Software Stack Editor

Not many people know of the special awareness ‘Salesperson Day’ on December 6. SMEs are sales-oriented in a way employees in larger businesses are not always, considering their more rigidly defined roles. So, the day marks one of those moments where it’s worth sharing some wisdom for those that sell, strive, and bring home the bacon, whether they are formally salespeople or bear another job description.

It used to be that sales started with a business card, but now it’s more likely to start with a LinkedIn connection request. The format of a sale has changed, but the fundamental process remains the same.

IT analyst firm Gartner’s research states that 80% of business-to-business sales activities are expected to happen digitally by 2025. SMBs must find a way to punch above their weight when it comes to standing out, being visible, and making online networking and marketing really work for them.

While the business card is analogue it’s not totally outdated. In a real world meeting it’s a professional gesture akin to gift giving, a moment of genuine contact as something is handed from me to you. That’s increasingly rare. Although, where exceptionally large deals are made, there’s a greater likelihood that some of these rituals will still be used. It can be worth standing out with a touch of physicality and charm in our predominantly online oriented world. That said, the digital domain is where most of us expect to find our growth.

Join your game, pick your avatar, plan your play

Promoting yourself and networking online is objectively strange. We know we should not lie, but it seems like there are endless ways to make yourself look better. Accuracy is vital, so any airbrushing and marketing claims should still be the truth – losing the trust of prospects, leads, or customers is a waste of time and effort. Reputation is something that can’t be earned back like a lost sale and doesn’t renew each day, like our working hours.

Choosing the right places to be for your brand, both the business and in a personal capacity, is important. X (Twitter) may be a place to have a presence, but perhaps Bluesky, Threads, or the classic LinkedIn, is the right place to share content. The answer depends on your brand values and where your prospects and customers want to be. LinkedIn is one of the most natural places to promote both yourself and the business and to make professional connections either as the setup for a sales-focused conversation or as a prelude or follow-up to a real-life conversation. Unlike Facebook or Instagram, LinkedIn doesn’t have the connotation of being a fully personal, friend-oriented network.

Wherever you choose to grow a network you should share posts on a regular basis, picking topics that will resonate with your audience and tie back to your business and brand. Regularity leads to visibility and varying the types of posts, from the topic, keywords and hashtags, using images, polls, questions, and so on, allows different types of content and interaction to be experimented with. Note that authenticity really is an important feature if you are planning to make these connections for the long term rather than momentary, transactional leads. So have a plan as to how you show up over the long term if you’re networking and marketing with goals in mind.

Merge your worlds

Remembering that online is an extension of the real world, you can merge these aspects. When you meet people there are ways to bring them into your online sphere as leads and connections that don’t put the work on them to find you or write and type out account handles. Doing work, even one minute of searching and clicking, can be a turn-off.

You can use a QR code, NFC or Bluetooth to send a lead to your site, blog, or social media, or drop them a calling card of some type. Some CRM tools have apps that integrate with your phone camera, which can read someone else’s business card and take that information into a contact database without you having to type anything either.

To get pragmatic, whatever you use as a business card, be it a flyer, an advertisement, or your Bluesky account, i.e., that initial moment of contact, you must be clear with what you intend to deliver. Then, you need to have your understanding of the other party’s needs and expectations, how to read their signals, and what the next step will be.

So, around Salesperson Day, remember, people matter, and however we meet and greet them, with a business card or a tweet, have a plan, follow a process, and treat them well. Every relationship holds the potential to grow ourselves or our business. The fun is in finding out which it will be.

Flexible work has been a hot topic lately as more businesses call for employees to return to the office, sparking debates about the future of work. For example, Amazon, Elon Musk’s X and The Washington Post have all recently told employees that they need to be in the office full-time.

But is this the right move for your business?

The shift to flexible work has transformed how people approach their careers and job satisfaction. Beyond enabling remote work or flexible hours, it has redefined what balance looks like in modern workplaces.

In this article, we’ll explore how flexible work affects employee well-being, highlighting research-backed benefits, potential challenges and counterpoints and how organizations are navigating this potentially transformative change.

The positive impact of flexible work on well-being

Despite the recent news, our latest State of Sales and Marketing report reveals that many companies are providing remote working options and flexible work hours.

Which of the following well-being and work-life-balance initiatives does your workplace provide?

Breaking away from rigid schedules and traditional office settings can enable employees to take greater control over their time and environment – a shift that research suggests plays a role in improving mental, emotional and physical health.

According to a McKinsey report, 87% of employees offered flexibility take it, and many report that this autonomy significantly improves their mental health and job satisfaction.

The ripple effects of flexibility seem to reduce stress and improve work-life balance. While not a one-size-fits-all solution, employees with flexible work schedules often report aligning their work hours with their natural productivity peaks, which can lead to increased focus and efficiency.

Here are four key reasons why flexible work has a positive impact on employee well-being.

1. Reduced stress levels

Flexible work arrangements allow remote and hybrid employees to avoid the daily grind of commuting, which can contribute to unnecessary stress.

Studies have linked reduced life satisfaction with increased cortisol levels – the hormone released by your body when you’re stressed. The time saved can be redirected toward personal priorities, which may help employees feel more relaxed and prepared for their workday.

With more time to focus on personal priorities, individuals tend to feel more relaxed and ready to tackle their workday.

2. Improved work-life balance

Employees with flexible schedules have greater control over their time.

Flexible work seems to make achieving a good work-life balance more attainable, whether it’s attending a child’s school event, scheduling a midday workout or handling personal errands.

Pipedrive’s State of Sales and Marketing report clearly shows that most people rate their work-life balance as good or even very good.

