Nigel Wilkinson
Managing Director of Daneswood. Nigel has been in sales and marketing since the 1980's and run digital marketing agencies since 2000.
In our last blog, we looked at why every business needs a Contact Relationship Management (CRM) system and the benefits of using one. Today we are going to look at how you go about selecting the right system and a few pointers to making it a successful exercise.
Start by mapping out what you want the CRM to do. Yes, I know this sounds obvious, but the more specific you are at the start, the better the match you will get. Setting up a CRM takes time and, depending on your choices, money. Getting halfway through and then realising you have missed a vital element could be an expensive error. Yes, there are free ones but remember, “free” is the most expensive word in the English language!
I suggest making two lists; essential features that the system absolutely must have, then Ideal features, things it would be nice to have but are not deal breakers. Decide if you need basic contact management or more advanced features like sales automation, marketing automation, or customer support ticketing. Are you an eCommerce business? Are you B2B or B2C? Different CRMs work better for different types of businesses.
Once you are clear on your requirements, do your research. Are you going with an industry-specific system, in which case talk to your peers or a generic CRM? There is no right answer, both have pros and cons. The industry-specific will cater for your demands more precisely, but they are often expensive and more restrictive, especially when it comes to integrations with other software. Scalability is crucial as it allows your CRM to evolve along with your business.
Conversely, generic ones tend to be more flexible, as they must meet wider expectations, but they may not offer features that your niche requires. If you want to look at options, https://www.g2.com/categories/crm is a great resource where you can compare software, read reviews and get ideas of pricing.
Another option is to talk to a specialist, they can help you select the right option for you. Oh, and they often can do deals on pricing that you won’t get direct. Using a reseller partner, we saved enough on the first-year CRM fees to cover their consulting and set-up costs!
Make sure you look carefully at pricing and compare Apples with Apples. Some include email marketing, some don’t, what restrictions are there and how quickly do prices scale? Are all the features you need available in your budget? HubSpot is the CRM market leader and offers a great “freemium” version, making it great for start-ups. However, prices quickly jump if you want the nice-to-have versions, such as marketing automation.
Once you have chosen your system, it’s time to enter your data. If you are moving from another system, you should have good data, but it’s still worth investing time into getting it as clean as possible. Segment your data as much as possible in ways that work for you. Lead, Clients, Other might be a classification option. Business, customers, or domestic. Male/Female. One-off sales vs Subscribers. You get the idea!
Getting good data into your system is vital. It will never be 100%, as data degrades at an alarming rate, but you want it to be as good as possible. I’d rather have a clean database of 2000 contacts than an outdated one with 10,000 contacts. Especially as most systems charge for email marketing based on contact numbers!
A great advantage of many modern CRMs is the automation they offer. Tasks can be set to happen with little or no input from your team. People enquiring on the website get added automatically and tagged with the service they enquired about or bought, email sequences can be triggered to send the information they want, and tasks are put in salespeople’s diaries, ready for follow-up. It’s worth the time and effort to get these processes set up.
Remember, “Perfect is the enemy of good,” or as Steve Jobs once said, “Good enough is good enough!” Which means that a good sequence is OK, don’t waste time getting it perfect, get it good and get it activated, you can always go back and improve it later.
Once you have your data in and your processes set up, then you need to get your team using the CRM. Some people, especially the Sales and Marketing teams, will need in-depth training, as they will be living in that world from now on. Others may just need to know how to search for a company or update a contact telephone number.
Training and regular maintenance are vital. The CRM must become the heart of your business and the centre of all knowledge. I once bought a business and called the first “Customer” on the CRM to be told, “We aren’t a customer, we left three years ago!” after a few more calls, I discarded the CRM, as it became clear why the company was a distress purchase!
Used By All (UBA) is a great phrase here, everyone must be responsible for keeping the CRM relevant, EVERYONE! Contact Details, Pipeline, Deals, Sales, Services, Products. Whatever information is right for your business. This must be non-negotiable!
One other big mistake I’ve seen is the constant swapping of CRMs. None that I have found do everything you want, how you want it, at a price you are happy with. There is always a compromise. Find a system that is a good fit (see quotes above) and work with it. You see some companies switching constantly, which means either, they aren’t doing enough research upfront or they aren’t finding workarounds for the minor frustrations. The end result is constant switching of CRM, meaning confused team members, endless expenses, massive time drains and huge costs.
In 24 years of running my own business, I’ve used ACT, Workamajig, HubSpot, and now recently, we have started using Keap. There are times to review and change as the CRM marketplace changes, new tools become available, and your business develops.
By carefully considering these factors, you can make an informed decision and choose the right CRM that aligns with your business objectives, empowers your team, and enhances customer relationships. Remember, selecting the right CRM is an investment in your business’s future growth and success.