What is sales CRM system?

Sales CRM systems have become increasingly popular as businesses look for ways to improve their customer relationships, boost productivity, and generate more revenue from existing clients.

In addition to improving efficiency by automating processes like email follow-up or client management, these tools also provide access to real-time data that allows you to see where customers are at any given time. This helps you plan future campaigns with better accuracy, so you don't waste resources on unsuccessful initiatives.

But before you make an investment in a new tool, it's important to understand exactly what a "CRM" is -- and why you may want one. We'll break down the basics here, along with some key features you should consider when looking into different options.

What are the three main types of CRM?

There are many different types of CRMs available today, but they all share common traits. The most basic definition of a CRM is a database used to store information about people, products, leads, and other items relevant to business operations. It can be structured such that users can search through records using keywords, browse them chronologically, or sort them based on various criteria.

This basic definition covers two broad categories of CRM solutions: enterprise and consumer. Enterprise solutions tend to focus on large companies and organizations who need robust reporting capabilities to track metrics across multiple departments. Consumer CRMs usually target small businesses and startups who prefer simplicity over complexity.

The next step up is B2B, which stands for Business to Business. These platforms typically allow employees within the same company to collaborate effectively, manage accounts and contacts, and even communicate via video chat if necessary. They're ideal for mid-size enterprises and larger corporations who are looking to connect their internal teams without having to invest in additional infrastructure.

Finally, there are SaaS CRMS, or Software as a Service. These programs run entirely online and are accessed directly through a web browser or mobile app. They often feature extensive customization options, allowing users to tailor them to fit specific needs. Because they're cloud-based, they require less maintenance than onsite installations, making them easier to scale as needed. For example, you might use a CRM during peak season and then switch to manual tracking methods once things slow down again.

Another way to categorize CRMs is by type of user interface. There are both desktop applications and web apps, each offering distinct benefits depending on whether you work primarily at home or remotely. Desktop interfaces offer greater flexibility in terms of file size, while web apps are generally faster to load. However, both formats come with tradeoffs; desktop versions typically cost significantly more because they're installed locally on your computer rather than accessing content from the internet. If you're working remotely, however, you won't have access to the functionality provided by a local installation.

It's worth noting that not all CRMs fall neatly into one category. Some combine aspects of several designations, such as providing support for both businesses and consumers. Others offer advanced features like artificial intelligence and machine learning that aren't necessarily present in every solution. Before choosing a platform, take into account its strengths and weaknesses, and determine what will suit your particular requirements.

What are the seven Cs of CRM?

While different vendors market their own unique offerings under the banner of CRM, all of them adhere to certain principles that define the term. One of the most frequently cited characteristics of a good CRM is Customer Relationship Management. A well-designed CRM should enable you to efficiently keep tabs on your customers' history, preferences, behavior patterns, and purchasing habits. This kind of insight provides valuable insights into potential buyers and allows you to develop targeted strategies to engage them further.

Other common factors include Customization, Collaboration, Communication, Control, Compliance, and Community. While we've already covered some of these concepts above, let's briefly explore them here.

Customization refers to the ability of end users to customize the appearance and layout of reports, dashboards, forms, screens, and other components. Most CRM packages provide templates that can be customized according to individual preference. You can change colors, fonts, add logos, rearrange fields, and alter layouts whenever you wish.

Collaboration means that CRMs integrate seamlessly with email services, project managers, task lists, calendars, and messaging systems. Since all communication channels are tied together through the program, you only need to enter contact details once and receive updates automatically wherever possible.

Communication refers to the ability to send messages between users and to respond quickly and professionally. In order to do this, CRMs must incorporate automated notifications and reminders, automatic replies, scheduled meetings, and instant messaging. Users can also record call logs, notes, and meeting minutes, and create custom reports for team members or supervisors. Finally, compliance concerns ensure that everything done inside the system complies with corporate policies and regulations.

Control refers to the ability to set limits and restrictions, monitor activity levels, and prevent unwanted changes from being made. As mentioned earlier, your CRM should automate tasks whenever possible and give you full visibility into activities performed on your behalf. By managing access privileges carefully, you can protect sensitive financial information and prevent unauthorized individuals from viewing confidential files.

Compliance comes into play when dealing with data privacy laws. Many countries have strict rules regarding what kinds of personal information you're allowed to collect and retain. To avoid running afoul of these regulations, check for third party integrations and certifications to make sure your chosen vendor has been vetted by authorities.

