Customer relationship management (CRM), also known as CRM, is a strategy which aims to increase the customer’s satisfaction and loyalty by making experiences that are unique to each person. This is achieved through making use of processes, technology, and collaboration between departments.
In decades past maintaining these relationships was a laborious and manual process. Businesses used to store customer contact information in filing cabinets, rolodexes and spreadsheets. They were not shared with other departments and often led to the loss of sales opportunities and the inability to communicate. With the advent of modern marketing-technology platforms that provide an integrated database of customer data, keeping track of relationships is much more simple and effective. These systems are known as CRM systems.
CRM tools are designed to centralize and streamline customer data to make it easier for individuals and teams to work together and nurture leads, enhancing the overall funnel for sales and marketing. In addition to tracking lead and customer interactions, CRMs assist companies to determine the most promising leads by scoring them and prioritizing them, so that salespeople only get in touch with prospects who are qualified. This can result in higher conversion rates, purchase values and cut down on the time it takes to close a deal.
Personalization is a key element of a CRM system that lets customers know that they are valued by the company. Sending a personalized message of thanks after the sale or tailoring an item or service to meet a specific need will encourage repeat purchases and brand advocacy.