Why CRMs Are Essential for Business

Far more than often, most businesses struggle to grow their clientele due to not understanding the importance of customer service.  

According to Ixion Holdings, 91% of customers say a positive customer service experience convinces them to make a further purchase. Customer service can include a ton of tasks, including providing support, making timely follow-ups, and sending personalized messages.  

While customer service is important, it can become overwhelming to manage it with other responsibilities, especially for a start-up or a mid-sized business.  

So how can you focus on other aspects of your business without making any compromises on your customer service? Enter CRMs.  

Read on to discover what CRMs are and why they are essential for your business!  

What are CRMs?  

Customer Relationship Management (CRM) is software utilized for managing and organizing your customer information. CRM collects details like contact details, previous interactions, transactional history, or any notes related to them.  

CRM makes it easy for you to store, update, and access contact records, allowing you to interact with your customers more efficiently and transparently.  

But Why Invest in a CRM?  

A study conducted by CX Today concluded that 56% of customers are likely to become loyal customers when a business understands their preferences.  

A CRM enables you to collect and leverage crucial information about your customers. Having this information can help you create a personalized experience for your customers, making your customer service efficient.  

Apart from collection data, a CRM can help your business in different ways, including:  

• Adding consistency to conversations with clients & customers.  

• Helping your business create a personalized business outreach. 

• Developing automated workflows. 

• Managing your team members and dividing work efficiently.  

• Improving collaboration between your teams. 

• Streamlining your business operations.  

Pros of Using a CRM  

Now that we know what a CRM is, let’s look at some benefits of using one: 

• Marketing Optimized  

Using a CRM tool can go a long way in centralizing your data and automating marketing efforts. These tools provide you with information which you can leverage to customize conversations and communicate effectively with your customers.  

Using the data provided by CRMs makes it comparatively easier for you to understand the pain points of your customers and convert more leads, thus boosting your business’s revenue.  

• Stores Data Safely  

An unexpected hardware failure can land a significant blow to your business operations and leave you in turmoil. Using a CRM tool allows you to store customer data on an online platform.  

Most CRMs are easily accessible from anywhere, provided you have the credentials to access your account. Using a CRM not only mitigates the risk of potential data loss, but it also reduces the chances of having missing data.  

• Sales Growth  

Marketing and sales are like two peas in a pod. Without good sales, your marketing can never be effective and vice versa.  

Using a CRM helps in optimizing your sales, allowing you to ultimately scale your revenue. These tools are handy in ensuring that your funnel receives increased traffic and ensures your access to real-time data flow.  

Does Your Business Need A CRM?  

In most cases, if your business has a marketing and a sales team, investing in a CRM can prove beneficial.  

However, here are a few concrete points that can help you analyze if it’s worth investing in a CRM for your business:  

• Having Inconsistent or Dropping Sales: 

One of the main objectives businesses prefer using a CRM is for its ability to improve the sales. Most CRMs include features that give you a way to keep tabs on your prospects and leads.  

Using a CRM will enable you to sort and analyze your leads. Having this information organized will allow your team to focus on customers that are likely to convert, eventually sustaining your sales.  

A CRM can also boost your sales by providing customer information. Your team can use this information to understand your customer’s needs and offer them products/solutions accordingly.  

• You Don’t Know Your Customers  

Before you lay down your business’s roots, it’s crucial to understand your ICPs (Ideal Customer Profile). Finding customers without performing due diligence on your target audience makes selling your products/services a nightmare. Afterall, you can’t sell a product/service when you’re unaware who needs it.  

If you are having a hard time figuring out your ICPs, a CRM is a great fit. Using a CRM makes it easier to develop a customer profile based on the collected data.  

You can also leverage this data to identify your most important customers or clients, showing your team where to channel their efforts and get a win.  

When you make such customers/clients feel important by offering personalized customer care, they are likely to remain loyal to your brand.  

• Miscommunication Between Sales and Marketing Teams:  

Given that marketing and sales are a business’s first line of action towards gaining customers, it’s crucial for them to be on the same page.  

Disorganized files and communications can cause miscommunication between sales and marketing, creating a bottleneck in your business operations. This miscommunication can adversely affect your sales by creating inconsistent sales pitches, developing wrong ICPs, and more time being spent between the stages.  

Adding a CRM to your business operations will empower your teams to cooperate and exchange insightful information about leads. A well-structured flow will add efficiency to your business processes, allowing you to make the most of your sales & marketing teams’ efforts. 

Pipedrive – Your Ultimate CRM Solution  

While CRMs are a worthwhile solution to streamline your sales flow, there are so many options to choose from. With so many tools to choose from, it can be difficult to choose the right one for you.  

Given its functionality and features, Pipedrive is one of the best options to consider. According to their statistics, their users close an average of 28% more deals after their first year of using the CRM!  

From setting up your pipeline stages, focusing on sales actions, to tracking progress towards dedicated goals, Pipedrive can help you layout a lucrative approach.  

So, are you ready to optimize and grow your business? Let’s connect and see how Pipedrive can help you right the ship!  

Wrapping Up  

Improving your customer service is crucial to growing your business and developing stronger revenue. While important, tending to customer service entirely will hog your resources, rendering you unable to focus on growing your business.  

CRMs are a perfect solution to this problem. Not only do they optimize your sales operations, but they are also relatively affordable.  

Hopefully, this guide explained why CRMs are essential for business and the pros of using them!