Is it necessary for the hottest SMEs to invest in

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Is it necessary for SMEs to invest in CRM

if your customer's enterprise is small, is it necessary for him to invest in CRM? For many small and medium-sized enterprises, CRM is like this: "John fried called. When did you tell him to prepare the order for him?"

this is the best portrayal of the coexistence of opportunities and challenges in the CRM market for small and medium-sized enterprises. For many small companies or industrial aluminum with poor conductivity, the system for recording customer information and customer communication is far from developed. If the company is so small that it can exchange information with colleagues by shouting in the office, why invest in technology

since some of the world's major software manufacturers, including Microsoft, sage and sap, have also begun to set foot in the CRM sales market of small and medium-sized enterprises and to participate in the competition with FrontRange, maximizer, netsuite and, more and more CRM vendors think they can answer this question. But their strategies are different: Microsoft develops its own CRM suite; Sage acquired act!, Saleslogix, Accpac and other software; SAP adds CRM functions to its business one and mySAP ERP. They all fixed their eyes on the cake

no one knows why they are so eager for this market. It may be that Gartner, Datamonitor and other analysis companies have made reports about the strong growth of imported oil pumps, electro-hydraulic servo valves and PC servo controllers in the CRM sales market of small and medium-sized enterprises in the case of reduced enterprise costs, and they are optimistic about the future development trend

Andy white, business development director of FrontRange, said: "recent research shows that although only 9% of small and medium-sized enterprises have adopted some type of CRM technology, the development speed is very fast: according to the latest estimate, the annual growth rate of CRM market for small and medium-sized enterprises may reach 21%."

both new and old suppliers in this industry recognize that the SME market has its special needs. Jason Nash, CRM product manager of Microsoft Corporation, said: "CRM products must be customized for small and medium-sized enterprise customers, because it is too complicated for them to use enterprise level products for small and medium-sized enterprises only when they are downsized."

of course, the CRM products of small and medium-sized enterprises should not be too simple. Although contact management is very important, CRM should now be able to provide more product functions. The current products include marketing automation (SFA), marketing automation control, customer service, diary and calendar management, business opportunity management and prediction, customer data archiving, generation of statistical and analysis reports, mobile and Internet access, integration with background functions such as personalized production tools and accounts, as well as ERP and other functions

so those companies that think they are already using CRM products have fallen behind. Roger peacock, sales manager of sage and FrontRange distributor concetrix, said: "In the past few years, small and medium-sized enterprises have been buying simple contact management products, such as act! And so on. Now the new generation of CRM solutions can provide more, such as integration with stations, or Internet login methods. Now is a good time for distributors to help small and medium-sized enterprises upgrade or install the latest solutions.

at the beginning, almost no small and medium-sized enterprises needed all the functions, and they would prefer modules The functions of the are available for selection. Stephen McAlister, distribution director of aspire technology, said: "SMEs are more willing to buy a specific function than the whole. This may increase the competitive intensity of products with lower prices and clear functions. A product may have very clear function descriptions and clear prices."

crm hosting is also a way for customers to rent CRM software and data storage space from service providers. This method has a typical ASP profit model: the supplier charges according to the number of clicks of the customer, while the customer has no early investment and additional hardware requirements, let alone worry about the backup of key data, and can browse the latest data anywhere without copying

although Microsoft has paid attention to the CRM custody market, they do not think that the custody market is ready. On the contrary, FrontRange and sage are optimistic about this. Sage may launch such services soon

the general ASP mode will skip channels, but concetrix has found a more favorable balance in the managed CRM market. Peacock said, "we don't share a CRM platform with hundreds of customers. We install a dedicated CRM system in the distributor's data center for customers, so that customers can manage like all inclusive services. We have also recently developed a project to host sage CRM services, which has severely damaged the company's business of hosting data to the United States through a shared platform."

now there are some solutions and ways to obtain solutions. The rest is to persuade small and medium-sized enterprises to purchase. There are signs that the IT awareness of small and medium-sized enterprises, their requirements for improving customer satisfaction and faster access to information are increasing, which together promote the development of CRM demand

white said: "from a historical point of view, this market needs to be promoted by channel sales. Now, for the first time, the demand of small and medium-sized enterprises has pulled this market. We see more demand for technologies such as CRM, which reflects the more complete market and the more and more clear market objectives they are looking for."

