CUSTOMER RELATIONSHIP MANAGEMENT
In every business, the very basic thing which plays a key role in the success of a business is their relationship with the customers. Customers are the one who is enjoying the services or consuming goods provided by the business. So, for the growth of every business, the customers need to be fully satisfied with the services or goods provided by the business. If the business is not able to maintain a healthy relationship with their consumers then the growth rate of that business is very low.
Nowadays businesses are using technology to maintain the relationship with the customers. Businesses are working more on their IT systems so they can reach their customers in no time. Customer relationship management is simply about learning more about the customers and finding the best possible way to serve them. Customer relationship management is a well-known business philosophy but it so depends on technology.
This article will help you to understand the advantages and disadvantages of CRM and the best way to implement it in your business.
How CRM plays a key role in the business?
The importance of retaining existing customers and attracting new customers is well known. Your existing customers will also help you to increase the number of customers if you are able to maintain a healthy relationship with them. If you really want to maintain a relationship with them then the very first step is to know their business and for it you need to know every detail of their business and how you can serve in every possible way by opening new channels to reach them. It will increase your interaction with the customers and it will increase their confidence in you.
For CRM you need to know :
- You need to be very clear about the habits, behaviour, preferences, opinions, likes and dislikes of the customers.
- Depict individuals and groups to market more effectively and increase sales
- Changing the way you operate your marketing and customer service so you can serve in the best possible way to your customers
Benefits of CRM
The presence of time and expense is involved in the process of implementation of CRM. However, there are many benefits of CRM.
The most important benefit of CRM is the development of healthy relationships with your customers which can lead to :
- There will be an increase in the number of sales
- The needs can be identified very effectively by understanding specific customer requirements
- The increase in the number of sales of the other products by suggesting alternatives or improvement
- It will help you to identify which of your customers is profitable and which are not
This could lead to better marketing of your products or services by focusing on:
- Effective changes in the way of marketing so you can directly target the needs of your customer
- Approach and development of new or improved products and services based on the needs to the customers so you can expand your business in the future
And, the above-mentioned things will lead to :
- The very thing you will achieve is customers satisfaction and retention and it leads to a good reputation of your business in the market
- Increased profitability with the help of profitable customers and finding cost-effective ways to deal with unprofitable customers
Once you know the art of retaining the existing customers then you only have to focus more on finding new customers and expanding your business. For expanding business you need to be aware of the needs of the customers. The more you know them the better ways you can find to identify the customers in no time. Even the best could be changed into something better than it was yesterday. Customers also want to deal with the best and keep adapting to new changes with time. Technology will be the one who helps you to know more about your customers.
As we talked about the importance of CRM in the growth of the business so now you must be thinking that how you can also adapt CRM in your business. Nowadays technology plays a vital role in everything so we can also improve CRM with the help of technology.
CRM solutions is divided into four categories:
Web-based CRM can be provided by the application service providers. If you want to implement a solution quickly then the outsourced solution is the best option. It is also best if you are participating in e-commerce.
For this CRM solution, consultants and software engineers will create a CRM system as you would tell them. So, be very sure about the things you need from your CRM system. This is the most expensive and time-consuming option.
Software companies also offer such kinds of packages that can be easily adopted by small businesses or those who are establishing themselves in the market. This is the cheapest option available in the market. But the disadvantage is that you have to compromise with some of the functions of the software and the software may not be able to provide everything you want.
This is an inn midway between the custom and outsourced solutions. This includes renting a customised CRM application as a tailored package. This can be cost-effective but you will not be able to enjoy all the functions of the application.
Implementation of CRM
The implementation of CRM is a six-step method. You need to be very active and careful during every step. From collecting information to make changes on the basis of information you have collected to improve your marketing skills are included in the below mentioned six steps:
Step 1: Collecting Information
The very first step is to collect information. You have to identify the customers who are profitable for your organisation and categorise them on the basis of their behaviour or needs. The businesses who have their own website or online customer service have a better chance as the customers enter their details while buying something.
Step 2: Storing Information
The best way to store and manage information is a relational database. Relational databases are the one in which all the systems will run from the same source and everyone who is using the systems will receive the up to date information.
Step 3: Accessing Information
Once the information gets collected then the information should be available in the easiest format for the staff.
Step 4: Analysing customer behaviour
The very important step is to analyse the information and identify the needs or behaviour of the customers. You can take the help of several different tools to profile them. It will help you to develop marketing strategies.
Step 5: Marketing more effectively
In every business, there are some customers who helped you to earn more money. Using CRM you can understand the needs of those customers and then you have to target those valuable customers.
Step 6: Enhancing the customer experience
If there are customers who help you to increase your productivity and make more profits then there are customers who just keep wasting the valuable time of your staff. If their problems could be solved quickly then the staff can utilize their time effectively in something more productive.
Potential drawbacks of CRM
There are chances that the implementation of CRM would not result as beneficial as you were expecting them to be. But behind the failure of this, there are several reasons. There could be a lack of commitment from people within the company. They are not working as they had to make it successful. In CRM if the staff is not working properly then there are chances that the relationship with the customers can be ruined.
Poor communication can also play a role in the failure of CRM. As we know that it is very important to collect the information but you need to be very clear about the information you need and how to use it.
Weak leadership is one of the major drawbacks of CRM. Weak leadership can create problems for any organization. As a leader, you need to be very sure about the plan or strategies. And if you are not then working again and again on your strategies or plan so it can be successful.
Trying to implement the whole method of CRM at the same time can be a major reason for its failure. Take one step at a time and do it correctly. Divide them into parts and be sure that every step needs to be successful for the successful implementation of CRM.
For more information contact us on given communication details, Email Id Swati@neusourcestartup.com and Phone Number 9540026175.
NeuSource Startup Minds is the paramount consultant of business management in Delhi, offers services like logo designing and website development and content writing. NeuSource Startup Minds provides a wealth of proficiency and best service in the IT sector as well as business registration with compliances, website development packages.
"Satisfied consistency in compliance leads to a healthy business.” Neusource luxuriates in furnishing all the compliances with the right way which helps you to grow with your business. If you have a zeal to build up your startups and you want to make it big then neusource is the perfect choice for your business