CRM Apps for Mobs increases sales margin -permanently- by reducing customer management costs
The CRM Apps for Mobs is addressed to those looking for a tool designed to promote sales increase with cost reduction.
I have chosen to present first how CRM Apps for Mobs reduces your Customer Management Costs, as cost reduction is an internal measure, and a main step to increase profit. Cost reduction generates benefits in the actual conditions of your business. It only requires internal actions and no significant investment .
The cost reduction achieved through technological improvement is permanent in time. Once we change the way we manage our customers, this “new way” becomes a standard operating procedure that simply allows us to manage our customers at a lesser cost.
So once once customer management costs are reduced by organizing and eliminating a number of activities involved in customer management, every single sale made using CRM Apps for Mobs will generate a larger margin. It allows its users to make a step forward in the way they do business by increasing cost efficiency.
So before presenting what the use of this own branded mobile app can do for you in order to increase sales; and the final result that can be obtained by the join effect of cost reduction and sales increase, lets have a look at the cost–effciency benefits of using CRM Apps for Mobs.
The simple calculation below will allow you to have an idea of the sales margin increase you can obtain using CRM Apps for Mobs.
The base data used to calculate your customer management costs is as follows:
1. Monthly Overhead
Overhead is the monthly amount required to run your business. (Rent, salaries, insurace, supplies, etc..)
For the example, let´s say that the overhead is €5.000/month
2. Total hours
For the total hours, we can choose either 24/7, as that is actually what the overhead pays for. One could also use the number of working hours, as the money requiered to cover the overhead and start to make profit its generated during the working hours.
For the example, I will take the total number of hours in a calendar year, that is:
365 days x 24 hours = 8.760 hrs/yr
8.760/12 = 730 hours/month
3. Cost per Hour = 5.000/730= € 6,84
4. Permanent Cost Reduction
The savings you generate when you replace and eliminate tasks required to organize customer management with the CRM Apps for Mobs equals the number of hours you no longer use to perform those tasks times 6,84€.
Lets say we no longer need to spend an hour a day to perform these tasks, our cost savings would be equal to
6,84 x 20 work days a month = 136,8€/month
So from the moment you start to manage your clients with CRM Apps for Mobs, your own branded mobile application, you permanenly reduce the Customer Management Costs.
You may probably be interested to do a fast calculation on what would be the impact of this cost reduction in your actual sales benefit.
Once again, I invite you to send your comments, doubts or enquires about how can CRM Apps for Mobs can help you make a step forward in the way you do business.