CRM (Customer Relationship Management) – There are many types of information systems that have developed according to business needs in this information technology era.
Have you ever heard the term CRM? If you don’t know, Customer Relationship Management is one type of information system that is currently widely used to help a company’s business.
In this article, we will discuss CRM starting from its definition, purpose, functions, to examples of its applications. For this type of information system is closely related to relationship management between the corporation and the customer or customer.
Learn What is Customer Relationship Management Completely
In business, customer relations are very important and must be maintained. Because of that, almost all business activities that occur within the company must end up for the customer.
Starting from how to get customers interested and buy your product, how to make customers feel at home and continue to use your product, to how customers recommend your product to other people.
Good relationships with customers are mandatory to be maintained so that the relationship between the customer and the company can continue to run well and generate profits for both parties.
For that, you must read this article to the end because in this article you will learn about CRM. Starting from the definition, goals, components, benefits and much more that you can find out so you can maintain good relations with your customers.
What is CRM?
CRM (Customer Relationship Management) is a business approach used by companies to improve their customer relationships by managing interactions with their customers, including gathering and analyzing information about customers and their interactions with the company.
The main purpose of CRM is to assist companies in improving relationships with their customers and increasing customer satisfaction so that they can increase customer loyalty to the company and increase company revenue.
To run Customer Relationship Management in a company, you need a system to support the smooth running of these customer relationship management activities, which is called a CRM system.
What is a CRM System?
A CRM system is a set of technologies, processes and strategies that companies use to improve their customer relationships to become loyal customers and acquire new customers more quickly.
Customer Relationship Management systems can include CRM software used to manage and access information about customers, as well as business processes that govern how a company communicates and interacts with its customers.
The CRM system is a system that is used to plan, schedule, and control or control the pre-sales and post-sales activities that occur within the company.
CRM can also include marketing and sales strategies designed to increase customer loyalty to the company and increase company revenue.
Overall, the Customer Relationship Management system aims to assist companies in managing and improving relationships with their customers, so as to increase customer satisfaction and increase company revenue.
By using a Customer Relationship Management system in a company, it will help and simplify the company’s management staff in monitoring sales activities starting from incoming leads to deals.
What is the Purpose of CRM?
The main purpose of Customer Relationship Management is to assist companies in managing and improving relationships with their customers, so as to increase customer satisfaction and increase company revenue.
CRM uses technology, processes and strategies to collect, store and analyze information about customers and their interactions with the company.
By using Customer Relationship Management, companies can increase customer loyalty, increase revenue, reduce customer loss, and improve business efficiency.
The purpose of having a CRM is to get a good relationship with customers, namely by knowing as much information as possible about how the needs and behavior of customers is so that companies can improve their operational systems and improve their services.
That way companies can plan better marketing strategies in the future based on the data and information they collect with the Customer Relationship Management system.
Because the key to the success of a business is about how far we understand customers and meet their needs.
For this reason, the purpose of Customer Relationship Management is used to make it easier for companies to understand customers, provide the best service to them and increase company revenue.
What Are The Main Components Of CRM?
The CRM has 3 main components that are important in it, namely:
1. Management (Management)
The first component of CRM is management. In this case, the parties involved in interaction with customers, such as Call Center agents, Sales teams, Marketing teams and so on.
And also about how their strategy is in carrying out good and accurate customer relationship management.
2. Relationship (Relationship)
The next component of CRM is relationships. That is about how to provide the best service to create good relationships with customers and how to provide the best solutions for every problem and customer need.
3. Customers (Customers)
The last component of Customer Relationship Management is the customer. The customer is the center of the reason why Customer Relationship Management exists and is needed by companies.
Customers here include potential customers as well as existing customers. About how to get new customers and keep existing customers.
What is the Function of CRM for Companies?
In general, the function of Customer Relationship Management for companies is to assist and simplify company management in monitoring sales activities and obtaining overall information about customer behavior.
This is so that companies can improve their operational and service systems to provide the best service to customers and increase customer loyalty to the company.
What are the CRM tasks in the company?
The main task of Customer Relationship Management is to help businesses or companies get comprehensive information about customer behavior.
From this information, it can be used as evaluation material to improve your business operational activities. That way, the business will progress and develop.
Customer Relationship Management tasks within a company vary depending on the size of the company and its organizational structure, but generally include:
1. Storing and Managing Customer Data
CRM stores information about customers, such as name, address, telephone number, and shopping history.
2. Managing Customer Communications
CRM helps companies manage and organize communications with customers through various channels, such as email, telephone and social media.
3. Analyzing Customer Data
CRM helps companies analyze customer data to find out more about customer needs and preferences, and to determine shopping trends.
