How CRM Works and Tips for Proper Using
The implementation of CRM (customer relationship management) applications in companies has experienced a tremendous increase. Quoting from finance.yahoo.com that globally, the CRM market is estimated to grow by USD 54.4 billion from 2022 to 2027. Meanwhile the market is expected to grow at a CAGR of 10.16%.
This cannot be separated from CRM's ability to establish strong relationships with customers and streamline company operations. But do you know how CRM works to help businesses?
CRM consists of 5 stages in establishing relationships with customers. In each of these CRM cycles have an important role in streamlining business workflow, so that it can be optimal in serving customers. Learn more about how CRM works and cycles in the article below.
What is CRM?
Customer relationship management (CRM) is software for managing all interactions in business with customers and potential customers. Using the right CRM software will help businesses increase sales and customer service.
CRM has the ability to do marketing automation, sales tracking, and contact management for customer service . Therefore, CRM is very useful for improving business from various levels. Unfortunately, many businesses haven't taken advantage of the benefits and advantages of CRM and its uses. These advantages should not be wasted by business owners.
How Does CRM Work?
CRM software uses an integrated approach to store various information about customers. Several CRM systems such as Mekari Qontak have complete features that include sales, marketing and customer service automation in one platform.
A CRM system will help you automate interactions with customers and streamline the sales process. This system will also analyze data to provide the best customer service .
More clearly, here is how CRM works in companies:
1. Make Sales Workflows More Efficient
At the heart of all CRM software is workflow management. The function is divided into pre-sales and post-sales. All transactions begin with potential prospects.
CRM software will help these potential customers go through the sales process and help all interactions that occur are well documented.
2. Reminder of Important Tasks
CRM software can be a reminder to do tasks that must be completed. You can schedule activities such as sending emails or making calls. Everything can be done by CRM software and recorded in the system.
3. Opening Opportunities
When you have done a close deal, CRM can do the after sales process. For example, the system can track customer complaints and integrate them with customer service. You can apply an upsell or cross-sell strategy to your customers. This way, customers can get back into the sales pipeline and generate revenue.
4. Integrate with other Critical Business Systems
CRM software helps integrate your business with data from social media, one of which is WhatsApp. CRM integration makes it possible to record all your customer and customer service interactions , from the number of customers to the documentation of all conversations that occur.
5. Helps Increase Sales, Marketing, and Customer service
CRM can provide extraordinary results for a variety of businesses. However, it needs a way to build a good and effective CRM for the company. In this way, this system is able to improve sales, marketing and customer service performance. CRM helps you build sales and marketing strategies.
How to Use the Right CRM Software?
Seeing how CRM works, maybe you see great potential to grow your business better. So, now how to use CRM software effectively? can be seen in the following infographic:
In addition, you also use CRM in the following ways so that it runs optimally:
– Updating Customer Data Periodically
Even though CRM is able to work automatically in storing and managing customer data, CRM software cannot work if the support team does not enter customer data regularly.
Unless the software belongs to you, it is equipped with automatic rules that can change the customer's status after taking certain actions (buying via certain links for example). Therefore you need to hierarchical customer list and update it regularly.
– Utilize Collected Data for Up Selling and Cross Selling Strategies
CRM is able to store the entire history of customer interactions. Take advantage of this data to maximize up selling and cross selling strategies .
For example, from customer data that only requires your product once, you can find information about what they are interested in from the product. From this information, the sales team can carry out an up selling or cross selling strategy , to get revenue from the same customer.
– Market analysis from sales and customer data
You can use the data stored in the CRM to analyze what the market demand trend really is. From this data, the sales and marketing team can use it to track what types of goods are frequently ordered and who orders these products.
After doing the analysis, you can design a strategy that is more relevant to current market conditions. For example asking the sales team to focus on the types of goods that are most in demand.