You have probably heard the term CRM a lot. Wondering what does it mean? Simply put, CRM stands for Customer Relationship Management which is a system for managing relationships with your customers.
You should be asking yourself now but how does CRM work?
Here is your answer; a CRM system uses all the data that comes from sales, customer, service, marketing, and social media monitoring and translates these data into actionable business information that helps your business manage the customer relationships and interactions that drive success. Imagine having a 360-degree view of your customer right in front of you, wouldn’t that be amazing?
CRM Is Evolving To SCRM
As we live now in a digital world where people spend enormous amount of their time on social media platforms, businesses are moving from traditional CRM to social CRM because this is where their customers live now.
“Social CRM simply adds a social dimension to the way you think about customers and your relationship with them.”
Now take a look at this infographic to see how social media is transforming CRM:
Learn from The Best: Amazon Is Doing It the Right Way
Many brands came to the conclusion that it is not about the company, neither the product or the service offered. It is and it will always be about the customer. Hence, being customer-centric or customer-focused is the best strategy. Amazon took that concept even further and invented a new term: “Customer-Obsessed”.
In his words Jeff Bezos explains:
“There are many ways to center a business. You can be competitor focused, you can be product focused, you can be technology focused, you can be business model focused, and there are more. But in my view, obsessive customer focus is by far the most protective of Day 1 vitality. Why? There are many advantages to a customer-centric approach, but here’s the big one: customers are always beautifully, wonderfully dissatisfied, even when they report being happy and business is great. Even when they don’t yet know it, customers want something better, and your desire to delight customers will drive you to invention on their behalf. No customer ever asked Amazon to create the Prime membership program, but it sure turns out they wanted it, and I could give you many such examples. Staying in Day 1 requires you to experiment patiently, accept failures, plant seeds, protect saplings, and double down when you see customer delight. A customer-obsessed culture best creates the conditions where all of that can happen.”
But how would SCRM fit in that customer-obsession culture? In today’s world, everything on social media is highly visible and publicly accessible and for that Jeff Bezos highlights the importance of the social aspect of CRM in few words:
“It used to be that if you made a customer happy, they would tell five friends. Now, with the megaphone of the internet, whether online customer reviews or social media, they can tell 5,000 friends.”
SCRM could help your brand in great ways:
For instance, it could help address and Manage complaints. This is a two-steps process
- Respond to the public post; it’s not about that single customer, other people would be angry if they see that you ignore your customers. This would make a bad impression and hurt your brand image.
- Take the conversation private; best way to solve the issue with your customer via direct messages.
Back to Amazon, you should know that Amazon doesn’t just focus on addressing customer complaints. It goes the extra mile to convert critics into fans; commenting directly on the negative review itself, encouraging the unsatisfied customer to leave his or her phone number or email address, so that they can make things right again.
In conclusion, you should know one thing; make one customer happy and watch how his/her entire social media network will know about it. On the other hand, make one customer angry and face the wrath of the internet.