Every successful business is founded on a good relationship with its customers. In this day and age, where everything becomes easily accessible with a couple of clicks and brands become very uniform, this cornerstone becomes increasingly important with each passing day.
For instance, recent research says that effective CRM, on average, increases sales by whole 29%. If we look at this from a sheer financial perspective, we could see that for every dollar invested in the CRM, companies get $8.71 back.
Performing effective CRM, however, implies effectively tackling a growing number of contacts daily. So, in the end, all the conversions we talked about above start as a simple entry in your contact list.
Here, we will look at this responsible task and see how a functional contact management system can improve your overall CRM efforts.
Allowing for a higher level of personalization
Personalization is a key to a successful CRM strategy. In the end, all of your future campaigns, offers, and calls from representatives will be based on whatever data you can gather about every customer. This makes customer information simply too valuable to be scattered across various unsuitable databases. A dedicated contact management system, on the other hand, can help your marketing staff to easily reach relevant info about each client, draw out patterns and conclusions and easily create personalized offers. This ability makes the entire CRM process far faster and leaner.
Advanced sorting and filtering options
The sorting and filtering options are other areas where stock databases prove horribly unsuitable for effective CRM compared to dedicated contact management systems. Every advanced CMS allows you to group your customers by some arbitrary factor relevant to your business for a start. This makes any outreach much easier from the get-go. Then, of course, if you want to get more precise hits, you can always use some of the built-in search and filtering tools. All these assets do a much better job at getting you in touch with the right people at the right time than the complicated search queries.
An ability to share and manage email contacts
This is especially important for exploiting various up-sell and cross-sell opportunities that require effective communication between various business departments. Most of the modern contact management systems feature built-in Gmail CRM plugins like Shared Contacts for Gmail that allow users to overcome some of the shortcomings of these native communication platforms and easily organize, share and manage large groups of contacts. Even better, contacts can be shared across various other tools like Outlook and WhatsApp, which allows your teams to utilize customer info regardless of the current location.
From everything we’ve seen above, we can easily summarize that contact management systems make everyday CRM operations more streamlined and thus greatly affect overall productivity. But, one of their greatest strengths lies exactly in the fact that most of these processes can be automated to a large extent. Some of the best examples can be found in the online appointment scheduling and data entry that leaves very few things to do to human users. This way, your employees have more time to dedicate themselves to critical higher-value tasks.
Improved customer satisfaction
Putting aside all the inherent perks of CMS platforms that make mundane CRM tasks much easier, we have to point out that every interaction your employees make with prospective customers, and their personal data stays safely stored within the platform. This neat feature allows you to have an easy and streamlined view of the history of previous interactions, notice up-sell opportunities or make necessary course corrections and get things back on track. In short personalized communication history points out the customers’ unique needs and, as a result, makes them feel more valued in the long run.
Higher savings and conversion rates
These numbers can sound slightly exaggerated, but some surveys say that effective customer relationship management can boost conversion rates by a staggering 300%. Furthermore, an incremental 5% increase in customer retention (contact management makes an integral part of these efforts) can increase your company’s profits anywhere from 25% to 95%. Combined with the tremendous ROI numbers we have listed in the introduction, these facts should illustrate how financially viable investing in CMS platforms can be. Of course, we shouldn’t forget these systems considerably lower the costs of everyday CRM operations.
We hope these few arguments gave you a clear insight into the role of modern contact management systems and the value they bring to the CRM process. The present-day market is very competitive, and there are very few resources left we can use to stand out from the crowd and impress the customers. However, with the things as they, tried and true strategies like top-tier CRM shine in a completely new light and receive renewed significance.
Effective CRM, however, can’t be imagined without effective contact management, so keep this in mind when setting up your future customer relationship strategy.