Customer Management

The Benefits of a Customer Relationship Management System



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A customer relationship management (CRM) system, such as that provided by Salesforce or ZohoCRM, is a tool for businesses practicing permission based marketing. Unlike cold calling, CRM systems allow a business to keep in constant contact, pull up important information and schedule their interaction with customers, leads and prospects.


The following article will explain the benefits of using such Customer Relationship Management systems and what king of impact it creates on the business environment today.


1. Centralized hub of customer data


A business will often have multiple points of data; these islands of data make it difficult for various departments to work together and communicate. A CRM system allows not only the marketing department but all others on the system to keep track of customer data for use in customer service, technical support and any other fashion in which customer data must be processed.


2. Lead prospecting management


Unlike cold calling which uses the tactic of contact as many as possible; a CRM system is set to help create a long-term contact routine between business and customer. Due to the increase and frequency in contacts, businesses will be able to convert prospects and leads over duration of time after a relationship has been created.


3. Customer service empowerment


Customer service is a driving factor in the success of many businesses. A CRM system allows those in customer support to pull up important information from previous orders and contacts to best be used in servicing their customers. Data maintained within the CRM system will keep both business and customer in-the-loop and creates a smoother process when handing support.


4. Long-term relationship opportunities


A long-term customer will increase in value the length in which they do business with a company. One of the easiest ways to build a long-term customer is through series of contacts. A CRM system will allow a marketing department to determine when to contact these customers through data such as when they last ordered, what they last ordered and their personal preferences.


5. Permission-based marketing


Finally, spam and cold calling has long since been deemed ineffective in modern business (for the most part). Permission based marketing, in comparison, is when a customer consciously gives permission to a company to market toward them. A CRM system can keep these elements in check and set a sales funnel to market effectively toward these customers without overloading them with aggressive marketing messages.

More about this author: Murray Lunn

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