How would you rate your current work-life balance?

A good work-life balance is increasingly associated with the availability of flexible work models and remote options.

Employees with access to these arrangements reported improved mental well-being and higher productivity as they gained greater autonomy to tailor their work schedules to personal needs. In fact, 28% of respondents noted a significant enhancement in their mental health due to such options​.

3. Better mental health

The flexibility to create a routine that aligns with personal needs has been linked to lower levels of anxiety and depression.

Employees can step away when they need a mental health break, resulting in a healthier, happier workforce.

According to Pipedrive’s State of Sales and Marketing, the majority, 68%, have said that their company’s flexible work model has improved their mental health.

Since my workplace started providing flexible work models and/or remote options, my mental well-being has…

4. Boosted physical health and well-being

With flexible hours, workers can prioritize physical activity and nutrition.

The ability to cook healthy meals at home or integrate exercise into a custom schedule helps employees feel physically stronger and more energized.

Research published in the Journal of Physical Activity and Health suggests that participants were more engaged in physical activity when they had ​​flexible work arrangements than on regular workdays.

The business case for flexibility

Offering flexible work can have tangible implications for business outcomes, too. Companies that embrace flexibility often see:

• Higher Productivity: employees perform better when they have autonomy over their time. Research from Gartner shows that flexibility in working hours can help employees achieve greater productivity.

• Lower turnover rates: workers are more loyal to organizations that support their well-being. Research from the University of Minnesota indicates that applying a Results Only Work Environment (ROWE) can reduce turnover by 45%.

• Broader talent pools: flexibility attracts top talent, regardless of geographic location. According to LinkedIn, offering flexible work arrangements can be the key to attracting top talent.

Flexible work arrangements can improve productivity and innovation by allowing employees to work during their most effective hours.

Embracing flexibility allows businesses to position themselves as forward-thinking and inclusive, appealing to top talent while fostering organizational creativity and innovation.

In competitive industries where skilled professionals prioritize work-life balance as a deciding factor when choosing an employer, this is particularly crucial.

Companies with flexible policies also tend to stand out in their ability to attract caregivers, people with disabilities or those living in different time zones.

The challenges of flexible work and how to address them

While flexible work offers significant advantages, it comes with challenges that can affect employee health and well-being and productivity if left unaddressed.

According to Gallup’s 2023 Global State of the Workplace Report, which surveyed employed individuals across more than 140 countries, those working remotely – whether full-time or in a hybrid arrangement – reported experiencing higher levels of stress and anger than their full-time onsite counterparts.

To create a compelling and supportive work environment, businesses must proactively identify and tackle these obstacles. Below is a table outlining common challenges and actionable solutions to overcome them:

By addressing these challenges with thoughtful strategies, businesses can build a flexible work culture that supports employee success and well-being.

Technology’s role in enabling flexible work

Advancements in technology have been instrumental to making flexible work viable.

Tools like cloud-based platforms, video conferencing software and AI-driven automation allow teams to collaborate seamlessly, regardless of location or time zones. These technologies eliminate many barriers traditionally associated with flexible work, such as limited access to information or the inability to track progress in real time.

Key technological advancements driving flexible work include:

• AI-powered tools. Help employees prioritize tasks, streamline communication and predict workflow bottlenecks.

• Chatbots and automated scheduling systems. Reduce the need for manual coordination, freeing up time for higher-value activities.

• Cloud-based platforms. Provide real-time access to data and enable teams to work collaboratively from anywhere.

• Virtual Reality (VR) and Augmented Reality (AR). Create immersive collaboration experiences that mimic in-person interactions.

VR and AR are transforming global collaboration by enabling immersive, interactive meetings that bridge the gap for geographically dispersed teams.

These technologies create engaging 3D environments that enhance productivity, reduce costs and facilitate seamless communication across industries.

According to our most recent State of Sales and Marketing report, the adoption of tools like CRM systems and automation technologies also seems to contribute to work-life satisfaction. These tools streamline tasks – reducing the time required for repetitive activities – and allow employees to focus on more meaningful work. Respondents who use automation tools often reported higher happiness levels and better work-life balance than those who don’t.

However, achieving work-life balance is not without challenges. While flexible work arrangements benefit employees, organizations must ensure proper support systems and clear communication to prevent feelings of isolation and maintain team cohesion.

Addressing these challenges thoughtfully can help foster a sustainable and engaged workforce that 76% of sales and marketing professionals believe AI will have a supporting role in their careers.

Investing in the right technology supports day-to-day operations and promotes diversity, accessibility and equal opportunities for all employees.

Businesses that leverage these tools can create a robust infrastructure to support long-term flexibility, empowering their teams to innovate and perform at their best. As technology evolves, it will remain a cornerstone in shaping the flexible work culture of tomorrow.

How flexible work models are evolving

Flexibility is no longer limited to choosing between working remotely or in an office. Companies are now exploring different ways to tailor work arrangements to fit the diverse needs of their workforce while maintaining productivity and collaboration. Such an evolution recognizes that a one-size-fits-all approach doesn’t work for everyone.

Asynchronous work is one such trend that is gaining traction. By allowing employees to work during their most productive hours, regardless of time zones, businesses foster inclusivity and empower team members to deliver their best. Digital tools like project management platforms and shared workspaces ensure seamless collaboration, even when schedules don’t align.

Another emerging trend is unlimited paid time off (PTO), where employees are entrusted with taking the time they need to rest, recharge or handle personal commitments. Such an approach promotes accountability and reinforces a culture of trust, which is crucial to job satisfaction.

The four-day workweek is also making waves. It offers a compressed schedule that maximizes focus while giving employees an additional day to focus on personal priorities. Trials of this model in various companies have shown increased productivity and improved morale.

