REASON WHY ONLINE RETAILERS NEED E-COMMERCE CRM
Customer Relationship Management is a tool to strategically manage and organize customer data. Implementing CRM software can be a game-changing move for many businesses and more than 81% of brands are using E-Commerce CRM effectively.
For most of the sales professionals, the adoption rate of E-Commerce CRM in client management is 73% and the return on investment is just about 13 months to witness a turnaround. In e-commerce and online retailing platforms, managing a large amount of customer data can be easily carried out with the help of Ecommerce CRM.
CRM for eCommerce or Online Retailing
The integration of CRM technology in eCommerce and online retailing platforms has become an essential strategy for establishing cross channel communication around a centralized database system.
Retail E-Commerce CRM can use cloud-based software to store customer details, lead information, merchandising options, and inventory management details. These data can be accessed by multiple people based out of different locations.
40% of the sales personnel still utilize spreadsheets to store and manage customer data, for them CRM tools are a boon. After the implementation of Ecommerce CRM, it is reported that more than 74% of employees felt that CRM has improved their access to customer data.
Types of CRM used for eCommerce
There are three broad classifications of E-Commerce CRM that are used in the Ecommerce Industry that helps to improve data accessibility and shortens the sales life cycle of e-commerce products by 8-14%.
- Operational CRM – The main function of operational E-Commerce CRM is to capture lead data and filter them into prospects. Sales personnel can work on the prospective leads first followed by the rest.
- Analytical CRM – After the operational E-Commerce CRM collects customer data, analytical CRM interprets those data into useful metrics that help the salesforce to perform data mining and understand the buying behavior of the target group of customers.
- Collaborative CRM – This functional E-Commerce CRM helps to collaborate data with various business units such as the sales team, marketing department, and customer relationship managers.
Advantages of CRM for E-commerce
A typical CRM software designed for e-commerce and online retail chains should have proper database management capability, technical support options, marketing tools, and an organizational support system for connecting with the internal support team.
- Enhance Customer Experience
Almost 47% of CRM users believed that E-Commerce CRM has significantly improved customer retention and in turn ameliorated customer satisfaction to a great extent.
When a customer visits the website, the browning history and purchase list get stored in the CRM and when the client re-visits the website, the E-Commerce CRM personalizes the content and suggests customized products. Additionally, the e-Commerce CRM offers various updates on the status of the order placed, inventory management, shipment tracking and payment options. It helps the consumers to get notification about the merchandise shipment and delivery.
- Marketing and Promotional Strategy
All the data gets stored in the operational CRM and marketers can easily access those data and interpret them with the help of Analytics CRM to plan marketing strategies.
The brand can easily identify the target group by market segmentation, to plan and execute customized marketing campaigns. The contact and account management can be easily accessed through CRM with an average user-satisfaction score of 88%.
- Improve Sales Funnel
Improving sales funnel is one of the top priorities of the companies and by incorporating CRM, 48% of the companies have improved their sales performance. E-Commerce CRM applications can be used to boost the sales by up to 29% by increasing the average 34% of the sales forecasting and improving the accuracy by 42%.
The sales team can access client data, analyze their buying behavior and in turn, incorporate sales strategies like cross-selling and adding complementary products.
- Resource Management
CRM software in the eCommerce industry can effectively manage stocks and inventory, making the products available or sold out to be displayed over the website. It also helps to manage the workforce and human resources. It can help to allocate resources over the various categories and drive sales.
- Seamless Customer Service
All the big brands are now more focussed on improving customer experience, in order to maintain the loyal customer base and to improve upon the bandwidth of the customers for the same. After-sales services can be easily tracked and maintained with the help of collaborative retail CRM by accessing the data stored over time.
This unique feature of CRM has helped to achieve seamless client servicing, improve sales efficiency, and increase Customer Lifetime Value. The sales team can eventually address customer concerns even before they raise them and provide them with an effortless customer servicing experience.
Ecommerce CRM has the ability to harness a large amount of client information for gaining insight about customer buying behavior and provide them with customized services for a seamless experience. The e-commerce website can deliver their value propositions and offerings.