A customer relationship management (CRM) system is a useful tool to help organizations manage their relationships and interactions with their audience. However, effective customer relationship management takes more than just purchasing a CRM system. Companies must also remember the human piece of the puzzle, then develop a strategy accordingly.
Below, the members of Business Journals Leadership Trust share seven common mistakes leaders may be making with their customer relationship management, and what they should be doing instead. Follow their tips to improve your overall CRM strategy.
1. Ignoring the full customer journey
A good CRM is way more than a contacts database. Start by identifying the customer journey from contact to close. Then create smart lists and targeted content marketing to promote along that journey; for example, when someone fills out a contact form, a newsletter that includes personalized case studies can be sent automatically. Then, direct the consumer to other content that aligns with their needs. – Todd Marks, Mindgrub
2. Making communications one-sided
CRMs are invaluable tools and can enhance your relationship significantly but you can’t forget to actually make the relationship a two-way engagement. Don’t leave it at you simply sending out automated communications. – Laura Doehle, Elevation Business Consulting
3. Not updating your CRM data
It’s important to constantly update the data in your CRM system to ensure you have the correct contact information for your customers and that your messaging is reaching them. If you have a lot of contacts but they are not current, your CRM system will be null and void. – Jessica Hawthorne-Castro, Hawthorne Advertising
4. Not focusing on engagement
Engagement is key. A CRM is a great way to automate engagement. Ensuring staff is versed and fluent in client dialog with a useful tool will circumvent side steps with technology that is underutilized. – Rachel Namoff, Arapaho Asset Management
5. Investing in a tool that is hardly used
We often become very excited about new tools but then we fail to use them regularly. Before making a monetary and time commitment to a new product, have an honest and open talk with your team on whether the product will really be used. Tools can make a world of difference but not if people are going to continue working as they always have. – Jared Knisley, Fizen Technology
6. Failing to set metrics
Leaders often fail to set metrics to evaluate the data they receive, which is one of the biggest mistakes they make while executing customer relationship management. To analyze the data properly and get their strategies right for the future, they should first define success and establish metrics for all areas – Alina Clark , CocoDoc
7. Losing sight of your customers
Do not lose sight of the fact that the C in CRM stands for customers. Often companies are focused on creating a database but the core is the customer! – Donna Michaels, LMGPR