CRM or Customer Relationship Management Software is most likely one of the cornerstones of a successful sales and marketing strategy. If you’re a decision maker in a business, it’s likely you have heard the term banded around, you’ve likely been cold called about it, and maybe – and you’re certainly not alone in this – you’re struggling to see what the deal is and where the return on investment (ROI) comes from.
CRM spend in 2019 hit £32 billion ($42BN USD), and is expected to hit £61Billion ($80BN USD) by 2025, and if those selling them (including us!) are to be believed, they are an invaluable tool for helping your accelerate your sales and improve your customer service.
There’s real data to back up this claim. According to Nucleus Research, for every £1 spend on CRM, it returns £8.71, and this ROI is expected to trend upwards the more advanced CRMs become.
It all sounds great, but do you really need one?
Here’s our top 5 reasons you may want to consider investing in a CRM in 2020.
1) You want to grow your business in 2020
CRM is a valuable tool when looking to execute on a growth plan fuelled by Sales and Marketing. Profile your customers to see who spent with you last year and who didn’t, giving you a solid understanding of where to target your efforts. CRM can also help you determine your ROI on your marketing spend. If for example you can generate 100 leads from a £100 adword spend, which then generates £10,000 in Opportunity pipeline, which closes £1000 in sales. You can see that a £200 adword spend, has a sound chance of doubling your revenue.
2) Your Customer Service is failing to deliver
Customer have the power to make or break your business, and if you’re not servicing them effectively, you’ll find it an uphill struggle to grow your sales. CRM helps you to manage your customer service more effectively with automated workflows to help you remember when to follow up. Our Plus and Premium Plans come with an ISO9001 complaint Case Management system which we help you to configure to your current processes, and in most cases, can even help to automate some aspect of your processes.
3) You have no centralised repository for Customer Data
Most businesses start out managing their customers from within their email client or via a spreadsheet. It’s a cheap and reasonable way to get started, but once you grow past more than 2-3 people it becomes cumbersome to synchronise changes and limits your teams visibility of customer interactions making it hard to make informed decisions quickly. Even if you use a tool like Google Docs which allows for real time collaboration, it can be plagued with issues. Additionally, reporting from a spreadsheet and extracting any meaningful metrics can become almost impossible
Most, if not all, CRMs are now cloud based, meaning they are always available with just an internet connection and most either come with mobile versions you can access from your smartphone. By centralising your data into one system which is always up-to-date you can more easily manage your customer data and report on the data and activity within the CRM so as to extract meaningful data and drive Sales success.
4) You want to automate and systemise your sales process
It’s very unlikely a business, even in its earliest days, can survive without automating their process to some degree. CRM makes automating routine tasks easy, such as data entry, deal management and follow up emails, which can improve productivity and boost overall sales. Automation also prevents steps in your process being missed by inattentive or inexperienced employees, which can cost you sales.
5) You have key accounts you want to nurture
Most businesses have key accounts which account for a sizeable portion of their revenue, and you don’t want your biggest customers to feel unappreciated. CRMs can automatically remind you to check in every month or follow up on important events, allowing you to send timely communications. CRM can also help identify your key customers in the first place which can sometimes be missed.
CRM also tracks individuals within organisations, this also allows you to further personalise communication and also maintain your relationship with the account if your key contact there moves on.
There are of course more reasons investment in CRM is beneficial for your business. With many years experience implementing CRM for both small, medium and enterprise customers, Lateral is well placed to advise on how CRM can benefit you and your business. View our Plans and Pricing or fill out the form here to request a call back.