In today’s customer-driven environment, every business needs to focus on customer relationship. This requires firms to acquire sufficient information about customers and prospects. Also, the data has to be managed appropriately in order to extract relevant and timely insights. A Customer Relationship Management (CRM) is the software solution that not only helps in collecting the much-needed customer data but also helps in managing it to derive actionable insights, which can be the key to the company’s long-term success.
The valuable information extracted from the customer data can be used to offer personalized sales and service to the customers, which in turn boosts the conversion and retention ratio. As such, an efficient CRM solution can help a company to maximize its revenue and profitability. Discussed below are some of the significant benefits and advantages of CRM.
CRM records every interaction with each customer. It helps in tracking a customer’s history with the company while gathering specific information from multiple interactions. The explicit information about the customer’s needs, choices, and preferences can be utilized by companies to identify valuable insights. These insights can help the customer service personnel to improve their efficiency as they can now provide a much better service by offering personalized solutions. As such, CRM helps the organization to store, manage, and utilize customer-information to forge a deeper relationship with customers.
When accurate data is keyed into the CRM, all employees can remain up-to-date about a customer latest interaction with the company. As multiple departments are usually involved in solving a customer’s issue, the CRM helps the involved employees across departments to work as a team and deliver the best solution to the customer. Having all the details about a customer on the finger-tips can empower the employees to maximize their efficiency in dealing with the customer’s issue and provide an apt solution with minimal delay.
Managing the leads across multiple touch-points is one of the important advantages of a CRM. The sales team can keep track of all the leads coming in from various marketing campaigns that are being run on different channels. Using the CRM, the sales personnel can easily manage and control the lead volume as they do not have to track each lead and its source manually.
A CRM also provides the option to list-down and qualify the leads based on various parameters, such as urgency-level, convertibility, etc.
Following the vetting process, the leads can be swiftly assigned to the sales personnel for further qualification. Subsequently, the sales managers can also use it to figure out what interaction each lead is having with the sales member, which can help them to close the deal at the right time.
5.Advanced Sales Analytics
Compared to a spread-sheet, a CRM can provide deep insights through powerful analytics that can optimize the sales activities. The platform enables sales leadership to make informed decisions by being able to analyze and extract critical insights. These sales insights could range from finding the best geography, and demography for sourcing the leads, to finding the ideal campaigns to target them.
Through deeper analytics, they can also identify the specific customer set of customers giving the maximum revenue. Moreover, the analytics can also be used to measure the performance of individual sales member. All this information put together can help the company-leadership make informed business decisions – right from setting realistic sales targets, to deploying the right strategy to achieve those targets.
By investing in CRM software, companies can drive increased returns in the long run, as the benefits are bound to outweigh the costs. Minimal paperwork, and reduction of hours of manual work are one of the ways in which companies can be able to reduce tangible costs. Similarly, quicker access to the right information, improved decision making, enhanced customer experience, etc., are some of the crucial factors that can add up to the intangible savings.
8.Minimal Customer Attrition
It has been found that when customers are engaged only with the front-line service personnel of a company, the risk of attrition is huge. However, with a CRM in place, many more members across the teams are involved in the process of building and managing the customer relationship. The increased bandwidth offered by the company in terms of service and response not only minimizes customer attrition but also boosts overall customer engagement level multiple times.
In addition to these benefits, a CRM can also help in improving customer prospecting, as well as cross-selling opportunities, which can add huge value to the business and also increase the company’s profitability.