Why Social CRM is Worth the Investment

CRM (Customer Relationship Management) solutions are something most customer service representatives, account managers, sales and businesses in general are familiar with. There are a wide number of systems out there for companies and business buyers to choose from. What some businesses are beginning to see is the impact of social networks on all these areas of their business. Social CRM indirectly invites the customer into the planning and feedback conversations so that they have some say in the experience. Social CRM software, or incorporating social activity into your current CRM solution, is a worthwhile investment and should be included in your online marketing efforts and analysis.

Get Close to Your Customers

Social media, when integrated with a CRM system, can help businesses get closer to customers while they collect data they need to enhance the customer experience. HubSpot found that 95% of CEOs feel their most important business imperative over the next few years is getting closer to their customers. Social media isn’t just a place for marketers and business – it’s a place for people above all else. Social media encourages conversations to take place around news, events, specific topics and more. These networks have the ability to influence the purchase behaviors of consumers. In fact, 75% of B2B buyers claimed social media would likely influence a future purchase (Eloqua). If getting closer to your customers, in order to engage and sell, is part of your company strategy, consider the impact social CRM can have on making this happen.

Step Up Customer Service

Many businesses are focused on giving each customer a great experience and providing them with superior customer service. Great service and good experiences help businesses develop loyal and repeat customers. Your customers are on social media. You should be too. In 2012, 36% of consumers interacted with a company via social media compared to 19% in 2011. In 2013, it’s likely that number will continue to increase. Customers aren’t just using social media to find information or connect with their friends; they expect businesses with a presence on social media to respond to customer service inquiries and 40% of consumers say social media improves customer service (Fishburn Hedges and Echo). Step up your service strategy by using social CRM to address common issues, respond in an efficient manner, and ensure the right representative from your company is reaching out and responding to customers.

Turn a Profit

Social CRM can help your business increase its profit line. While the initial investment may seem costly, every $1 spent on CRM activity yields a return of $5.60 (Nucleus Research). All businesses are looking for ways to increase their bottom line and generate higher profit margins. Social CRM can help. As you improve service and get closer to your customers to develop deeper engagement and stronger loyalty, your social CRM solution will help you attract and retain customers.

Social CRM requires involving your customers, putting programs in place and fostering cultural change. Before you begin to use social media in your CRM solution, make sure you have a strategy in place so you’re efficient and using the software to its best capabilities. Social CRM can bring you closer to your customer, help you collect vital customer experience and service information, and help you generate profits. Social media networks are a place where you can really connect with customers and integrating conversations and data from these networks into your CRM solution can help your business gather and analyze customer feedback for greater success.

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Guest Author Bio: Erica Bell is copywriter who covers a range of topics including online marketing companies, trends, and CRM software systems. She is web content writer for SME resource Business.com. Connect with Business.com on Facebook!