Deck– No matter what size of business you run, whether small or big, decluttering all the unnecessary expenses can improve the profitability of your business up to a great extent. And that’s precisely where technology can play the lead role.
With the advancement of technology, corporates have started to leverage it in several ways for reducing both costs as well as human efforts. Technology has helped corporates to minimize the expenses on various activities by automating processes, narrowing down human errors as well as digitizing various money consuming tasks.
In short, a little pinch of technology ingrained in your business structure, can help you to trim down all the unnecessary expenses but how to do it? In this article, I will share a few cost-cutting hacks that one can apply with the help of technology.
Starting with the Basics.
To start trimming down the unnecessary expenses, you need first to jot down all the critical points. Such points are generally from the sales, marketing, operations, finance and production departments. Analyze your profit and loss statements for the last few months and note down all the expenses. Once you note them down, it’s time for you to discover at what points can tech help you to streamline the process.
If you’re still confused about how to ingrain tech into your strategy, here are a few tech-savvy hacks for you-
Update Old Tech.
Gone is the time, when corporates used to save all the data in physical formats. It’s 2018, and everything is being stored somewhere digitally, and that somewhere is “cloud.“ Recently the movie streaming giant Netflix has turned around its way towards cloud storage.
After producing its shows, Netflix started to face issues in handling the number of users traditionally. And so it moved towards cloud for help with scalability. According to a report, more than 82% of businesses have saved money by incorporating cloud services into their strategies. The global market for the cloud is so big that it has been predicted that by 2019, it will be worth more than $141 billion.
Because of the factors like versatility, efficiency, and scalability, the cloud has become an integral part of business operation. Moreover, because of its cost-reducing aspect, small and medium-sized companies have started to use it in every possible manner.
Tech can Lessen Manufacturing Mistakes and Errors.
A product is your liability until a customer is satisfied even after the delivery. If you deliver something faulty, it’s your responsibility to either repair it and then provide it again or make a refund for that.
Such manufacturing mistakes often happen unless you put some extra smart efforts and that is integrating tech with the manufacturing department. With the involvement of tech, there be a lesser number of mistakes and errors. As a result, there be a smaller number of returned products, and it will also keep your customer happy.
Use Tech to Give Customers the Service they Crave.
According to the customers themselves, fast response is the most critical aspect of any good customer service. Still, more than 62% of the companies don’t respond to customer emails, and the rest who does takes 12 hours to meet on an average. Using a chatbot instead of humans can reduce the average first response time.
Another backdrop of humanized customer service is that humans take time to understand the problems accurately. 72% of customers blame poor customer service for making them explain the question multiple times. With the help of AI-operated customer service system, customers won’t need to repeat the issues.
“AI is a good place to start, as it offers the promise of unprecedented customer personalization without the need for constant human intervention. AI also helps simplify data interpretation, providing an efficient way to find sweet spots in areas like sales and client service models,” believes Daniel Wesley, founder and chief evangelist of Quote.com.
Analyze the Big Data with Customer Relationship Management Software (CRM).
A CRM software is an all in one software that enables businesses to manage clients, contracts, sales, marketing, operations, etc. In short, it helps companies to maintain a healthy relationship with the clients and can be used by any size of business. But how does it cut the costs down?
A CRM system can help you to trim down your expenses in many ways like managing all the invoices, replacing various unnecessary software expenses with just one and most importantly it will help you to collect all the customer data for improving future customer experiences. There are plenty of reliable CRM tools available like Salesforce work, Infusionsoft, etc.
Even big companies like Apple use CRM for its customer service departments for several purposes like sending a series of emails to customers, accessing reactions and feeling when they are talking to Apple staff.
Whether you run a highly profitable or medium profitable business, there is always a scope for cutting down the gratuitous expenses. With the proper implementation of technology in your business strategies, you can level up your profits. These tech-savvy ways combined can be a tremendous strategic approach for your cost-cutting campaign.