Community refers to the ability to build social networks among colleagues. Companies that leverage CRM systems to maintain strong connections with customers and prospects encourage collaboration at all levels. Employees can easily post status updates, share documents, and request assistance from coworkers. Social media integration makes it easy to reach out to followers outside of traditional channels and foster long-term relationships instead of focusing solely on short-lived interactions.

Lastly, there are two major phases in CRM. First, there's onboarding, which involves getting your staff familiarized with the product itself. Then there's training, which focuses on teaching staffers how to operate the software. Both stages involve hands-on instruction, demonstrations, and practice sessions, so make sure you choose a provider that offers plenty of opportunities to get involved.

What are the elements of CRM?

As outlined above, CRMs consist of a variety of features designed to enhance customer service and streamline workflow. Here are just a few of the elements commonly found in modern CRM suites:

Account Management - Keep track of all incoming communications, including emails, phone calls, text messages, and social posts. Make note of responses, assign priorities, and flag those requiring immediate attention.

Contact Tracking - Track past conversations with prospective clients, current ones, and former co-workers. View detailed profiles and view previous correspondence alongside corresponding notes, attachments, and links.

Document Storage & Sharing - Store, organize, edit, annotate, and distribute digital paperwork. Keep track of legal documentation, receipts, contracts, proposals, invoices, and more.

Data Integration - Integrate external sources, including databases, spreadsheets, and websites, to gain comprehensive knowledge of your clients and prospects.

Reporting Tools - Generate customizable reports showing trends over time and compare performance against competitors. Easily export results to Excel or PDF format for ease of analysis.

Automated Workflows - Create standardized procedures that apply to everyone regardless of role. Automatically convert repetitive steps into repeatable actions.

Analytics - Use built-in analytics tools to measure performance in real-time and identify areas of improvement. Gain insights into marketing effectiveness, sales numbers, customer satisfaction, and retention rates.

Integration - Connect your CRM to other systems with seamless interoperability. Add automated synchronization functions to save time, reduce errors, and eliminate redundancies.

Machine Learning - Leverage predictive algorithms and AI techniques to analyze historical data and predict outcomes. Accurately forecast demand, anticipate shifts in buyer behaviors, and optimize pricing accordingly.

Security Features - Ensure secure connection protocols, encryption standards, and multi-factor authentication. Protect your organization from cyberattacks and malicious insiders alike.

When considering a CRM suite, always weigh the pros and cons. Check for compatibility issues, availability of upgrades, and trial periods to ensure you're able to test drive the package thoroughly before committing to purchase. Look for integrations with other essential systems, such as accounting packages, ERPs, and HR systems. And finally, try to find providers who specialize in selling to SMBs. That's the primary demographic you'll encounter in everyday life -- and the segment with the highest growth rate.

Sales CRM systems are powerful tools that automate many manual processes related to selling. This enables companies to get better at their jobs by reducing errors and increasing productivity.

CRMs have become increasingly popular as businesses grow and expand globally. A comprehensive CRM solution will handle all aspects of your business from customer management through to project planning and reporting.

In this article we’ll explore the different types of CRM solutions available on the market and discuss why you should consider one over another. We'll also look at some specific features each type of CRM has to offer. We'll finish with an overview of our favorite CRM platform for small-medium sized businesses.

What are the 3 dimensions of CRM?

The three main components or ‘dimensions' of most modern CRM platforms include Customer Relationship Management, Marketing Automation, and Analytics. These 3 components work together to provide a holistic view into your company's operations. The following diagram illustrates these key areas:

Customer Relationship Management (CRM)

Marketing & Sales Automation

Analytics

Let's examine each of these components further:

1. Customer Relationship Management

This refers to the way in which customers interact with your brand. It includes things like communication between employees and clients/customers, tracking interactions such as emails sent and received, social media posts made, phone calls answered etc. Any interaction with a customer can be tracked using this aspect of a CRM.

2. Marketing & Sales Automation

Most CRM packages allow users to create automated campaigns including email blasts, newsletters, text messages, web forms, landing pages, and much more. All of these can be managed within the same interface. For example, if someone enters their contact details via a website form then they could receive an automatic follow up message when they click 'Submit'. They would never need to go back to check whether their details were entered correctly because everything is already done automatically.

3. Analytics

An analytics tool allows you to track data points about your customers, suppliers, products, services, costs, revenue, employee performance, sales pipeline, product catalog, orders, leads, budgets, and anything else relevant to your business. You can use this information to make decisions about future actions. An example of an analytical report might show which products sell well during certain times of year, or where there may be room for improvement.

