3 Reasons Why you Desperately Need a CRM28 Aug 2020 Reason 1 - You have an unhealthy obsession with leads Most business owners and marketers are under pressure to produce leads and this makes complete sense. Leads bring in the dollars and keep a business afloat. So why is this a problem? Think of leads as water being poured into a bucket. If your bucket has holes then you will keep having to fill the bucket with more leads. The bigger the holes, the more you have to spend to fill the bucket. An obsession with leads alone means that you are not spending time fixing up the leaks in your bucket. Those leaks could be the quality of the leads, your lead nurturing process (are you following them up enough and in the right way?) and your ability to close those leads. If you don’t address the leaks in your bucket, you will be spending an unnecessary amount of money acquiring more and more leads. Reason 2 - Your sales and marketing teams blame one another In the movie “Glengarry Ross”, Alec Baldwin is pushing his sales team to close more deals. One of the sales people says “The leads are weak” and Alec responds with “The leads are weak? You’re weak”. This scene makes us laugh because it is so true. In the real world, sales often blame marketing for not giving them good leads and marketing blame sales for not closing. Nobody knows the truth so the blame game continues and management just get frustrated with the lack of sales. Reason 3 - You can’t measure the Return on Investment of your marketing So you’re spending all this money for Sally to put up social media posts but after a few months you wonder - “what am I really getting out of this?”. This is the age old question of return on investment. For every $1 you spend in marketing, you want to know the $ return you are getting. The problem is, most businesses find it extremely hard to measure all their marketing activities and so they continue to play the guessing game and blindly spend their money on what they “think” works. So what is the solution? A healthy CRM strategy solves all of the above problems. Let’s start with the first problem of the unhealthy obsession with leads. A CRM takes this obsession away by helping you categorise your leads into buckets such as unqualified and qualified. You can automate the categorising of leads based on how they fill out a website contact form or your marketing team can manually categorise leads as unqualified or qualified after they talk to them on the phone. Either way, the CRM captures all of this information so that you know which leads deserve more follow up attention. Secondly, you can automate your nurturing process with a CRM. A good CRM will track the activities of your leads and you can automate actions based on their activities. For example, if user X visits product page Y, the system can automatically send the user an email containing information about product Y. A CRM also solves the problem of sales and marketing teams blaming one another. As all your lead and sales data is in one centralised system, everyone using the system will be able to see whether the quality of leads is good and whether the sales team are appropriately closing those leads. In fact, a good CRM strategy will enable both sales and marketing to work more closely together to generate more sales. Lastly, a good CRM will help you measure your return on investment on your marketing. Without a CRM, you can only see vanity metrics such as website hits and total number of leads. With a good CRM, you can drill down to know the actual names of your leads and your sales conversions. For example, you can track that “John Smith” became a lead from a Google Ad and he ended up purchasing your services for $20K in the month of March. If you spent $2K on marketing for that month, then you know that your return on investment was 10 to 1 or 1,000% for that month. This data is invaluable for both measuring your return on investment and optimising your campaign. If you want help with your CRM strategy, reach out and contact us. Disclaimer: Alyka are Hubspot Agency Perth Platinum Partners.