B2B Sales target operating model for ASX100 Digital Media & Advertising org increasing margins, efficiency, quality, and NPS

Opportunity

  • Sales team heavily relied on selling the high-value core product lines, largely ignoring the secondary cross-sell product lines, creating a commercial risk.  The secondary products, despite lower in yield have a much greater propensity for steady sales, de-risking and smoothing revenue. 
  • Processes to service and sell products to customers were sub-optimal with significant administration / non-value-added effort to complete sales. 
  • The customer base was not segmented across both value and opportunity, resulting in sub-optimal marketing effectiveness and account management effort; 70% of customers were managed by field Account Managers (AM) despite the poor economics especially with low value customers. 
  • There was limited geospatial optimisation to set AM territories, made worse by infrequent and unstructured reviews of territories resulting in large variation in the # of accounts per account manager across states and territories. 

Approach

  • Developed customer segmentation based on customer value and potential for future revenue growth.
  • Designed new target operating model and operational readiness plan for organisational restructure. Focus was on developing a telephone-based account management and sales model (Inside Sales model) to manage lower-value customer segments.
  • Engineered a LEAN New Business application process for customers applying for a new account. Used agile development to build automated workflows in Zendesk. 
  • CRM customisation (SalesForce) in readiness for redesigned processes and operating model. 
  • Removed redundant fields and non-critical steps from customer online form.
  • Led the operational readiness for the organisational restructures.

Benefits

  • 5-year NPV >$2M resulting from increased sales of secondary products and reduced cost-base from restructuring. 
  • Reduced New Business application cycle time from >5 days to ~1day, beating the competition. 
  • 15% increase in the total number of customers actively account managed on a lower cost base. 
  • 30% increase in the number of customers visits by account managers resulting from reduced drive time for field AM’s and increased use of telephone-based sales AMs. 
  • Greater use of digital technology channels (video conferencing, screen sharing…) to maintain customer sentiment for those customers no longer managed face-to-face and to drive greater contact with all customers. 

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Centralisation of branch network for large Australian Financial Services org resulting in >$8M cost savings over 3 years.

Opportunity

  • Large and costly branch network primarily selling and servicing Personal Loans and cross-selling Credit Insurance and Credit Cards.
  • Poor quality and risk governance given lack of operational controls and technology constraints in the decentralised sales environment. 
  • Difficulties remotely managing the variation in performance for 400+ remote sales staff.
  • Large cost challenges in modernising technology across the branch footprint resulting in years of underinvestment and poor system performance and downtime. 
  • Ineffective capability development due to the decentralisation of the workforce and challenges implementing solutions remotely. 

Approach

  • Developed a 3-year, multi-phased strategy to exit the decentralised branch network and implement centralised sales operations, underpinned by an advanced geospatial demand and profit analysis to identify the optimal sequencing of branch exits over time. 
  • Led the ongoing operational transition out of the branch network, while concurrently developing and building a centralised sales target operating model. 
  • The new target operating model included full organisational design, process re-engineering, systems/app customisation and enhancements, data and reporting requirements, governance frameworks and operational readiness planning. 
  • Supported the successful transition to the new target operating model. 
  • Developed and implemented the ongoing quality assurance and performance frameworks to drive improved sales, quality, and regulatory compliance.

Benefits

  • >$8M cost savings over 3 years through a ~35% reduction in resources and fixed-cost overheads. 
  • All Sales targets were met and maintained within 3 months of centralising operations. 
  • Optimised customer and staff experience by significantly reducing effort resulting through improved process automation and digitisation. 
  • Reduced operational risk through more effective risk-based monitoring and supervision.