What is CRM?
CRM is short for “customer relationship management.” It is an approach to maintaining, managing, and optimizing relationships with current and potential customers.
Today, the term CRM often refers to CRM software platforms.
These platforms are digital dashboards that perform almost all — if not all — CRM functions necessary for a business. In today’s digitizing workplace, CRM functions are always performed through CRM platforms.
Such platforms are extremely valuable for businesses because they:
- Allow companies to manage the sales pipeline in a single place
- Collect, maintain, and track sales data on their entire database of prospects, leads, and customers
- Analyze and gain insight into customer data and sales funnel data
CRM software operates like automation platforms — automating and digitizing many functions of the sales process.
Since their automation functions are so beneficial to customers, most businesses would not consider doing without a CRM platform.
Benefits of CRM software include:
- Improved customer relationships, which, in turn, improves customer retention, lifetime values, and revenue
- Automated pipeline management, cutting administrative costs
- Analytics and reporting, which can offer insights into opportunities for improvement
CRM platforms continue to become more complex every day.
In addition to the features mentioned here, newer applications are adding AI, machine learning, and sophisticated marketing automation. These functions add more possibilities when it comes to data analysis, forecasting, and customer insights.
Whether simple or complex, CRM solutions are necessary additions to any business that employs digital technology.