These models highlight the growing recognition that flexibility is a dynamic tool for meeting modern workforce demands.

How Pipedrive helps you offer flexible work options

At Pipedrive, we provide tools designed to adapt to the demands of flexible work environments.

Whether teams are remote, hybrid or in-office, our customer relationship management (CRM) helps them stay connected and productive.

One of Pipedrive’s standout features is seamless task management, which allows team members to assign, track and update tasks in real time – ensuring everyone remains aligned on priorities, regardless of location or schedule. Our collaborative pipelines make it easy to visualize sales processes, share updates and collaborate across departments, reducing the risk of miscommunication or delays.

Additionally, real-time reporting and insights enable sales teams to track performance and make data-driven decisions without having to rely on traditional in-person meetings. Integrations with popular productivity tools further streamline workflows, offering flexibility and efficiency in one simple package.

By simplifying communication and fostering collaboration, Pipedrive empowers teams to focus on what matters most – building relationships, closing deals and achieving their goals – no matter where or when they work. Flexible work doesn’t have to mean compromising on productivity, and with Pipedrive, it doesn’t.

The impact of a flexibility mindset on employee performance and workplace dynamics

Flexibility in the workplace goes beyond policies. It’s also a mindset that can shape performance and adaptability. So, how does having a flexible mind help you become a better employee?

A flexible mindset helps you adjust to shifting priorities, collaborate effectively with diverse teams and tackle challenges with creativity and resilience.

Understanding employment rights relating to flexible working is equally important. Employees who are informed about these rights can better negotiate working conditions that align with their personal and professional needs. This understanding supports improved work-life balance, greater job satisfaction and higher productivity, laying the groundwork for more supportive and equitable workplaces.

Another key factor is the potential positive effects of allowing employees to manage workflows independently. When employees have autonomy over task management, they often feel a greater sense of ownership and accountability, which can boost morale and efficiency. This flexibility allows individuals to structure their work in ways that may reduce stress and improve outcomes – benefiting both employees and organizations.

Final thoughts

The future of work may be leaning toward flexibility. Flexible working benefits are increasingly seen not just as a perk but as an important shift in how organizations operate.

By allowing employees more control over their time and environment, businesses may help improve work-life balance, alleviate burnout and promote greater job satisfaction. The potential benefits for companies could include improved productivity, higher retention rates and access to a more diverse talent pool.

However, it’s important to consider the challenges flexible work may present for your workforce, such as maintaining team cohesion, ensuring clear communication and addressing varying employee needs.

Thoughtful planning and a tailored approach can help businesses strike the right balance and foster a sustainable culture where employees and organizations thrive.

A strong customer base is crucial to run a sustainable business. It’ll give you a steady cash flow and the foundation to grow revenue while retaining your most valuable customers.

Growing your consumer base goes beyond providing the best solution. It also involves factoring in the entire customer experience. Get it right, and you’ll earn trust and build a group of loyal customers on whom you can depend.

In this article, you’ll learn what a customer base is and why it’s critical for business success. You’ll also discover how to identify your ideal customer base and get six tips for engaging and retaining them.

Customer base definition

A customer base is a group of people who repeatedly buy your products or services. It consists of your most loyal and engaged customers. Collectively, they provide consistent support and offer the most financial value to your company.

A solid customer base indicates your company connects with your target audience and provides value that convinces them to choose you over a competitor.

Depending on your company, a customer base can consist of the following customer types:

• Loyal customers who have purchased your products for over a year and significantly contributed to annual revenue

• Recurring revenue customers who are members, subscribers and paid access users of your services or platform

• Common customers who have made one or more purchases but haven’t bought long enough to become loyal customers

Turning common customers into recurring or loyal customers and consistently meeting their needs will help you grow a core customer base, enabling you to forecast sales and spending better while increasing revenue.

Customer base examples

Customer base demographics differ depending on your product or services and target market.

Here are some customer base examples from leading companies:

Companies must show that their offering is unique or better than the alternatives. Finding and targeting customer bases is critical to long-term success.

Why is it important to grow your customer base?

The more sustainable your customer base, the greater your potential for increased revenue. Building up recurring sales has several benefits for a company:

• Better financial stability. A predictable customer base improves financial planning, helping you avoid cash flow issues and set accurate budgets for development, production and marketing.

• Increased customer loyalty. Your most loyal customers typically make more purchases and tell other people about your company, increasing sales through word of mouth.

• Resilience in times of crises. Loyal customers are less likely to switch to competitors, ensuring steady cash flow during economic downturns or unexpected market developments.

• Improved cost efficiency. Retaining existing customers is generally easier (and cheaper) than acquiring new ones because it requires less business marketing and ad spending to maintain engagement.

• Continuous improvement. Tapping into a solid customer base provides valuable feedback on your products or services. Customer insights can help shape new product or service development, messaging and positioning. These insights allow you to meet expectations and stay ahead of competitors.

4 steps to define your ideal customer base

To grow your customer base, you need to engage the customers who are the best fit for your product or service. Understanding your ideal audience and what they need makes attracting and retaining them easier.

Rather than make assumptions, use customer data to learn about their preferences. Here’s how to define your core customer base.

1. Identify your target audience

Your target audience is the group of customers most likely to buy your product or service (your potential core customer base). Identifying them through market research is the foundation for your sales and marketing strategies.

For example, Zoom’s target audience is business professionals who want a reliable video conferencing platform and collaboration on any device.

Understanding its customers helps Zoom’s marketing team run ad campaigns that appeal to needs and overcome pain points.

