What is Customer Relationship Management and How May I Use It?

Long gone are the days when people walked into their local store and knew the owner by his first name. In those days, a person might even know quite a bit about the back story of the person who was serving them. Customer and business owners were not merely transactional partners but instead shared a personal bond as well. That model dissolved away quite a bit in the last few decades, but lately, there have been calls for a renewal of this customer friendly type of service. Now, there are ways to start to establish a more personable relationship with customers once more.

The Art of Customer Relationship Management

A good CRM definition comes from the people at salesforce.com. What they say about it is a combination of technology, tactics, and implementation of strategies to help enhance the customer experience.

That is a pretty good definition but perhaps remains a bit vague for some readers. Those readers would probably like to know a little more about what exactly they can expect from using CRM programs. What benefits does the business gain and what does the customer get out of it as well.

A More Loyal Customer Base

Loyalty is among the most prized virtues to have in a customer. Aside from the ability to spend capital, a business owner wants his or her customers to remain loyal. This is because a customer that is loyal is one that returns to provide more revenue and profits in the future.

Every company is out there fighting for as much market share as they can possibly get. While getting new customers on board is great, it is far more cost-effective to find ways to keep the ones that are already around. As such, the use of solid CRM practices helps businesses create more loyal customers who keep the coffers full.

A Greater Sense of Morale

Believe it or not, many employees express a greater sense of morale when they are able to serve customers in a more personable way. It is easy enough to understand why. Employees do not like processing through other people just like they are simple numbers. That type of model works in a factory or industrial setting, but not so much in a customer service one.

While it is acceptable to process through items in a uniform way, processing through people should be more personable and friendly. Customer relationship management software helps employees to do just that. That helps boost their morale as they are friendlier in general with customers.

Greater Word-Of-Mouth Advertising

Advertising can be a very expensive line item in the budget of any business. However, those who have leverages word-of-mouth advertising reap the benefits without direct monetary costs. What they are gaining is advertising from those who have been pleased with their service without having a pay a dime.

To get this delightfully free advertising, it is necessary to have a very loyal customer base that is happy to come back and do business with you in the future. This means treating them right by leveraging the new tools from your CRM software and strategies.