Customers are the heartbeat of every company. Without customers, any company will fail. However, a company’s viability depends on the relationships you’ve built with your clients. It’s all about the trust of your customers and their loyalty. Therefore, it is vital to keep the relationship. This is the point where Customer Relationship Management (CRM) is a key component.
Table of Contents
- 1 What is CRM software?
- 2 Who can use CRM software?
- 3 Benefits of CRM
- 4 Types of CRM
- 5 Why do companies use customer relationship management software?
- 6 How Does CRM Make Sales and Marketing Easier?
- 7 Best CRM platforms for eCommerce
- 8 CRM vs marketing automation
What is CRM software?
Customer Relationship Management (CRM) can be described as comprehensive software that helps manage customer relations; however, it’s not a one-stop solution. To effectively monitor your customer relationships and analyze and improve your relationships with customers, it is essential to have a complete cloud solution that supports your company at every point of contact with customers.
This is the reason your CRM software should incorporate cloud-based sales, service cloud, cloud for e-commerce and marketing cloud, and the CDP, or customer database platform (CDP) that can blend offline, online, and third-party data sources for a continuously updated 360-degree view of your customers.
Who can use CRM software?
CRM systems provide all employees — from sales customer service, sales business development, recruitment marketing, sales, or any other field of business a better method of managing the interpersonal interactions that are the basis of successful outcomes. CRM tools allow you to keep track of contact information for prospects and customers, store details, pinpoint opportunities to sell, document service issues, run marketing campaigns in one location, and make information on every interaction with customers available to everyone in your business that might require it.
With easy access and visibility to information, it’s much easier to work together and improve productivity. Everyone within your company will be able to see what customers are communicating with and what they’ve purchased in the past, when they bought their last purchase and what they spent for, and much more. CRM can aid businesses of any size drive expansion and can be especially helpful to small businesses since teams are often required to find ways to accomplish more with less.
Benefits of CRM
1. Better customer service
Modern CRM software is able to perform a number of capabilities, however, it was designed to improve relationships between businesses and customers, and this is the primary benefit. CRMs handle all your contacts and collect vital information about your customers, such as purchasing records, demographics, and previous communications across all channels. It allows access to everyone in your organization that requires it. It ensures that employees have all the information they require to know about your customer’s preferences and provides the best customer experience, improving customer satisfaction.
2. Sales increase
CRM software can help you improve your sales processes, develop a sales funnel to automate the most important tasks and review all of your sales data in a central place, which can help increase productivity and sales. In addition, a CRM can help you create an organized sales process that your staff can count on all the time, and you can easily modify it as problems occur.
3. Automate data entry.
With the help of a CRM, your employees will not have to take the time to record calls, email meetings, emails, and other interactions — all the data will be collected automatically and consolidated within the system.
A CRM also allows reps to update transactions according to their stage. Then the system will take care of the remainder (e.g., weighting, summation, or visualization) to make this process as effective as it can be for everyone affected.
3. Increased retention of customers
After you’ve gathered and turned leads into customers, it’s crucial to put in the effort to keep the leads as customers and encourage loyalty among your customers. Customer turnover is a major issue and can negatively impact your company, such as a decrease in income or disrupted cash flow; therefore, make use of your CRM and the data it offers about your customers to increase the likelihood of repeat business. In addition, the CRM can provide sentiment analysis automation of ticketing, support automation for customers, and behavior tracking to help identify issues and swiftly resolve them with your customers.
4. Detailed analysis
It’s one thing to have lots of information on your customers, but you have to understand what it is and how to use it. CRM software generally comes with analytics capabilities that allow you to contextualize information and break it down into actionable elements and easily comprehended metrics. Measures like click-through rate and bounce rates, as well as demographic data, let you evaluate the effectiveness of a marketing campaign and improve in line with the success of your campaign.
5. More efficient and productive
CRM software makes use of marketing automation technology that accelerates mundane tasks like drip marketing and allows the time of your staff to concentrate on tasks that only humans can do, such as writing content. It will also ensure that tasks don’t slip by the wayside (e.g., that all-important emails are sent to the correct individuals). Furthermore, CRMs can provide an overview to show how company processes are running and indicate where your workflow could improve.
Types of CRM
A well-functioning CRM can streamline and makes it easier for organizations to streamline their primary business procedures. Doing this can assist companies in generating leads, turning those leads into contacts, and providing the infrastructure needed to please and keep customers.
- Marketing Automation
- Service Automation
- Sales Automation
Analytical CRMs depend on the collection and analysis of data to enable companies to better serve their clients. Some examples of this data are the customer’s preferences, behaviors, and contact details.
