Do Small Businesses Need CRM Systems?
Let's find out.
Being in the business of helping small businesses grow, we get
to deal with hundreds of small business owners on a daily basis. Talking to those
entrepreneurs often reveals insight or even patterns with regards to the way
they are thinking which we can then use to better tailor our support services
towards them.
One of the emerging perceptions among small business owners seems to be the thought that CRM systems are either too expensive for them to use or simply targeted to the large and established brands, rather than small upcoming companies. So, I thought we should look into that in a bit more depth and try to establish an opinion based on facts.
- The advantage of a small business is the ability
to establish actual relationships
with their customers and prospects, as
opposed to the more formal communication type that larger brands adopt – I think
we all agree to that. What a CRM does is help businesses achieve that intimacy
much more easily by storing data about your customers’ preferences,
demographics, purchase history, etc. so that nothing gets missed or forgotten.
Therefore, a CRM system makes it simple for a small business to leverage its
fundamental advantage, and be able to compete with the largest players in the
industry.
- Now, I know that there are people who question
the importance of being able to establish intimate relationships with clients.
The reality is, though, that if you lack the advertising budget of a large
organisation – and I’m assuming you do – positive word-of-mouth
is all you can
rely on in terms of promotion and that is exactly where a CRM system can come
in handy. A consistent communication tool like that is able to increase
customer satisfaction and loyalty or in other words build a good reputation for
your business.
- What I usually find when dealing with small business
owners is that they are often too busy running their company to find the time to handle
administrative tasks such as sending courtesy emails to customers or asking for
feedback. You might think that is not necessary, but it actually makes all the
difference for a small firm who is trying to build a loyal clientele. Having a
CRM system means you don’t need to worry about administrative duties
anymore as
these can be set up once and then run automatically.
- As we all know, not all customers are equally important to a business. I am sure that if you are a business owner you
can appreciate how important it is to be able to identify your most profitable
customers
so that you can treat them better to ensure their retention. A CRM system tracks all customer
activity, as well as the time you’ve spent dealing with them, therefore
allowing you to detect profitable and unprofitable clients.
- It’s been years since modern marketing first discovered the importance of being customer-centric. Providing a personalised
experience
to each client is a win-win situation for both parties, as satisfied
customers end up converting more often. A trusty CRM system allows the small
business owner to tailor all marketing communications to fit the right audience.
It is essentially one of the main tools for customer-centricity.
- With regards to pricing, as with most products out there, CRM systems range from really expensive to very low-cost solutions. Before you make your decision, make sure you do a thorough research to find which one is best tailored to your needs . My advice is to go for a system that was made to work for small to medium enterprises as you are definitely going to get much more use out of it, rather than simply choosing one of the big brand names which emphasize on a large number of users and would often be much more expensive.
- And if you are still thinking ‘All these are
great, but I still haven’t actually got any customers to manage’, that means
you could benefit even more from using a CRM system. Lead generation
is one of
the many perks these systems offer. A quality system will allow you to easily
create carefully targeted landing pages which can then be shared online to
thousands of potential customers. People will sign up in return for something you've offered thus filling your database with prospects you can then re-market to. Try it, it works!
I would love to hear your opinions on the matter. Have you ever used a CRM system for your business? Why/Why not? Please comment below and share your thoughts.




