CRM’s Positive Effect On A Companies’ Business

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CRM’s Positive Effect On A Companies’ Business

85% of companies with CRM said it has had a positive effect on their Business

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CRM software is crucial to business success, especially once you hit a certain size in your business and the number of clients/ customers is increasing; spreadsheets just won’t cut it.

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We at Tech.co surveyed 100 companies on why they use or don’t use CRM, and for those that do, how it has impacted their business.

CRM Business

CRM And Business: We found:

  • 95% said having a CRM has positively impacted their business
  • The main benefits of a CRM include increased sales (35%), improved customer service (28%), and time saved (17%)
  • Hubspot is the most popular CRM, used by 27%, followed by Salesforce (9%)  and Zendesk (9%)

The businesses were from a variety of industries. However, the majority were from IT/ Technology (25%), Marketing/ PR (25%), and retail/ e-commerce (10%).

Selection of Stats

CRM Usage

CRM is the fastest-growing software for marketing. Our data reflected that with 92% of the businesses surveyed stating they use a CRM.

The most popular CRM system was Hubspot, at 37%, followed by Salesforce and Zendesk. 95% said having a CRM has positively impacted their business, demonstrating it’s value.  For those who don’t use a CRM, the cost was overwhelmingly given as the main factor.

CRM systems are mostly used by sales, marketing, and customer service teams. However, in 15% of companies surveyed, they are used across all departments.

CRM Benefits

Positive Impacts Of CRM On Business

The main positive impacts of having CRM were:

  • Increased sales (35%)
  • Improved customer service (28%)
  • Saves time (17%)

Furthermore, 85% said having CRM software has had a positive effect on their ROI. Similar research has found that the average ROI for CRM is $8.71 of every dollar spent.

Alternatives

For those who didn’t use a CRM, the most common alternative ways of capturing customer data were Google sheets (44%), Excel (23%) and other cloud software such as OneDrive (11%).

CRM is appropriate for all size businesses. In fact, 87% of respondents said their sales team has between 1 and 10 people.

Challenger stats

Challenges

CRM software can be very complicated, so it’s important to carefully consider which software is best for you. Research by Finances Online found that 22% of CRM users only use less than half the features of their CRM.

CRM doesn’t mean an end to office admin, as it’s reliant on inputting and updating of data. For this reason, two-thirds of office hours of sales professionals are spent on administrative tasks, like CRM management.

What customers say

CRM: What Businesses Say

Hanna, a marketer from care home software company Ally Labs commented: “Using a CRM has meant we have a 'single source of truth'. Because our customers are care homes, this is a challenging and sometimes scary time for them and they need us to be on the ball rather than taking up more of their precious time. With a CRM, everyone at Ally can see the latest contact details for a customer or prospect, see who has spoken to them and what was said and make sure we give the best information and support.”

Hung, Content Marketing Manager from Smallpdf said: “The sales team saves a lot of time from manual tasks, e.g., setting up email campaigns, sending follow-up one-by-one, collecting and importing prospects' data, etc. Instead, they have this time to strategically plan, prioritize, and execute their operations effectively.”

We no longer have to enter data manually and when we hop on a sales call, all the relevant information about a lead is already there, including the actions they took on our website and the interactions they had with our emails. If you have a strong sales department, a good CRM is a necessity.

Lars Helgeson, CEO of CRM software company, GreenRope commented: "Every business needs to use a CRM. Without one, there's no way to keep track of the complexities of operating a business in the modern era.”

CRM Business

 

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Jacob Wolinsky is the founder of ValueWalk.com, a popular value investing and hedge fund focused investment website. Jacob worked as an equity analyst first at a micro-cap focused private equity firm, followed by a stint at a smid cap focused research shop. Jacob lives with his wife and four kids in Passaic NJ. - Email: jacob(at)valuewalk.com - Twitter username: JacobWolinsky - Full Disclosure: I do not purchase any equities anymore to avoid even the appearance of a conflict of interest and because at times I may receive grey areas of insider information. I have a few existing holdings from years ago, but I have sold off most of the equities and now only purchase mutual funds and some ETFs. I also own a few grams of Gold and Silver

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