Choosing the Right CRM Tools

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CRM helps companies develop successful strategies based on a true understanding of customer needs, market developments and competitors.  Choosing the right CRM tools depends on the organization needs, budget and implementation factors.

Larger, multi-national organizations may choose to hire consultants specializing in CRM where as small and mid size organizations may choose to assign a management team.  In either case, a detailed assessment should include the following elements:

Special attention should be given to the area of integration and process issues.  As CRM solutions increase in their scope, the more likely that standard organizational processes will need to be overhauled.  Likewise, CRM tools that are more specific in nature require less integration and fewer disruptions in current processes.

The best CRM solutions are those that are characterized by:

Simplicity – Some CRM solutions providers are creating complicated software mega-solutions.  Where as these solutions may seem to address a multitude of CRM issues, they are often so complex that the solution is worse than the issues.  Choosing a solution that offers an intuitive user interface and is easy to use is a strong success criterion.

Affordability – Bells and whistles never come cheap.  In addition to “feature bloat”, the price tag of may CRM solutions can quickly skyrocket into the millions of dollars.  Solutions can range from a low of $50/user per month to well into the $100s/user per month.

Robust Search Functionality – Tracking sales leads and opportunities is only part of the equation in a successful sales and marketing strategy.  These efforts mean little if you don’t have the tools to measure the results.  CRM solutions that offer customizable reporting and filtering allow management to conduct business more effectively and efficiently.

Flexibility – CRM solutions must be able to adapt to the way you conduct your business, not the other way around.  Look for subtle capabilities like custom labels and private labeling of the software interface.  Users will be more apt to make the most of the system when it looks and feels like your company.  Data collection, presentation and reporting must be flexible enough to accommodate vertical markets.

Organization benefits will differ widely depending upon the market served and the type of organization (production, research, service, etc).  As a guideline, consider this list of benefits as your starting point.

• Increased customer satisfaction
• Improved market share
• Increased revenues
• Increased profit margin
• Real time access to customer information, account history, order information etc.
• Improved response time to requests for information. Ability to meet customer requirements increased
• Reduced costs of using and buying services and products
• Reduced expense of customer handling, e.g., lower call center expense

By applying benchmarking techniques, current vs. future CRM benefits may be quantified to assist in the CRM solutions decision-making process.