4. What was the first CRM?

The first major implementation of a CRM occurred in 1981 when IBM introduced its System i and System p. In fact, it wasn't until 1991, however, that the term CRM actually came into common usage. Prior to that time, the acronym stood for Computerized Reservation Maintenance, or "Computerizing Reservations."

Today, there are hundreds of CRM options available across multiple industries ranging from retail to manufacturing to healthcare. There are even apps designed specifically for personal finance! However, not every CRM system offers the full range of functionality required by large enterprises. Here are just a few examples below:

Microsoft Dynamics 365 Sales - Microsoft's flagship CRM package is built around a single database allowing for easy integration with other applications. Its user interface makes it easy to navigate and customize according to your needs. Users can access all areas of their account without needing to log out of any other application. If you're looking for a robust piece of software but don't want to invest thousands of dollars upfront, this is probably the right option for you.

Odoo ERP Software - This open source alternative is suitable for smaller organizations who wish to avoid paying licensing fees for proprietary software. Unlike Microsoft Dynamics, it doesn't come packaged with any pre-built modules so you will have to build them yourself. While this means less money upfront, it comes with additional challenges. Odoo is very complex and requires advanced knowledge of programming languages. However, since it's free and open source, it's often used by larger corporations due to customization capabilities.

Freshdesk - One of the oldest vendors still going strong, Freshdesk provides fully customizable templates and reports. Their pricing structure depends on the number of agents you employ.

Zoho CRM - Zoho is known for offering affordable, yet effective cloud-based services. With no upfront cost, Zoho CRM works seamlessly with existing office suites. The service is ideal for smaller businesses who require basic features.

So now you know a little bit more about CRM software and what distinguishes it from others. Let's take a look at how sales CRM can help improve your sales team.

What are the 4 steps of the CRM process?

There are four stages involved in the overall sales cycle: lead generation, qualification, negotiation, and closing. Each stage relies heavily upon accurate records being kept throughout the entire process. When combined with automation technology, CRM facilitates quick record keeping and improves efficiency across departments. Below are the four stages of the sales funnel outlined in order of importance:

Lead Generation

Qualification

Negotiation

Closing

What was the first CRM?

IBM originally developed its original CRM program called CICS Integrated Communications Services (ICCS). The name changed to Computerized Reservation Maintenance (CBMR) before finally settling on the current CRM acronym.

How does CRM helps in marketing more sales?

One of the primary benefits of a good CRM is increased visibility into your sales department. By having a clear picture of individual agent activity, you can identify problems early and address issues quickly. Another advantage is improved collaboration amongst teams. As mentioned earlier, once you enter all relevant data into one central location, you can share files easily among colleagues regardless of geographical distance. Finally, CRM gives you real-time insight into sales activities. Knowing exactly which leads are progressing towards completion lets you adjust strategies accordingly.

Best CRM Platform for Small-Medium Sized Businesses

If you're running a relatively small business, then your IT budget won't stretch far enough to afford a complete CRM suite. Luckily, there are plenty of alternatives to choose from. Some of the leading choices include:

Freshdesk - Offering both hosted and self-hosted versions, Freshdesk is perfect for SMBs who simply do not have the resources to purchase a dedicated server. Since it uses a shared hosting environment, you can expect lower monthly expenses than traditional servers.

Jira Service Desk - JIRA is renowned for providing excellent support and is highly secure. Built on top of Gitlab, it boasts superior security and reliability. At $20 per month, it's significantly cheaper than enterprise offerings while maintaining the same level of quality.

SugarCRM - SugarCRM is a popular choice thanks to its intuitive design and extensive feature set. Although it's expensive compared to competitors, it's worth considering if you're willing to pay extra for peace of mind.

Conclusion

As you can see, CRM stands for quite a lot. It's essentially a combination of several technologies that can transform your business. Whether you opt for a hosted solution, a desktop app, or something completely unique, choosing the correct CRM for your organization is essential. To learn more about creating an appropriate plan, read our guide on choosing the best CRM for your business.

Sales CRM systems are increasingly popular as they allow companies to manage their entire customer relationship cycle from lead generation through to account management.

However, there's more to CRMs than just managing leads. In fact, it goes far beyond that with features such as social selling, advanced analytics, automated email campaigns, and many other options available in today’s market.

