CRM is often a topic of conversation, but is it something your business really needs or just a tick box exercise?
A Customer Relationship Management (CRM) system is a strategy for managing all your company’s relationships and interactions, for both existing and potential clients. It enables all client data to be centralised, so you can analyse and track the life cycle of a client at a glance. Using a good CRM properly can help your business build strong relationships with clients. This creates loyalty and customer retention. Both of which affect revenue, hence a well-managed CRM strategy can result in increased profits.
Why use a CRM?
A CRM will help manage customer interactions, provide support, and maintain relationships through reliable systems. It also integrates organisational processes across marketing, sales, and customer service to enhance initiatives across departments. According to Deloitte, CRM applications have a proven track record of increasing:
- Lead conversion by +30%
- Sales by +30%
- Sales productivity by +30%
- Customer Satisfaction by +35%
- Faster decision-making by +38%
- Revenue by +25%
Average Percentage Improvements Reported by Salesforce Customers. Source: Salesforce Relationship Survey conducted 2014–2016 among 10,500+ customers randomly selected. Response sizes per question vary.
A CRM can help you identify the right leads for your business so you spend less time taking a scattergun approach to lead generation. You will be able to build far more accurate and precise avatars of your ideal customers. Now your marketing efforts will be more targeted, which leads to better results.
Did you know that it costs five times as much to attract a new customer than to keep an existing one?
The probability of selling to an existing client is 60-70%, while the probability of selling to a new prospect is 5-20% (Source: Invesp). Thus, understanding your customers enables you to better identify opportunities to upsell and cross-sell throughout your business. And if you are working across departments, your CRM will allow you to monitor the activities of multiple teams. Giving you real-time information on the communication between your customer and your firm.
Organisation & Communication
For the legal sector, especially, proper use of a good CRM will automate much of the day-to-day administrative activities. Even simple and non-convoluted tasks, such as enquiry tracking and keeping in touch with clients, can generate more business for the firm. Essentially freeing up your time to concentrate on what you do best!
It’s only as good as you make it…
If implemented and used properly, a CRM can become a sustainable and scalable tool for your business’s long-term growth. However, you could have the best CRM in the UK, but it’s only as good as the data you feed it. For that reason, your firm will only benefit from CRM if it is used regularly and kept up to date.
Implementing a CRM doesn’t have to be over-complicated. Start with what you need and grow from there. As for which ones to use… well that’s a whole other blog, so watch this space!