Your team writes quotations like there is no tomorrow? But your closing rate still has room for improvement? Read here about how you can increase your sales with professional quotation management.
There can be different reasons for low conversion rates. Many branches of industry are not lacking demand but implementation in B2B sales. Sometimes the goal is not defined clearly. Sometimes too much effort is invested in the “wrong” customers. Sometimes it is not followed up.
However, with an efficient quotation management and consistent quotation tracking, you can tremendously increase your conversion rate at little effort. You define a clear process through this, which will take you from drafting the quotation to the closing of the contract. Then, your quotation champions will also become sales champions.
Even if you are happy about many requests, think about it: not the number of quotations but the number of contracts will decide your success in B2B sales. This is why it is worthwhile to pursue consistent quotation tracking for quotations, which are important to your sales targets. It’s like in soccer: not the ones controlling the ball for the longest time but the ones scoring more goals win the cup.
Ask yourself: Do I even have a chance at all to win this contract? You, too, have limited time and cannot do everything for everyone. Neither should you! Find out whether it is worth it, best before drafting the quotation. No quotation at any price! So keep an eye on your chances of success as shown in the graphic below.
Quotations that are overly complex, e.g. written in very technocratic language. The recipient is to consider your quotation after all.
Calculation errors in the quotation
Missing contact options in the quotation, e.g. contact with extension, mobile number, email address, etc.
No preparation for potential questions or objections of the customer, e.g. price discounts
In B2B sales, the average quotation rate is at 10% unless there is a follow-up. This means: out of 10 quotations, your team converts only one into a contract.
But is that good? No, it is average at best. This is why professional quotation management has a particularly high value here. After all, who wants to be happy with 10% when 30% is possible, too?
You see: the central switching point for more success with your quotation management is in the consistent follow-up process.
Many employees, especially of the sales office staff, like to write quotations but do not like to talk on the phone. A fatal combination! Because writing soon becomes an alibi function: “Whoa, I’ve been writing quotations for hours again!” And still, hardly anything was reached. The reason is obvious: who invests too much time in writing nearly always has a reason not to follow up on his quotation. Meanwhile, especially the consistent follow-up on a quotation shows who can sell. Unfortunately, often it is not enough to show off the quotation. Instead it is about sticking to it and following up.
You have concerns about following up on your quotation? Depending on the industry or volume, you have invested too much time and work into the quotation. It is therefore your good right to follow up. You should even consider this to be your obligation.
As shown in the following graphic, determine a process for the quotation tracking in B2B sales – with clear deadlines and responsibilities!
The topic of quotation management or quotation tracking is particularly relevant to companies that write many or very many, perhaps several thousands of quotations per year. Therefore, these are frequently industries that also have a large number of B2B customers.
Examples of industries for a sensible use of quotation management are:
Only who sets the goal of acquiring every contract as a customer has a chance of achieving the maximum conversion rate with his quotations. You can track quotations in different ways. But: make consistently following up on quotations the rule. If you decide for follow-ups by phone, ensure that the “right” employees do it – the ones with the “sales gene.”
And your target customer? He will thank you for it. Because this is how you show him that you are interested in working with him. Plus, he can clarify open questions with you and be assured of working with the right partner.
There are many opportunities resting in the professional and targeted quotation tracking. Through an active sales role of the office staff for the quotation tracking, the effectiveness of sales can be raised tremendously. But often it is lacking the necessary know-how or manpower than to arrange the processes for drafting and tracking quotations optimally. Here, outsourcing of this sales task can take over the follow-up process for you. No follow-up call will be forgotten and your customers and prospects will be managed according to need.