+No this is not a disease or the latest type of mixed martial art. CRM stands for Customer Relationship Management. The term CRM is often universally used interchangeably to describe a form strategy for managing client relationships and the software & technology that enables this process.
Most commonly CRM is principally aimed at managing the sales process. However properly incorporated it can be used to automate and organize many aspects of business process management (BPM). These areas include technical support, customer service and marketing.
The benefits of implementing a good CRM system include the following:
- Creating a streamlined and automated sales & marketing process
- Dramatically lowering overhead (this can be storage costs, office supplies and labor hours)
- Increasing the value of each client through easy up-selling and cross promotions
- Increased and streamlined communication (both within your organization and with your customers)
- A higher level of efficiency
- Simplified methods of analyzing performance and metrics
- Ease of launching into new markets
- Higher level of customer loyalty and repeat business
- Security
- Increased speed for changing business processes & marketing initiatives
Clearly those businesses that do not have a formal system for CRM are at a huge disadvantage to those that do. And it is obvious that that difference can mean the difference between make or break or mom & pop and being the next Bill Gates.
Over the last 10 years there has been a huge surge in the CRM business with dramatic advances in software and technology that have changed how the world does business. In fact a whopping $11billion is expected to be spent on CRM in 2010.
Some industries have seen a slew of never ending new developments and options for tackling and solving customer relationship management. This has often left those searching for a solution bewildered as to which direction they should go in. The last thing you want to do as a manager or business owner is spend good money on something that is actually going to slow down your business and make it more complicated. Sadly many of these CRM programs have appeared this way and have gone unused after companies have spent thousands and tens of thousands of dollars on them.
Clearly implementing a good customer management solution is essential to the survival and growth of your company, but in your search making sure you are moving ahead with a an easy to implement and use solution is crucial. Perhaps the best way to do this is first layout the goals you wish to achieve from your CRM and make sure whatever you choose as your solution ticks all the boxes.
Adeline Grosrenaud
Freelance Blog Writer