4. Manage the Loyalty Program
CRM can be used to manage customer loyalty programs, such as giving gifts or discounts to loyal customers.
5. Provide Better Customer Service
CRM helps companies provide better customer service by giving customer service staff access to the information they need to help customers with any questions or concerns they may have.
What are the Benefits of CRM for Companies?
There are several benefits that companies can get from using CRM, including the following:
1. Increase Customer Satisfaction
CRM helps companies improve customer satisfaction by providing better customer service and creating better relationships with customers.
2. Increasing Customer Loyalty
CRM assists companies in increasing customer loyalty to the company by increasing customer satisfaction and maintaining good communication and interaction with customers.
3. Increase Company Revenue
CRM helps companies increase revenue by increasing the number of purchases made by customers, increasing the price of products or services sold, and increasing the number of customers who buy products or services from the company.
4. Reducing Customer Loss
CRM helps companies reduce the number of customers leaving the company by identifying and dealing with problems that might cause customers to feel dissatisfied.
5. Increase Business Efficiency
CRM assists companies in increasing business efficiency by assisting companies in managing and managing interactions with customers effectively.
6. Increase Understanding About Customers
CRM helps companies improve their understanding of customers and their preferences by gathering and analyzing information about customers and their interactions with the company.
7. Facilitate Sales
CRM assists companies in facilitating the sales process by providing information about customers and their interactions with the company, as well as by assisting companies in managing and managing interactions with customers.
What are some examples of CRM in a company?
The following are examples of CRM in business that companies can do:
- Providing an online chat system to make it easier for customers to communicate with customer service, such as using the Omnichannel Chat system which can connect all communication channels into one system.
- Provide a loyalty program system to reward loyal customers.
- Provide a product delivery tracking system to make it easier for customers to find out the status of their product shipments.
- Provide a customer satisfaction survey system to find out what needs to be improved in the business, such as by providing a customer satisfaction survey form or something else.
- Provide a monitoring system for customer activity on websites and social media to find out their preferences and habits.
- Provide a customer data management system, including contact information, transactions, and interactions with companies such as using customer database management software.
- Provide a monitoring system and handling customer complaints.
- Provide a lead management system to identify and convert new business opportunities such as using a lead management system.
- Provide monitoring system and market data analysis to understand customer needs and preferences.
- Provide a system for planning and implementing targeted marketing strategies to increase brand awareness and customer loyalty.
What are the processes in CRM?
The processes in CRM are as follows:
The marketing process in CRM aims to increase brand awareness and attract customer attention to the products or services offered by the company. This process may include the use of advertising, promotions and special events.
The sales process in CRM aims to increase the number of purchases made by customers and increase the price of products or services sold by the company. This process can include managing leads, running product presentations, and offering products or services that match customer needs.
3. Customer Service
The customer service process in CRM aims to increase customer satisfaction and maintain good relationships with customers. This process can include managing customer service tickets, answering customer inquiries, and handling customer complaints.
4. Customer Retention
The customer retention process in CRM aims to reduce customer loss and increase customer loyalty to the company. This process can include monitoring customer satisfaction levels, identifying potential exit customers, and offering solutions to increase customer satisfaction.
5. Data Analysis
The data analysis process in CRM aims to collect, store and analyze information about customers and their interactions with the company. This process can assist companies in identifying trends and patterns in customer behavior, and in making more informed business decisions.
What Are the Stages of CRM?
The stages of CRM are as follows:
1. Goal Setting
The first stage of CRM is determining the goals to be achieved by the company, such as increasing customer loyalty, increasing revenue, reducing customer loss, or increasing business efficiency.
2. Collection of Customer Information
The second stage is the collection of information about customers and their interactions with the company, such as information about purchases, preferences and communications.
This information can be obtained from various sources, such as sales systems, questionnaire forms, and customer surveys. You can save it as a customer database on the CRM system.
3. Customer Information Analysis
The third stage is the analysis of information about customers and their interactions with the company. This analysis can help companies identify trends and patterns in customer behavior, thereby helping companies make more informed business decisions.
4. Implementation of CRM Strategy
The fourth stage of CRM is the implementation of a CRM strategy in accordance with predetermined goals. This strategy can include the use of promotions and discounts, as well as developing products or services that match customer needs.
5. Measurement and Evaluation
The fifth stage is the measurement and evaluation of the results of CRM implementation. Companies can measure CRM success by collecting and analyzing data on customer satisfaction, customer loyalty, revenue, and customer loss.
The results of this evaluation will be used to measure the success of CRM implementation and to improve Customer Relationship Management strategies in the future.
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