10 Benefits of a CRM for Small Businesses

A CRM is an essential tool and can be a game changer for small businesses.

10 Benefits of a CRM for Small Businesses

All successful businesses, regardless of size, have a customer relationship management system (CRM). But for small businesses, a CRM is an essential tool that can be a game changer.

CRM software has replaced the old relationship management system of excel spreadsheets and file folders. Now, small businesses can leverage the power of a CRM to perform a multitude of critical tasks related to:

Database management


Sales and customer service

Business processes

CRMs have become even more necessary for small businesses with remote teams and multiple locations. In addition, the need for a CRM will continue to rise as CRM software companies make significant improvements to help businesses meet the demands of their customers.

What Is a CRM System?

Find out why more financial advisors are using this technology and how you can grow your business with a CRM.

What Can a CRM Platform Do?

A CRM can help small businesses increase productivity, generate more revenue, and improve efficiency. Here are just a few benefits of a CRM system:

  1. Provides one central location for all data
  2. Tracks individual customer interactions
  3. Improves the customer experience and service
  4. Facilitates higher customer retention
  5. Manages the sales pipeline, increases sales conversions, and reduces the sales cycle
  6. Optimizes marketing campaigns and ROI
  7. Data enables the business to make better financial and personnel decisions
  8. Improves overall business processes
  9. Automates administrative tasks
  10. Helps the business owners and sales managers develop accurate goals

If you are a small business owner or B2B sales manager, this post will show you how your organization can benefit from a CRM. You will also be able to take advantage of a special offer that will make implementing a CRM fast and easy.

What Can a CRM Platform Do-0223

10 Benefits of a CRM

The sections that follow will summarize some of the biggest benefits of a CRM.


1. One Central Location for All Data

It's easy to get overwhelmed by data. For example, maintaining customer contact information, purchase history, and service calls can consume a lot of time and energy. Fortunately, centralized data is one benefit of a CRM that makes data management simple.

Companies can maintain several different categories of customer data. Here are the most common:

Identity Data

This customer information is the type most often associated with a CRM and includes the person's name, physical address, phone number, email address, social security number or account number, and birth date.

Descriptive Data

Descriptive data refers to professional customer information such as:

  • Job title
  • Type of Business
  • Geographic Location
  • Organizational Size
  • Customer Journey Stage (i.e., stage in the sales cycle)


Qualitative Data

Qualitative CRM data is information about someone's buying behaviors, needs, or desires. This type of data is often subject to interpretation by the sales team but can be vital in closing deals. Companies that survey prospective customers or their existing customer base can gain valuable insights through qualitative data.

Here are some examples:

  • The intent of a customer inquiry (such as requesting a price)
  • A customer review
  • Customer feedback via the company website or email

Quantitative Data

Quantitative data uses real numbers to assess customer behaviors, needs, or desires. For example, if a lead opens 80% of a business's emails, that shows that the person has a significant interest. Quantitative data can be used to adjust and improve the company's sales and service processes or marketing campaigns.


2. Track Individual Customer Interactions

Tracking customer interactions is another benefit of CRM software. Companies can use a CRM to maintain records on each existing customer, including their interests and feedback. This enables an organization to accommodate customer needs quickly. It also helps a business develop additional products or services that customers have requested, contributing to future business growth.

Sales and customer representatives can access the CRM's data to maintain consistency and perform their jobs efficiently. In addition, the availability of customer information in one location makes in-house communication smoother and reduces service errors.

Commitment to tracking activity results in sales teams being able to identify who has not been contacted recently and also provides metrics on the users call/meeting volume.


3. Improve the Customer Experience

A company's ongoing relationship with customers is critical to long-term success. The customer experience sets the tone for a positive sales process, onboarding, and customer support. In addition, a CRM can help a business improve customer service, which means fewer complaints and more five-star reviews.

Having a coordinated and professional presentation to the client makes them feel like more than a number. When things do go wrong, an organized serice ticket system communicates your commitment to make things right again.


4. Higher Customer Retention

As most small businesses know, selling to an existing customer is easier than finding new ones. Higher customer retention is a CRM benefit that can significantly impact the bottom line. By giving access to customer interaction information to all employees and teams, companies can better serve customers on a personal level. This is one of the most effective ways to build trust and customer loyalty. The CRM will help small businesses and B2B sales managers stay in touch with their customers by using the data to assess complaint resolution and overall customer satisfaction.

