Executive Overview
CRM is a tool which helps an organization to maintain effective relations with its customers. CRM is not just software but an approach towards managing customers and understanding their needs. Through CRM, customers are not required to provide the same information time and again. In fact, once the interaction happens, the data is recorded in the Company's database which can be easily retrieved for future reference. As customers are the valuable assets, maintaining relationships with them should be the primary goal of every organization.
How often in today's highly competitive world does a customer actually gets what he expects? Rarely!
How often is the customer satisfied with the kind of service that he receives? Occasionally!
How often is the consumer's time valued? Seldom!
Even the companies have trouble answering the above questions and it really affects the value of the business. Companies nowadays make sure that they retain most of the customers but many times it's not the case. Companies focus on attracting customers and in the meantime they forget their existing customers.
Golden rule says that 80% of new customers will give you 20% of the business whereas the 80% of the business is given by the existing 20% customers.
Companies spends heavily on advertisements and on different promotion techniques to attract new customers but always forget to retain the existing customers as they believe that their existing customers will be loyal. Assumptions are made by the companies and that is where they lose out on retaining them.
Attracting new customers isn't a problem but in the meantime focusing on the existing customer's needs is also an important factor. It won't take much time for a customer to move on to your competitor and it will definitely hurt the company once it loses him. If customers are happy then they will spread good word of mouth and also will praise the firm in public but if they aren't treated well then they will not only move away but also will spread negative publicity.
Promises quite often don't match the expectations. Companies "overpromise" and "under deliver,"; which, itself, is a risk and also a reason for occurrence of the GAP.
Is there any way to fill this GAP? Possibly!
Key Features of CRM:
1. Effective Customer Engagement:
Customer Engagement refers to how a customer gets in the touch with the Company. Initiative has to be taken by the Company to engage with the customers in an effective way. Not only will it help in increasing the value of the business but also the company would be able to understand the changing needs of the customers.
"The more you engage with customers the clearer things become and the easier it is to determine what you should be doing."
John Russell, President, Harley Davidson
2. Improved Communication with Customers:
With the help of the CRM tool, a Company can communicate effectively with their Customers and can also understand their beliefs & pain areas. As customer records are recorded during the interaction, it helps the Company to keep a track of Customer needs.
"Customers will want to talk to you if they believe you can solve their problems."
Jeffrey Gitomer
3. Enriched Customer Experience:
A customer may experience difficulties, if priority is not given to his ever changing needs. Through CRM a company can not only manage his needs effectively but also the customer can have a fruitful experience with the Company.
"One customer well taken care of could be more valuable than $10,000 worth of Advertising."
Jim Rohn
4. Drives Customer Retention:
The happier the customer is, the higher the chances are of retaining him. Any customer who had a good experience with the company will make a repeat purchase which will ultimately result into Customer Retention. Retaining customers is more cost effective than attracting new ones..
"Your most unhappy customers are your greatest source of learning."
Bill Gates
5. Enhanced Customer Loyalty:
CRM helps the company to retain a greater number of loyal customers. Customers become loyal followers of a firm once their needs are satisfied and high quality services were provided to them. Exceeding Customer expectations also plays a vital role in developing strong relationships with the customer. Customer Loyalty can be derived by treating the customers the way they want to be treated.
"Lack of loyalty is one of the major causes of failure in every walk of life."
Napoleon Hill Quotes
6. Increased Profitable Growth:
CRM helps in achieving higher productivity by serving the customers more effectively. By maintaining, enhancing & developing relationships with its customers, leads to increases in the profits as well as goodwill of the business.
7. Increased Cross Selling & Up Selling:
With the help of CRM, a company can cross sell & up sell its other products and services which yields higher profits. As the company is in a position to understand the needs, they can ensure the availability of products & services.
8. Generate Quality Leads:
CRM helps the company to generate quality leads from the available database. As customers' preferences are available in detail, a company can manage a customer's needs in an organized way by keeping a track of what the customer wants and needs. |
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CRM on Cloud by Business Pointers
Business Pointers has been serving the industries for a few years now and their expertise lies in providing Cloud based applications & products to organizations lying in different verticals. Business Pointers has helped them to provide efficient business solutions.
Understanding the pain areas of the customers and simultaneously providing them with effective solutions has been the core function of their business. Customization in business keeps taking place and so Business Pointers provides end to end solutions for those customizations.
As Business Pointers understands the relationships between the organizations & its customer, it helps to fill the gaps that exist by providing scalable, streamlined solutions.
"SaaS revenue will be more than double its 2010 numbers by 2015 and reach a projected $21.3bn. Customer relationship management (CRM) continues to be the largest market for SaaS. SaaS revenue within the CRM market was forecast to reach $3.8bn in 2011, up from $3.2bn in 2010."
Courtesy: Gartner Group Estimate |
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