Getting new customers is challenging for all businesses. However, it is even tougher to retain these customers and build a strong relationship with them. Businesses invest in various marketing strategies and customer service initiatives to grow and retain their customer base. The way a business manages its customer database determines its growth and success.
This is where CRMs come in. They not only help companies efficiently manage their databases but also help build lasting relationships with their customers.
Why is it important to build strong relationships with your customers?
No business can exist without customers. The better your relationships with your customers, the higher the customer satisfaction. Most businesses that adopt a CRM system are looking for ways to increase customer loyalty by improving the quality of their relationship with their customers.
Contact Management is one of the primary features offered by most of the leading CRM systems. When businesses are able to efficiently manage their contact information they can also streamline their relationships with customers. As your business grows, the number of customers also increases. A CRM helps you streamline and centralise your customer communications, both with your existing customers as well as with prospective ones. You do not miss important information hidden in emails, spreadsheets, or post-it notes. A comprehensive view of customer information helps you maintain consistent communication with your customers, regardless of who they are speaking with in the company.
Businesses can evaluate all leads and focus on nurturing all customers, creating lasting relationships. By implementing a CRM solution, you can collect all the necessary data and grow these customers into qualifying relationships. There are no good or bad customers, only relationships.
How does CRM help build better customer relationships?
A CRM system comes with many benefits. Here’s how it can help you build better customer relationships:
You have better knowledge of your customers
A CRM stores all customer information at a centralised location. Your customer service, marketing, and sales teams have access to complete customer information, which helps in delivering consistent communication and a positive customer experience. Personalising your communication also becomes a lot easier with a CRM. Plus, you can save all your customer interactions at one location.
It facilitates efficient segmentation
Segmentation helps you learn more about your audience so that you can tailor your communications according to their needs and preferences. Targeting a specific segment of people is always more effective than targeting a broader audience.
With a CRM, you can break down customer information into various categories, making it easier for you to create focused lists. It helps you know your audience better so that you can tailor your offers, strategies, and even sales pitches.
It helps in better customer retention
CRM not only helps in finding and nurturing prospective customers, but it also helps in keeping your existing customers happy. You can set reminders for appointments and timely follow-up emails. CRM can also help you reach out to customers with who you have not been in touch for a while. A personalised email or a follow-up call every now and then could make those customers feel heard and appreciated.
Customer retention is crucial for business success. A 5% increase in customer retention could potentially increase your profits by 25% to 95%. Retaining existing customers is also cheaper than acquiring new ones. You need to spend six to seven times more for acquiring new customers.
Customer relations are crucial for all businesses
A customer is so much more than a sales opportunity. You may have the best products and services. However, if you don’t treat your customers right, you can say goodbye to your sales. That’s why building strong relationships with your customers are crucial for all businesses. CRM helps you maintain great customer relationships by maintaining touch with all customers and being there when the customer needs your business.
At iMovo we have a team of professionals with years of experience in CRM. If you are interested in more information, you can book a free consultation here, where we can work with you to develop the right strategy for your business.