Lately we have been submerged in a sea of initials and initials such as ERP, MRP, B2B or B2C, almost all of them associated with technological developments applied to business. One of the most popular is CRM and although I am sure that almost everyone knows what Customer Relationship Management means, I am also sure that many associate it with an administrative software package, which is a justified error in the information we receive on a daily basis. So, to get out of doubt, let's see what CRM is and what it is not.
First, the concept of CRM itself is not directly related to technology. CRM is a corporate philosophy that seeks to understand and anticipate the needs of existing clients and also potential ones, which currently relies on technological solutions that facilitate its application, development and use. In short, it is a business strategy focused on the customer and their needs.
CRM is a customer-centric business strategy is not software
It is not true that CRM is a trend that resulted from the companies of the so-called "new economy", David Sims, in his article "What is CRM?" Quoting Liz Shahnam he says: “CRM is a term that is not really new. What is new is all the technology that allows you to do what was previously done in neighborhood stores. The owner had few customers and enough memory to know what each customer liked. What technology does is allow us to return to that type of model. "
CRM is not new, new technologies have allowed its empowerment
A correct implementation of the CRM model must have an elaborate process in which the entire corporation is integrated, implying changes in its strategies, functions and processes. Only when these changes have been made and the firm is focused on the client will it be useful to resort to a technological solution to support the new concept.
CRM software will not improve anything on its own
Why is a CRM strategy so important in a company ?
Because the competition does not allow the protagonist of the film, the client, to be neglected. An effective CRM implementation allows to improve relations with customers, getting to know them better and allowing to decrease costs in obtaining new prospects and increase the loyalty of existing ones, which, in both cases, means higher sales and more profitability for the deal. In addition, benefits related to better results are also obtained in the launch of new products or brands and in the development of more effective marketing.
Some key factors to cover in a CRM implementation
- Sharing information with suppliers: in this way we are not ensuring that the product, from its raw material, has the characteristics desired by the customer.Determination of marketing campaigns: you must identify what forms of marketing actually arrive to our clients and which ones allow us to attract new ones. It is necessary to determine if direct mail, email marketing, direct contact campaigns can be carried out at points of sale, etc. Quick and effective management of service requests and orders: through the operationalization of call centers or the automation of sales force taking advantage of the internet
Finally, CRM, Customer Relationship Management, refers to the management of all the interactions that a business and its customers can have. It focuses on optimizing the entire customer life cycle. In addition, CRM is an information industry term that brings together, methodologies, software, and the capabilities of the internet to efficiently and profitably manage a business's relationships with its customers.
