Customer relationship management (CRM) is more than a term for a powerful technology platform; it’s a philosophy with an emphasis on the word “relationship” at its heart.
CRM software is used to court, cultivate and celebrate the customer relationship by providing organizations with valuable data and visibility into client relationships.
Here are five ways good CRM software helps organizations that value their client relationships:
1) Stay in front of your customers:
Remember the incredible power of staying front-of-mind. CRM software helps firms keep clients engaged and informed. Whether you’re looking to keep existing customers captivated or want to nurture a lead down the path to becoming a customer, CRM helps you manage those relationships so that you stay on their mind without being intrusive. In addition to keeping clients updated on the status of an order or service inquiry, CRM is useful for personalized marketing as well. For instance, you could reach out to customers with new product updates related to their previous purchases. Of, if you see a lead has watched one of your webinars or engaged with other marketing content, you could use your CRM software to send that lead more related materials.
2) Look up customer history:
For a business, having insights into historic customer buying patterns often helps to boost sales. A CRM system such as Microsoft Dynamics CRM allows users to use predictive analytics for assessing what a customer bought, how much they purchased and when. Good data informs tactics, such as promotions that could influence customers’ future purchases.
Additionally, historic customer data is useful for customer service. If you noticed that a client places a significantly smaller order than usual, you could reach out and ask them what has changed. The more you know about your customers and their habits, the better customer service you’ll provide.
3) Manage quotes and proposals:
Attempting to keep track of quotes and proposals can be confusing. If you offer multiple quotes and proposals to customers or prospective clients, keeping everything straight is difficult without a good CRM system.
It’s valuable to have a platform that not only allows you to generate, send and manage your quotes and proposals, but also provides visibility into your entire sales funnel. For example, if you want to follow up with every unanswered proposal after one week, your CRM system should be able to flag any proposal that meets that criteria.
4) Track customer events and milestones:
Rather than trying to sort through your email inbox manually to organize and prioritize dates and events, a good CRM system automates this process.
When you tell a client you’ll call them to follow up on the first of the month, your CRM system should make note of that date and set up a reminder in your calendar.
If you’re running an online marketing campaign and a prospect becomes a lead by registering for a free demo, your CRM should make note of that milestone and have a record of that prospect’s previous touch points or interactions.
5) Retain your most profitable customers:
The ability to retain customers is what makes or breaks many businesses. According to statistics highlighted in a Forbes report, a 5 percent rise in customer retention can lead to a 75 percent increase in profitability, and 80 percent of a company’s future revenue will come from 20 percent of its current customers.
CRM software offers valuable insights into profitability. For example, if you know 10 accounts were responsible for a significant portion of your annual revenue, you could be more proactive in working to retain those customers.
A system such as Microsoft Dynamics CRM provides users with visibility into the specifics of each client relationship. Identifying key variables such as purchasing patterns, frequency of service calls or product usage gives companies the ability to anticipate client needs.
By spotting troubling behavior early — smaller orders, increased service/maintenance calls, etc. — you’ll have the insights necessary to get in front of smaller problems before they snowball into bigger ones that could cost you the account.
As your organization grows and gains more clients, a good CRM system becomes increasingly important in helping to effectively manage your client relationships.
Get specific answers to any questions you have about bringing CRM software into your organization. Speak with an Admiral CRM expert today to assess your technical needs and explore your options.