A CRM (Customer Relationship Management) system is a software used to track client information and to monitor sales and marketing processes. There are numerous benefits to using a CRM system, but perhaps the most prolific benefit is increased revenue. Sales and marketing teams who use a CRM software effectively are roughly 40% more profitable than those who do not. There are many reasons a CRM contributes to this increased profitability, here are a few of those key reasons:
Reporting, knowing where sales and marketing teams should invest their time:
A CRM system creates a unique space where sales and marketing processes come to collaborate and work together seamlessly and effectively. Ensuring that sales and marketing efforts are allocated in the best possible way is one of many feats that a CRM system can accomplish. By utilizing reporting features within a CRM system, managers can quickly assess what needs to be done on any given day. A sales manager can quickly discern where the efforts of the sales team should to be coordinated by looking at a sales pipeline report. Likewise, a marketing manager can view an ROI report to determine which marketing efforts are proving to be the most profitable. The ability to report against sales and marketing processes gives managers the unique ability to allocate time and resources to the areas of those processes that need attention.
Keep current customers happy with consistent follow-ups while not missing new opportunities:
Let’s face it, it is the job of your sales team to be the face of the company and to be the relationship builders. A quintessential part of fostering those business relationships is good communication. Regrettably, many potential sales opportunities are lost, and current customers become disgruntled due to lack of organized communication from the sales rep. CRM systems are a proven remedy to this issue. A new business lead within a CRM can be tracked, reminders to follow-up can be created, and the notifications to follow-up can be pushed to the sales rep’s email and CRM smartphone app. Forgetting to follow-up, falling out of communication with customers, and missing new business opportunities are a thing of the past.
Identify more upsell and cross-sell opportunities:
In addition to keeping follow-ups frequent, a CRM gives sales reps a unique opportunity to capitalize on more selling opportunities with existing customers. A simple review of a few customer records may present an opportunity to upsell or cross-sell other products and services. For example, suppose an HVAC company installs a furnace for a customer. Two months later, the sales rep may want to follow up and offer an attachable air purifier for the furnace at a slightly discounted rate. A CRM system is a perfect way to coordinate this well-executed cross-sell opportunity. On the date of the installation, the sales rep simply makes a note on the customer’s record in the CRM to follow-up in 2 months to discuss air purifiers. 2 months later, the sales rep receives the notification to follow up, calls the customer, and closes another deal.
These are just a few ways a CRM system can help sales and marketing teams be more efficient and profitable. Sales and marketing teams are the driving forces in growing a business; why not equip them with the best possible tool for the job?