Customer relationship management (CRM) software has a whole lot of benefits for businesses. According to Baseline statistics, the average ROI from CRM use is $5 for every $1 invested.
Use a complete and fully integrated CRM solution and you can start seeing the impact yourself. And the more you use your CRM’s features and data, the more insights you can derive to maximize ROI. Here are 9 important ways to do it:
1. Target Unique Personas
CRM can help you track patterns of behavior within your audience. Use this information to build a set of unique personas to target with your promotions.
You can target multiple distinct but relevant markets, such as:
- Persona 1: Small business entrepreneurs
- Persona 2: Chain branch managers
- Persona 3: Enterprise level managers and VPs
Then create unique messaging that speaks to the interests and needs of each.
Your CRM automatically tracks each lead and collects important information about them and their needs. As your prospect list grows, you can better define and market to targeted personas, driving more revenue in the process.
2. Lead Scoring
CRM software has features that track where your leads are in the sales funnel and the strength of each lead:
You can use this information to:
1. Identify your hot leads through their lead scores.
2. Target your sales and promotional efforts on the leads that are most likely to convert.
This helps to ensure you spend your time and resources on leads that are actually going to become paying customers, driving ROI in the process.
3. Customize Using Contact Information
CRM allows you to easily capture and store detailed information about each individual contact. It’s easy to quickly pull up your contact’s record before reaching out and use that knowledge to customize your pitch. Things like business position, location, previous contact, etc. are important details you can use to create a more personal message.
4. Customize by Purchase History
Use your CRM software to track your audience’s past purchase behavior. Then use this information to send out customized promotions for related products.
Here’s an example of a targeted promotional email Old Navy sent out to a subscriber who purchased women’s clothing in the past:
Customizing your offers to promote products your audience would like is a great way to increase conversions and drive ROI.
5. Target Your Best Customers
Your CRM data is a wealth of information that helps you understand the value of your current customers. Identify and target your best customers to get the most out of your promotional efforts.
For example, you can find and target your biggest spenders to generate more revenue. At the same time, it’s just as helpful to reduce investment in customers who don’t generate as much revenue or become more of a hassle than they’re worth. These are people who frequently ask for a refund, send in a lot of customer service requests, etc.
6. Engage Your Social Audience
Quality CRM software will have social listening features that help you track your audience’s behavior on social media as well. You can gain insights about sentiment towards your brand or industry, consumer interests, and pain points, etc. Use this knowledge to create more relevant messages through email and elsewhere.
For example, you can track which kinds of marketing collateral are getting the most engagement on social media. Then use these insights to create more similar content and promote them in your emails.
7. Re-Engage Your Audience
A large portion of your prospects will sign up for your email list without ever engaging with your content or making a purchase. Instead of giving up these leads for lost, you can use your CRM to identify and reach out to them for re-engagement.
Here’s an example of a re-engagement email SearchMetrics sent out to try and attract leads to their content:
Making efforts to re-engage your audience can help you increase conversions and reduce churn with your current customer base.
8. Take Advantage of Upselling Opportunities
Your CRM keeps a permanent log of all your clients, past and present. You can use this information to identify opportunities to upsell current customers, increasing their lifetime customer value (LCV) in the process.
By analyzing the type and price points of products they’ve purchased in the past, you can design the perfect promotional offer to upsell something they’re likely to buy. You can also set up automatic notifications to remind you before a client contract ends so you can reach out to them at the perfect time to upsell.
9. Optimize Your Sales Process
Your CRM helps you track exactly when and how you contact your leads, and with what kind of marketing collateral. If you analyze these pieces of your sales process as a whole, you’ll likely find there are certain approaches that work better than others.
For example, say your sales process includes two demo meetings. Your CRM data might show that having the second demo has zero effect on conversion rates. So you can cut that out and go right to the final touchpoint.
There are a lot of ways you can optimize your sales process using insights from your CRM. Just test different approaches look for patterns in ROI.
CRM Is More Than Just Tracking Software
CRM and the data it provides have benefits for almost every business piece of the process, including marketing, sales and customer service.
But if you dig deep into your CRM data, you’ll discover many opportunities to better target your leads and maximize ROI from your sales process overall. Start taking full advantage of your CRM’s features to see the benefits for yourself.