Whether you’re a brand new e-commerce startup, an established technology company that develops software, a brick-and-mortar clothing store with a single location, or anything in between, using customer relationship management (CRM) tools can pay dividends for your business. In this article, we’ll highlight the key benefits of CRM and explain how it can help you organize all of your data and build lasting relationships with your clients and customers.
(Note: If you’re new to CRM software and you’re not quite sure what it is or what it does, check out our CRM Guide for Marketers to learn how CRM tools work and how they can help you understand audience data.)
CRM Benefit #1: Target—and build relationships with—new customers
Each time someone makes a purchase from your online store, subscribes to your newsletter, or clicks on one of your ads, they’re providing you with valuable new data about your audience. And when you collect all of that data in a CRM, you can start using it to make smart decisions about who your target audience is and how best to reach them.
One of the most effective tools that businesses can use to attract new customers is social media advertising. Most social media platforms will allow you to advertise to people based on certain factors—like keywords they use in their posts or profile, their interests, or their industry, just to name a few—but when you have all your customer information stored in one place (like Mailchimp’s all-in-one platform, for example), you unlock a powerful new social media advertising option.
When you create a Facebook or Instagram ad in Mailchimp, for instance, you can use all your existing customer data to create lookalike audiences of your biggest fans and most loyal customers. Then, you can target that new audience with an ad promoting your products, services, or any aspect of your brand that you think might appeal to them. Targeting folks who are likely to love your business is a great way to make your advertising budget go further—and grow your audience, too.
As new people interact with your business by making a purchase or signing up for your mailing list, they’ll be entered into your CRM database too, so you can quickly identify them and send follow up emails, thank you notes, or anything else that might help you start building a relationship with them. And once they’ve become big fans and loyal customers themselves, you’ll be able to use their information to help create the next lookalike social media audience you advertise to. It’s like the circle of marketing life!