Customer relationship management (CRM) is an organizational strategy that focuses on improving customer satisfaction and loyalty by providing experiences that are unique to each customer. This is achieved through making use of processes, technology, and teamwork between departments.
In the past maintaining these relationships required manual and laborious processes. Businesses kept customer contact details in filing cabinets and rolodexes, or in spreadsheets that were frequently not shared with other departments–leading to missed sales opportunities and the miscommunication of customers. With the advent of modern marketing-technology platforms that provide a central database for customer information, keeping records is much more simple and efficient. These systems are called CRM systems.
CRM tools help to streamline and centralize customer information and data, allowing teams to collaborate to cultivate leads and improve the overall funnel for sales and marketing. CRMs track lead and client interactions and help companies determine and prioritize the most effective leads. This lets salespeople only contact qualified prospects. This results in greater conversion rates and higher purchase values, and may significantly reduce the time it takes to close the deal.
Personalization is an additional aspect of a CRM practice that lets customers know that they are valued by the company. From sending a customized thank you note after the sale, to customizing an item or service to satisfy a particular need, this creates a sense of connection that drives customers to return to purchase and brand loyalty.
