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Do You Actually Need Customer Relationship Management (CRM)?

Customer Relationship Management
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The age of digital marketing brings new heights of advertising for brands. Companies are competing to see who can create the most exciting marketing campaigns of all time. This is a great advancement indeed for the business owners indeed, if the resulting awareness has anything to say.

However, many brands struggle to dive deeper into the marketing funnel below the awareness. This is because small brands tend to forgo the most important part after the advertising, namely building relationships with the customers.

This is where CRM marketing becomes the unsung hero of conversion rate. CRM pushes the audience to actually consider buying the product, as well as giving the last incentives people need to make a purchase. In today’s article, we’ll talk about the magic of Customer Relationship Management systems in making conversion come true, and how impactful the use of Customer Relationship Management software can be. But also, answering the biggest question for all new business owners. Do you need to spend a budget on CRM software for sales?


What does CRM do?

At its core, CRM is your business’ assistant, memory bank, and personalized sales rolled into one. It helps you keep track of every interaction with your customers, from the first “Hello” to the final “Thank You.” Whether it’s a casual chat on social media, a transaction on your website, or a heartfelt email, CRM ensures that no detail slips through the cracks.

To run all these amazing tasks at once, a Customer Relationship Management specialist often utilizes specialized CRM tools. Great CRM tools will be able to perform automation messages across platforms while simultaneously sorting through thousands of customers’ databases.

The basic service of CRM usually covers an automatic e-mail to customers right after they register their e-mail address. The e-mail ranges from promotional messages, reminders, celebratory e-mails for your birthday, and even newsletters. More advanced Customer Relationship Management software even offers personalized in-app messages and cross-platform database sorting.

CRM – Concept (Sumber : Cyberhoot.com)

CRM systems are like the magical diaries of business, holding the secrets to customer preferences, purchase histories, and even the occasional complaint about too much peppermint in the holiday special latte. CRM doesn’t let the leads from brands go to waste. Instead, they cultivate relationships with potential leads and turn them into actual customers, which translates into more sales for the brands.


How Customer Relationship Management Systems Help Businesses to Thrive

To clearly understand how sending e-mails and notifications can lead to sales, let’s thread on the customer journey who actually experiences the work of a CRM specialist.

Imagine it like this: Right after you buy a pair of shoes on an app, you receive a thank you email that includes a voucher for your next purchase. You don’t really need to buy new shoes right away to use that voucher, but there is a pair of boots that catch your interest, so much so that you’ve checked the page 3 times within a week. Then suddenly, you get a notification saying there is only 1 stock left for your size, and that your voucher will expire the next week. You might feel it to be a waste to let it expire, so you check out the boots the next day.

That chain of interaction is a result of customer management. Each customer has their own pattern of behavior, and business owners tend to neglect to incorporate this behavior in their selling, resulting in long-term money-burning in the awareness funnel. CRM is a well-oiled machine where your marketing, sales, and customer support teams dance in perfect harmony. CRM makes this a reality by:


  • Constantly communicating with customers

Say goodbye to the days of missed emails and forgotten phone calls. CRM ensures that all customers receive their much-needed attention from the brand, be it expressing interest in making a purchase or honest query about their product shipment

  • Keeping customers interested for more retention

By understanding customers better than they understand themselves (well, almost), CRM helps businesses anticipate needs, address concerns, and turn one-time buyers into lifelong advocates. This is thanks to the helpful customer behavior tracking as part of the CRM job desk.

  • No more data overload

Drowning in spreadsheets or sifting through a mountain of sticky notes every day isn’t an ideal working situation. CRM automates mundane tasks such as listing customers’ information and purchase history, giving your team more time to help customers buy more from the brand.

  • Data-driven marketing strategies and decision-making

As the designated department to actually empathize with the customers, CRM provides useful insights into the brand’s sales performance. This allows brands to carefully craft their next business strategy and make informed decisions based on real-time data.


Does Everyone Need Customer Relationship Management Software?

Now, let’s address the elephant in the room: does every business, regardless of size, need CRM software?

The short answer is yes, but the truth is, it depends. CRM is a complex system designed to handle intricate business activities, yet CRM is also a flexible concept that can cater to all business needs. While large companies may require the most high-tech CRM setups with all the features and datasets available, small businesses may fall in love with the simplest CRM service.

Customer Relationship Management Software

Small businesses, like artisanal soap sellers or indie fashion brands, might not need a high-end CRM system that can connect 5 different e-commerce platforms and categorize 10+ customers’ journeys. However, it is undeniable that small businesses still need their fair share of CRM. Think of it this way: Large corporations need CRM to be the conductor of a full-on orchestra, while small businesses might be content with CRM to entertain the customers with a simple, well-tuned guitar. 

Small businesses, especially the ones that have just started, thrive on a more intimate approach to connecting with customers. Sending personal messages on a milestone or notifications via marketplace platforms about limited goods that a customer might like works wonders for a small business rather than sending intricate marketing messages on all contact information.


Wrapping Up

In the world of business, CRM is undoubtedly the personal assistant of a marketer (or single-fighter business owner). Just like the name suggests, CRM contains the secret stash of a brand’s communication with its customers, as well as all of the customers’ information.

So, whether your brand’s the hotshot newcomer in the start-up community or an indie hobby-based artisan store, keep in mind that CRM is not a one-size-fits-all system. Make sure to pick and choose the level of CRM that benefits your brand the most without wasting precious funding. If you ever need a business consultant, or just a partner to talk about your business, Avond Studio is more than happy to talk about your brand!

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