If You Don’t Have A Customer Relationship Management (CRM) System, You Need One!

In speaking with many small businesses, it’s become very clear that a high percentage of business owners don’t know what CRM is, let alone have a CRM system and a process to use it.  With that in mind, here’s a brief overview of CRM systems.  My next post will cover some of the many ways to use CRM to give help your business a competitive edge and improve your profitability.

A CRM system is essentially a powerful but user-friendly database that allows you to track valuable information about your prospects and customers.   CRM systems are fully customizable and can store information like contact information, demographic profiles, product interests, past purchase behavior, contract details, and sales opportunity details.  They have powerful reporting engines that let you slice your data almost every way imaginable.  Some can even be integrated into your business website so when a prospect fills out a contact form, a lead with all their information is created in the system and it alerts you via e-mail.  You can also control access so employees can only see or edit appropriate sections.

There are many different systems, but my preference is Salesforce.com for several reasons.  First, it’s amazingly affordable and scalable.  The most basic version is $60 per user per year (as of 1/28/10) and you can get a lot of great features for $204 per user per year.  Second, it’s an online model so you can access your system from any computer with internet access.  There’s no software to install.  Lastly, it’s simply a very powerful but intuitive system and you can be up and running in a couple of hours with some basic training.

A CRM system is valuable if you use it for nothing more than a central depository for tracking customer information.  However, that’s just the beginning.  In my next post I’ll discuss how you can really improve your business processes, marketing ROI, customer retention, and more by leveraging the full power of CRM.  Until next time, thank you for reading.

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2 Responses to “If You Don’t Have A Customer Relationship Management (CRM) System, You Need One!”

  1. Public Sector Contracts…

    So nice to read a well written article…

  2. Jeremy says:

    I’m glad you enjoyed the post. Yes, you can republish as long as you reference Small Business Marketing Group and link back to the SBMG Blog.
    Thanks,
    Jeremy Farkas

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