- Data Warehousing
- Data Mining
A collaborative CRM connects the company’s sales, marketing, and service data to enhance synchronization within the organization and allow every department to better understand the customers’ requirements, desires, and preferences.
- Interaction Management
- Channel Management
Why do companies use customer relationship management software?
Businesses use customer relationship management for various motives; however, the main purpose is to improve customers’ experience and boost sales.
A CRM generally is best suited for purchases that are considered as well as service companies. For example, landscapers, fine jewelers, lawyers, realtors, accountants, and lawyers can all benefit from a well-designed CRM. B2B businesses, particularly those with longer sales cycles, such as SaaS, can also benefit from an organization that streamlines the business process.
One way to figure out whether your business could benefit from the use of a CRM is to think about the issues that CRMs are designed to resolve:
All of your customer’s information is within one system. Instead of distributing information to different departments, you can utilize a CRM platform to build one source of truth that all can access.
If customers frequently contact multiple individuals from your business, it’s simple to keep track of past interactions using CRM.
A CRM can assist you in monitoring the performance of your sales team. It can also assist you in creating a process or workflow to adhere to.
How Does CRM Make Sales and Marketing Easier?
A CRM platform can boost your marketing and sales without creating massive teams or blowing up advertising budgets. If your CRM platform is integrated with marketing and sales automated processes (like Keep), it can be used to create an engine for marketing and sales which takes sales to a new level.
Sales CRM software simplifies the selling process with increased visibility, prioritization, and follow-up.
A CRM gives you the information the sales staff requires to be effective. Being able to have all lead and customer information together makes it easy to transfer information between colleagues if the account owner changes. All information about a person or a business is easily documented and available.
As a sales rep, you can track exactly what leads have completed, which lets you personalize your interaction and guide them to the next step. For instance, you may notice that someone has been watching your overview video and then checking through case studies. You could encourage them to join the webinar or consult to get more information when you meet with them.
A CRM assists the sales team in prioritizing their outreach efforts using a score of leads, which determines the interest of a potential lead for your service or product. Leads with the highest lead score are promoted to the highest of the sales team’s priorities.
Your CRM may also be able to ensure that you are reaching out to customers promptly. Information about contracts that are approaching renewal dates or those who may consider purchasing a new service could be flagged to the sales department for follow-up.
Incredible follow-up (and increased sales) is possible through CRM. Automating follow-up for clients and leads You no longer need to keep the sticky notepads on your desk or duplicate the same email to each lead. Instead, your system triggers follow-ups at the appropriate time to create a unison customer experience and turn more leads into customers.
CRM with marketing
CRM in marketing can be revolutionary since it provides an array of powerful insights, individualization, and testing possibilities which ultimately result in increased sales.
Combining data in a CRM system makes it possible to look for patterns and discover information that leads to increased profits. For instance, a business can determine what traits are typical of their ideal customers and which have the greatest lifetime value. This lets you spend your advertising dollars in a more efficient manner and stop spending your money on prospects who are not likely to be interested in the service or product.
The insights you gain from your data could aid in increasing the amount of revenue you earn. For instance, if you find common purchases and you want to make bundles or packages to boost sales. In the same way, your data will reveal the time when customers are likely to purchase again. You can design follow-ups or offers to match with probable purchase timing.
CRM allows you to send the correct message to the appropriate person at the right moment a possibility. When your CRM is connected to a marketing and sales automation tool, it is possible to send texts and emails in response to a client’s recent actions.
Let’s say a customer who was not engaged in the past clicked on a link in an email you sent out announcing the launch of a new promotion. It might be helpful to label the person to be “re-engaged,” follow up by sending an email with an engaging customer story, and set up a time for your sales rep to contact them.
Testing for Improvement
Testing is the first step to making your marketing more effective. A well-designed CRM for marketing allows users to test nearly everything you can think of, including different promotional offers such as text messages and ads, as well as how often you call leads, etc. Instead of going with your intuition, the data you gather generated from tests proves which method is most effective in generating the highest ROI.
Best CRM platforms for eCommerce
1. HubSpot CRM
2. Zoho CRM
4. Act! CRM
CRM vs marketing automation
The CRM, as well as Marketing Automation systems, are based on data. They are focused on collecting data, storing, and utilizing data. For instance, marketing automation systems collect leads by contacting potential customers as well as current ones.
Particularly, marketing automation is designed to gather enough information to demonstrate intent and then hand the person over to sales as a qualified lead (MQL). A CRM solution takes over the place where the marketing automation solution was and will turn those leads who are qualified for marketing into contacts.