As of today, there are very few entrepreneurs who don’t know about the existence of CRM‐technologies, their functions and tasks. The market is already quite well informed about CRM‐products and their producers. However, the primary and logical question, which is raised by the heads, is about the expediency of CRM implementation and the economic benefits that will get their business.
Of course, not all commercial activity is identical. Some kinds of businesses gets truly magical impact using CRM‐system, while others don’t get any appreciable advantages. When does the CRM‐system work best? The greatest effect of the implementation of CRM you will get if:
- Your sales managers have to actively search for new customers and constantly work with existing ones.
- You have long sales cycles i.e. the client doesn’t spontaneously buy your product, but spend some time to take a decision and to agree various conditions.
- Your clients require an individual approach.
- Each employee works with a large number of clients and the details of each of them is difficult to keep in memory.
If you encounter with it every day – then consider that the CRM‐solution is almost a must have for your business. Let’s take a closer look at the benefits you can get by the implementation of CRM.
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Increase of profit. The sales manager has full information about the customer and sales history, therefore he can offer the customer exactly what he needs. Also with the help of the system it is possible to filter out the unwanted deals in the earlier stages of sales, thereby saving the time of manager for processing prospective orders. This increases the amount of deals and the speed of conclusion of a deal.
Increase of exactness of sales forecasting. Statistical information allows to estimate the probability of conclusion of the deals and to predict the speed of passing the sales funnel, which allows you to effectively manage the cash flow of the company.
The probability of the deal conclusion increases. Automation of the sales cycle and spreading a better experience on all sales staff increases the percentage of successful deals. The knowledge base on the standard questions of clients and their answers, the knowledge base on the weak and strong sides of the competitors work allows even a novice seller to work with the client effectively.
Reduction of costs. Automating the sales process helps to automate routine operations (such as the drawing up reports, contracts, budgets), process of control and management of sales department. Also, the system enables to more accurately define target segments of clients, understand their needs and personalize your products and services for these segments.
Increase of employee productivity. Management of capabilities, calendar planning and tools to work with contacts help to use the working time effectively.
Decrease of staff turnover. The employee can relate his achievements with actions of other employees, get information about bonuses, both past and future, and to figure out how to do better by focusing on more valuable deals. The system gives employees confidence in the fact that the received fee does not depend on personal relationship with the heads, but depends only on the quality of his work.
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Improved marketing activities. Marketing management is improved through the use of planning, development, management and implementation of marketing campaigns, as well as market analysis.
Directional marketing. Advertising campaigns have more accurate directivity and focus on the right client sample. Profiles of clients are based on all the data collected in the campaign (e.g. payment preferences, sales cycle and frequency of purchases).
In customer support
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Reduction of costs on the support service. Cost reduction occurs at the expense of automation of routine operations, the use of the knowledge base of customer requests, automation of control of requests. Implementation of the CRM‐system reduces the response time for client request.
Improvement of the service quality. Complete information about the client allows more accurately identify the category of a request and accurately determine the necessary resources to solve the problem. There is no need to switch to other representatives of support service in the process of conversation with the client. Good service gives the client a positive experience with the company, increasing the desire to continue cooperation with it and to purchase additional products.
Increase of client’s satisfaction. The client knows that your company always accurately and timely provides information; maintains regular contact with him; always on time and qualitatively solves problems. When any person in the company has complete information about the interaction with the client – it is very convenient for the client and for you.
Support service can bring profit. When the client contacts to service department – it may be a good chance to make an additional profit. After the client’s problem is solved, it is possible to offer him some new products or services (cross-selling and up-selling).
It is difficult to give a definite answer to how quickly the implementation of CRM‐system will provide economic return. In general, this speed depends on the maturity of the business processes in the company. For example, if the company’s business is built rationally, but there are some problems in sales or document management, the using of system will provide an almost immediate effect. In any case, if the company implements CRM, then it begins to work on the principle of client orientation, and such an approach always entails the growth of service quality, increasing of customer loyalty and thus increasing of sales.
In SoftwareGarage we know everything about CRM‐solutions. Feel free to contact us and ask your questions.