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How can small and medium-sized paper companies use XTools CRM to meet the opportunities in 2018?

2018-03-06 14:29:08 Author: Source:CTI ForumComment:0  Click:


A few days ago, the day-to-day greetings of the Taiwanese public were: “Have you bought toilet paper yet?” This is after the news in the Taiwan media that toilet paper prices will rise in March, people across Taiwan have started the battle to grab goods and goods. Relevant industry replenishment is even more subtle.
According to the announcements of price increases posted by the major paper industries, prices for sanitary papers, including cultural papers, and packaging papers, etc. will increase. Seeing that the industry's profit margins have risen in the short term, it appears to be an early end to the paper product companies.
Behind the crazy rise in paper prices
As early as last year, the industry predicted that the future of paper prices will inevitably rise.
Before the Spring Festival this year, the market mentality intention to leave the rest, most manufacturers will choose to deepen the inventory operation. After the Spring Festival, the market has quickly returned to buying gas. At the same time, the major paper companies will enter the daily shutdown maintenance season, further shrinking production capacity, which further exacerbates the tight supply and demand situation on the market.
If we want to pursue deep-seated reasons, the main reason is that the price of raw materials has risen: First, domestic import policies have restricted the import of waste paper; second, international supply of wood pulp is shrinking.
In addition, the control of the environmental protection departments has tightened in recent years, and many small and medium-sized enterprises have been forced out of the paper production capacity because of their backwardness. They have faced the test of limited production transformation. In a broad sense, they will inevitably intensify market supply contraction.
As paper prices rise, is it profit or disadvantage for paper companies?
In accordance with the rules of market economy, the supply and demand relationship affect and restrict each other. The output of paper mills is limited by destocking prior to the Spring Festival, maintenance and repair season, rising raw material prices, and environmental protection departments. Supply exceeds demand, and prices increase, but it also only presents a “seller market” in the short term.
At present, during the period when paper prices are skyrocketing, besides the large-scale paper companies that make up some stocks at the low price of paper, they have earned a lot of money. From the reasons behind the rise in paper prices, most SMEs can only actually lose profit opportunities.
Who pays for high-priced paper products?
Taiwan’s panic buying of toilet paper is just on the eve of rising paper prices. When paper prices rise, paper products companies will actually face a test of declining demand. Some paper products companies may even fall into a loss or decline in profits due to their inability to quickly pass on price pressures.
Take the e-commerce express delivery box as an example. For a long time, sellers and courier companies have paid for the cost of the box. Faced with the price increase of the box, as the terminal customer's courier company or electricity supplier, it is actually more likely to choose non-paper materials as substitutes, or invest in environmentally-friendly crates that can be recycled.
It can be seen that the price increase also brings pressure on paper companies.
How can paper products companies achieve profitability improvement?
How can small and medium-sized paper products companies seize opportunities and achieve profitability improvement? In addition to suggesting that companies pay close attention to the trend of raw material prices and national policies, in fact, they can also use CRM software to do internal operations management to reduce business risks and increase their competitiveness.
  1. Cost control.The manufacturing process of paper products requires sufficient inventory capacity to store raw materials. Taking XTools CRM software as an example, XTools inventory management provides real-time inventory quantity, and sales staff can see the real-time inventory quantity of each product, and accordingly arrange reasonable Raw material procurement plans and production arrangements are more reliable!
  2. Large customer management.XTools CRM software reconstructs the entire process of customer tracking in the form of timelines, from clues to becoming formal customers, and later repurchases to become old customers. The contact records between the salesman and the customer are clear at a glance. How can these details help the company? For example, detailed historical order records can facilitate the current communication between sales and customers; pending reminders, even past verbal commitments will not be ignored; old employees will no longer bother, new employees can quickly take over and serve customers well. and many more.
Different from the single inventory management of ERP system, XTools CRM takes customer relationship management as the core and initiates linked inventory management. On the one hand, it solves the inventory cost problem of paper companies; on the other hand, it solves not only daily business. The key to the problem is to assist the salesman to satisfy the customer with professional services, and ultimately achieve long-term and stable cooperation with the customer.
In fact, regardless of whether paper products are reduced in price or increased in price, it is believed that if companies can establish a sound and cooperative relationship with customers, it is the basis for daily profitability improvement.
[Disclaimer] This article only represents the author's own opinion and has nothing to do with the CTI Forum. The CTI Forum maintains its neutrality in the presentation of statements and opinions, and does not provide any express or implied warranty for the accuracy, reliability or completeness of the contents contained therein. Readers are for reference only, and please bear full responsibility for yourself.

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