The Literal Meaning of CRM

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The three alphabets of CRM are not merely alphabets put together as an acronym. It’s a wordy representation of complete business strategy and technology, designed to manage relationships with customers, streamline business processes, manage operational affairs, etc. The literal meaning of CRM is quite self-explanatory and it can easily be understood if the phrase CRM – Customer Relationship Management, is segregated into the three tenants, i.e.:

  • Customer

  • Relationship

  • Management

Meaning of CRM

CRM serves the three amalgamated key constituents of every trade. To grasp the literal meaning and the real logic of CRM, let’s look into every tenant one by one.

Customer

Customers are the most important stakeholders of every trade as, without them, no company can survive. If you are an entrepreneur, you must be acquainted with the fact that customers are the building blocks of every business and that their ultimate support is the reason behind your established organization.

Understanding the key importance of customers for a business, CRM software follows a customer-centric approach and delivers a combination of transactional, analytical, and engagement features to manage all customer-facing operations.

CRM consolidates customer information and renders deep customer insights. Additionally, CRM also automates workflows to handle customer interactions and proposes multichannel robust support so that every customer interaction is attended and served.

Relationship

Business is not a one-shot event, it is a consistent effort that you put to market your product and service among people over and over again to maximize sales and cut down on operational costs. One cannot achieve the ultimate goal of their trade, that is maximizing profit, until they share good relationships with the customers.

Hence, you need to keep your customers in a loop. The importance of it can be derived from the newly generated hype given to ROR that is the descriptive term used for Return on Relationships (ROR). ROR helps businesses stand on the trust of their clients which eventually translates into brand recognition and revenue.

Can you see your customers flicking away? I am sure nobody can. To build and retain relationships, CRM software proposes a number of features that serve the purpose and helps entrepreneurs in maximizing their ROR. One significant feature of CRM in this regard is the centralized database that maintains customer information and makes sure nothing is missed out.

Management

If you aspire to be successful in your business, management is the key.  The managing facet of CRM is responsible for end-to-end management including simulation, automation, control, and monitoring of business processes. It facilitates organizations in four major management related domains including analysis, process designing, forecasting and implementation of business strategies and helps the top level management in developing strategic plans for their business’ substantial growth.

CRM can do everything for you from streamlining business processes, data management, and providing unprecedented visibility into data to reporting assessments and analyses. It assists you throughout your journey at all management levels, let it be of executive level, managerial level or personal performance level. It has something for everything in a business. For example, CRM in Restaurants have revolutionized how operations are carried out in restaurants. With a CRM, restaurants can keep track of consumer behavior, maximize the return on marketing efforts and ensure that you make customers for life.

Key Takeaway

CRM software has much more purpose than acting as a central customer database. That purpose is apparent once you split its name, i.e. Customer Relationship Management, into its three tenants.

Furthermore, this name is taken from the marketing concept of Customer Relationship Management, which includes all the steps taken by businesses to improve customer experiences. However, out-of-the-box CRMs are not fully equipped to handle such processes. CRM integrations and integrations would be required to enable this.

Rolustech is a SugarCRM Certified Developer & Partner Firm. We have helped more than 700 firms with various SugarCRM Customizations, Migrations and Integrations. Contact us today for your FREE Consultation Session. We will be happy to assist you!

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