The core of every business is customer relationship-building, and maintaining a good customer experience is the core of the business model. However, always knowing and staying on top of the customer’s want and experience is difficult for any business, small or large.
This challenge can be addressed with the right tool, and in this case, it is good CRM. There is a lot to know about for anyone unfamiliar with CRM before choosing the best CRM for your business.
There are three main types of CRM software. Read further to know what CRM is, what types of CRM are, and how to select CRM for your business.
What is CRM software?
Customer Relationship Management Software (CRM) is working with the customers, its category of tools that enable effective customer relationships and efficient strategy for management of customer relationships.
Emphasis is on the customer. CRM helps understand your business customers better and uses the information to give the best possible customer experience. To give the best customer experience, the business goal has become harder day by day. This is due to the fact that consumers move between different channels of communication, such as phone, email, messaging apps, etc., with the brands.
Consumers have more ways to research the products and then make purchases. The buyer’s journey has become complicated. Many businesses are various horizontals of products to multiple audiences. The difficulty to manage is notable. To address all these challenges, CRM software is mandatory for business.
Types of CRM:
The customer relationship management software includes many categories of tools. The CRM software products differ in terms of features and focus and are thus divided into three main categories:
- Collaborative CRM systems
- Operational CRM systems
- Analytical CRM systems
Collaborative CRM systems
The collaborative CRM system is about breaking down silos. In the company, sales reps, marketing team, and customer support agents are most of the time disconnected as these people belong to different departments. The departments are further separated for bigger companies and organizations based on locations, products focus, channels they serve, and skill specialties. This makes it very difficult for the company to give the customer a seamless experience through a customer’s journey. A business needs a way for sharing information throughout the organization in real-time.
The Collaborative CRM software efficiently ensures that all departments have access to the same customer data information across all departments and channels. The collaborative CRM enables customer support to have all information for the marketing and sales teams collected when working with the prospective customer and agents in a call center with updated information on the customer interactions on emails.
It leads to integrations and assimilations between departments and various channels. This saves the customers from the dreaded experience of repeating themselves each time they get in touch with a new contact. Employees can easily and quickly pull records of past communications with consumers and get all relevant details. This enhances consumer’s consult and interactions.
Collaborative CRM’s good for businesses with many departments struggling to keep all the relative employees on the same page. The Collaborative CRM is good for businesses with multiple locations and omnichannel support.
In case your customers complain about repeating themselves after being transferred from one department to another, then the best CRM solution is a Collaborative CRM. It’s worth considering.
Operational CRM Systems:
The Operational CRM streamlines the company’s processes for customer relationships. It provides tools for better visualization, and it can efficiently handle the complete customer journey even if there are many high numbers of touchpoints.
The Operational CRM starts customer relationship management from first interactions from the company’s website, through the lead management process, and helps the sales to move through the sales pipeline and continue even after they become a customer.
The Operational CRM software provides automation features and tools. The Operational CRM software provides marketing, sales, and service automation. It helps to offload some of the work of the company’s employees, which otherwise they would have to handle.
This opens up the schedule of your employees, which allows them to be more creative and personal aspects of the jobs. They have more time for kinds of stuff that need the human touch. This allows the companies to deliver top-notch services and scale higher.
The Operational CRM is best for businesses that want to get more information about customers and make the process more efficient for the employees. The businesses want to gain a high-level view of the customer buying lifecycle and find ways to make processes of customer-facing departments much better.
Campaign management is a big plus that enables email and phone calls and helps organize and track meetings. It has service automation for quality customer service, deals excellently with call management, and monitors things based on KPI’s.
Analytical CRM systems:
As the name suggests, this type of CRM system’s primary focus is to Analyze. The Analytical CRM system analyzes customer data for important insights. The Analytical CRM software has digital tools and platforms, which makes it easy to the collection of a large quantity of data.
Data collection is important but what is most important is data analysis, a step that is essential to turn data into something useful for the company. However, it is a difficult task. As a matter of fact, studies have shown that the company never uses most of the data collected.
