Let’s talk about CRM, you may be thinking “Not another marketing-related acronym!”, we’ve already got the likes of SEO, PPC, SMO, SMA, KPI, ROI, CTR, CTA, UX, the list often feels like it goes on forever. Fear not, we will work with you to demystify these endless acronyms in our blog posts, but for now, let’s dig deep into CRM.
What is a CRM System?
CRM stands for Customer Relationship Management and is vital for retaining customers, converting prospects and analysing sales and marketing data. There are so many tools available that it can often feel overwhelming when it comes to choosing one, it’s important to remember that the right one for you completely depends on your individual business, it’s definitely not a ‘one size fits all’ kind of game.
Having a good CRM tool in place means your sales and marketing teams can utilise it for business growth and smoother processes.
Improve your relationships with your existing customers
Establishing an effective and positive customer experience relies on a robust CRM system. With it, you can maintain customer engagement, stay informed, and improve your overall customer service. Remember, acquiring new customers can cost 5 to 25 times more than retaining existing ones, therefore giving some TLC (yet another lovely acronym) to your current customer base is never a bad idea.
Understanding your data and learning from it
Here’s a snippet of information you can gain with a good CRM system in place:
- Customer interactions: Being able to easily view all essential customer interactions and engagements with your business in one place can help in streamlining your communication. As well as being able to learn what channels your customer base like to contact you on, whether it be emails, phone calls or social media.
- Sales performance: You can create dashboards and / or reports containing metrics related to your sales pipeline, such as the number of leads, conversion rates, and your average deal size.
- Forecasting: Make predictions based on past data to anticipate future sales and customer behaviour. As well as this data being helpful for assessing and improving your sales approaches, it can also help shape your marketing strategy when you have a better picture of what’s to come. As an example, if you learn that the month of January is a quiet month for incoming leads, you can tailor your marketing strategy to consider this and have a better chance at generating leads.
- Customer segmentation: You can set up your CRM to automatically segment your data based on demographics, behaviour, preferences and much more. By doing this, you can learn an awful lot about your customer base, as well as be able to create extremely targeted campaigns that have a much higher chance of converting as your audience will receive information that is far more likely to be in their interest, whether it’s prospects or upselling to existing customers.
- Marketing campaign results: Gain insights into how well your marketing efforts are performing, including email open rates and conversion rates. You can also conduct A/B testing to compare the performance of content to see which appeals to more of your audience, again, helping you shape your ongoing marketing strategy.
- Customer lifetime value: Estimate of the total revenue a customer may bring over their relationship with your business.
- Customer service metrics: To further improve your customer service, you can learn from statistics on response times, resolution rates, and customer satisfaction scores.
- Churn rates: The churn rate measures the percentage of customers who discontinue using a company's products or services within a chosen timeframe. It's a key metric in CRM as it highlights any customer dissatisfaction, revenue loss, and the importance of retaining clients. A high churn rate may indicate problems with product quality, customer service, or market competition, prompting your business to take corrective measures.
Choosing a CRM system
You may already have a CRM in place, which is great but it’s always good to think about what you could do to improve it. If you haven’t got one or you are considering a new system, there are several crucial factors you should consider first.
- Business needs: Identify your specific business requirements and goals. Consider factors such as sales pipeline management, customer support, marketing automation, and analytics.
- Ease of use: Choose a CRM platform that is user-friendly and intuitive. It should be easy for your team to navigate and use effectively.
- Customisation options: Look for a CRM solution that offers customisation options to tailor the system to your unique business processes and requirements.
- Integration capabilities: Ensure that the CRM integrates seamlessly with other tools and software your business uses, such as email marketing platforms, accounting software, and e-commerce platforms.
- Scalability: Consider your future growth plans and select a CRM system that can scale with your business needs.
- Data security: Data security is paramount when dealing with customer information. Choose a CRM system that prioritises data security measures such as encryption, access controls, and regular backups.
- Customer support: Evaluate the level of customer support offered by the CRM provider. Ensure they offer timely assistance and resources to help you get the most out of the system.
- Cost: Consider the total cost of ownership, including subscription fees, implementation costs, training expenses, and ongoing support fees. Choose a CRM solution that offers value for money based on your budget and requirements. There are free CRM tools available, such as HubSpot, which may be enough to support your business, but ensuring it meets your unique business needs is a priority.
How can wizard pi help you?
We have recently launched a new Marketing Management Consultancy service. As part of this service, our consultants can guide you in harnessing the power of CRM to improve your customer relationships, drive growth and achieve your business goals successfully. We can help demystify these endless marketing acronyms, ensuring you benefit from expert guidance and strategic insights to elevate your marketing.
Our monthly package includes comprehensive marketing reviews, featuring either two one-hour meetings or one intensive two-hour session. Following each consultation, you'll receive a detailed report outlining actionable outcomes tailored to your business needs. Expect an updated monthly marketing plan, key action points, competitor analysis, recommendations for internal CRM management and processes, and responsive support. In essence, your marketing consultant will act as your internal (yet external) marketeer who communicates your plans and ideas with the wider team at wizard pi for a seamless execution of your marketing strategy.
If you’re interested in finding out more about this service, just fill in this form here.
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