Customer relationship management (CRM) has primarily been a lead management software that manages all the data of your potential buyers and existing customers.
It is a great collaborative tool that connects individual departments, from sales and marketing to customer service, with all information under a single platform. CRM integrations with other software makes it work at its full potential.
In today’s era, leading enterprises to small businesses are highly concerned about superior and personalized customer service. They want to create better customer relationships with effective human connections. This is applicable for both nurturing hot leads and retaining existing customers.
So, modern CRM versions have adopted the new age requirements like integration with social media, capturing customer experiences across different touch points, etc. to give a holistic view of the customer’s preferences to the businesses.
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CRM- a quick recap
There are plenty of benefits of having a CRM in eCommerce. eCommerce and CRM work together to manage customers, leads, and automation for most of the marketing and sales activities.
Here are a few points to define the importance of a CRM.
Consolidate necessary data
CRM streamlines time-consuming tasks like syncing data and transferring it through manual channels.
It creates better records and consolidates all vital customer information in the system itself, which can be further accessible by sales representatives.
That helps the entire team to give personalized experiences to their customers.
Focuses on business growth
An expanding business requires CRM systems as it increases productivity through better coordination between departments and helps to circulate critical data and customer information.
Therefore it helps to eliminate problems and create better business processes.
CRM solution primarily work to fulfill the organizational goal.
Simplifies customer relationship
Customer service often becomes challenging in a growing business, but with streamlined business processes and pointed solutions offered, even small businesses are doing well with the CRM system.
Automate daily task
CRM tool automates necessary daily tasks such as:
- Email sequence
- Sales workflow
- Chatbot assistance
- Follow-up communication
- Analytics
Thus the CRM offers professional services that make it an essential factor in the long-term growth of businesses. It even analyzes customer relationship history to create better engagement.
So when CRM captures almost all the crucial areas of a business, why are we talking about modern versions of CRM like social CRM? Let’s have better clarity on traditional CRM and social CRM.
Comparison Between Traditional CRM and Social CRM
Traditional CRM
A traditional customer relationship management (CRM) platform aims to move customers through the pipeline to perform business sales. It is more sales-oriented rather than building customer relationships in the very first place.
The software is best suited to manage customer data, automate sales and marketing processes, oversee customers’ behavior and record communication histories.
Social CRM
Social CRM builds customer relationships through social platforms such as Twitter, Facebook, Instagram, and other networking sites.
The approach focuses on building strong social connections with potential customers and gaining trust before sales. The social CRM manages better customer service, 1-on-1 conversations, marketing, and text analytics (social media monitoring) for better engagement.
Consumers’ trust defines the long-term sustainability and profitability of businesses. Only a data-driven approach is no longer sufficient to grow in the competitive market. Customers are now looking for personalized service and human connections across all platforms.
To be more impactful in this scenario, we will have to change our business strategies. Therefore, a shift from traditional to social has become inevitable. Here is the critical comparison between the two.
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Organizational Roles
- In traditional CRM, the entire process circulates on the quality of customer data and the further task assigned to a specific department or manager.
It is a data-driven approach, so good quality data is essential to convert that customer into a sale.
- Social CRM concentrates on the quality of organic or paid content reaching potential customers, and the team uses that database to create engagement.
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Administration Roles
- The history of customer data stored in the traditional CRM is accountable for marketing campaigns.
- Social CRM tracks real-time records created by clients. This data helps in project planning, marketing campaigns, and engaging content.
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Functionality
- The traditional CRM software for reseller regulates the workflow for the organization by default and defines every stage of the process.
- Social CRM is a conversation-centric method. The business workflow and the no. of phases depend on the customer’s activity on social platforms.
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Channels of communication
- Traditional CRM follows the standardized business process of sending emails, notifications, and newsletters.
- Social CRM engages in 1-on-1 interaction with clients as per the customer’s queries. They define campaigns based on the prospect’s activity.
Social CRM ruling over Traditional CRM
Social CRM is a methodology that focuses on customer relationships, solutions, and engagement, which not just tracks sales communication but keeps a record of interaction via social platforms.
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Business Growth
Social CRM software for VARs provides a better understanding of customers based on their demographics, tastes, and buying behavior. It helps to enhance productivity and create personalized strategies for marketing campaigns.
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Sales team management
Sales team management is an integral part of social CRM that helps users to identify effective hot leads who are more likely to convert. That helps to build an optimizing funnel, streamline sales, and improve the sales process.
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Contact management
Social CRM tools store information about contacts like their name, email address, phone number, social media account, and other vital details. It allows users to collect customer information and keep them well organized.
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Provides clarity on customer’s need
Social CRM is the pathway of direct connection with your customers as it gives them the liberty to express what kind of improvised service and product they expect from your business.
It becomes easy to access vital details and plan your future strategies depending on consumers’ needs.
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Serve customer better
Feedback is the backbone of businesses in the modern age. Negative feedback or tweets can impact brand value.
Social CRM software provides the customer relationship team with real-time data of the customers that help them to overcome client queries in a more personalized manner.
The Social CRM tool focuses on these points:
- Provides 360 comprehensive views of the customers.
- Keep track of data from acquiring a customer to closed sales.
- Automatically manages inquiries of the customer.
- Customer support with the help of an artificial intelligence tool that answers usual queries
Wrapping up
CRM software is improving over time, and businesses are more focused on creating best customer experiences. Adopting Social CRM is the best investment for your business growth in present times.
