Customer relationship management (CRM) is a hot topic in the sales industry. But sellers may not even understand why. The more knowledge a seller has, the more effectively they can utilize CRM to retain clients and even attract new ones.
What Is Customer Relationship Management?
All sellers should know that a customer relationship needs to be nurtured; post-sale customer service is vital for retention. This is where a CRM tool comes into play.
“CRM helps businesses build a relationship with their customers that, in turn, creates loyalty and customer retention,” explains Jason Kulpa for Forbes. “At its core, a CRM tool creates a simple user interface for a collection of data that helps businesses recognize and communicate with customers in a scalable way.”
Despite the buzz around customer relationship management (CRM), sellers still haven’t mastered these systems. SalesFuel’s Tim Londergan reports that “22% of salespeople don’t know what a CRM is.[And] Incredibly, 90% of companies have some type of a CRM system, but only 45% of organizations use this tool to store their leads and customer data.”
Why Do Sellers Need to Optimize Customer Relationships?
Sellers who utilize a CRM system have many advantages over those who don’t. One of the biggest benefits they offer is knowledge.
As Lestraundra Alfred notes for HubSpot, “Using a CRM would give you access to valuable customer trends and information…” With these insights, you’ll have a detailed look at how you’ve engaged with clients.
Every interaction will be logged in the customer relationship management system, so you can keep track of what’s been discussed and what the next step should be.
You’ll also have a record of why and how customers use your solution. You can pinpoint trends, helping you anticipate their needs as well as those of future clients.
Plus, being more organized allows you to deliver better service. You’ll be sure that each call is returned and every question or inquiry is answered. You’ll know what the clients want and can deliver promptly. An effective customer relationship manager also helps sellers stay organized.
Effective use of the customer relationship management system also helps sellers stay organized. “From sales processes to marketing campaigns and business analytics as well as customer data, CRM automates and streamlines these processes for businesses,” writes Kulpa. “This allows the businesses to organize these processes into simpler, easier to understand data.”
And you’ll find that productivity increases, thanks to streamlined customer relationship management. You’ll spend less time managing your notes and insights when you let the customer relationship management system do the work.
“All of your administrative tasks — such as manual data entry, hunting for email chains, recording conversations, and saving contact information — will be simplified with the implementation of a CRM,” Alfred points out.
Consistency and Credibility
Using a CRM tool also allows for consistent communication with clients. This is vital because each touchpoint is an opportunity to offer value and build a relationship. Sellers must make the most of the opportunities each communication offers.
Doing so also drives trust and nurtures credibility. Providing consistent communication keeps clients informed and reveals the seller to be reliable. You’ll be able to provide continuous support and engagement, improving retention rates and cross-/up-selling opportunities.
Influence New Business
Effective customer relationship management also has a positive impact on new business. Satisfied customers can help inspire others to embrace your solution. A happy client will be more likely to offer testimonials, reviews and recommendations. These actions can drive awareness and boost your credibility, leading to increased leads.
If you aren't familiar with customer relationship management systems, or any digital tools, start by taking a look at this guidance. It takes some thought to choose and use digital tools, so make sure you are knowledgeable.
You’ll find that your efforts pay off once you’ve adopted a CRM tool. From increased productivity to improved retention, embracing the benefits of customer relationship management can do wonders for your business and keep you ahead of the competition.
Photo by Andrea Piacquadio