According to Statista, the global Sales Performance Management software market in 2018 was valued at 1.08 billion U.S. dollars. It is set to increase to 1.35 billion U.S. dollars in 2023.
Once again, for the seventh consecutive year, SAP Sales Performance Management Software was recognised as Gartner Magic Quadrant Leader. The SAP Sales Cloud solution is one of the products assessed from 10 sales SPM vendors in Gartner’s latest report.
Deployed as Service-as-a-Software (SaaS), Sales Performance Management software from SAP provides commissions, territory and quota, advanced analytics and AI capabilities. It offers all the core SPM functionalities such as incentive compensation management (ICM) and territory and quota management. The SAP Sales Cloud portfolio covers the mentioned offerings, including salesforce automation and the SAP Configure Price Quote (CPQ) solution.
SAP Sales Cloud is a mobile-first solution that focuses on key areas of businesses to help organisations act faster, become more relevant, have a strong presence and sell more. Sales Cloud integrates with SAP HANA Cloud, SAP Process Orchestration, Open APIs, Pre-packaged integration flows and native support for URL, HTML, and data mashups.
SAP Sales Cloud solution has helped organisations understand their customer better, turn their insights into action and improve sales. Here are some of the success stories shared in the release:
- Lenovo, one of the world’s largest PC vendors, had a remarkable reduction on its quota-setting time from one month to just one week
- Docker, the developer of Docker Hub and Docker Desktop, has experienced a 95 percent increase in accuracy of payment compensation plans, almost eliminating disputes
- Pivotal Software, a global company known for its cloud platform hosting and consulting services, had reduced compensation inaccuracy by 72 percent
Paula Hansen, Chief Revenue Officer and co-head of SAP Customer Experience said:
“In a competitive landscape, it is critical for companies to set aggressive goals to ensure fast growth.”
“But the truth is many companies don’t hit their revenue goals, with average quota attainment often falling in the 50–60 percent range. SAP’s SPM solution includes analytics with machine learning that increases operational efficiency and planning effectiveness, which helps turn sales professionals into a profitable sales machine,” Hansen added.
SAP Sales Cloud’s Backbone
The SAP Sales Cloud solution is part of the larger SAP Customer Experience portfolio, which covers every step of the customer buying process, from the first contact up until when customers decide to buy a product. The portfolio integrates solutions from marketing, sales, and customer relationship management. SAP Marketing Cloud, SAP Commerce Cloud, SAP Service Cloud, and SAP Customer Data Cloud solutions are also covered in the SAP Customer Experience portfolio.
Launched in 2018, SAP Customer Experience is the front-end suite for SAP S/4HANA, interchangeably used as SAP C/4HANA among CIOs and IT experts. In comparison to CRM generally used for sales, customer service, and marketing, the SAP Customer Experience portfolio offers an end-to-end solution, supported by the SAP S/4HANA system, that is intuitive, easy to use, and gives businesses a 360-degree view of the customer.
As part of the Customer Experience portfolio, SAP Sales Cloud’s Sales Performance Management helps businesses increase sales by using territory and quota planning with prescriptive analytics. The following are some key highlights of SAP SPM:
- Improved commission management by eliminating overpayments and accelerate commission calculations.
- Strategic sales territories by aligning sales territories to corporate goals
- Fast sales executions through accelerating plan implementation.
- Real-time updates that reduce manual spreadsheet updates and maintenance.
SAP owning the Leader title for Gartner Magic Quadrant for Sales Performance Management (SPM) for the seventh time solidifies the German company’s belief that the recognition helps companies identify the best solutions for automating commissions, effectively planning territory and quota strategies. It also helps businesses provide its sales reps with the right incentives vis-a-vis corporate objectives.
Gartner also recognised SAP as a Leader in CPQ application suites and salesforce automation.