Learn more about your audience by conducting customer surveys, interviews and focus groups. Here are some questions to answer in your research:

• What is your typical customer demographic split? Consider age, gender, income, location and interests.

• What problems are they trying to solve? They can relate to your product or service or be general challenges.

• What websites and social media platforms do they like to use?

• What types of content do they engage with?

• What factors influence their purchase decisions?

• How do they prefer to interact with a company (e.g., social media, live chat, phone or email)?

Use your insights to identify common traits and learn how your product or service can help.

2. Study your existing customers

Supplement your market research by looking for trends in your current customer base.

A customer relationship management (CRM) system will help you identify and segment customers who frequently buy from your business.

For example, Pipedrive lets you filter and sort to find customers with high customer lifetime value (CLV) or the most referrals.

Look for shared characteristics in your best customers. Consider qualities like:

• Demographics (age, gender and occupation)

• Location

• Income and life stage

• Interests and hobbies

• Education and job role

• Preferred platforms and devices

Survey your loyal customers to learn more about their needs and what they like (or dislike) about your company’s products or services. Combine this information with your initial target audience research for a more complete view of your customer base.

3. Analyze competitor audiences

Growing your customer base often happens at a competitor’s expense. Analyzing how your target audience talks about rivals helps you learn more about their needs, interests and behaviors. Use this information to build customer profiles that help you find opportunities in your positioning and marketing.

For example, email client HEY capitalizes on customer dissatisfaction with cluttered inboxes on other platforms to promote its inbox management features.

The tactic helped the company grow a loyal customer base that advocates for the brand online.

Conduct competitor analysis by searching for brand mentions on social media, forums and review sites.

Also, leverage competitor analysis tools to learn more about other companies’ demographics and preferred channels. This information can help you determine whether you’re targeting the right people in the right places.

4. Create an ideal customer profile

Turning your customer research into an ideal customer profile (ICP) gives you a detailed description of the audience to target with your sales and marketing.

Your ICP will differ depending on your company and whether you target consumers or businesses. You should also develop a buyer persona to visualize your ideal customer type as a fictional person.

The profile should include the information you need to differentiate between your most valuable customers (your target customer base) and the rest.

Here’s an example of an ICP for a cybersecurity software company:

Sales and marketing teams can use this ICP to convert and retain the right customers and grow the company’s customer base.

6 tips to grow and retain an engaged customer base

To build a strong customer base, you must provide the best solution and consistently engage customers while delivering a great customer experience.

While companies’ methods differ, prioritizing the following actions will help you win customers and keep them coming back.

1. Personalize sales and marketing campaigns

Make every customer feel important by personalizing interactions across the customer journey. Doing this before and after a sale will help you build trust and increase loyalty.

According to McKinsey’s Next in Personalization Report, 71% of customers expect companies to deliver personalized interactions, and 76% get frustrated when that doesn’t happen.

Customers who get personalization reward companies by purchasing more and recommending products or services to others.

Use customer data and your ICP to send relevant content to your customer base. Email is an effective channel since it lets you engage your customers directly with specific content based on previous activity.

For example, the Apple email below invites new Mac users to “Schedule your free Online Personal Session” and mentions helping them “Discover all the amazing things your new Mac can do with the help of an Apple Specialist”.

Apple’s personalization makes users feel valued, improving their experience and strengthening brand affinity.

Use email marketing software to segment your customer base into groups and target them with content at different stages of your marketing and sales funnels.

Reaching the right people at the right time keeps your customer base engaged to boost sales and marketing effectiveness.

2. Start a customer loyalty program

Bringing in new customers is essential to growing your customer base, but rewarding those loyal to your company is also crucial.

A loyalty program encourages customers to make more purchases by rewarding their activity. It’s an effective way to boost sales and revenue while showing customers you value their commitment.

A typical example of a loyalty program is a points system where customers collect points for each purchase. Once they reach a certain threshold, they can exchange points for perks.

For example, The North Face’s XPLR Pass gives program members one point for every $1 spent. When they reach 100 points, they get a $10 voucher.

Beyond this, members get exclusive access to limited edition gear, members-only field testing, birthday shoutouts and dedicated customer service. The North Face strengthens customer relationships with each reward to reduce churn and increase retention.

When creating a loyalty program, ask your most loyal customers which types of systems motivate them and what incentives they’d like to receive (e.g., discounts, free products or gift cards).

See how other companies in your industry are using loyalty programs. Understanding their strengths and weaknesses will help differentiate your model from theirs.

3. Master customer service management

Strong customer service is critical to building and retaining a customer base. According to an Achieving Customer Amazement study by Shep Hyken, 51% of customers believe great customer service is more important than price.

Additionally, 79% of customers would switch to a competing company if they found out it provided better customer service.

Good customer service relies on quick and helpful support from knowledgeable staff who meet needs. Maintaining and increasing customer satisfaction can lead to greater trust and stronger brand loyalty.

Here are some ways to excel at customer service:

• Implement a multichannel strategy. Make it easy for customers to reach you on their preferred channels (e.g., email, phone, live chat or social media). Ensure each channel has a dedicated customer service representative who can provide quick responses.

• Provide assurances. Offer user-friendly warranties, guarantees, replacements and returns to reassure customers that you’ll resolve any issues they experience.

• Train customer support reps. Teach customer teams about your products or services and customer success strategies so they can address needs and deliver positive outcomes.

• Invest in customer service software. These tools allow reps to receive notifications when a customer makes a complaint and set reminders to respond quickly.

• Establish a complaint management system. Allow customers to share concerns and have issues taken seriously. Address feedback promptly and accurately. Keep in touch with customers throughout the process so they know their issues matter.

