What is CRM?
In short
CRM stands for customer relationship management: managing the relationship with customers and prospects. A CRM system records all contact details, conversations, quotes and opportunities in one place, so everyone on the team can see what is going on with a customer.
What does a CRM system do?
- Contacts and companies: all customer and prospect data in one place, with the history of emails, calls and appointments.
- Sales opportunities: a pipeline with the stage of each deal, the expected value and the next step.
- Quotes and tasks: creating and following up quotes, and reminders so no one forgets a customer.
- Marketing and service: in many systems also newsletters, forms and customer queries.
When do you need a CRM?
A CRM pays off as soon as customer information is scattered across mailboxes, Excel lists and people's heads. Signs are: quotes that are not followed up, colleagues who do not know what was agreed with a customer, or handovers that go wrong when someone leaves. Also read CRM in Excel: when should you switch?
A CRM focuses on the relationship and sales. For orders, inventory and invoicing there is ERP; many companies link the two. The difference is explained in CRM or ERP: the difference and how to choose.
What should you look out for?
A CRM contains personal data, so the GDPR applies. Conclude a data processing agreement with the supplier, record why you keep data and delete it when that purpose lapses. Also choose a system the team will actually use: easy data entry, a good app and integrations with your email and calendar often matter more than a long list of features.
Which software helps with this?
CRM systems range from simple packages for a small sales team to platforms with marketing, service and their own apps. Start with your sales process and the integration with your accounting or ERP.