4 Advantages of Using Dynamics 365 in the Distribution Industry

Marketing Team
Published on August 17, 2021

Distribution Management

Distribution management is the process of overseeing the transfer of goods from supplier to manufacturer, wholesaler, or retailer, and lastly to the end customer. With Dynamics 365 ERP, CRM, and SCM solution manage raw goods vendor, packaging, warehousing, inventory, supply chain, logistics. Distribution management is primarily concerned with arranging everything involved in getting goods to the consumer in a timely and waste-free manner. As a result, it has a significant impact on revenue.

Track Sales Efficiency

Tracking sales efficiency will provide you a precise picture of your distribution system. Microsoft Dynamics 365 ensures real-time visibility on how to improve your supply chain.

Tracking sales efficiency is important to understand the market demands and customer engagement. Sales executives can't rely on intuition to make decisions since they deal with a massive quantity of data and a significant risk of failure. Therefore, business applications like Dynamics 365 CRM solution provide real-time visibility to your sales process. you can now track the sales fleet's activities, a precise picture of how much time they spend with each customer, and why they're there. Planning and executing smart CRM systems may boost income by enabling IT-enabled, long-term customer happiness, as well as improving sales, marketing, and support activities. With additional SCM solutions, you can track and adjust payment collection and fix any delivery mishaps on the go.

Time Spent on the Route

Now, time on the road can be easily tracked and guided with Microsoft Dynamics 365. The right solution can help you to supervise your sales procedure by minimizing delays and optimizing the delivery system.

Companies in the distribution and wholesale industries often look for innovative ways to improve their sales distribution routes so that they may spend more time with clients on a daily basis. Having all customer locations at their fingertips can help them be more effective while also allowing their supervisor to see when a salesperson started their day, how long they spent physically with customers, and how much time they spent between outlets. This is where a distribution solution like Dynamics 365 CRM and ERP system and SCM solution comes into play. It can suggest an exact order of entries for the daily route to reduce the overall time required to finish. Moreover, a geo-fencing feature can be implemented so that a visit cannot begin unless the salesperson is physically present at the customer's location (based on GPS coordinates). Introduce smart solutions to guide and track the distribution process by assisting salespeople and providing real-time updates to customers as well.

Analyzing Performance

Analyzing your sales and performance is important to measure your progress, and to identify the areas to work on. KPI will help you to achieve the desired outcomes.

Analyzing the success of salespeople is an important aspect of any distribution or wholesale management. However, if data is not gathered on a regular basis or is kept across many locations, it might be a difficult process. Sales operations linked to routes, sales per period, top customers, and top salespeople can help you to analyze the progress of your organization. Microsoft CRM solution along with Business Intelligence software is needed to analyze Key Performance Indicators(KPI) of each department related to sales will provide you greater visibility and understanding, it will also help you to predict future outcomes and set required targets. Sales KPI generates information on market penetration of a new product, revenue by product or service, average customer LTV, target customer base, cost of selling, yearly growth, etc. The performance analysis prepares you to predict and improve future services.

E-commerce Integration

To distribute to a wider customer base, join an e-commerce platform. To stay ahead of the curve, it is important to build your online space efficiently.

The distributors and wholesalers are now pairing up with e-commerce sites to widen their customer base. Most distributors and wholesalers with 10+ years of experience are not familiar with online sales. E-commerce sites have a huge advantage because they can reach beyond your physical horizon. On the other hand, if you are an SMB, e-commerce sites are your best chance of growth. E-commerce can provide you a stable platform with wide acceptability. But an online business is different from basic business management. The online platform needs custom optimization to appeal to your existing and new customers, to build trust digitally. With Dynamics 365 ERP and CRM system you get both, ERP solution can manage your warehouse and CRM can look after your sales on both online and offline spaces.

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