CRM combines business strategies, software & processes helping businesses build long-lasting relationships with their customers. It mainly stands for ‘Customer Relationship Management, and it is a software system that allows business owners to track all communications and nurture relationships with their leads & clients. A CRM system can replace several spreadsheets, databases, and apps that many businesses keep together to track client data. CRM leads to better efficiency, organizational time management, enhanced productivity, and happy clients.
Platforms like CRM connect the entire data from sales leads and customers in one place and consolidates all communications (be it calls, text messages, emails, meetings, or form fills), purchases, quotes, documents, and tasks associated with each client and lead. Businesses can allow their entire team to access those details at the right time to close a sale and deliver exceptional service successfully.
What does a CRM system do?
Both small businesses and large businesses eventually need a CRM system to find a place to store information accessible across multiple devices or to manage customer interactions better and focus on enhancing customer satisfaction. A cloud-based CRM allows to:
Get instant answers to basic queries: A CRM system is helpful to get quick answers to basic questions like, “What’s the number of current customers? Or How many customers did the business gain/lose in the last quarter? Or Who closed most deals? Or What was the revenue last month?”
Check incorrect data entry: Often, lousy data results in bad decisions, and this happens when there is inaccuracy in data entering into the system. However, a CRM system can be helpful here, and it can prevent the inflow of incorrect information by having a validation scheme with automated data entry.
Connect with customers & prospects: Customers can come from multiple mediums, like social media, websites, phone calls, etc., and with a multi-channel communication system, it is possible to bring them closer to the business. A CRM system allows covering all the customer touch-points relevant to the selling process.
Personalizing marketing efforts: The marketing efforts won’t be helpful if the business methods fail to attract prospects to try the service. CRM allows personalizing tasks like sending out newsletters, promotions, etc. Personalization ensures that it connects well with each customer on a personal level.
Brings teams together: CRM enables sharing of real-time customer information among the teams, transforming the way customer needs are served.
How does the CRM system work?
CRM systems consist of functionalities that enable users to track customer and company interactions via different channels. As mentioned above, these channels consist of emails, contact forms, phone calls, and more. A CRM system offers the sales & marketing teams tools to manage the entire sales & marketing funnel, from the lead qualification to forecasting, opportunity management, and deal closure. An efficient CRM system allows customer service teams to manage the customer requests and automate service operations by following the pre-defined processes for customer care excellence.
These solutions come packed with tracking functionalities that record several customer interactions online. Additionally, CRM automates the routine processes and offers tools to the managers that enable monitoring and measuring of the company’s performance & productivity. For instance, a CRM system reminds us of tasks that must complete within a stipulated time frame. Businesses can even make it perform pre-scheduled activities, such as sending emails and making phone calls.
All the activities performed with CRM are recorded, giving enough time to make effective action plans to close any potential sale. Some CRMs even offer analytics capabilities, enabling users to track the efficiency of several marketing efforts in generating leads & conversions.
Key Benefits of CRM system in sales and marketing
With the help of a CRM platform, it is possible to increase your sales and marketing without building big teams or over-consuming the advertising budget. Integrating the CRM with sales & marketing automation makes it possible to create a Sales & Marketing engine and take sales to an entirely new level.
Sales: Sales CRM system streamlines the whole sales process with enhanced visibility, prioritization, and follow-up. It results in:
It increases visibility: CRM system results in increased visibility, significantly benefiting the sales team. After all, having all the customer and lead data in one place allows easy hand-offs between teammates if the account owner changes. That way, complete information about an individual or a company is well-documented and accessible.
A sales representative can even keep tabs on leads’ activities to personalize the conversion and urge them to take the appropriate next step. Also, the CRM system, integrate with VoIP telephone systems, enhances visibility for inbound calls. Hence, as a lead calls a salesperson, their phone number is recognized, and their records instantly appear on the screen of the sales representative.
Besides, CRM also enables greater visibility, and it allows a sales manager to track the activities & performance of individual sales representatives and monitor the entire sales pipeline.
Allows sales teams to prioritize better: A CRM system allows the sales team to prioritize their outreach efforts via lead scoring better. Lead scoring is helpful to calculate a lead’s interest in the product/service, and leads with the highest scores are pushed to the top of the sales team’s tasks. The system also allows for prioritizing the outreach to customers. Hence, the sales team’s follow-up can mark the records with imminent contract renewal dates & customers who seem most interested in a new service/product.
Excellent follow-up a CRM solution: CRM allows to automate follow-up with leads & clients. Hence, there is no need to manage sticky notes on your desk for reminders or copy-pasting the same email to every new lead. The CRM system carries out the follow-up at the right time, creating a consistent customer journey and converting more leads into clients.
Marketing: CRM can be a game-changer in marketing, as it allows excellent insights, personalization, & testing opportunities that ultimately result in more sales.
Find insights that result in higher profitability: A CRM has consolidated data, making it possible to analyze patterns and find insights resulting in increased profitability. For instance, it allows businesses to evaluate common characteristics in the ideal customers with the most significant lifetime value. This way, the advertising money can be spent more efficiently, preventing the budget from spending on leads not likely to be interested in the service or product. Data insights also allow for increasing the revenue. For instance, by identifying the common purchase combinations, you can create packages/bundles to increase sales. Same way, the data insights can tell when these customers are more likely to repurchase so that the follow-up can be planned accordingly.
Personalization: CRM system allows to send proper messages to the right person at the right time. When the CRM is integrated with sales and marketing automation tools, it is easier to send text messages and emails based on customers’ recent actions. The data in the CRM database can be helpful to forge deeper customer relationships.
Improve the marketing efforts via Testing: Testing is crucial to up the marketing game. A CRM system integrated with a marketing module is excellent at testing anything, like ads, text messages, promos, or how frequently to make calls to a lead. Hence, it can immensely improve the marketing game of any business.
Why do businesses prefer a CRM system?
Over the years, the CRM system has successfully placed itself as a great technological asset that businesses like to invest in. Owing to the prominence and the ease it delivers, a CRM system is preferred by most companies today. After all, this system has something to offer to businesses, be it small or big. It helps increase sales and marketing returns and helps cut down on costs.
How can businesses use a CRM system?
The best attribute of a CRM system is that it is easily customizable to meet specific needs of any type or size of business, be it large enterprises, startups, or verticals. They can all utilize a CRM system to increase their sales, marketing & customer support efforts.
B2B: These companies can immensely benefit from a CRM system as it allows them to manage an account’s contact information and stay up-to-date with business reports, deals, and payments. CRM system enables the B2Bs to create a common platform that keeps their vendors, partners, and other business stakeholders in sync.
B2C: B2C has a shorter customer life cycle, and these companies usually need a straightforward solution and consume less time. A multi-channel CRM tool with functionalities like marketing automation, lead management, sending out instant surveys, etc., allows the B2Cs to reach out to their customers quickly.
SMBs: Often, it is said that a cloud-based CRM solution is expensive and complicated for SMBs. However, that is not a misconception. Even small and medium businesses can utilize a CRM system to better compete with the more prominent players in the market.
Enterprises: The CRM functionalities like advanced analytics, workflow management, sales & marketing automation, and territory management, help in reducing the time spent by sales representatives in routine tasks. It allows them to dedicate their time to their customers and other vital tasks.
Hence, every business can greatly benefit by utilizing a CRM solution. If you are looking for a CRM solution for your business, we at EmizenTech can help you get an efficient CRM solution that best serves your business needs.