• Apologize for mistakes. Acknowledge when something goes wrong and rectify problems. Customers will likely forgive you if you’re open and honest about your shortcomings.

4. Empower customers with helpful resources

Providing helpful information about your products or services helps customers make the most of their purchases and troubleshoot problems independently.

For example, Pipedrive’s Knowledge Base has guides, tutorials and answers to frequently asked questions (FAQs) that customers can use to enhance their experience.

With access to a broad range of information, customers can feel more confident in their purchases. Empowering them also decreases resolution times, allowing reps to focus on more complex issues.

Additionally, by giving customers access to a library of resources, you can build trust and position your company as an industry expert. Regularly sharing knowledge will increase your brand reputation and attract customers.

Here are some ways to provide customers with helpful resources:

• Develop a strong onboarding experience. Make a great first impression with welcome emails and timely follow-ups that help new users set up products and maximize their experience.

• Build a resource library. A knowledge base with FAQs, user guides and a community forum gives customers everything they need to help themselves and each other.

• Share tips and advice in a blog. A blog lets you inform customers about your products or services and showcase your industry expertise. Focus on common challenges and trending topics to build brand awareness and customer relationships.

• Send a periodic newsletter. Engage customers with regular emails featuring tutorials, product updates and links to new blog posts that help them achieve their goals.

Track the topics customers frequently mention so you can anticipate their pain points and create content that solves them.

5. Build trust with social proof

You must build trust with your audience to grow a customer base. Leveraging social proof is an effective way to gain credibility and instill customer confidence.

According to research by Power Reviews, 98% of shoppers say reviews are an essential resource when making purchase decisions.

Sharing positive experiences from existing customers tells others that you’re a trustworthy company. It also shows you can help them achieve their goals, making them more likely to buy.

Here’s an example of a review featured on Pipedrive’s homepage that attracts potential customers.

Use social proof throughout the customer journey to demonstrate customer success. Here are some types of social proof content to include in sales and marketing campaigns:

• Reviews and testimonials. Use customer reviews to show how your product or service helped them achieve their objectives

• Case studies. A case study is a detailed success story that shows how you helped specific customers overcome challenges and get results. For example, AI bees used Pipedrive to boost growth by over 2000%.

• User-generated content. Encouraging your customers to share reviews, videos or social media posts about their experiences helps build trust with potential customers. Increasing brand engagement can also foster a sense of community and brand loyalty.

When engaging with customers directly, consider sharing social proof relevant to their pain points.

For example, showing an e-commerce business owner how you helped another e-commerce site increase revenue makes it easier for them to visualize similar results.

6. Collect and act on customer feedback

Customer feedback is one of the most important sources of information for improving customer retention. Listening and acting on customer insights will help you improve your products and services, boost customer experience and personalize sales and marketing efforts.

Taking feedback seriously also shows customers you value their opinions, strengthening their bond with your company.

Here are some ways to collect feedback:

• Survey customers via email, phone or in person to get their thoughts on your products and services

• Run focus groups with loyal customers to get detailed feedback on their experiences

• Set up user testing to understand how customers use your product or service

• Track brand mentions and customer feedback on social media platforms to learn about brand perception

• Monitor review platforms to track customer sentiment and get insights into how customers view your product or service

Be open-minded about feedback. Thank customers for their input, even if it’s not what you want to hear. Assure them your goal is to create a better experience that helps them meet their needs.

Analyze feedback to spot common patterns. Determine the underlying causes and create a plan to implement updates or changes.

Final thoughts

The key to building a strong customer base is customer satisfaction. Customers who are happy with your products and services will stay loyal and help grow your company.

Find your ideal customers and do everything to meet their needs and deliver a satisfying experience.

Use Pipedrive to personalize your marketing, track interactions and meet customer needs every step of the way. Sign up for a free 14-day trial and see what Pipedrive can do for your business.

Project reports give stakeholders insight into the progress of your initiatives. They communicate project milestones, challenges and outcomes, ensuring stakeholder buy-in and alignment with strategic goals.

In this article, you’ll learn what project reports are and how to prepare reports that help you manage and complete projects.

What is a project report (and why is it important)?

A project report is a structured document communicating an initiative’s status, progress and outcomes. Its primary goal is to give stakeholders a clear understanding of the project’s developments and enable informed decision-making.

Effective project reports:

1. Enhance communication. Project reports provide consistent updates, helping team members, project managers and clients stay aligned with the project’s goals and objectives.

2. Support strategic decision-making. Project reports provide insight into project progress, potential risks and areas that need attention. These documents help identify issues early, allowing teams to address them and adjust strategies.

3. Track progress and performance. Reports provide a clear and organized summary of project progress against timelines and budgets. Reviewing them helps teams evaluate performance and identify bottlenecks.

4. Boost stakeholder engagement. Concise project reports keep stakeholders invested in the project’s success, which is vital when obtaining resources and backing.

5. Improve risk management. Reports help identify potential risks early and track issues as they arise. Documenting these risks helps project teams develop mitigation strategies and minimize the impact of problems.

8 different types of project report

Several varieties of project reports exist, each dealing with a different aspect of project management. A comprehensive project report may contain some or all these smaller report types, depending on the project’s needs.

Here are eight critical types of project reports and what they cover:

1. Status or progress report

A project progress report provides an overview of the current status of the project on a weekly or monthly basis. It includes information such as progress against milestones, upcoming tasks and obstacles.

Status reports keep stakeholders informed about the project baseline. They also offer insights into what you’ve accomplished, what needs attention and any project scope or timeline changes, helping manage expectations.

2. Cost-benefit analysis

A cost-benefit analysis report evaluates a project’s feasibility by comparing its costs with the anticipated benefits. It helps determine whether a project is worth undertaking.

