Peeling the Onion of CRM

In the Q&A portion of a webinar for professional speakers the other night someone asked the folks assembled what CRM they used.

I could tell by the answers that there were several different understandings of what comprises a Contact Relationship Management system.

I’ve spoken on the subject on three continents and what I heard caused me to chime in.

There is a significant difference in what is best for individuals, small businesses, mid-market companies and enterprises. These comments are relevant for individuals and small businesses.

Confusion is natural

Direct marketing operations used master files to have data on purchases, recency and frequency.

Even back then the difficulty was in the multiplicity of processes in use. It is the same today. With the advent of the computer, accounting programs were drafted into use to keep contact files. Today, it is not uncommon for businesses to keep their customer records in Excel.

Software for salespeople

The granddaddy of software built specifically for the purpose of managing all the contact data a salesperson or a company could muster is ACT!. Initially it was a flat file rather than a relational database and offered limited capability for sending letters. (The internet and e-mail were in the future!)

Over time the product came to offer 15 special fields to enter data that was not “standard.” It became more and more robust and is still in use in a relational database form today. I used it for a decade, at least, and still have one client that swears by it.

The man that introduced ACT! is responsible for the top selling CRM product in the world today, Sales Force.com a cloud-based product. It is usually over kill for a small business because it was designed for Enterprises. There are literally hundreds Contact Management Software options available. My go to recommendation for a solopreneurs CRM these days is Big Contacts.

Contacts vs Prospects vs Customers

Products originally built to track customers or clients started to get used to follow the actions of prospects who were people that had been contacted and established as a “sales lead.” Of course, none of this could work without input from each of the salespeople. Therein is a huge problem. Sales folks don’t like doing that detailed kind of data entry. So I developed a 3 step mantra that they could apply after each sales call:

1. Note what happened in the prospect or client file

2. Decide your next action

3. Put a follow up date on that action and when it comes up just do it.

Jerry Fletcher

(Incidentally you can use this process in a paper-based CRM, and it works in Outlook as well as any CRM software.)

It worked when sales managers encouraged it and let the rest of the sales force know about the results.

I start where the software stops

That’s when I honed my expertise in the more broadly viewed CRM arena. It was difficult enough to get salespeople to use the systems let alone purchase lists of suspects, do the mailings and phone calls necessary to assure that it was really a lead worth pursuing and then maintain the contact over time. I showed companies how to go beyond CRM software to what I termed AutomagicMarketing kluging automated e-mailings, data capture and timely automated sales follow-up as well as prospect qualification all linked to their CRM software. (Today, it is one heck of a lot easier with all-in-one systems but you still need to know the outcome you are seeking.)

E-mail became a universal cure but if you didn’t automate it the costs were too much to bear. Solutions like Constant Contact appeared on the scene providing the ability to use graphic e-mail rather than text alone. Organizations started using these products for Newsletters and on-line magazines. Mail Chimp is a good option these days. These programs operate from lists loaded into them, require proof that the folks on the lists opted in but have no CRM capabilities. For that you need to connect them to your CRM system.

Autoresponders were developed. The first were part of e-mail transfer agents. They created bounce messages such as "your e-mail could not be delivered because..." The first step up was a product called AWeber. Today's autoresponders can handle if-then branching sequences as well as time delayed responses and even action-based triggering. Responses can be automatically entered into your CRM system with the right integration. The best available at the moment, in my view, is Active Campaign. Visit their web site to see how this sophisticated kind of product works. (Note that Active Campaign is introducing a CRM linked to their Autoresponder and automation capability.)

E-commerce solutions

The first “complete solution” software that became a market dominator was Infusionsoft. It included a store and the ability to accept payment (with an integration). More importantly it was a fully functioning CRM with individual and bulk, text or graphic e-mail capability, autoresponder with linkage to telephone as well as snail mail. Today there are a host of systems available. Here are some to consider if you intend to sell from your website:

· Infusionsoft

· Click Funnels

· Kartra

· Ontraport

· Builderall

· Active Campaign (with a store integration)

Pricing for these ranges from under $20/month to $300/month

Before you leap be sure of what your real objectives are.

Need help with that? E-mail me.

His consulting practice, founded in 1990, is known for Trust-based Brand development, Positioning and business development for independent professionals on and off-line.

Consulting: www.JerryFletcher.com
Speaking: www.NetworkingNinja.com
DIY Training: www.ingomu.com