About : What's a CRM

CRM stands for Customer Relationship Management. This technology allows you to manage relationships with your customers and prospects and track data related to all of your interactions.

It also helps teams collaborate, both internally and externally, gather insights from social media, track important metrics, and communicate via email, phone, social, and other channels. CRM is important for every business because it provides long term benefits to a particular business.

The CRM processes contain basic steps of customer life cycle are as follows:

  • Attracting present and new customers
  • Acquiring new customers
  • Serving the customers
  • Finally, retaining the customers

What's a CRM - Get all details 1

Which industry uses CRM the most?


Retail Industry: A retail business involves selling good and services in which the CRM is highly demanded in the retail as shoppers demand a seamless customer experience from online to in-store. CRM is widely used in the hospitality sector, mainly in hotels. The finance and banking sector greatly relies on using CRM software.

One important aspect of the CRM approach is the systems of CRM that compile data from a range of different communication channels, including a company's website, telephone, email, live chat, marketing materials and more recently, social media.

Through the CRM approach and the systems used to facilitate it, businesses learn more about their target audiences and how to best cater to their needs.

Concept :

The concept of customer relationship management started in the early 1970s, when customer satisfaction was evaluated using annual surveys or by front-line asking. At that time, businesses had to rely on standalone mainframe systems to automate sales, but the extent of technology allowed them to categorize customers in spreadsheets and lists.

In 1982, Kate and Robert D. Kestnbaum introduced the concept of Database marketing, namely applying statistical methods to analyze and gather customer data.[citation needed] By 1986, Pat Sullivan and Mike Muhney released a customer evaluation system called ACT! based on the principle of digital rolodex, which offered a contact management service for the first time.

Customer relationship management was popularized in 1997, due to the work of Siebel, Gartner, and IBM. Between 1997 and 2000, leading CRM products were enriched with shipping and marketing capabilities.

Siebel introduced the first mobile CRM app called Siebel Sales Handheld in 1999. The idea of a stand-alone, cloud-hosted and moveable customer bases was soon adopted by other leading providers at the time, including PeopleSoft, Oracle, SAP and Salesforce.com.

The first open-source CRM system was developed by SugarCRM in 2004.

Open-source :

The first open-source CRM system was developed by SugarCRM in 2004. During this period, CRM was rapidly migrating to cloud, as a result of which it became accessible to sole entrepreneurs and small teams. This increase in accessibility generated a huge wave of price reduction.

Around 2009, developers began considering the options to profit from social media's momentum, and designed tools to help companies become accessible on all users' favorite networks.

In 2013 and 2014, most of the popular CRM products were linked to business intelligence systems and communication software to improve corporate communication and end-users' experience. The leading trend is to replace standardized CRM solutions with industry-specific ones, or to make them customizable enough to meet the needs of every business.

Popular CRM products were linked to business intelligence systems and communication software to improve corporate communication and end-users' experience.

CRM systems include:

  • Data warehouse technology, used to aggregate transaction information, to merge the information with CRM products, and to provide key performance indicators.
  • Opportunity management which helps the company to manage unpredictable growth and demand, and implement a good forecasting model to integrate sales history with sales projections.
  • CRM systems that track and measure marketing campaigns over multiple networks, tracking customer analysis by customer clicks and sales.
  • Some CRM software is available as a software as a service (SaaS), delivered via the internet and accessed via a web browser instead of being installed on a local computer. Businesses using the software do not purchase it, but typically pay a recurring subscription fee to the software vendor.
  • For small businesses a CRM system may consist of a contact manager system that integrates emails, documents, jobs, faxes, and scheduling for individual accounts. CRM systems available for specific markets (legal, finance) frequently focus on event management and relationship tracking as opposed to financial return on investment (ROI).
  • CRM systems for eCommerce, focused on marketing automation tasks, like: cart rescue, re-engage users with email, personalization.
  • Customer-centric relationship management (CCRM) is a nascent sub-discipline that focuses on customer preferences instead of customer leverage. CCRM aims to add value by engaging customers in individual, interactive relationships.
  • Systems for non-profit and membership-based organizations help track constituents, fundraising, sponsors' demographics, membership levels, membership directories, volunteering and communication with individuals. CRM not only indicates to technology and strategy but also indicates to an integrated approach which includes employees knowledge, organizational culture to em-brass the CRM philosophy.

Conclusion :

CRM technologies can easily become ineffective if there is no proper management, and they are not implemented correctly. The data sets must also be connected, distributed, and organized properly, so that the users can access the information that they need quickly and easily.