This type of report lists all project expenses, potential savings, revenue opportunities and non-monetary advantages. With a precise cost-benefit ratio, you can prioritize projects that offer the best returns on investment.

3. Time-tracking reports

Time-tracking reports explain how much time you spend on project tasks and activities. This information helps you monitor productivity and keep the project on schedule. Find bottlenecks while assisting teams with time management and efficiency.

4. Resource reports

A project resource report outlines how you’ve allocated employees, equipment and materials. It includes information on availability, workload and shortages or surpluses. With a clear snapshot of resource management, you can optimize resource use, prevent burnout and ensure everyone has what they need to complete tasks.

5. Risk reports

Project risk reports (or project health reports) analyze potential risks that could impact a project’s success. Prepared during the planning phase, they include descriptions of each issue, its potential impact, likelihood and mitigation strategies.

Risk reports provide a structured approach to risk management that helps you anticipate and solve problems before they occur.

6. Variance reports

A project variance report compares planned progress against actual progress, highlighting deviations. It helps you find underperforming areas throughout a project’s lifecycle, letting you adjust your strategy to meet project goals. A variance report includes metrics on scope, schedule and budget.

7. Performance reports

Project performance reports evaluate how the project achieves key performance indicators (KPIs). They include resource efficiency and outcomes data to show project stakeholders’ progress toward objectives.

8. Completion reports

A project completion report summarizes the outcome of an entire project. It includes a detailed account of project objectives, methodology, deliverables, accomplishments, challenges and lessons learned.

Once you complete a project, reflecting on it provides an official record that helps with future project planning. A completion report offers valuable insights to improve processes, highlighting successes and driving excellence in future projects.

How to write a project report

Here’s a step-by-step guide on how to write an effective project management report:

Define your objectives and target audience

Understanding why you’re writing the report and who it’s for ensures the content is relevant, actionable and impactful. To begin, define your report’s objectives and target audience, then choose the appropriate report type. Here are three sample objectives:

Here are some questions to guide you through this process:

• What are my audience’s primary project management objectives? Do they want to improve efficiency, meet deadlines or optimize resources?

• What level of detail does my audience need? Are they more interested in broad summaries or in-depth analyses?

• What decisions will they make based on this report? Are they seeking insights for budget allocation, deadline adjustments or process improvements?

• How familiar is my audience with the project? Do they need background information, or are they well-informed?

• What tone and project report format are appropriate? Should the report be formal, technical or more casual and accessible?

• Do I need to cover specific data points? Are there any metrics my audience prioritizes and would expect to see in the report?

• What are the potential concerns or questions they might have? How can I address them in the report?

Gather information

With a clear understanding of your objectives and audience, it’s time to gather the information that will form the backbone of your report.

Start by finding sources of information, such as team meeting notes and financial records. Collaborate with team members to understand the project’s status and recent developments.

Project management software extracts up-to-date metrics on timelines, resources and task completion. Review stakeholder feedback to ensure you capture the most recent and relevant data possible.

Here’s a breakdown of essential data for different project report types:

Draft your project report and provide recommendations

Once you’ve gathered the relevant project data, organize the information into a clear and logical structure. Craft an introduction, main body and conclusion to ensure a coherent flow of information.

Begin with a concise executive summary highlighting the main objectives, findings and critical recommendations. The main body contains detailed data and analysis. Conclude the report with a summary of the main points, actionable advice and next steps.

Here’s an example layout for a project completion report:

Proofread and polish for distribution

Before distributing your report, ensure it’s clear, accurate and professional. Review the document for grammatical errors, typos and formatting issues. Reading the report aloud and having others proofread it helps find small mistakes you might overlook.

Here are some more tips to ensure your document is ready:

• Check that your report flows from one section to the next. If necessary, rearrange sections or add extra information for clarity.

• Verify your data is accurate, double-checking charts, graphs and tables to ensure they align with the text.

• Define any industry terms or jargon that your audience might not understand.

• Ensure the formatting is consistent. Use the same fonts, headings and spacing throughout.

3 best practices to guide your project report

Here are three tips for drafting a concise and actionable project report.

1. Be honest and fair

Honesty and objectivity ensure your report is credible and trustworthy, which is vital for informed decision-making. To achieve this, present fact-based data while avoiding bias and exaggeration.

Highlight both successes and challenges. For example, if you delayed a project phase due to unforeseen issues, report the delay and explain the corrective measures taken. This transparency helps stakeholders understand the situation and trust your reporting.

2. Use clear and concise language

Clear and concise language makes your report easier to digest. It helps readers understand the report’s content, even if they’re unfamiliar with the project.

To be clear and concise:

• Avoid jargon and lengthy sentences

• Use bullet points to highlight important data points

• Organize information using clear headers, subheaders and tables

• Use headings and subheadings to break the report into manageable sections

• Include visual aids like charts and graphs to illustrate complex data

3. Illustrate points with visuals

Visuals transform complex data into an understandable format, making your report more engaging and informative. Use charts, graphs, tables and infographics to explain your data where possible.

Choose the types of visuals that best suit the data and label them to support the accompanying text. For example, a bar chart can show sales trends better than trying to explain them in long paragraphs. Here’s an example of a visual report in Pipedrive:

The charts allow stakeholders to get a quick idea of performance without reading large blocks of text.

How Pipedrive can help craft project reports

Project management tools track your project in real time, making it easier to compile up-to-date reports. Features like activity tracking, workflow automation and data analytics can streamline data collection and reporting.

