Customers expect timely, knowledgeable support when they have questions or need problems solved.
According to the American Express 2012 Global Customer Service Barometer, “Three out of four consumers say they have spent more with a company because of a history of positive customer service experiences. Conversely, over half (55%) … [had] intended to conduct a business transaction or make a purchase, but decided not to based on a poor service experience.”
One surefire way to guarantee customers are satisfied is by investing in a CRM platform. Among the various benefits, a good CRM:
- Tracks every interaction with future and existing customers, compiling data from a vast array of channels: website visits, social media interactions, in-store transactions, survey responses, and more.
- Provides customer service and help desk reps with quick access to customer information and transaction histories, making it easier to handle questions or problems and make suggestions.
- Analyzes sales and customer history, making it easy to target customers and deliver more relevant, impactful marketing campaigns.
In other words, the ability to tap into a CRM goes a long way towards improving customer satisfaction. And any business which clearly understand the needs and preferences of its customers is likely to experience greater customer loyalty and, consequently, long-term business success.
This is especially true for businesses.
Customer Retention, the Lifeblood of Business
As a business owner, you are probably spending a lot of time and money attracting new customers. Of course, every business must expand its’ customer base. But, in fact, maintaining and selling to existing customers is the real foundation upon which profitable businesses are built. Marketing analytics company SumAll demonstrates that:
- 25% - 40% of total revenues of the most stable businesses come from repeat customers.
- Businesses with a 40% level of repeat customers generate 47% more revenue than similar businesses with only a 10% level of repeat customers.
- Steady customers make it easier for businesses to weather lean economic times.
In reality, existing customers fuel business success, and businesses are discovering that long-term customer relationships are easier to obtain and manage with a CRM in place. According to a recent study of 2,200 business owners:
- Businesses which employ a CRM spend less than 25% of their time on new customer acquisition.
- CRM makes it easier for these businesses to foster customer engagement and loyalty, and build strong brand association.
- Business owners report “improving customer relationships” and “growing revenue” as two distinct advantages to having a CRM.
Simply put, a CRM platform creates a mutually beneficial relationship. Businesses are able to access customer information which allows them to deliver a high level of personalized customer service. In turn, customers feel a greater connection with the business and, therefore, deliver more long-term value.
With a CRM, it is easier to make customers feel important and build relationships with them. As a result, you will experience higher retention rates - upwards of 27% - over an extended amount of time.
And if you are able to show your customers that you care about them, they are more likely to demonstrate they care about you, recommending your business to friends, family, and colleagues. One study finds that more than half (58%) of consumers are likely to share their positive experiences with a company with the people they are closest to. Meanwhile, another study reports that 77% of consumers are more likely to buy a new product when learning about it from friends or family. On top of that, customers referred by other customers have a 37% higher retention rate.
There’s just no question about it: a CRM platform is the best investment you can make to grow your business. The positive impact a CRM will have on your business cannot be overstated.
The Value of CRM
Understanding your customers and improving their experience with you should be a priority for your business. With customers becoming more and more demanding and the competition becoming more intense, you have no choice but to invest in ways to keep the customers who have already chosen to do business with you. After all, when 76% of American shoppers view customer service as a "true test" of how much a brand values them, no business can afford to ignore its customers’ needs, wants, and preferences.
Fortunately, a CRM platform will provide you with the tools you need to deliver value to your customers and, in turn, transform your business into a customer-centric profit-making machine. Using a CRM to stay connected to your customers will ensure you are taking the right proactive steps to maintain the positive and lasting relationships you need for your business to become successful.