Customer Relationship Management (CRM) refers to business systems designed to manage your customer interactions. Most commonly, a CRM system used by salespeople. The goal is to help you develop customer relationships, drive business growth and turns lead to customer and gain customer loyalty.

What is a Customer Relationship Management (CRM) System?

customer relationship management

A CRM system is an IT platform for storing all your customer data and interactions, generated across multiple channels. This might include contact details collected from your website, emails, calls, meeting notes, and your marketing. The beauty of this is that everything you need is in one place, giving you clear visibility of your sales pipeline.

Why you should use CRM?


In the business world, the importance of maintaining existing customers and expanding the business is essential. The costs associated with finding new customers mean that every existing customer could be important. The more opportunities that a customer has to conduct business with your company the better and one way of achieving this is by opening up channels such as direct sales, online sales, franchises, use of agents, etc. However, the more channels you have, the greater the need to manage your interaction with your customer base.

Customer relationship management (CRM) helps businesses to gain an insight into the behaviour of their customers and modify their business operations to ensure that customers are served in the best possible way. In essence, CRM helps a business to recognise the value of its customers and to capitalise on improved customer relations. The better you understand your customers, the more responsive you can be to their needs.

CRM can be achieved by:

finding out about your customers’ purchasing habits, opinions and preferences profiling individuals and groups to market more effectively and increase sales changing the way you operate to improve customer service and marketing Benefiting from CRM is not just a question of buying the right software. You must also adapt your business to the needs of your customers.

What benefit of CRM?


Implementing a CRM strategy is advantageous to both small, medium and large-scale business ventures.

Improved customer relations

One of the prime advantages of using a CRM is gaining better customer satisfaction. By using this strategic way, all dealings involving marketing, servicing and selling your products to your customers can be carried out in a systematic and organised way. You can also provide services to your customers in improved understanding of their issues or problems, and with this strategy, it can help in increasing customer loyalty and decreasing customer confusion and frustration. You can also accept continuous feedback from your customers regarding your services and products. It is also possible that your customers will recommend you to their colleagues and friends when you provide efficient services.

Increase customer revenues

By using a CRM strategy for your business, you will be able to increase the profits of your company to a great extent. Using the data collected, you will be able to popularize marketing campaigns. With the help of CRM system, the product promotions will reach to a different and brand new set of customers and not the only ones who had already purchased your product and thus effectively increase your customer revenue.

Maximize upselling and cross-selling

A CRM system enables up-selling which is the practice of giving customers premium products that fall into the same category of their purchase. The strategy also facilitates cross-selling which his the practice of offering complementary products to customers, by their earlier purchases. This is done by connecting with the customers and getting an idea of what their wants, needs, and patterns of the purchase. Then, the information will be stored in a central database, which is accessible to all company executives or salesperson. So, when an opportunity is detected, the executives can promote their products to the customers, thus maximizing up-selling and cross-selling.

Better internal communication

Following a CRM strategy helps in building up better communication within staff in the company. The sharing of customer data and information between different departments will enable you to work as a team. This is better than functioning as an isolated entity, as it will help in increasing the company’s profitability and enabling better service to customers.

Optimize marketing

With Customer Relationship Management, you will be able to understand your customer needs and behaviour. It allows you to recognize the right time to market your product. CRM will also give you an insight into the most profitable customer groups. By using this information, you will be able to target similar prospective groups, at the correct time. In this way, you will be able to optimize your marketing resources efficiently. CRM also ensured that you wouldn’t waste your time on less profitable customer groups.

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