small and medium-sized enterprises in all industries are purchasing CRM. It seems that almost all types of enterprises and organizations are full of desire to improve market and customer relations. Some distributors report that even universities and colleges are interested in CRM due to the pressure of student customization

some manufacturers, such as sage, believe that small and medium-sized enterprises of all sizes have a market, but CRM sales data show that most customers have more than 30 people, that is, the main purchasing power of the market comes from medium-sized enterprises rather than small enterprises. Jason Newell, a marketing associate at Raven computer, said that informal intelligence sharing is easier in small businesses or organizations. So it is hard to persuade them to pay out, despite all the efforts

if the distributor hits a snag, Simon Smith, product manager of Toshiba Business Communication Division, can identify which customers may be shaken. You can ask the customer: how much is the loss of losing a single business? How much does it cost to lose a customer in a year? Under what circumstances does it mean that the customer is lost? How much profit can each additional part of the products sold bring

after many CRM projects failed in return in the past few years, the return on investment has increasingly become a key issue. But this can be explained. Julian cook, vice president of product marketing of Vecta, an intelligent sales software manufacturer, said: "after our customers recover 15% of the lost business, the general sales performance will increase by 20% and the gross profit will increase by 2%. In this way, the investment can be recovered in just three months."

peacock said: "as long as customers continue to use and train users to realize their potential, we can see a return on investment within months. A set of CRM solutions for small and medium-sized enterprises costs about 10000 pounds, which is far lower than the cost of employing special personnel to complete the automatic CRM function"

Microsoft has even developed a return on investment calculation tool for its CRM products due to its increasingly cautious consideration of return on investment. Nash also said that some other keys in the sales process are to persuade small and medium-sized enterprises not to give up basic training and consulting services in order to reduce prices; To convince them that CRM must be closely linked to the business and supported by major managers and shareholders

it is hard work to carry out CRM projects correctly, but all the hard work is worth it. The IT industry should let small and medium-sized enterprises know this. Gerry Carr, CRM solution marketing manager of sage, thinks so, He said: "There is pain in clarifying the project, in the process of investment, and in letting users know and use it. However, compared with well-organized and understood by customers during the project implementation, compared with seeing customers get more convenient and efficient customer handling methods through the project, and compared with letting customers know how we conduct business and how to do it just right, those pain is not worth mentioning.

compare the customer's business needs with the CRM side Case integration requires skills and experience, and is generally carried out by distributors. CRM involves business process, personnel and best practice suggestions, so it is undoubtedly a sales process of consulting services. As the most successful CRM distributor in the UK, the CRM business manager of aspect company Jinan new era Gold Testing Instrument Co., Ltd. helps you solve your worries. Annette Giardina suggested: "if you don't have CRM project experience, you shouldn't sell CRM. We see that many people who know nothing about CRM want to enter the CRM market, and they are in a very difficult situation."

according to peacock, the average cost of customers in the first three years of CRM projects is almost as much as the cost of customers' professional services for software. This is very good. The profit margin of CRM software can compete with that of other software markets. Peacock added that customers are more willing to spend money on additional features of the software

despite the huge price gap, the average cost of CRM projects for small and medium-sized enterprises ranges from £ 50000 to £ 80000. The decision-making cycle of SMEs is generally long, but on the other hand, SMEs pay more actively. Giardina said: "enterprises in the intermediate market tend to buy in a small scale but often. They may only spend 15000 pounds at first, but in the next year, you may do threeorfour deals with them. Jinan gold screen impact resistance test: 11 φ/5.5G copper ball falls on the central surface of 1m object at a height of 1.8m 3 ψ/9g stainless steel ball falls at a height of 30cm. And you don't have to spend too much energy because they already know you

if the customer knows nothing about CRM, aspect will install open box software for the customer, first let the customer know the functions of CRM, and then provide them with customized services. Experienced CRM users tend to know what customization functions they need first. Of course, there are few such customers in the SME market

Microsoft's enterprise CRM product

since its mid market CRM product, Microsoft CRM, was launched in the UK in December 2003, the product has been applied in 150 enterprises. For a top software company in the world, such performance seems to be average, but according to apay obangoyway, software business manager of Ingram micro, this product has achieved such results in the first year, which has far exceeded other CRM manufacturers

if Microsoft's certification process is more convenient, they should be able to achieve better results. Jason Newell, a marketing associate at Raven computer, a Microsoft product distributor, said, "many of our very good people failed the assessment. They don't know why.". Microsoft responded. Raven's technicians passed the exam, but they were not trusted

obangoyway said, "if the partner has passed the Microsoft CRM certification and provided pre-sales services, it can press the

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