December 12, 2015
It is rightly said that “customer is the king” as all the businesses completely depend and rely on their customers. However, nowadays this king is targeted by a plethora of companies and they have a variety of options to choose from. Hence, it is becoming increasingly difficult to allure more customers. The dynamic way of magnetizing customers is by providing them the personalized experience. As per the survey done by Econsultancy, 94 percent of companies see personalization as the driving force for business success but 72 percent of companies say they don’t understand how to carry out personalization. Implementing personalized CRM software can prove to be a great help as it will function as per the business needs and help to cater customers in a more efficient manner.
The propagation of technology has empowered companies to collect and record customer at every interaction. Hence acquiring customer information is not difficult but utilizing customer information is more difficult. It is very difficult to convert bulk data into relevant information which can be used in giving personalized experience to the customer.
Here are 5 ways that will be helpful to leverage the customer base with personalized CRM:
1. Segmentation of the Customer Base
With the help of robust data that can be obtained from CRM, companies can segment the customers. Customers can be segmented on the basis of demographics, behavior or use of social media depending on the need of the business. Companies should create the marketing strategies as per the requirement of a particular segment.
For example: 24-Hour Fitness acknowledges the club members that generate maximum referrals and rewards this segment with thank you packages. More ways of creating customer base can be find be find here.
2. Loyalty Programs
For a firm, it becomes important to ensure that customers remain loyal and reward customers who are loyal. Personalized CRM data should be used in conjunction with the loyalty programs in order to drive customer loyalty. CRM can help the firm to track all the data regarding the purchasing habits of the customers. This data can be clubbed to design the loyalty programs that can awaken the interest among the customers and allure them to spend more. Tailored programs and rewards can be designed that can aid in increasing customer engagement and satisfaction.
3. Personalized Marketing
In the age of mass communication, the customer is the king and they expect to be treated like king. Today the customers do not accept “One size fits all” for them it is “One size, fits one”. Hence, they are in need of personalized communication and not mass communication. With the help of CRM data can create personalized marketing strategies for the customers. For example: The national ice cream chain ‘Baskin Robbins’ invites people to join its birthday club and get a free ice cream email and a special discount on a birthday cake.”
4. Effective Email Marketing
CRM data can be very helpful in designing an email campaign that appeals to the unique interests or behaviors of each segment. Integrating CRM data with the email marketing can help the business to come up with effective email marketing strategies. Implementing such strategies would lead to business amplification and increase the return on investment. For example: With the help of CRM different groups can be made based on their purchasing behavior and different email marketing strategies can be made for different groups. It helps in targeting the right audience at the right time.
5. Effective Use of Analytics for Deeper Understanding of Customers
The analytics obtained with the help of CRM help the marketers to analyze the impact of a particular marketing campaign and can make rectifications as per the requirement. They can also come up with new marketing strategies based on the attributes of the customer and create targeted campaigns catering the requirements of the customer. Such personalized campaigns have higher response rate and drive customer loyalty and retention.
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