Pipedrive’s customer relationship management (CRM) software, while sales-focused, offers the following agile project management features that streamline project reporting:

Activity tracking

Project managers can utilize Pipedrive’s activity tracker to manage tasks and deadlines, generating accurate reports on team performance and project schedules.

Custom fields

Use Pipedrive’s comprehensive data tracking features and custom fields to collect and centralize important project information. Get access to real-time data and streamline the information-gathering process. This data makes it easier to include precise details and tailor reports to specific stakeholder needs.

Reporting and analytics dashboards

Use Pipedrive’s dashboards for a real-time overview of project progress and metrics. Leverage performance data to create detailed custom reports, highlighting insights with intuitive visualizations.

Pipeline visualization

Pipedrive offers a visual pipeline to track the status of deals and project stages. This feature lets managers assess project progress and identify bottlenecks.

Collaboration features

Use Pipedrive’s powerful collaboration features to encourage teamwork when refining your report content. Team members can review and comment on project tasks within the platform, ensuring accuracy and professionalism before distribution.

Pipedrive also offers Projects, an all-in-one project management add-on that helps you map out complex initiatives, create to-do lists and track tasks with labels, custom fields and filters. Use Projects to automate tasks, keep your team organized and simplify project management.

Final thoughts

Project reports are vital for project managers to communicate project status and outcomes. Tracking and reporting successful project metrics gives a transparent view of progress, supports decision-making and strengthens shareholder confidence.

For comprehensive reporting features, use Pipedrive’s all-in-one CRM solution. Sign up for a free trial and transform your project management process.

Operating income is one of the most important metrics for understanding a company’s profitability and core financial health without any impact from external factors.

Whether you’re a business owner, manager or investor, knowing how to calculate and analyze operating income is essential for making informed decisions and driving growth.

In this article, you’ll learn what operating income is and why it matters. You’ll also find actionable tips to improve operating income and strengthen your business’s financial foundation.

What is operating income?

In simple terms, operating income tells you the amount of money your business earns from its primary activities.

To understand what precisely operating income is, here’s how it compares to other similar profit metrics:

Imagine a small retail store whose main source of income is selling clothes. The store must also cover rent, salaries, administrative expenses and utilities to keep the business running. Operating income tells you how much profit remains after accounting for these operating costs without factoring in taxes or interest on loans.

Operating income is often a key financial metric in a company’s income statement, alongside other terms from the above table.

For example, here’s a glimpse of Disney’s income statement for the fiscal year ending 9/30/2024 on the Yahoo Finance website:

As you can see on the financial statement, the net profit ($32,633 million) is much higher than the operating income ($11,914 million). Further down, the statement shows EBIT is $9,639 million and EBITDA is $14,629 million.

What operating income means for your business

Operating income is a vital metric for business owners, managers and stakeholders to assess the efficiency of their company’s core business activities.

A growing operating income signals your business is ready to expand into new areas or hire additional staff. A consistently low operating income might mean you’re struggling to manage costs or generate enough revenue from your core activities.

Going back to the retail store example, you might have stable sales but a declining operating income, indicating it’s time to review your processes.

Other costs, such as rent or payroll, might have increased. Your gross profit may look healthy, but your operating income will tell a different story if operating expenses are too high.

Investors are also interested in operating income to evaluate how efficiently you manage operations and control costs. A solid operating income indicates a well-run business with sustainable processes, making it an attractive investment.

While gross profit shows how well you sell products and net profit reflects your overall financial standing, operating income zooms in on your operation’s efficiency. It bridges the gap between sales performance and overall profitability, giving you actionable insights to make smarter business decisions.

How to calculate operating income

The operating income calculation is straightforward once you know what to include and exclude. Simply take your total revenue and subtract selling, general and administrative expenses (SG&A) directly tied to operating activities.

Alternatively, if you already know your gross profit, you can use this as your operating income formula:

Let’s break it down with an example. Suppose you run a local furniture store that generates $200,000 in sales. You spend $80,000 on raw materials and production costs for the furniture. You also have additional costs such as salaries, rent, utilities and marketing, which total $50,000.

Using the above formula, revenue ($200,000) minus your COGS and operating expenses ($80,000 + $50,000) gives you an operating income of $70,000.

Remember not to include non-operating expenses like taxes, interest expenses or one-time costs (e.g., equipment purchases). Those business expenses are part of net profit calculations, not operating profit.

At the same time, you must include all relevant operating expenses, such as utilities and employee benefits, to ensure your figures genuinely reflect the cost of running your core business operations.

What is net operating income?

Net operating income (NOI) is a financial metric commonly used in real estate and investment analysis to measure a property’s profitability. The meaning of net operating income is the income generated from a property’s operations, excluding financing costs or taxes.

Gross revenue includes all rental income and other property-related revenue. Operating expenses cover costs like maintenance, property management fees and utilities but exclude interest payments and taxes.

For example, if a property generates $100,000 in gross revenue and incurs $40,000 in operating expenses, the NOI would be $60,000.

Best practices for calculating operating income

Here are some best practices to ensure your calculations are both accurate and useful.

Use reliable financial tracking tools

While you can technically use pen and paper or homemade spreadsheets to track your income and expenses, investing in good financial software makes it much easier to categorize all your records correctly.

Categorize direct costs (like raw materials) and indirect costs (like office supplies) accurately when calculating operating income.

The right software helps you distinguish between operating and non-operating costs. It will include utilities, salaries and rent while excluding taxes, interest and one-time expenses. Automating data collection and categorization reduces the risk of human error and saves time.

Look for accounting and finance software that can integrate with your existing tools – such as customer relationship management (CRM) or point of sale (POS) systems – to keep all your information in one place and up to date.

