Article

William Yates
William Yates 21 July 2015

Customer Relationship Management: What Are The Benefits?

RM should not be seen as a purely IT solution, because truly successful CRM is built on a solid sales and marketing strategy.

Customer relationship management (CRM) systems are highly effective in both day-to-day customer management and relationship building with existing customers, as well as the acquisition of new prospects and customers.
 

 

Many CRM systems are web-based and are reliant on technology, but CRM should not be seen as a purely IT solution, because truly successful CRM is built on a solid sales and marketing strategy.
 

It is more about your company customer relationship philosophy rather than your enterprises’ technical systems.



Building face to face contact
CRM systems save time, money and headcount by allowing both Inside and Direct Sales teams to automate day-to-day relationship building through low-level marketing communication activity such as automated email sales contact.
 

This low-level CRM automation means these teams have more time to engage in higher level relationship building and customer acquisition through face to face contact or personal phone calls. But CRM automation also delivers even greater benefits.


Improving customer insights

When properly configured, CRM systems can track customer behaviour, helping build valuable buyer personas in your data systems, and helping you know your customer better, and allowing you to offer ever-more insightful responses to their needs. With CRM you can:

Track customer purchase patterns and preferences

Profile individuals and groups to target more effectively

Improve customer service and meet changing needs


CRM ROI: does it all add up?

Buying or subscribing to a CRM system, and setting it up can be costly and time-consuming. It is therefore essential that when set-up and implementation costs are identified, that either new or improved revenue streams are calculated as part of the business case.
 

It is also important to engage specialist help to install and set up the system and train sales teams in order to optimise system performance. This can be done with help from an experienced digital marketing agency. A well optimised system will:

Increase sales volumes through predictive analysis of historic sales trends

Deliver a clear understanding of specific customer requirements

Enable cross-selling and up-selling through historic sales analysis

Allow accurate measurement of individual customer profitability



Better customer services

This closer, more accurate understanding of customer behaviour and their needs means you can now target existing and potential customers with buyer persona-specific personalisation and personalised offers.
 

This will not only help increase sales volumes and profitability, but will improve customer retention and in so doing, improve sales function efficiency by lowering costs per customer.


CRM and increased market share

While achieving a greater understanding of customer behaviour and customer needs through data driven personalisation and sales, the development of this large body of buyer personae and buyer behaviour data, also gives you the key to further market development.
 

Finally, the data you use to better serve your customers can also be used to develop more targeted marketing communications, helping you target new customers with offers you know they want, because your CRM data is now able to tell you just that.

Original Post Here

Please login or register to add a comment.

Contribute Now!

Loving our articles? Do you have an insightful post that you want to shout about? Well, you've come to the right place! We are always looking for fresh Doughnuts to be a part of our community.

Popular Articles

See all
Set Your Data Free With Web3

Set Your Data Free With Web3

In the first of our series of pieces looking at the top digital trends of 2023, lead web developer, Craig Wheatley, discusses what the current state of owning our own data is and how Web3 is revolutionising how it can...

Candyspace Media
Candyspace Media 1 February 2023
Read more
7 Reasons Why Social Media Marketing is Important For Your Business

7 Reasons Why Social Media Marketing is Important For Your Business

In the past two decades social media has become a crucial tool for marketers, enabling businesses to connect with potential customers. If your business has yet to embrace social media and you want to know why it is...

Sharron Nelson
Sharron Nelson 29 February 2024
Read more
How to Review a Website — A Guide for Beginners

How to Review a Website — A Guide for Beginners

A company website is crucial for any business's digital marketing strategy. To keep up with the changing trends and customer buying behaviors, it's important to review and make necessary changes regularly...

Digital Doughnut Contributor
Digital Doughnut Contributor 25 March 2024
Read more
The Impact of New Technology on Marketing

The Impact of New Technology on Marketing

Technology has impacted every part of our lives. From household chores to business disciplines and etiquette, there's a gadget or app for it. Marketing has changed dramatically over the years, but what is the...

Alex Lysak
Alex Lysak 3 April 2024
Read more
Five Ways to Gain Maximum Return on Your Videos

Five Ways to Gain Maximum Return on Your Videos

Without question, our collective appetite for video is fuelling more video-centric experiences online. Video’s ability to impart both emotional and practical information makes it a win-win for brands and consumers...

Juli Greenwood
Juli Greenwood 2 July 2024
Read more