Posted by Bob Walton on Wed, Jan 21, 2009 @ 10:59 AM
We've all heard the expression "work smarter - not harder". This could not be more important than during an economic slowdown like the one we're currently experiencing. With the proper application of it's resources, your business can be more strategic in enhancing your client experience and deepening relationships with existing customers.
According to a study released by Forrester Research, an increased emphasis on business value will see companies focusing on customer retention and creating better solutions to support customer facing processes.
It is not enough to ensure business value in the new projects, enterprises will begin focusing on customer retention instead of customer acquisition to stay afloat Forrester predicts. "During an economic recession, sustaining revenue growth - or forestalling revenue erosion - becomes even more critical," the company wrote.
But customers are getting harder to win and keep, Forrester said, and the solution is improved customer experience. "Good customer experience is highly correlated to customer loyalty," Forrester said.
During these tough times, businesses usually look at how they can reduce operational costs. There are many approaches that businesses take, but one of the first ways businesses try to cut spending is through their IT budget. This makes companies less likely to spend money on new software or make needed upgrades to their current software. This can save money today, but could cause problems in how they manage their business and their customers.
CRM Software can provide companies with the tools needed to effectively manage the client experience and deepen relationships with existing customers. While cutting or postponing in some areas of IT may make sense, it would be wise to re-visit your existing CRM strategy. Does your company consistently deliver the client experience they are looking for? How are customers reacting to this experience? What do you feel you could better in order to deepen relationships and retain clients?
Investing in the right CRM can mean the difference between retaining or losing clients. There are many tangible benefits that the right CRM can deliver in your business.
- Provide more efficient work-flow or Business Process Management (BPM)
- Improve the customer experience through better organization of key client data
- Improve the accuracy of work from employees to ensure nothing falls through the cracks
- Improved reporting to track company performance and ensure service standards are being met
Traditionally, some software solutions have proven to be a very expensive undertaking that can require alot of time to implement. Time and money are two commodities that most businesses lack in times like these, so how can you accomplish all this with less money and implement these tools very quickly?
A solution to these challenges that many businesses are finding is software-as-a-service (SaaS). This form of software allows businesses to take advantage of the tools they need today without large investments of time or money. SaaS CRM can be very inexpensive, very fast to implement, and very effective in helping you better manage your business.
Finally, another aspect of SaaS CRM that can be so appealing in a down economy is the ability to add new functionality to the system WITHOUT capital expenditures. Your business can remain current with the latest software and hopefully ahead of your competition due to the wise choice you made to more effectively utilize your current resources and invest in a platform that will grow with you.