CRM Managers are a key tool in the future success of your business. It’s time to prove your worth!
Effective use of customer data is key to growing business revenues, yet those businesses that can combine good customer insights and an innovative approach to CRM data will become industry leaders.
CRM managers have a critical role to play in understanding customer insights and using the latest marketing technology to measure, collect and analyse data about their customers. Many businesses have fallen far behind, continuing to utilise simple, traditional marketing approaches to a changing digital challenge. Only when focussing on your CRM activity can you really start to see how much value your commercial teams are creating.
If you are your CRM champion within your business you know doubt know the significant value that you are generating for your company. However, you are not alone if you feel like this works isn’t always recognised, and the true value you create is wrongly overlooked.
According to the CRM Barometer 2017 report, 30% of all CRM strategists say that they have no support from their wider team. At the same time, this research identified that the companies that make data-driven decisions increasingly reach their goals. These same market leaders recognise the importance of CRM for total business profits, and have the greatest support from management.
So as a CRM Manager how do you actually prove your financial value across your business, and how do you become better at making data-driven decisions?
A first step is to create a comprehensive view of the customer journey, starting from the so-called customer development program consisting of the following steps;
1. Increase knowledge and optimize customer data
2. Segment the customer base – e.g. what characterizes a valuable customer
3. Identify, quantify and automate the customer flow
4. Integrate a loyalty program or RM Strategy
5. Increase the lifetime revenue (CLV)
6. Improve the customer experience – its your most important competitive advantage
7. Identify your most valuable customers.
8. Pick out unprofitable and high risk customers
9. Prevent and recover customers - investing in predictive churn models
10. Pricing Strategy - select product offerings that drive CLV
11. External Monitor and track your competitors
These are all important but how do you actually measure this CRM work?
First, don’t start measuring everything at once. Simply select a channel where you have the most data accessible. Start by thinking about the outcome of an activity and what is the specific goal. Compare then the outcome against the costs incurred in that particular channel. As you start to become more advanced, start to compare these statistics against additional channels, and identify links as you move towards more complex relationships.
Here are 8 essential areas used to prove your real value to the business;
- Agree a complete CRM strategy: as important as marketing and sales strategy
- Analyse customer data: the key to a successful approach
- Communication: focus on relevance and personalization
- Technology: allows you to control the communication of individual customer journeys.
- Communicate: highlighting customer insight to the entire organization.
- Measure: the full ROI that shows the value of your CRM efforts
- Report: the tangible results across different business units.
- Utilise: the findings to directly increase revenues and deliver rapid growth.