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Technology supports caloi's reinvention

 CASES​

Bike Shops in Brazil sell today from bicycles ranging from $500 to true pedaling machines costing $60 thousand. In the dispute for the customers’ attention, who enter these stores and run into increasingly attractive and segmented products, national and international manufacturers invest on the details to win their preference.

 

Technology, more precisely the solutions that allow a smarter management of the products sales cycle, has been decisive, and a project recently implemented by Caloi, in partnership with GoToBiz, makes the company a solid player in this game.

 

The big move was investing on a relationship management solution that improved the relationship between the manufacturer and the Bike Shops, providing real-time data for business decision-making by managers. And that is also causing a migration to take place in the performance profile of the vendors representing the brand, who from order takers will increasingly act as business consultants.



The outcome is transforming the company and directly impacting partners and end customers.

 

One of the first steps of the project was to create a digital environment of connection with the shopkeepers, to allow them to see the brand products and the inventory. "The Bikes Shops did not have a direct channel to interact with Caloi. Every interface was done by the business consultant. Now, they themselves can order and view the promotions”, says the GoToBiz’ IPs controller, Ana Mattos.

 

The demand for this tool came from the manufacturer's business area. "The international competition was already using this type of solution and we needed to take this step further," says the Caloi's Bike Shop Channel national and sales manager, Eduardo Romão. Go live was implemented in August 2017 and currently 650 shop already have the solution running - these represent 60% to 70% of total sales. The goal is to have the migration of another 400 by the end of the year.

 

In fact, the results are already noticeable in the operation. Several issues that used to impact the time between order entry and product release are now solved. 


This project has brought a considerable improvement in our relationship with our customers. It is a more user-friendly tool that allows us to view the indicators and give autonomy for the business consultant to make the order, regardless of the day and time




Eduardo Romão| National sales manager  

 

GoToBiz's digital transformation expert, Renato Cohen, recalls, for example, that before the sales team would visit the shopkeepers, write down the order in a notebook and then send it - often only at the end of the day, when the visits were over - which only then was able to place in the legacy system.

 

 "This created a delay between order placement and release to inventory, impacting sales. Not to mention the high cost, because it required a team involved to perform these steps, he says.”

 

In addition, the business consultants followed a marketing chart that included discounts according to the customer's grade, and this manual operation was susceptible to typos. This required a lot of time from Caloi's commercial management team to check the percentages applied. "If you got 200 requests per day, each with an average of five items, you had to evaluate everything to see if the business consultant was not giving the wrong discount. About three people were responsible for this step”, recalls Caloi IT manager Eduardo Silva.





Now, each customer has a discount rule and the system only lets you place what is parameterized in ERP, which is integrated with the solution deployed by GoToBiz: Salesforce CRM. "When the order arrives at Caloi, we do not need to recheck anymore. This speeds up this sales process and has helped us mitigate various risks of errors or even fraud”, he says.

 

While the analysis was being done, in the previous model, the order was still waiting for approval and release to the inventory. This meant at least two days to release the product to the Bike Shop. "Now, in the order cycle, if you have stock, shipment to the customer is immediate", Silva adds.

 

Ana Mattos highlights another area in which automation had an important impact: the promotions. When the system was manual, often the business consultant could not see the whole picture and some opportunities were lost. If Caloi had a special action for the Bike Shops that bought five bikes and one of the establishments did not know and asked for four, for example, the seller could not warn him that if he took another one he could benefit from the promotion. "Caloi has well segmented campaigns, but this was often not well taken advantage of. We deliver a more strategic vision", he adds.

 

Silva reports that the timing of the economy requires process optimization and Caloi is managing to dodge the crisis with this system.


The sales team has more time to help the client sell more, the tool is friendlier, and it's faster to do what needs to be done in the systems



Eduardo Silva | IT Manager

 

Changing the profile of the business consultant

 

The bike shops around Brazil cannot keep a very varied mix of bikes in store, then it’s important to mitigate the risk of end customers arrive looking for a Caloi product and not finding something they like and that fits their needs and end up deciding to buy from the competition.

 

Therefore, in the evolution of the business intelligence solutions deployed in Caloi by GoToBiz, one of the great highlights is the change of the salespeople’s role who, from an order taker is becoming a business consultant.

 

In the current scenario, more than 50% of their time is spent solving operational issues, ranging from taking the order to getting involved in solving fiscal, financial, technical assistance, quality and logistics issues. With automation, they will have more time to work on the brand mix in retailers and, consequently, sell more. 




With the work that is being done, the goal is to include the visit cards in the tool in the first half of 2019. When arriving at the Bike Shop, they will count the brand's share (if there are 100 bikes there, how many of them are Caloi). And what are the prices compared to the competition. In addition, now the consultant will conduct bicycle and accessory trainings for store sellers, showcase the marketing actions they can do to increase sales and learn all support needs. Everything will be recorded in a visit card. 



 

"We are turning the key and showing clients how much these tools open up possibilities to help manage their business and, of course, increase the chances of selling more. It is something that positively impacts everyone involved”, says Romão, who takes the opportunity to highlight the partnership with GoToBiz. "The company is very involved from the beginning and supporting us in this evolution", he says. 


Caloi's IT manager, Eduardo Silva, has the same perception. "From the beginning we feel very confident in the way things are being conducted, both in the sense that they understand our problem and in presenting the ideal solution. It was all very well executed by GoToBiz”, he says, adding that GoToBiz’s team also helped a lot in training the sales force. 


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