Should my SMB choose a CRM Software?

Choice. It is one of life’s great freedoms. Having the power to make decisions that can shape your future can be liberating.

Ok, so this might all sound a bit heavy for a post that aims to help you choose a tool to manage your sales. But selecting the right one could be the difference between lots of sales and just a few.

Excel, We Need to Talk

Excel is a powerful tool used by businesses of all sizes, from startups to huge corporations. If your company is on a smaller scale, however, there is a good chance that Excel is your go-to tool for managing prospects and leads. As a sales tool, though, it has its limitations.

As your leads grow, trying to assimilate them all in an Excel sheet becomes troublesome. Everything starts looking complicated and the software doesn’t play friendly with other apps. That means not being able to sync things like calendars, so forget about remembering to follow up on your leads.

It won’t be long until Excel runs its course and your business needs a new solution. You might speak with companies that you have a relationship with for advice. Maybe you put the feelers out online through platforms like LinkedIn and Reddit, asking for suggestions. A quick Google search will also be key.

After some thorough research, you decide that a CRM software is the best bet for your company. But there’s one caveat: There is no “one-size-fits-all CRM”. It looks like things might get complicated.

Do you Need a CRM Software?

There are several different types of CRM software. Choosing one is anything but straightforward. Unfortunately, most CRM companies tell you that their version is ideal for your needs. Yet they fail to take into account customer pain points.

If your focus is on customer management and retention, a marketing CRM is your best bet. Their strengths lie in retargeting, creating campaigns and storing customer information on file. If your aim is to provide customer support, you need a CRM dedicated to such a task.

But if your main focus is sales and increasing your conversions, you probably don’t even need a CRM. Lead Management System (LMS) is a better option.

Lead me to the Promised Land

The giveaway is in the name. CRM tool is about managing relationships with customers. Prospects and leads aren’t customers. Not yet anyway. First, you need to convince your prospects that the product is right for them.

There is no denying that customer retention is important, but you will face even more problems if there are no customers to keep. Which brings us nicely to lead management software. Again, the name is self-explanatory: Managing your leads through software.

Focusing on sales is the most important aspect. Many CRM caters for sales, but they don’t focus on them. The result? Salespeople using about 15% of a CRM’s ability while taking up to 50% of their own capacity on the tool. The numbers don’t stack up.

Let Salespeople Sell

There are several attributes that form the DNA of a salesperson. Admin skill is not one of them. A key issue with traditional CRM is the amount of data users are tasked with entering. Before creating a lead in the system, salespeople need to enter vast amounts of information on the contact and their company.

There are two problems here. One is that salespeople want to convert; they aren’t looking for a career as a data-entry expert. The second is that it’s unnecessary to spend so much time entering details on a lead that may never convert.

The result sees salespeople finding ways to bypass the process and often entering the wrong information. Basically, whatever they can do to get it out of the way, they will do it. Marketing departments, managers, and CEOs then have incorrect details, which stop them from forming future strategies.

Paid the Cost to be the Boss

Another factor to consider when searching for a CRM software is its price. If something is billed as being an all-powerful tool, you can be sure those features are reflected in the price. That can be an obstacle for many smaller businesses.

Practically every CRM tool and lead management software have a free trial. But once it has finished, a traditional CRM system often asks you to commit $100-plus per month. Lead management software, with its streamlined offerings directed at the sales process, is much cheaper.

So you really have to ask yourself what you need the software for. If it’s for multiple facets, paying a higher fee and having access to many different mediums, a CRM might be the way to go. But if it’s purely for selling, what is the point of having a system with loads of features that no one is going to use?

Who’s Next?

Salespeople and managers need the same tools to maximise their chances of converting leads. Some of them might just not know it yet. If you’re a salesperson and have multiple people to contact, managing them all can become confusing.

If, however, there is a clear process in front of them – something that always provides the next step – they are more likely to focus on eagle-eye precision. Managers also need clear visibility of their team’s sales cycle, so they can step if needed.

The best sales teams are the ones with a complete understanding of the process. They can see their next step and know what actions to take. The sales manager also has total insight into the whole setup and can easily teach the process to new members of staff.

It is at this point the rep no longer becomes the most important part of the team. The process, which is led by the software, takes center stage.

What’s so Different?

The main difference between CRM and lead management software is the clarity the latter provides. The latter puts sales first; it doesn’t fit multiple tasks into one system. The result is something salespeople can rely on. They don’t need to think twice about using it; the software becomes an effortless extension to their daily workflow.

CRM software aren’t designed to help you execute sales strategies. At least not easily. There is a bigger picture with a CRM tool, which is fine, but as technology improves, consumers demand refined tools. Apps that integrate well with others but serve a core purpose.

Simplicity is key. The sales process varies from company to company, but the overall method stays the same. If your goal is to increase sales using your process, lead management software is what you need to boost conversions.

Reference:  http://softwarerecommendations.weebly.com/blog/should-my-smb-choose-a-crm-software