What Is CRM Software? A Definition of
CRM.
CRM software is an essential piece of
equipment for any company or organization that wants to achieve
the maximum return on their marketing, fully capitalize on
their sales leads and prospects, and cultivate ongoing,
lifetime relationships with their current and established
customers. By integrating all data about sales leads,
current customers, associated companies, and employees
throughout the various departments, CRM software enables
enterprises to seamlessly handle marketing, sales, and customer
service as a single package. Simply put, it's a way for
salespeople to make a plan and then work that plan!
Two fundamental elements of continued growth that many firms
overlook are the lifetime value of existing customers, and the
importance of retaining them. For most businesses and
other organizations, the costs associated with the acquiring of
a new customer or client are very high. In fact, for many
companies, getting new customers is the single largest expense
they incur. Convincing a skeptical public that your firm
can meet their needs, and do it better than competing firms, is
a tall order. Doing so requires spending large sums on
advertising, branding, marketing, and a sales force. Most
salespeople quit after the first contact, not because they
don't want to follow-up, its just that they can't remember! So,
knowing that it, over average, takes 8-12 contacts to close the
sale, how much is a company wasting by having their salespeople
do one call on a prospect when they KNOW it will take
more. In contrast, your existing customers have already
demonstrated a willingness to spend money on your product or
service, and they are far more likely to do so in the future
than someone who's never done business with you in the
past.
Satisfied customers who return again and again to use a
company's product or service are the foundation of a long-term
future for any business. The key to retaining their
loyalty is successfully managing your company's relationship
with them, and CRM
software is essential to this goal. By making each
customer feel valued, and demonstrating respect for their
decision to utilize your products or services, a bond of
loyalty is forged which draws the customer back again and
again. Automated customer relationship management
software makes it much easier and simpler to manage contacts,
inquiries, customer service requests, new orders, etc., from
current customers. Besides customer retention, gains in
efficiency from utilizing CRM software can also lower the
overall costs of handling these various functions.
CRM software is not only employed for retention and handling
of existing customers, but comes into play from the very first
contact with the prospect, sales lead, or new order. By
automating the process of funneling these contacts through the
sales pipeline, the software streamlines the handling of these
accounts and ensures that far fewer get lost in the shuffle of
day to day business. Callbacks and new mailings can be
scheduled and coordinated automatically, with much less risk of
human error. Data from phone inquiries can becaptured and
stored automatically. Customer order histories
and
price points are stored for use in planning future marketing
campaigns and for determining proper levels of customer
support.
CRM software is not an option, but a necessary and integral
part of any modern business that sees to maximize revenue and
continue growing as a business. The right CRM tools can be the crucial tool
that can enable a business to foster a more professional
image.
So you can further your knowledge of CRM software, we've put
together some articles and resources for you.
Defining CRM-A look at what
is CRM Software and how you can leverage it in your
business.
Buying a CRM
Software System-What features to look for and how to decide
between the myriad of options available to you.
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Your CRM Solution?
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Contact Manager?
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Utilizing
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CRM and
ERP in the Textile Industry
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