Enhancing Medical Device Sales and Customer Engagement Through Artificial Intelligence

AI is becoming important in medical devices, making people think about how it will affect sales and commercial teams. How can AI empower sales professionals in the medical device industry to boost customer engagement and drive revenue? This article looks at how machine learning can improve targeting prospects, customising pricing, identifying buying signals, prioritising leads, and more. It shows how this technology could change business practices significantly.

The COVID-19 pandemic has significantly influenced various facets of MedTech. On one hand, it has spurred demand for swift, accurate testing solutions and an adequate supply of personal protective equipment and medical consumables. On the other hand, it has catalysed a shift towards virtual healthcare, presenting new opportunities for medical device companies.

Yet, the postponement of non-urgent care and various economic, trade, and supply chain challenges have accelerated the digital transformation of commercial and supply chain operations in this sector. A survey encompassing 200 medical device companies revealed that 75% are undertaking some form of digital transformation initiative.

Even before the pandemic, the industry faced pressure to revamp its sales and commercial strategies. A study by BCG highlighted that MedTech companies were allocating significantly more resources to selling, general, and administrative expenses relative to their costs of goods sold than their counterparts in technology or industrial sectors.

The industry still uses outdated sales methods. These methods focus on doctors, administrators, or both. As a result, there has been no growth in sales over the last ten years.

Medical device sales teams often encounter challenges such as process inefficiencies and bottlenecks, which can detract from the customer experience. Additionally, evolving product portfolios, omni-channel expectations, diverse customer segments, variable pricing, and the necessity for custom configurations complicate the sales process further.

By harnessing AI to enhance the quote-to-cash processes, medical device sales teams can eliminate inefficiencies and foster better customer engagement. This article highlights five key areas where AI can make a significant impact:

1. Pricing Strategy Optimisation for Tenders and Direct Sales: The majority of companies surveyed cited the need for more streamlined processes in tender discovery, price formulation, discounting, and bid creation. AI can offer sophisticated insights into tender channels, enabling more efficient tender management and performance improvement.
2. Transition from Manual to Automated Quoting: Many sales teams still rely on manual processes like spreadsheets, leading to inconsistencies and standardisation challenges. AI and machine learning technologies can address these issues, offering cloud-based, automated tools for pricing and quoting that can handle complex product configurations.
3. Reduction in Manual Data Entry and Quote Generation: Sales professionals in the medical device industry spend a considerable portion of their time on manual data entry and administrative tasks. AI integration within CPQ (Configure, Price, Quote) systems can automate these tasks, allowing sales teams to concentrate on higher-value activities.
4. Improvement in Quote Accuracy and Consistency: Keeping abreast of changes in discounts, product lineups, and compliance can be challenging. AI tools can ensure that sales quotes are both accurate and consistent, enhancing the customer experience.
5. Incorporation of Market Intelligence in Quoting: A lack of market intelligence can hinder effective product pricing and discounting strategies. An AI-powered CPQ system can integrate real-time market data into the quoting process, enabling informed decision-making.

The medical device industry is undergoing a significant transformation. By using AI-based CPQ systems, companies can improve sales, engage customers better, and handle challenges in today’s market more effectively.