Customer Relationship Management

by Connor Dunn
January 12, 2022

Creating a strong relationship with your customer base seems like it should be a no-brainer in marketing. Whether they are current buyers or prospective customers, feedback from your target audience can be instrumental in the marketing process. Your relationship with consumers can have major impacts on your marketing strategies and business practices, as well as consumer loyalty and retention. 


What is CRM?

Customer Relationship Management (CRM) isn’t just the physical act of keeping customers happy, it also includes the management technologies associated with relationship management. CRM has three major subcategories: Process, Strategy, and Technology. CRM Process is the process used to help build the relationship between the consumer and the business as they progress through the customer lifecycle. CRM Strategy is the actual strategies used to build and manage customer relationships during the CRM Process. CRM Technology is the software used to automate the consumer interaction processes, as well as track & record data associated with customer relationships. 


Different CRM Systems

Multiple styles of CRM technologies exist. This allows for a greater depth of understanding for a certain side of CRM, so businesses should ensure they have researched thoroughly when beginning the CRM process. The three different types of CRM technologies are: Analytic, Operational, and Collaborative. Analytic CRM is best suited for large organizations, with thousands of customers. Analytical CRM focuses on gathering data from large groups and producing overall trends, thus driving high customer satisfaction and retention rates. The Operational CRM software is best suited for most other companies. This CRM software focuses on producing leads, and optimizing processes for a better customer experience. The operational software is perfect for companies that utilize a short consumer lifecycle and rely heavily on repeat purchases. The third type of CRM software, Collaborative, is used most notably in brand new markets, or industries where innovation is a priority. Collaborative CRM requires the data you collect to be shared with external companies, to create a broader knowledge base. This collaborative effort helps businesses gain a deeper understanding of the market they’re pursuing. 

Why You Should Use CRM

Data-driven marketing is the most efficient and effective way to conduct your marketing strategies. CRM technologies lend a big hand in this aspect, as the entire basis of the technology is data based. Analytics can be a wide variety of metrics, but optimizing your CRM process includes discovery on which metrics are most important to your business, and how they fit within your CRM technology. This approach can give a massive push towards your sales and marketing teams. By using the same data structure across the company, CRM also streamlines communication. With everyone within your organization “speaking the same language,” everyone can be on the same page internally. CRM can also lead to quicker lead response time, and thus higher profits. CRM technology has the capability to automate reminders and popups for sales teams, to remind them of new and/or promising leads. As your sales team responds faster to leads, it gives them the opportunity to reach out to (and close) more customers, thus improving overall profits. 


Companies that have success implementing CRM technology typically don’t view CRM just as a bit of software, but an overall mindset that can help the business in the future. The strategies and processes used in customer relationship management help cultivate relationships between the consumer and the business, which is an important part of having a successful business. By using CRM to supplement your marketing efforts, you can maximize the potential of your business.


ABOUT THE AUTHOr
Connor Dunn is Fifty Six’s Business Development Coordinator. While Connor considers himself fun and laid-back, he brings the energy to everything he does. Living in multiple cities has helped him gain tremendous insight into different perspectives, which he tries to bring to every challenge he faces. He might be a “have a good time” kind of guy, but don’t let it fool you- between the lines or in the workplace, his drive to be successful trumps all. @connordunn35
BACK TO FINDINGS

Customer Relationship Management

by Connor Dunn
January 12, 2022

Creating a strong relationship with your customer base seems like it should be a no-brainer in marketing. Whether they are current buyers or prospective customers, feedback from your target audience can be instrumental in the marketing process. Your relationship with consumers can have major impacts on your marketing strategies and business practices, as well as consumer loyalty and retention. 


What is CRM?

Customer Relationship Management (CRM) isn’t just the physical act of keeping customers happy, it also includes the management technologies associated with relationship management. CRM has three major subcategories: Process, Strategy, and Technology. CRM Process is the process used to help build the relationship between the consumer and the business as they progress through the customer lifecycle. CRM Strategy is the actual strategies used to build and manage customer relationships during the CRM Process. CRM Technology is the software used to automate the consumer interaction processes, as well as track & record data associated with customer relationships. 


Different CRM Systems

Multiple styles of CRM technologies exist. This allows for a greater depth of understanding for a certain side of CRM, so businesses should ensure they have researched thoroughly when beginning the CRM process. The three different types of CRM technologies are: Analytic, Operational, and Collaborative. Analytic CRM is best suited for large organizations, with thousands of customers. Analytical CRM focuses on gathering data from large groups and producing overall trends, thus driving high customer satisfaction and retention rates. The Operational CRM software is best suited for most other companies. This CRM software focuses on producing leads, and optimizing processes for a better customer experience. The operational software is perfect for companies that utilize a short consumer lifecycle and rely heavily on repeat purchases. The third type of CRM software, Collaborative, is used most notably in brand new markets, or industries where innovation is a priority. Collaborative CRM requires the data you collect to be shared with external companies, to create a broader knowledge base. This collaborative effort helps businesses gain a deeper understanding of the market they’re pursuing. 

Why You Should Use CRM

Data-driven marketing is the most efficient and effective way to conduct your marketing strategies. CRM technologies lend a big hand in this aspect, as the entire basis of the technology is data based. Analytics can be a wide variety of metrics, but optimizing your CRM process includes discovery on which metrics are most important to your business, and how they fit within your CRM technology. This approach can give a massive push towards your sales and marketing teams. By using the same data structure across the company, CRM also streamlines communication. With everyone within your organization “speaking the same language,” everyone can be on the same page internally. CRM can also lead to quicker lead response time, and thus higher profits. CRM technology has the capability to automate reminders and popups for sales teams, to remind them of new and/or promising leads. As your sales team responds faster to leads, it gives them the opportunity to reach out to (and close) more customers, thus improving overall profits. 


Companies that have success implementing CRM technology typically don’t view CRM just as a bit of software, but an overall mindset that can help the business in the future. The strategies and processes used in customer relationship management help cultivate relationships between the consumer and the business, which is an important part of having a successful business. By using CRM to supplement your marketing efforts, you can maximize the potential of your business.


ABOUT THE AUTHOr
Connor Dunn is Fifty Six’s Business Development Coordinator. While Connor considers himself fun and laid-back, he brings the energy to everything he does. Living in multiple cities has helped him gain tremendous insight into different perspectives, which he tries to bring to every challenge he faces. He might be a “have a good time” kind of guy, but don’t let it fool you- between the lines or in the workplace, his drive to be successful trumps all. @connordunn35
BACK TO FINDINGS