Whether you have a small business or a large company, whether you sell digital goods or traditional ice cream; if you want to be successful and make money, you have to keep your customers happy. This is everything. Attracting customers is the easiest part of the job. Keeping him satisfied and turning him into a regular customer is difficult.
How can the customer be satisfied and loyal? You must say that when the goods and services he buys are of high quality and meet his needs and the price is reasonable. This is part of the answer. Another and of course the most important part of the answer is this: communication with the customer. Attracting and knowing and keeping the customer satisfied is related to the business relationship with him.
The relationship between the business and the customer is not only limited to a few direct encounters (in person, by phone, telegram, email) between the customer and possibly the support or sales manager of that business. The meaning of the concept is far beyond what comes to mind and not limited to a few steps in sales and marketing. For this reason, a concept called customer relationship management is discussed.
This article, however, tries to give accurate and complete answers to the following questions (and of course, it does not intend to promote any specific software. This article is educational and was written with the intention of removing ambiguity from this concept):
- What exactly is customer relationship management and what does it do?
- Why is customer relationship management essential for all businesses, large or small, at any stage of growth?
- What does CRM contribute to marketing and digital marketing and what does it have to do with it?
Table of Contents
What is CRM or customer relationship management?
When we talk about CRM, do we mean CRM approach or CRM strategy or CRM technology or CRM software? The correct answer is that customer relationship management is a combination of all of those, plus more!
CRM stands for “Customer Relationship Management” and refers to all strategies, techniques, tools, and technologies used by enterprises for developing, retaining and acquiring customers.
According to this definition, CRM can be a macro management approach or a software that collects all information related to customers. Another important point obtained from this definition is that CRM is related to all those who are involved in the production and sale of goods or services (sales team, customer service team, marketing or digital marketing team, management, etc.).
So, the exact meaning of CRM should be understood according to who and in what situation is talking about customer relationship management. But usually when marketers talk about CRM, they mean CRM system or software. CRM software that collects information about customer behavior and interactions with businesses.
How many times has this customer bought from you? Where did he meet you? Ever had a problem with your products or services? Have you filed a complaint? If yes, who did you talk to in the customer service and support team? What was the result of the complaint? What is his email, mobile number and occupation? Which of your products has shown the most interest? Has he welcomed your festivals and discounts? Does he follow you on social media?
The answers to these questions are only part of the information that CRM software can collect about all the customers of a business. Of course, each CRM software provides you with different features and capabilities. Some of them are free and some are paid. Which CRM software is right for your business depends on 3 important factors: the size of your business, the type of business, and the challenges you face.
A CRM software gathers customer interactions across all channels in one place.
A Customer Relationship Management (CRM) system helps manage customer data. It supports sales management, delivers actionable insights, integrates with social media and facilitates team communication.
CRM software is a part of the CRM system and its tools. This system categorizes information and provides the possibility of communication and exchange of information and tasks among different team members. In a word, the CRM system allows the business to follow its customers, not only before the time of acquisition and during the purchase and use of the product, but also after.
These systems have 3 general types: Desktop, Server and Cloud. The first type is suitable for use by one person on a computer. The second type is usually used in large companies and has a central database that all users are connected to. The third type is Cloud-based and it can be said that it is the best type of these systems. Because it can be connected and used at any time and place.
What are the goals and benefits of CRM?
The main purpose of CRM is to build a long-term relationship with customers. Today’s world is a world of competition and someone who can attract more customers and keep them satisfied is a slave. In its communication, the business wants to know and anticipate the customer so that it can take steps in product design, as well as marketing and digital marketing, to ensure the profitability of its efforts.
Therefore, another goal of CRM is to increase sales and business profits. CRM connects all businesses involved in the sales and decision-making process. This means transparency, more productivity, exchange of knowledge and experiences and useful information, and of course, stronger customer service and support, and as a result, saving company and business time and resources.
What are the applications of CRM?
Managing centralized data helps businesses improve customer experience, satisfaction, retention and service.
- Identifying and categorizing current and potential customers: When everyone who has bought from you or interacted with your business has a profile and you know them, you know exactly who you should go to in retargeting ads.
- Making the most of business opportunities in the market: CRM follows the pulse of the market, which is the customer and his needs. It means that the business has the opportunity to improve its services and products every day and to fix its deficiencies and shortcomings based on the opinions and behavior of customers. This means the growth of that business and helping to sustain it.
- Prepare for market changes and customer needs: Is the average age of your current customers increasing? Why? What will change? What changes should you anticipate in the market and customers in the next 10 years, and as a result, prepare yourself to coordinate with it?
Why is CRM important and useful for digital marketing?
I think if you have read the article so far, you have realized how important and useful CRM can be for digital marketing. If the digital marketer can deliver his message to his target audience at the right time with the most effective advertising tool; it has been successful. CRM data helps digital marketers identify all three.
For example, a digital marketer wants to design a campaign to attract new customers. The success of this campaign depends on the correct identification of marketing personas. The information recorded in the CRM system about the current and satisfied customers of the business can be the basis for drawing personas.
Did satisfied and loyal customers respond positively to discounts? How much did they buy and what products did they buy the most? What was the best media and tool to do these ads? For example, Facebook, because according to CRM data, most of your customers have Facebook and are active users? Were customers more satisfied with summer or winter discounts?
Answers to all these questions and much more information are available in the business CRM software. What could be better than this for a digital marketer and guaranteeing the success of campaigns and advertisements?