According to NAW (National Association of Wholesaler-Distributors), the wholesale distribution industry is currently worth $8.1 trillion and employees 6 million + workores in the US. this reflects that wholesale distributor industry is contributing ⅓ to the US GDP. these stats make us wonder, what is holding the wholesale industry together and what is the top CRM for distributors?
What is CRM?
Choosing the best CRM for distributors can significantly impact wholesale industry sales processes. To guarantee success, it’s critical to select a CRM that is suited to the particular requirements of distributors. CRM solutions that are designed to satisfy all needs could not provide the features and capabilities required to support the intricate sales procedures of a distribution company. It might not be worth the trouble to try to adapt non-distribution-focused CRM to your company’s needs. It will cost you extra, and you might need additional resources.
It is advised that you select the best CRM for distributors that have an extensive feature set to support every facet of your sales activities in order to maximize client interactions. Seek out a CRM that provides features for managing customer data, keeping track of leads and prospects, and expediting client communications. By choosing an exclusive CRM for distributors, you can make sure that your company is prepared to handle the particular requirements of your clients.
How Can CRM Companies Benefit Distribution Companies?
Any distributor can benefit from CRM systems, but selecting the right one is essential to their business’s success. We at Folio3 deal with wholesale and distribution industries for ERP implementation. We understand that every industry has a unique selling process, so it’s critical to choose a CRM that can support it. A CRM system that isn’t customized for the distributor’s needs may cause frustration among sales representatives and can result in a poor ROI.
Although salespeople frequently view CRM systems as just another tool for managers to be strict and play big brother, the benefits of these systems are huge for distributors. Once the system has established its usefulness and becomes a credible tool for your salespeople, they’ll wonder what they ever did without it. Here are some of the most common benefits of using the best CRM for distributors:
Customer Service
This is an obvious choice. Every conversation will be more effective if you have access to all of your customers’ information through user-friendly dashboards and record cards that include information on account sales, past orders, and any complaints or issues they may have had. Everyone in the company can then access this data, including operations, finance, marketing, sales, and management in addition to warehouse workers and operations.
Save Time
To serve their clients, too many distribution organizations still rely on labor-intensive manual procedures, endless files, and reams of paper. A straightforward CRM system can be put in place to automate and expedite these routine processes. Introducing a CRM solution allows businesses to boost productivity while decreasing the amount of time spent preparing customer reports. Before you realize it, one of the advantages of a CRM system that all salespeople can absolutely embrace is that you’ll be spending less time on administrative tasks and more time selling.
Better Insights
You will be aware of the various expectations held by dealers, end users, wholesalers, and retailers if you are distributing to any of these groups. If you approach them as one big mass market, you’ll run into trouble shortly. With distinct needs and expectations from you as a supplier, each will need to be addressed as a distinct market group. A promotion intended for a single end user will not be the same as one intended for a national wholesaler. In this case, the advantages of a CRM system are that it will enable you to effectively manage your clients’ preferences by having all the data you require in one location.
Better Performance
Salespeople who are using a CRM to manage pipeline and customer or prospect interactions have been demonstrated to optimize their performance and efficiency. Salespeople will have a complete image of where they stand with each prospect in their pipeline, while management will have a more precise perspective of predicted business, including potential revenue and expected close date.
Internal Communication
CRM has the power to help any organization communicate more effectively. Internal communication often gets worse the larger the company. Distributors are not exempt from this; things can be mistranslated, disappear into thin air, or just forgotten. Order fulfillment and keeping client commitments are critical. This can get challenging, especially for distributors that have to fill orders from end users that might be straightforward one-time purchases to the chain of merchants you have to ship to by the end of the month. Every department may view every encounter with every customer, their current stage, and the necessary activities when a CRM solution is used successfully.
Top 5 CRM for Distributors
There are plenty of CRM tools available with benefits and drawbacks based on demands and price. Here is a list of best CRM for distributors.
Oracle NetSuite
With more than 32,000 clients across more than 215 countries, NetSuite’s position as a leader in Gartner’s Magic Quadrant makes sense. NetSuite works well for all large, global, and midsize businesses.NetSUite offers Salesforce automation and pipeline management, customizable dashboard, ad-hoc reporting, and a holistic platform what works with other functions like CX, HR, accounts, etc.
Odoo
Odoo is a platform that consists of an ecosystem of collaboratively built open-source applications. A range of apps covering sales, marketing, website, finance, inventory and manufacturing, human resources, services, and productivity are among the categories it provides. However, Odoo’s biggest asset is its worst drawback.
They often release updates, but as open-source software, you’ll have to add any extra features you require. Odoo provides free hosting and support for your first app. However, it does not provide native integration with third-party software. Odoo is a fantastic fit if that’s what your company is searching for.
SAP
There are 144 countries where SAP Business ByDesign is in use across 12 languages. A comprehensive suite of business applications designed for small-to-medium-sized enterprises and their affiliates, it includes modules for project management, procurement, supply chain management, manufacturing, finance, CRM, and HR. SAP is an excellent CRM for distributors.
Syspro
Syspro is specifically designed for manufacturers and distributors. This CRM caters to automotive manufacturers, industrial machinery, equipment, food and bev, packaging industry, etc. According to Syspro; “their product is built for manufacturers and distributors who rely on loyal relationships up and down the supply chain, efficiency, and quality to be competitive.”
Pipeline
As a distributor and wholesaler you hav eto understand the needs of your clients. There is a lot of pressure on retailers to handle customer needs and urgency. Pipeline CRM for wholesale and distribution businesses provides unified communication to keep all of your employees informed and on the same page. You can monitor deal progress, conversations, and discussion history. Pipeline is a fantastic fit if your company is sales-focused.
Features that Distributors Need in a CRM
Accounts
Know which companies or businesses are your current or potential clients. You can have a centralized view of every account with a CRM.
Contacts
Names, titles, phone numbers, email addresses, and more information that may be useful for fostering relationships are all included in the contact data of the customer.
Opportunities
CRMs allow you to track everything in one location by connecting contacts, accounts, and possible sales.
Products
Your sales representatives will have access to extensive product data thanks to a powerful CRM that will bring in product data from your PIM or any other location where it may be kept. The best CRMs will have AI-driven product affinities, allowing a representative to locate add-ons and replacements within the app.
Reporting
Additionally, you should search for a system that has excellent reporting capabilities. These consist of product attributes (such vendor or manufacturer), usage data to help sales teams, and sales pipeline reports.
Predictive Analysis
The tools in your CRM should be able to direct sales representatives to the appropriate clients and business possibilities. Distributors are high-volume companies, so it might be challenging for a sales representative to choose who to call and what to sell without AI to filter out the noise.
Integration
Search for a system that has pre-built interfaces to e-commerce websites, ERPs, PIMs, and other popular distribution tech stacks. Your personnel will have to manage fewer displays on a daily basis the more technologies you integrate.
The FAQs
Q1. What should wholesalers and distributors look for in a CRM?
Look for forecasting and demand planning, as it is important to make the right decisions about product availability. You should consider integration with your existing system, the cost, the features any CRM offers, and its scalability with your business.
Q2. why should you consider using CRM for distributors?
CRM helps distributors improve customer loyalty, increase revenue and sales, and improve operations.
The Conclusion
CRM is primarily a contact management tool that enables companies to track customer relationships simply and effectively at every stage of the customer journey on a single platform. It is typically used by sales managers and teams that interact with customers.
Want to know how Folio3’s CRM for wholesale distributors can increase your business productivity, enhance customer relationships, and increase sales? Reach out to us and schedule a demo with our consltants.