So, what exactly is CRM, why do we need one, and how will using a CRM benefit you? Let’s have a look at each question separately!

How does CRM help sales and marketing?

CRM allows businesses to better track all interactions with customers throughout the sales process. This includes identifying potential customers who may be interested in buying products or services, tracking conversations between business owners and clients/customers, creating personalized landing pages for different stages of the sales funnel, and much more.

As mentioned above, being able to identify potential prospects is particularly important when working within B2B environments where finding new opportunities requires time and effort. A CRM helps streamline these processes by allowing users to create lists of contacts based on specific criteria which can then be used to target them later on.

This is especially useful if there are any gaps in knowledge about the company or its offerings, since the list can be re-targeted multiple times until the right person responds.

Another way that a CRM can improve the effectiveness of the sales team is by helping them automate repetitive activities. For example, once an appointment has been made, the CRM could automatically send out reminders as well as follow up emails to ensure that appointments go ahead without issues.

The same applies to aftercare tasks such as sending invoices and receipts so that customers don't get confused during delivery. These kinds of tasks would normally require human intervention but now become automatic thanks to the power of automation tools built into most modern CRMs.

How does CRM help increase sales?

It's easy to see how a CRM can make things easier when it comes to selling, but it also improves overall productivity - something every business owner wants. Since everything is done online nowadays, having access to accurate information about customers and prospects becomes vital.

For instance, knowing whether someone is open to hearing about a particular product or service makes it possible to find ways of increasing revenue while still keeping costs down. It also means that marketers can use powerful data analysis techniques to determine who is likely to respond positively to certain messages.

Furthermore, it gives businesses the ability to personalize interactions with prospective buyers. Instead of mass mailings, newsletters, and advertisements, customers receive customized communications tailored to match their interests and needs.

In addition, CRMs provide detailed reports on performance metrics like conversion rates and average order values. The insights gained from those statistics give companies valuable feedback on how to approach future clientele and adapt accordingly.

Finally, CRMs make it easier to keep tabs on sales progress and deal with problems before they escalate too high. Users simply log in to check on orders sent off and received, contact details, invoice status, and much more. By doing this regularly, managers can spot trends early and take action sooner rather than later.

Why is CRM good for marketing?

Marketing teams often struggle to generate results because of the sheer volume of content they produce. There are various methods of generating leads but the majority of them rely on cold calling or spamming people via social media sites.

These days, however, many consumers turn to search engines instead of sharing their opinions publicly. They'll only engage with brands if they're genuinely interested in what they offer. So, making sure your website ranks highly in Google searches is crucial to attracting visitors.

But even though SEO is still relevant, the rise of social media has changed the game completely. Nowadays, more internet users prefer to connect with brands directly rather than waiting for recommendations from friends or family members.

Since this trend continues to grow, it's essential to stay top-of-mind with existing customers. With a CRM, you can easily build relationships with past, present, and possibly even future clients. You can collect important details about them, including names, addresses, phone numbers, preferred communication channels, etc., and store these securely in the database.

After building up a solid rapport with your audience over time, you can launch targeted campaigns across platforms like Facebook, LinkedIn, Twitter, Instagram, YouTube, and others. All of these mediums have unique audiences which can be tapped into individually depending on the type of message you want to convey.

Of course, not everyone will click on links embedded in posts or tweets. But because you've already established a connection with them, chances are your brand won't seem like an outsider trying to sell anything.

Instead, you'll appear as a trusted resource offering advice and guidance that appeals to both sides of the fence.

How does a CRM help?

Now you know what a CRM is and why it's beneficial, let's talk about practical steps you can take towards getting started. If you own a small business, you might consider starting with free solutions first. However, larger organizations should think carefully about investing in a paid solution due to the amount of resources required to run it properly.

When choosing a provider, ask yourself some questions to decide whether it fits your needs. First, do you want to integrate with third party applications? Is integration necessary? What types of integrations are available? How long will it take to implement the chosen platform?

Next, review the pricing structure. Make sure you understand the terms involved and choose a package that suits your budget. Finally, select a solution that offers plenty of support and training materials to aid implementation.

Once you've decided on a solution, start implementing changes gradually and monitor user adoption rates. Take note of any improvements you notice along the way. Once you're satisfied with the outcome, continue scaling up and adding new capabilities.

If you'd like to learn more about the benefits of a CRM system, read our article on what a CRM actually is, plus discover 10 reasons to switch to Zoho Creator.