This iron-clad reputation serves MFCP well, but nine months ago the company was looking for new ways to remain competitive and further grow their reach and client base. During that time, the team also noticed that their website was not performing optimally. They began to experience issues including missed sales opportunities and low conversion rates.  

To address these issues and refresh their overarching sales strategy, the MFCP team decided to overhaul their entire website. Part of this website revamp included the adoption of live chat software. MFCP had never before implemented live chat into their strategy and was ready to try something new. Peter Grimes (Marketing & Operations) sought out a chat solution that would mesh well with their current processes and client base. They turned to SnapEngage.  

Their customer engagement solution needed to be flexible and have the ability to scale easily as the company grew. MFCP’s industry is defined by the distribution of thousands of varied and complex products. The MFCP catalogue alone consists of over 100K SKUs, and product sales range anywhere from $50 in value all the way up to $3-$4 million. Furthermore, MFCP sells to a diverse group of customers, including resellers, end users, and OEMs (original equipment manufacturers).

Chat streamlines processes and helps MFCP carry out their mission

Industrial parts distribution is an industry rooted in tradition and often takes a more classic approach to prospecting and sales. Many companies in this niche still rely heavily on word of mouth references, cold-calling, and face-to-face visits in the field. Peter and his team needed to find an effective way to balance these more conventional strategies with their new chat-focused approach to prospecting and sales.

The MFCP team was able to use chat agents to supplement the efforts of existing field agents, who manage 50-75 accounts each. The sales team currently includes six chat agents and there are plans to increase these numbers. Using priority tiers, the sales team routes incoming chats to frontline agents while keeping additional agents as backup for overflow chats.

SnapEngage has allowed MFCP representatives to begin transitioning away from phone support in favor of cycled chat schedules, which has resulted in lowered cost-per-interaction. The team plans to expand their e-commerce website shortly, and will soon ramp up their chat agent team size to accommodate for increased chat volumes and the resulting influx in leads.

Rachel Hampton, Director of Digital Strategy, notes that “chat reps are fans of the platform because of the quick engagement and ability to solve problems faster. In our industry, where the number of products is in the hundreds of thousands, being able to have an expert on-site ready to chat and provide information is invaluable. It’s more than just providing customer service; it’s solving problems quickly in an industry that’s not known for being agile.”

The MFCP team has also benefited from features such as co-browsing, which allow sales representatives to better engage with website prospects and guide them around the website. This ensures that sales consultants can provide a personalized, high touch customer experience to website visitors and address detailed questions throughout what can be a complex and confusing process.

The team also relies on proactive chat to automatically engage with website visitors based on targeted trigger metrics such as location, time on page, website URL, and more. In fact, the team has seen even more success with proactive chats than reactive chats and appreciates that proactive chat allows the sales team to engage with prospects efficiently.

Chat shortens sales cycles and provides a competitive edge

Surprisingly, Peter notes that many of MFCP’s competitors are not yet using chat on their website, and it’s clear that they are missing out on a valuable opportunity. Peter views chat as a “differentiator” and explains that it offers them a competitive advantage in the industrial parts distribution space.

Since implementing SnapEngage, MFCP has experienced impressive reductions in sales cycles. This can be noted by the dramatic difference between the average time to close experienced in live chat sales vs. field sales. For MFCP, traditional field sales take an average of eight weeks to an entire year to close. After implementing chat, Peter’s team began closing deals on chat in as little as 7 to 10 days. The results are even more impressive where knowledgeable, qualified prospects are concerned. These types of incoming chat prospects (who already know exactly what they need) often close in as little as a single day.

“We saw value in reducing sales interactions from two steps to down to one,” Peter recalls. Previously, interested prospects had to search for a phone number on the website and then set up a call, search online and find a location to visit, or fill out a form and wait for a response from a sales rep. Using chat “got the whole thing done in one fell swoop.”

