Using technology-enhanced customer contact, CRM is used to form appropriate marketing offerings that are aimed to nurture ongoing connections with particular customers within an organisation’s target market. Neither a product nor a service, CRM is a business approach for learning more about customers’ behaviour and expectations in order to build long-term connections with them.
Table of Content
Role of CRM
The following points discuss the role of CRM:
Effective cross selling and upselling
A large amount of customer data, such as purchase history, behaviour patterns, and preferences, is collected by CRM in order to identify their needs and create personalised offers that are likely to be highly relevant to the customers, thereby increasing not only sales and revenue, but also customer satisfaction with the service. For example, Coca Cola’s CRM. It promotes collaboration and deals.
Less routine task
Managing routine operations that make a modest impact to profitability but require a significant amount of time on a daily basis is where CRM shines. Instead, sales representatives may concentrate on closing deals and communicating with customers.
Furthermore, CRM is less susceptible to the “human factor,” making it more resistant to the various types of errors that can occur as a result of it. For example, Activision CRM connects gamers via social media websites.
Tracking and analysis
In addition, CRM is capable of collecting lead data, allowing you to determine the return on your lead investment. In order to maximise income, it identifies which lead sources generate the greatest money.
Sales forecasting, pipeline tracking and identifying client drop-off points, effective budget management, and other analytics capabilities are also available to customers. For example, Amazon CRM tracks customer purchases and browsing history to tailor marketing campaigns.
Build customer relationships
Today, the business’s primary focus has switched from acquiring new customers to retaining existing ones, or, more accurately, creating trust with customers has emerged as one of its most important jobs. CRM offers numerous chances for building a loyal customer base.
This tool captures customer information as well as information on each interaction with them, allowing for a more in-depth understanding of their needs as well as the provision of individualised service. For example, Myntra CRM and Amazon CRM track the history of customer purchases and highlight/notify products availability.
Multi-channel marketing
Today’s CRMs have multichannel marketing capabilities, which allow for the simultaneous execution of marketing campaigns across a variety of sales channels and touch-points, such as standard mail, email, mobile, social media, and the web, among other things. For example, VEEVA CRM
The prospect of promoting their brand across several social media platforms, particularly for small businesses (especially start-ups), can be overwhelming. When CRM software is used, monitoring and controlling the company’s social media presence is significantly more successful and time-efficient.
It allows you to follow any brand/product mentions and respond to them in real-time, as well as evaluate the response to social media efforts, among other things. CRM solutions may also monitor customers’ online activity, which is essential for discovering what matters most to them and creating commercial value from this information. For example, Skyscanner, @ZomatoCare, @spotifycares etc. perform social branding through instagram, facebook etc.
Optimised segmentation and targeting
CRM systems are capable of collecting and storing vast amounts of information. This allows marketers to segment their customers much more precisely based on numerous factors, ranging from geographic location to financial information to previous interactions, and so on.
Thus, messages and material sent to consumers are much more precisely targeted, resulting in an increase in reaction and brand loyalty as a result of the increased targeting. For example, Oracle CRM simplifies customer relationship management for businesses of all types and sizes.
Data-driven marketing
CRM provides marketers with data-driven insights, including the results of several marketing campaigns that are quantified in numbers and shown in a variety of charts and graphs. This information is required in order to allocate campaign funds and change resource allocations in an optimal manner.
Tracking conversions from specific marketing activities and campaigns is one example. It is unquestionably helpful in deciding which efforts generate the best return on investment and should be continued, and which efforts should be discontinued. For example, Salesforce Sales Cloud is a cloud-based CRM software that monitors customer information and interactions to follow more leads.