Businesses that manage renewals (i.e., subscriptions, insurance) can leverage technology to manage the renewal cycle so that nothing is missed and the service manager is aware of at risk accounts.  Proactive follow-up and coordinated communication result in higher retention rates and a larger book of business.


5. Manage the Sales Pipeline

Keeping track of leads and sales cycle stages can be challenging. Missed sales opportunities cost small businesses thousands of dollars each year in potential revenue. In fact, 79% of marketing leads never convert into sales because reps lack the right information.

But organizations that implement a CRM won't have those problems.

A CRM helps each sales rep stay on top of their leads, previous interactions, and workflow in a manner consistent with the process established by the company.  Good process and simple/sensible reporting score wins for the salespeople and the sales managers.  CRM provides a way to set sales targets and measure success, so that users and managers are working on the same data, same dashboards and a single pipeline.  They can even automate sales reports to ensure nothing gets overlooked.

In this way, a CRM provides the business with a complete, birds-eye view of its current pipeline and potential for future revenue.


6. Optimize Marketing ROI

Marketing can be expensive, especially for small businesses on a limited budget. Marketing optimization is one of the major benefits of a CRM. Sales and marketing teams can use CRM data to track a host of key performance indicators, such as:

  • Click-through rates
  • Manage unsubscribes
  • Conversion rates on marketing campaigns
  • Advertising responses

A company can assess how well each marketing or advertising campaign is performing in just a couple of clicks and adjust accordingly. This means businesses can allocate more resources to what is working while cutting back on what isn't.

Marketing automation is another advantage of CRM technology. For example, email marketing campaigns can be set up to run automatically in a pre-defined series.

A CRM system helps marketing and sales teams define and segment profitable customer groups. As a result, a company can make customized offers for each segment, which increases the likelihood that people will buy.

How to Optimize marketing ROI

7. Make Better Financial and Personnel Decisions

Businesses must be able to plan for staffing and expenses. A CRM system can help organizations prepare for future costs. For example, CRM data can help a business allocate resources for marketing and decide if additional sales reps are needed based upon the sales forecast.


8. Improve Business Insights

The business intelligence features of a CRM can help an organization become more efficient in several ways. First, all teams and employees can access the centralized data, making it easier for employees to communicate without error or misunderstanding.

Second, a CRM can help your teams maintain consistent customer interactions. For example, the customer service department can reference records via the CRM to access the terms of a sale or contracts. This saves time because the service rep doesn't have to call or email the sales department to get more information.

Finally, business owners and B2B sales managers can review data from the CRM's dashboard to get a big-picture view of how the organization is functioning as a whole. This makes it easier for them to improve operations, cut costs, and monitor employee performance.


9. Automate Administrative Tasks

CRM platforms offer automation, an effective way to reduce employees' time on tedious administrative tasks. A CRM makes it easy to set up workflows so employees can spend more time doing their jobs and less worrying about trivial details.

Examples of workflow automation are:

  • Email marketing and customer service emails
  • Lead nurturing
  • Appointment confirmations
  • Product updates
  • Renewal notices
Automate workflow with a CRM

10. Attain Real Sales and Revenue Goals

It is essential to set business goals based on accurate data. Without the correct data, sales and revenue targets will be skewed, resulting in serious setbacks. A CRM can also help small businesses and B2B sales managers set the right goals and targets, such as:

  • Lead generation and sales conversion goals
  • Sales projections
  • Marketing budget
  • Production and expansion costs
  • Vendor contracts
  • And more

Wintec Group Can Help You Select the Right CRM for Your Business

Here is how Wintec Group can help you find success with your CRM right from the start:

We will make sure your existing data goes in cleanly.

Will train you and your staff to work through the system.

Will ensure that the CRM is configured quickly and to your specific needs.

Will remain available to you after deployment to make sure things continue to run well and grow with your business. Make sure you can leverage all the benefits of your CRM so that you get maximum ROI.


A CRM system is an essential tool for any small business owner. It can help you improve your customer relationships, manage your marketing efforts, stay organized and on time, increase productivity and efficiency, reduce costs and save time, and provide accessibility for all staff members.

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Jon Arancio, Vice President

Jon is the co-founder and Vice-President of Wintec Group Inc., a CRM software reseller and application support specialty firm. He helps clients implement Maximizer CRM, and provides outsourced application knowledge to firms who need the additional skills sets but are not looking to add support staff for this technology.


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