[[The following is a guest post from Liora Berner, digital marketing manager at Pepperi.]]
If you’ve been paying attention lately, you probably know that tablets are a boon to revenues in many industries. The most obvious benefactors are tablet and components manufacturers. Second is gaming – in fact researchers estimate that gaming revenues will reach $13.3 billion in 5 years. But what you might be missing out on is how a tablet can help you increase your revenues when it comes to sales.
Using an order management system on a tablet is one proven way to increase your revenue. We’ve done a bit of research on how much switching over to a tablet-based ordering system can affect your bottom line.
When salespeople use a tablet for ordering instead of a catalog, they’ll have an up-to-date stock listing, the latest prices, and instant updates on special items or sales. In addition to the technological benefits of staying updated, the user experience of browsing a tablet can feel more hands-on than flipping through a paper catalog or website listing.
The bottom line: Our data shows that when using an order management system, average order size increases by 5%, with some businesses experiencing an astounding increase of over 25%.
Ease of use is one reason why people love ordering on tablets. It’s just more fun, tactile, and provides such a positive user experience. Running an order management system on tablet-based software means real-time pricing and inventory updates, which is one reason for an excellent user experience – reliability. Not only that, saving time on data entry and administrative duties give sales reps more time to focus on taking more orders.
The bottom line: According to our data, the number of orders increased an average of 19% when salespeople start using tablets in place of catalogs or websites alone.
Massive Increase in Total Sales
When we talk revenue total sales are a key figure. And this is where switching to a tablet-based ordering software really pays off. Customers are relaxed knowing that what they’ve ordered is in stock and available at the price they’ve agreed to pay. Salespeople get the help they need in encouraging purchase of promotional items, upselling, and handling CRM, accounting, and ERP duties.
Manual order taking and more importantly, manual order entry into the back office system, is a process prone to costly errors – 2 – 3% on average. And while 2-3% doesn’t sound like much, it can have a very significant impact on your operations. When there are ordering mistakes customers are unhappy and you may have to pay a fine for delivery mistakes.
Furthermore, fixing just one mistake is very labor intensive because the salesperson must call the customer, fix the order, and get a new purchase approval. Mistakes erode customer confidence and decrease customer satisfaction. Automatic order entry not only shortens time from order to delivery or payment, it also improves the overall purchasing experience by reducing mistakes.
The bottom line: On the average, the total sales revenue increase by a remarkable 28%.
Significant Decrease in Administrative Costs
If you’ve got bigger orders, more orders, and higher sale revenues, you’re looking good for increased in overall revenue – unless your administrative costs have also risen. And this is another big score for the tablet-based ordering system, which greatly reduces admin costs.
From building catalogs, to taking orders, and even integrating with ERP, CRM, and accounting software, using a tablet-based ordering management system can greatly decrease your admin costs. Because the most significant admin cost is order entry into the ERP, eliminating this task is vital to reducing administrative costs.
The bottom line: When it comes to administrative costs, on the average we saw a decrease of 15% among clients who switched to tablet-based ordering systems.
Easy to Use Technology
In order to benefit from a tablet-based order management system, you don’t have to change everything about your business, but you do have to get comfortable with using a tablet. With 1/3 of Americans using a tablet today, chances are many staff are already familiar with using a tablet and can make an easy transition to using it for work. There’s a small learning curve to get started, but with so many benefits, it’s a small price to pay for increased revenue and decreased costs.
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