Why CRM ?

We do not need CRM!!!
Sales Reps believe it is use more for sales management functions such as performance reporting and forecasting which do not help them day to day and normally CRM systems are too complicated to use and it adds another layer to make their work tougher. This also means that the management will be able to track of their activities and reveal their inadequacies.

 

However…
CRM has clearly demonstrated its ability to help sales reps improve their ability to sell and significantly increase their success rates. Survey shows that 72% of firms surveyed mentioned that CRM has a positive affect on sales force performance after implemented.

 

Because:
The customers chooses us – not the other way around
When quality and price are perceived equally and you have difficulties influencing the customer with marketing, the customer won’t be able to differ you from other suppliers. What happens then is that the customers switch from being rational to becoming emotional in their choice of product or service provider.

 

The one with best relations wins
When the customer chooses emotionally; the choice is based on what appears to be the ”best” in some meaning. If the product and price are equal, she will choose the company to which the relation is the strongest.

 

Customer retention

Understanding the value of each customer to the company is the basis for CRM. For many year, businesses operate on the assumption that companies could control customer desires by pushing products on them aggressively with marketing campaigns. It is now generally accepted that customers drive the relationship, not the company.
This evolved from several principles. Beginning with a variant of Pareto’s Principle of unequal distribution, where around 20% of a company’s customers often generate 80% of its profits. Therefore, all customers are different and have different value to the company. It is a matter of identifying the high-value customers, grouping them according to value and customize products, services and marketing efforts to their needs. Retaining these valuable customers is much more cost effective than recruiting new customers.

For more information on CRM, click here or call +65 6100 8081 to learn more about CRM and other IT Solutions.

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