Measuring CRM Effectiveness

Mar 13, 2013 | Communication, Customer Service, Traditional Marketing

Customer Relationship Management

Customer relationship management is a vital part of a business’s success. Perfecting the art of customer relationship management is a truly ongoing process, and you can always improve at managing your customer relationships. I was reading an article the other day that presented a CRM method that involves three major areas: customer-focused information technology, relationship marketing, and a customer-focused organizational climate.

Each of these aspects of good CRM has a high level of importance in being continually effective at meeting customer needs, starting with customer-focused information technology (CFIT). CFIT allows businesses access to all of the customer information they have in various reports. The idea is that if a good CFIT system is in place, sales and customer service reps will have access to all of the necessary information to best meet their clients’ needs. A good system will allow for the collection, storage, and reporting of customer data in various capacities to help the company reps best understand the customers and, therefore, best service them.

The second major component of effective CRM is through relationship marketing. Relationship marketing has been a part of business forever and is a crucial part in maintaining customers and maximizing profitability and customer satisfaction. Relationship marketing makes the customer feel like they can turn to you for whatever they need inside your capabilities. Once a solid relationship has been developed, it is important to maintain that through customer-specific relationship marketing. This will keep your customers happy and keep them coming back to your business.

The third component identified in this article was having a customer-focused organizational climate. This component is a very internal aspect of CRM. Your organization should be built entirely around meeting the customer’s needs and valuing good customer service. This can be difficult to attain if your business has been around for a while and has not kept good customer-focused practices. However, making a habit of focusing your entire business on meeting customer needs and providing a good customer-focused environment will be well worth it on the bottom line.

How is your business doing in these areas? Do you have systems in place that make your company excel in customer relationship management? Take a look at your business and see if you can find ways to improve your CRM practices. It will be well worth it in the end, and will help create loyal customers who enjoy working with you.

Paul Kent
Paul Kent
Community Manager
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