Data science and customer relationship management

                                                                                               Source: Salesnet.com, 2016

What is CRM?

CRM stands for Customer Relationship Management. Basically, it can be referred to any method, tool or technology that helps us improve business relationships with customers through the customer lifecycle.

Currently, software is capable of managing CRM for us. This software automates sales, customer service and marketing processes.

When a customer arrives at the counter, CRM software collects their purchase record, contact information and etc. Some software is even capable of storing customer information on Cloud. When an employee is sick, his or her colleagues will still easily access to customer information.

 

What are the functions of CRM software?

                                                                     Source: Author

• Sales: CRM software not only collects the basic order history and customer details, but also automatically tracks order status, creates invoices etc. Using data science, this software can provide sales forecast services as well which is valuable for companies to enhance their supply chains.

•  Customer Service: CRM software integrates all sorts of information within one system. For customer service, it reduces redundancy and improves customer experience. The communication between a customer and the company is not restricted to a specific employee any more. Keeping information privileges in mind, any staff could know past communications to improve customer familiarity. Moreover, CRM is competent to track the performance of their employees. Sales representatives could view their sale numbers and incentives on this system.

• Marketing: Along with customer services record, stakeholders can know and understand the patterns of the customer and sales. Marketing plans can be optimized to be targeted better.
  For example, a supermarket gives each promotion a unique code. With the CRM, the supermarket will have the knowledge of what promotions are more compelling to customers. They begin to use the compelling promotions in their marketing and attract more clients since then.
  

 

Data analysis in CRM Software

How does the software know the answer to all our sales needs? How is it able to project estimated long and short term sales and performance forecasts?

Two words, Data Analysis!

A CRM software performs statistical analysis on large amounts of data to achieve all of the above mentioned functions.  

For example, a leading player in this domain like Salesforce owns proprietary predictive models that use customer behavioural data to boost sales by helping optimise advertisements and to predict sales accordingly.

 

Why should you care?

It’s very simple! Data analysis and CRM can assist the stakeholders with the functions mentioned below.

↑     Increase sales by optimising sale closing process.

↑     Expand sales base by assisting stakeholders to forecast the sales of a product in a new geographic location. 

↑     Achieve broader insights about the current customer base.

↑     Manage current orders.


Interesting reads for the literary inclined geeks and other references

• Salesnet.com. (2016). [online] Available at: https://www.salesnet.com/wp-content/uploads/2016/01/Dollarphotoclub_92112876.jpg [Accessed 23 May 2016].

• SearchCRM. (2016). What is customer relationship management (CRM) ? - Definition from WhatIs.com. [online] Available at: http://searchcrm.techtarget.com/definition/CRM [Accessed 23 May 2016].

• Angeles, S. (2016). Choosing a CRM Software: A Buyer's Guide. [online] Business news daily. Available at: http://www.businessnewsdaily.com/7838-choosing-crm-software.html [Accessed 22 May 2016].