When we talk about developing a CRM strategy, we are not talking about the strategy of implementing CRM software. Instead, we are talking about developing a strategy that will dictate and define how your organization will manage its relationships with its customers and its prospects. Once this strategy is defined, CRM software can be used to manage and enhance those processes.
Address 3 Fundamental Areas to Understand:
Who your customers are.
Few companies can be all things to all potential and existing customers. To get value from customer relationships, you need to understand who you are building these customer relationships with. For example, are you providing a broad range of services to a distinct group of companies, or a single product for a wide range of businesses?
How both parties obtain value from the relationship.
A relationship only lasts when both parties benefit from the relationship. What do your customers need from you? If customers are looking for after-sales service, then you need to be able to provide distinguishable service while still making a profit. For customers who simply want to buy and walk away, a different strategy is needed.
Systems and software are only as effective as the strategy behind them.
Processes should be designed and systems should be implemented in order to remove blockages and improve relationships through communication and responsiveness. It’s important to realize that only people can build relationships. Systems and software only support people and processes as customer relationships are built – they cannot solve issues with personnel or with poor processes.
Unsuccessful CRM projects rarely address these fundamental areas clearly. Instead, these CRM implementations focus on generic practices that scatter resources across multiple areas, offering little or no impact or return on investment.
Projects that do address these fundamental areas do so by developing a focused strategy. They identify what business intelligence is needed and which processes can be improved by technology, and then configure the systems to accomplish these objectives. They focus resources on targeted improvements that will lead to increased productivity and business process enhancements.