Customer Relationship Management (CRM)
Overview[edit | edit source]
CRM systems compile customer data from various channels, including a company's website, telephone, email, live chat, marketing materials, and social media. Through the CRM approach and the systems used to facilitate it, businesses learn more about their target audiences and how to best cater to their needs.
Historical Background[edit | edit source]
The concept of customer relationship management started in the early 1970s when customer satisfaction was evaluated using annual surveys or by front-line asking. At that time, businesses had to rely on standalone mainframe systems to automate sales, but the extent of technology allowed them to categorize customers in spreadsheets and lists.
With the advent of advanced technology and the proliferation of customer data, companies started adopting the CRM approach, and by the early 2000s, it had become an integral part of business strategy.
Usage Types[edit | edit source]
CRM systems are commonly used to manage business-to-business (B2B) and business-to-customer (B2C) relationships. These systems are designed to compile information across different channels and points of contact between the customer and the company.
Sales Force Automation[edit | edit source]
Also known as sales force management, sales force automation is meant to prevent duplicate efforts between a salesperson and a customer. A CRM system can help achieve this by automatically tracking all contact and follow-ups between both parties.
Marketing[edit | edit source]
CRM tools can assist in setting up a marketing plan by tracking the outcomes of various marketing campaigns and focusing on the individual needs of each customer.
Customer Service and Support[edit | edit source]
Recognizing that service is an important factor in customer satisfaction, many companies choose to use CRM tools to help them improve their service. CRM software can provide access to customer data in real time, allowing for faster and more accurate responses to customer inquiries.
Appointments[edit | edit source]
Appointments are an integral part of any business. CRM systems provide an automated method to schedule and follow up on appointments, making the process more efficient.
Analytics[edit | edit source]
With the transformation of data into valuable insights, CRM systems provide detailed analytics. Businesses can make data-driven decisions and gain competitive advantages using these insights.