SMEs should no longer believe customer relationship management (CRM) solutions are beyond their reach. In fact, the time has come for SMEs to consider the benefits of CRM and ensure the customer is indeed always king.
Proving to be one of the most dynamic concepts driving business today, CRM has evolved from a mere application into a methodology and philosophy - essentially driving how companies do business.
This is evident in the core trends driving developments in the realm of CRM today both internationally and in SA.
Key to survival
Moving away from just focusing on a company's sales force, marketing and customer care, what we're seeing today - especially in the European, Australian and South African markets - is that it's far more about managing business from an end-to-end perspective.
CRM has to be the focal point of an SME because of the nature of these enterprises. An SME's survival is directly linked to its customer base.
Without an initial advertising and branding budget (the reality in most cases), they are crucially dependent on word-of-mouth: the more positive the better. This makes CRM a "must have" as opposed to a "nice to have".
The CRM revolution in SMEs is good news for both customers and the applications themselves. The demand for products has forced these to adapt to SMEs' unique needs. Applications need to be easy to use and easy to install. SMEs can't afford to lose two years during implementation; they need everything up and running in a matter of months.
There are companies that have realised the inherent value of the assets they already have, and are starting to harness this value through CRM. As a result, CRM has evolved into a means of using financial systems to find out more about customers: empowering front-office employees using back-office information, and adapting the business accordingly.
For most SMEs, a good CRM solution will build value for the business by opening vital communication channels and creating a common client-focused knowledge-base to better serve clients. Simplistically, it is about understanding the buying habits and preferences of customers and prospects.
CRM can help SMEs to:
* Build and strengthen customer relationships to keep them coming back.
* Provide value-added services that are difficult for competitors to duplicate.
* Improve product development and service delivery processes.
* Increase staff's awareness of customer needs.
* Reduce customer frustration by not asking the same questions over and over.
An SME's survival is directly linked to its customer base.
Ivan Epstein is CEO of Softline.
By effectively integrating marketing, sales and customer service functions, a good CRM system makes it easier for everyone inside the company to work together and share critical information. It can empower customers and prospects to do business with the company - the way they choose - via any communication device: phone, fax, e-mail or the Internet.
Benefits of CRM
* New sales opportunities
A good CRM system will classify prospects and help identify the best customers. With detailed information on customers, companies can accurately project and respond to their buying needs throughout the sales cycle. A good CRM system can help SMEs automate routine sales tasks - allowing companies to spend more time focusing on strategic sales issues.
* Improved customer service
The right CRM system allows the team to take a proactive approach to customer service. With up-to-date and complete customer information at their fingertips, employees can resolve customer issues more quickly and successfully create cross- or up-sell opportunities.
* Better decision-making
CRM systems provide a single view of the customer across all touch-points and channels, as well as delivering comprehensive reports of customer behaviours, marketing campaign results and sales activity. Each of these elements is necessary for smart decision-making and long-term strategic planning.
* Greater efficiency
With an integrated CRM system, SMEs can gain immediate access to critical customer information. A good CRM solution also increases internal efficiencies by automating workflow processes, reducing human error, decreasing process time and providing consistency throughout the entire organisation.
A CRM strategy is about driving information down to staff so that they can offer informed services, and up to management so they have the data they need to make well-informed decisions.
* Ivan Epstein is CEO of Softline.
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