Customer data and insights are valuable. The analytical CRM provides tools and features which will help marketers and sales reps to use data to see trends of customers’ behaviors. This information helps the marketers and sales reps to take steps that will lead successfully to sales, increase customer retention and understand the customer problems.
The Analytical CRM is best for businesses with a lot of customer data and doesn’t know how to effectively use it.
A now more important thing to think about is will you need all three CRM’s?
The answer depends on your business. The type of CRM you will need and whether you will need all three depends on the business needs.
For the business which is new and has fewer customer data collected, then Analytical CRM will be overkill. If the business has many departments and has no multiple geographical locations, you will need collaborative CRM to remain on the same page the inefficient way. The operational CRM is important for the businesses that want to improve processes related to customer lifecycle and want to have automation for efficient working.
But no matter the type, companies must use CRM as research has shown that CRM users who have been using the platform for quite some time have said that their churn rate has decreased and customer retention rate has improved considerably. As a result, there is more focus on strengthening the relationship and proceeding with accurately targeted marketing.
Many CRM systems available on the market, like the AuroCRM software system, offer some overlap of the features and tools associated with different types.
Auro CRM solution is customizable integrated to business with features like Lead Management, contact management, Opportunity manage and Email integration. Automating the workflow and marketing enables real-time information through easy to use dashboard. It can be customized to embed additional features to devise future communication and customer experience strategies.
Let us look into what are the top components to look for in the CRM software solution:
Understand that before choosing which CRM you want, you will need to decide and know more about your customer relationship strategy. You need to understand the challenges that your business is facing. What are your goals? All this will help you understand CMS software and what to look for.
Top components and factors to look for when choosing the best CRM for business:
Set up and ease of learning:
Installation and configuration of the CRM software should be easy. Most important, the CRM software should be easy to learn. A small company cannot invest in something the team never has time to learn. The big companies like to have something that can be easy to integrate, learn and run fast that is employees can use from the day and no need of special training.
Integration with products:
The CRM needs data, and a lot of data currently lives with products you already have. If you want more from a CRM system, you need one which integrates well will relevant products, and you don’t need to waste time to figure out how to connect it manually.
Connects with different departments:
Long-term customer relationship is a goal of every business, and for that, a collaboration between different departments at separate locations is necessary. Cooperation between customer service, sales, and marketing is important. So CRM that supports up-to-date customer data to all the customer-facing employees is essential. CRM should be the right platform for connecting customers and employees.
The CRM software is cloud-based with a subscription option. Certain CRM products are on-premise that you can buy once for a certain number of users. You need to understand the payment model and how it fits your budget. You need to understand that as your company scale, you will need to add more people, and anything with limited access can be a problem.
The Analytics provided by CRM should be such that the team can understand. It must enable the team to improve upon strategy and give data-based insights to make smarter decisions. The CRM must have intuitive reporting tools that help find the right trends and insights for better customer relationship management.
Remember the customer data is sensitive and has to be protected. It is an asset for the company but becomes a liability in the wrong hands. The CRM must have the highest level of security for keeping data safe. This will ensure customer trust in your company.
Ability to scale:
Every entrepreneur has the desire for their company to grow and revenue to increase. Your CRM should scale according to the growth of the company. The CRM should offer features that make it easy to add more customers and employees, more features, updates, and tech products to the process over time, and the whole process should be easy to connect with CRM. The ability to scale is just as you don’t want to start from scratch if a business outgrows CRM. The potential needs of tomorrow should also be considered.
Good intentions are a must but not enough for a great customer experience. The business has to organize and effectively use all the customer information. The best CRM will empower the team to deliver customized and personalized customer support, exceptional customer service. The CRM will help you strategize and power to understand the customer better as to what do customers want. You will be able to plan and strategize as per the customer preference.
AutoCRM helps in successful customer relationship management efforts, sets goals, strategizes, builds better relationships, boosts engagement, and achieves better business outcomes.