For example, Pipedrive’s insights and reports feature can show you how much revenue different products generate, helping you make data-driven forecasts and decisions to improve operating income.

Review operating income regularly

Operating income acts as a health check for your business operations, but that’s only useful if you regularly track it. Consistently monitoring your operating income lets you spot trends and address potential issues early.

Whether you do it monthly, quarterly or yearly, make time for regular financial reviews with your team to discuss operating income trends and their implications.

Benchmark against other companies in your industry

Comparing your operating income to industry benchmarks provides valuable context for evaluating your performance. Benchmarks help you assess whether your profit margins are competitive and identify areas where you may be overspending or falling short.

For example, if your operating income margin is lower than your competitors’, it might be because your operating expenses are too high or you’re not charging enough for your products.

Sites like Yahoo Finance, the official SEC website and Bloomberg collect financial data for publicly traded businesses, which you can use to see operating incomes for companies similar to yours. Alternatively, use consulting services to find relevant benchmarks for your sector.

5 ways to improve operating income

Once you’ve calculated your operating income, the next logical step is to improve it. Find smarter, more efficient ways to run your business that can boost profitability without compromising on quality or service.

The following methods will help you build a strong foundation for your operations and find new growth opportunities.

1. Increase your revenue streams

Start by looking at your income. Are there ways you can boost revenue without significantly increasing your costs?

One way to raise revenue is through new products or services. Talk to your customers and see if you can solve any unmet needs, pain points or challenges. Pilot your new offer with a small group of customers and collect feedback. Make any necessary changes, then roll it out to a broader audience.

You can often generate more revenue with your existing solutions if you closely examine your sales strategies.

For example, you could review your cross-sell and upsell process. Encouraging customers to purchase more or upgrade their choices can significantly increase your average order value (AOV). Train your sales team on effectively engaging buyers, or use technology to suggest the most relevant offers during checkout.

Similarly, optimizing your pricing strategy helps maximize revenue without creating completely new solutions. Find out what competitors charge for similar offerings and test new price points with limited-time deals.

2. Optimize operating expenses

At the other end of the spectrum, reducing costs (without compromising quality) is another reliable way to improve operating income.

Start by reviewing your current expenses and identifying areas where you can make changes. If you’ve been working with the same vendors for a while, see if there’s room to secure better pricing or more favorable terms. Could you negotiate bulk discounts or longer payment windows to reduce immediate cash outflow?

Next, take a closer look at your day-to-day work. Could you simplify or automate some processes? For instance, switching from manual inventory management to a digital system can save time and reduce errors. Similarly, small changes like energy-saving initiatives or optimizing resource usage can lead to long-term cost savings.

Audit your current spending and look for unnecessary expenses you can safely cut. What services, recurring payments or resources don’t deliver enough value? Redirecting those funds to more impactful areas can improve efficiency while controlling costs.

3. Streamline operations

Identifying and eliminating bottlenecks in your workflows leads to more efficient operations management, improving your bottom line and operating income.

Training your employees is one way to streamline operations. Focus on equipping them with the necessary skills to perform their tasks more effectively.

For example, providing advanced training to your customer service team could improve response times and overall customer satisfaction, leading to fewer issues and lower operational costs.

You can also simplify processes by mapping out workflows and identifying redundancies.

For example, if approvals for specific tasks go through too many layers, consider consolidating steps to save time and resources. Even small changes – like switching to a more user-friendly project management tool – can make a big difference.

Finally, investing in the right technology can help you automate repetitive tasks and provide valuable insights. CRM software like Pipedrive, for instance, simplifies customer management while freeing up your team to focus on higher-value work and efficiency.

4. Plan for seasonal trends

If your business experiences seasonal fluctuations, thinking ahead can help you stabilize operating income throughout the year.

Start with your staffing levels. Use historical sales data to predict busy and slow periods so you can scale your workforce accordingly.

For example, hiring temporary staff during peak seasons and reducing hours during quieter months keeps labor costs in check while maintaining flexibility.

You can also use targeted promotions to drive sales during off-peak times. Seasonal discounts or themed campaigns can help maintain customer interest even during slower periods.

For example, the knowledge-base company Document360 ran this promotion for Black Friday in an X post:

Discounts can be helpful if you have excess stock and need to clear inventory while generating additional revenue.

5. Focus on customer retention

Generally, keeping your existing customers is more cost-effective than acquiring new ones. A strong customer retention strategy can improve operating income by increasing repeat purchases.

Loyalty programs are one of the more popular ways to retain customers.

For example, you could reward repeat buyers with points they can redeem for discounts or exclusive perks, encouraging them to return and making them feel valued.

You can also re-engage customers who haven’t purchased in a while. Use email campaigns or special promotions to remind them about your business. Sending a personalized discount code to a lapsed customer can be a particularly effective way to bring them back.

With Pipedrive’s Campaigns tool, you can use an intuitive drag-and-drop email builder to create targeted campaigns for different customer segments based on your CRM data.

Ultimately, the best way to retain customers is to deliver an exceptional service. Train your team to go above and beyond for customers and encourage them to collect feedback on their experiences. Acting quickly on customer complaints and suggestions can turn potential negatives into positives, building trust and long-term relationships.

Final thoughts

Regularly tracking operating income provides valuable insights into your company’s earnings and overall financial health, enabling you to evaluate your performance and make smarter decisions.

Put the above tips into action by regularly calculating your operating income, comparing it to industry benchmarks and tracking trends over time. You can then use this data to identify areas for improvement, from new solutions to process optimizations.

By consistently focusing on monitoring and enhancing your operating income, you’ll be better positioned to strengthen your business operations, achieve sustainable growth and stay competitive in your market.