provides a proactive approach to reduce credit holds
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Target incremental revenue opportunities by looking at score trends, focus on the accounts moving in the right direction.
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Segment customers based on external risk in addition to how they are paying you
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Use corporate family ownership to identify your biggest and customers, so you can retain and grow them by ensuring appropriate service levels and resourcing
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You can also use corporate family ownership to identify companies related to your customers, where no current sales exist
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Then look to see how the overall portfolio risk is shifting over time, ensure your polices are not leaving money on the table
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3Optimize and Segment Your Portfolio to Find the Profile of Your Best Customers
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Optimize and Segment your Portfolio by…
Creating a 360 degree view of your customers by combining all internal data with external third party insight
Segmenting your customer base by risk and opportunity to build a profile of your best customers to enable better targeting.
Understanding M&A activity to identify new growth opportunities
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Create a 360 degree view by cleansing, integrating and enriching data from across the company
Your Disparate Internal Databases
IntegratedCustomer Information
Gorman, Inc.123 Elm St.
Bethlehem, PA 18025Chuck Smith, President
Mary WorthVP, Marketing
123 Elm St.Bethlehem, PA 18025
Customer Relationship Management
CustomerServiceSystem
Gorman PlasticsP.O. Box 111
Bethlehem, PA 18055Chris White, Controller
Third-PartyInformation
A/RSystem
IntegratedCustomer Information
OPTIMIZEDCUSTOMERDATABASE
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Matching the right internal records is critical, to help determine which records across your data systems represent the same commercial entity
Acct # 123456Legal Name: ABC, Inc.Tradestyle: Alpha PlasticsAddress Postal: P.O. Box 111Bethlehem, PA 18055Address Physical: 123 Elm St. Bethlehem, PA 18025Phone: 610 882-7600SIC: 5411-0202, 5541-9901Primary Contact: Charles Smith, President- - - - - - - - - - - - - - - - - - - -
Year Started: 1961Employees: 35Additional Contacts: Mary Worth, VP MarketingParent: ABC Enterprise, Inc.Number of Family Members: 3Viability Rating: 2 1 C GPAYDEX: 79
- - - - - - - - - - - - - - - - - - - -
Finance ID: OX20PH Warehouse ID: A595660662CRM ID: 001200000000wXgAAI $3,000 credit limit$1,100 outstanding and 12 days past dueProduct code A on 7/2013Product code B on 9/2011SMB channel customerLast touch point on 6/2013
A.B.C.123 Elm St.Bethlehem, PA 18025(SIC) 5411-02Chuck Smith, President- - - - - - - - - - - - - - - - - - - - ID: OX20PH$3,000 credit limit$1,100 outstanding and 12 days past due
Fin
ance
Alpha PlasticsP.O. Box 111Bethlehem, PA 18055Chuck Smith, President610 882-7600- - - - - - - - - - - - - - - - - - - - ID: A595660662Product code A on 7/2013Product code B on 9/2011
War
eho
use
Charles Smith 123 Elm St.Bethlehem, PA 18025(SIC) 5541-99215 882-7600- - - - - - - - - - - - - - - - - - - - ID: 001200000000wXgAAISMB channel customerLast touch point on 6/2013
CR
M
Single, more intimate and actionable view of your customer
Hypothetical customer data from three of your source systems
Consolidated identity profile with unique id and various names and addresses
Enriched with things we know
Paired with things you know
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Now create a “Best Customer” profile
Best-Customer Profile:Industry: Plastics Manufacturer
Company Size: >100 employees
Years in Business: >10 Years
Geography: Northeast
PAYDEX: 80–100
Financial Stress Score: <3
Commercial Credit Score: <3
Prospects Your Best Customer
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Industry – Prospecting profile component
Perform an segmentation analysis by industry to generate a “best” customer profile for new business opportunities.
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Geography – Prospecting profile component
Perform a segmentation analysis by geography to generate a “best” customer profile for new business opportunities.
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Number of Employees – Prospecting profile component
Perform a segmentation analysis by business size to generate a “best” customer profile for new business opportunities.
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Years In Business – Prospecting profile component
Perform a segmentation analysis broken down by number of years in business to generate a “best” customer profile for new business opportunities.
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Now create a “Best Customer” profile
Best-Customer Profile:Industry: Plastics Manufacturer
Company Size: >100 employees
Years in Business: >10 Years
Geography: Northeast
PAYDEX: 80–100
Financial Stress Score: <3
Commercial Credit Score: <3
Prospects Your Best Customer
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Today’s Discussion
Prescreen and enable instant decisions to shorten the sales cycle
Reduce credit holds and find upsell opportunities
Optimize and segment your portfolio to find the profile of your best customers
To learn more visit
www.dnb.com/dnbi