This reduction in the sales cycle has resulted in increased revenue and conversion rates for MFCP. Most importantly, it has allowed MFCP to continue delivering the unparalleled customer experiences they are known for. “Nothing makes us happier than pairing our customers with the right products.”

Chat forges new opportunities in industries with complex product offerings

The manufacturing industry is booming. A 2016 report by the National Association of Manufacturers estimated that the manufacturing industry contributed $2.18 trillion to the United States economy and accounted for nearly 12 percent of the economy’s GDP. Manufacturing and related verticals such as machinery and distribution are all defined by complex product offerings, and therefore face unique challenges when it comes to lead acquisition and conversion.

Whereas traditional sales processes in this segment have been primarily driven by field sales and word of mouth, more and more buyers are turning to online channels in the awareness and research phases of their buying cycle. The business website is often the first impression and opportunity for engagement with potential buyers, making it a crucial tool for lead capture and conversion efforts. Industrial-focused businesses can use live chat to proactively engage website visitors with personalized messaging to capitalize on prospective buyers at their peak level of interest (before buyers turn their focus to competing, alternative solutions).

Companies including Motion & Flow Control Products and Riegl USA have already experienced profound results after implementing live chat into their sales and support workflows and view chat as a differentiating factor among their competition.

Live chat builds relationships (and reduces acquisition cost)

In a well-established industry that often relies on a time-honored, more traditional approach to sales, live chat offers up a refreshing solution that keeps the focus on building customer relationships. Products across the industry generally cost anywhere from hundreds to thousands of dollars each, so it’s understandable that trust, transparency, and the quality of customer interactions play a huge role in buying decisions.

Shortened sales cycles drive revenue

Typically, the more complex the product, the longer the sales cycle. Organizations that adopt live chat can reduce delays between steps in the buying process and streamline efforts across every customer touchpoint.

Nine months ago, Peter Grimes (Marketing & Operations at Motion & Flow Control Products) decided to implement live chat for the first time in hopes of reducing the sales cycle. “We saw value in reducing sales interactions from two steps down to one. Previously we relied on customers to find a phone number, email, or physical location on the website, resulting in a back-and-forth communication with delays at each step. Chat got the whole thing done in one fell swoop.”

Indeed, these efficiencies contributed to a shorter sales cycle, with Grimes noting that an average sales cycle for chat is just 7-10 days, in contrast to field sales cycles that can take anywhere from 8 weeks to over one year to close.

Organizations can further optimize their workflows and maximize incoming leads by integrating chat with CRMs and help desks such as Salesforce. Native integrations allow sales consultants to send data from chat conversations directly to their preferred CRM for seamless follow-up and pipeline management. This ensures that interested prospects receive swift follow-up, and that deals don’t accidentally slip through the cracks.

Vendors using chat have also been able to supplement their cold-calling efforts with live chat. In the past, businesses in the industrial/manufacturing sector have relied on cold-calling as one of their primary outbound marketing and sales strategies. While this is still a viable strategy, organizations have discovered that live chat complements cold-calling efforts and maximizes reach. Instead of spending all their time pursuing leads who may or may not be interested in purchasing (or even hearing about the product), sales teams can use services like proactive chat to efficiently and automatically drive engagement with interested website visitors. This frees up time for sales consultants to focus more of their efforts on inbound opportunities and engage with the most qualified buyers.

Chat strengthens support workflows

After a deal closes, organizations continue to receive immense benefits from live chat, particularly in their aim to provide quality customer support. Riegl and Motion & Flow Control have both experienced reduced call and email volumes since implementing SnapEngage. In fact, M&FC is considering transitioning away from phone support entirely in favor of chat support. Increased efficiencies throughout support processes positively impact CSAT metrics, as customers have the ability to receive quality, instant assistance with the simple click of a button. Additionally, this assistance can be provided to multiple customers at once via chat conversations, which reduces the cost-per-interaction and further streamlines support team workflows.