There is a perception that the costs outweigh the benefits of CRM for Small Business. This is in fact incorrect. Small businesses can elevate their competitive advantage, customer experience and realise great customer through implementing a simple CRM solution.
I looked at this question in some of my recent articles, one on is my business too small for CRM and also in why CRM is critical for small businesses. Research also reveals that the benefits of CRM are more important than ever, as it is the underlying force that defines wise business decisions.
The business world is undergoing a transition; where key decisions are made based on data, not opinion. One of the benefits of CRM for Small Business is that it provides all the necessary statistical data necessary to enable educated business decision to be taken.
Having the ability to undertake data analysis at the touch of a button is fundamental. The data companies analysis include customer demographic information; purchase history, such as purchase time, amount, quantity, price; purchase channel — online, offline or catalogue; payment medium —whether the purchase was a response to promotion.
Although business intuition is still essential traits for decision makers, their value is “enhanced” by data analyses. Such data-driven decision-making can be seen everywhere, from business to sports and politics.
Benefits of CRM for Small Business
The benefits of CRM when using customer data and trends are two-fold. Firstly
- By capturing the data and identifying trends companies can provide customized offerings to different customers
- By tracking the effectiveness of marketing campaigns companies can deliver highly-targeted campaigns based on proven strategies.
For instance, by analysing data, such as customers’ shopping habits, CRM can help determine when and which customers will receive promotional materials and whether those materials should be sent by mail or email marketing.
Secondly, streamlining business processes are key benefits of CRM, especially for small business. CRM can help:
- Reduce duplication and time wasting across multiple departments.
- Centralisation of customer information is probably the single biggest benefit afforded
- Improves communication between teams such as sales and finance.
- Improved order tracking and management.
- Better pipeline tracking has improved their ability to predict manufacturing and production requirements.
Improved pipeline and order tracking strengthens customer service but also feed directly into production environments, where staff need as much advance information as possible to ensure that customer requirements are fulfilled in a timely manner.
In this way, firms can increase return on investment ROI. For the same amount of investment, profits or revenues become higher when they use customer relationship management techniques. This is because more people will respond to promotions as firms target the right customers who have higher probability to purchase.
CRM data sources
CRM software collects data from various sources; website registrations contain treasure troves of data, such as purchase history and demographic information, while social media and Web analytics can provide additional information.
The benefits of CRM can also be realised in the management decision making processes. This is due to the improvement in the quality of information available for strategic management decision making and that superior forecasting has led to better cash flow and business decisions.
ProAptivity help realise the Benefits of CRM for Small Business
A CRM system benefits an organisation through the visibility of its sales activities. This visibility is fundamental to managing sales performance and control of the sales process. This visibility enables management to understand why, when, who and how opportunities are being won, stalled, or being lost. If it cannot be monitored, it cannot be managed. The visibility offered within the CRM system also allows management to make educated business decisions based on hard data. A CRM system will enable structured data to be used to access performance. This assessment should indicate which sales person is out performing others.
ProAptivity are an independent CRM solutions provider. We focus on the implementation, training, and support of highly customised CRM software solutions. Our CRM software supported by our sales training provide customers with the tools needed to deliver successful sales process management.
Fundamentally, we help organisations embed CRM best practice throughout their organisation. This helps organisations become more competitive, customer focused and ultimately more profitable.
If you need help in understanding why my business needs CRM, maybe some of our eBooks could help! Alternatively visit Maximizer CRM for more information. Contact us today in Belfast on 028 9099 6388 or at our Bedford office on 01234 214004. Alternatively email us on firstname.lastname@example.org. Contact us today for a free CRM consultation that will assess if your business is CRM ready.