Sales analytics is the process of collecting, analyzing, and interpreting data related to sales activities and performance to gain insights that can inform business decisions and strategies. It involves using data-driven techniques to understand sales trends, customer behavior, and the effectiveness of sales efforts.
You can predict sales trends and results by identifying, modeling, and understanding your industry. Based on your findings, you can then locate the improvement points in your existing sales process to further encourage and assure yourself of growth.
Understanding sales analytics is key for company sales forecasting.
The data studied comes from a variety of company pipelines and sources, including all business transactions, surveys, and internal applications. This process has been recognized as so vital that entire sub-departments in large companies are dedicated to analyzing this data to predict trends.
And it is based on these predictions, startups will then make decisions regarding budget and sales or marketing plans and campaigns.
These sub-departments focus on finding hidden relationships and trends within the data they mine that will support the sales and marketing folks in the company. The goal is to forecast consumer wants and needs, even before they know they have them, and act accordingly.
Additionally, these sub-departments will often find new opportunities for companies to act on and provide them with information to act on these opportunities before their competitors. Anything from a new vertical to a different marketing angle and strategy to help differentiate themselves from the competition.
How do such analytic studies play out in real life?
In the world of supply chain management, PepsiCo
makes use of its distributor's and client reports to replenish their shelves in a timely manner based on consumer demand.
Streaming giant Netflix uses the data of users and what they watch to offer recommendations and numerical percentages in the form of a 'match'.
And governments around the world realize the growing trend of remote work and digital nomadism could be a boon for them. Numbers don't lie and combined with the revenue these folks may bring into their countries, more and more countries are now offering digital nomad visas
But how does this work in the world of B2B sales