Customers have high expectations in the digital landscape wanting personalised experiences.
So, as an Ecommerce business owner, it is challenging to boost sales and customer retention these days.
They want to feel a sense of friendly connection with their purchase.
It can be overwhelming to think of how you can achieve that when you have so many customers.
But worry no more!! This is where ecommerce customer relationship management (CRM) comes in handy.
And not only that, but it also helps manage all customer interactions across many platforms.
This eliminates the effort you put in to gather all the information of individual customers from different platforms.
Imagine the amount of time saved with this and how you could spend it on other areas of your business!
Once you manage to do all this, improving sales and customer retention becomes easier.
In this article, we will explore how ecommerce CRM can help you achieve it in a broader vision.
What is an Ecommerce CRM? Does it really help?
Ecommerce CRM also helps businesses manage client interactions, information, and touchpoints.
It allows many platform integration such as social media, email, and websites for better organisation.
The goal of this software is to perform better with lead nurturing and customer service to increase sales and retention.
But how does it differ from a regular CRM?
So, an E-Commerce website focuses on the unique needs of E-Commerce.
Such as customer data management from many platforms, website and social media analytics, and marketing automation.
What does an Ecommerce CRM let you do?
A CRM comes up with plenty of benefits. Let’s discuss the most important ones here.
Customers need personalised treatment as we discussed earlier.
An Ecommerce CRM lets you identify your most valuable customer and many other categories. This lets you personalize your marketing and sales efforts.
When you can integrate many platform information into one, it saves you time.
And not only that, it allows you to spend more time on improving customer satisfaction and loyalty.
When you have earned a loyal customer, you also retain him.
This increases higher lifetime customer value and thus sales.
Why is an Ecommerce CRM so crucial for your success?
An Ecommerce CRM (Customer Relationship Management) system is crucial for the success of any online business as it helps in managing customer interactions and data, automating marketing campaigns, and improving customer retention. By analyzing customer behavior and preferences, an Ecommerce CRM can provide insights that enable businesses to personalize their marketing efforts and deliver a better customer experience. This, in turn, leads to increased customer loyalty, higher conversion rates, and ultimately, greater revenue.
Every Ecommerce business needs to put customer satisfaction as its top priority.
And an Ecommerce CRM helps you create personalised experiences that meet their needs and preferences.
This makes them feel that you care (the basic human instinct), and want to buy more from you to become a loyal customer.
Ecommerce CRM helps you communicate with your customers across all your social platforms.
This is important as building a friendly relationship improves engagement in your posts.
You need to be able to reply to DMs and comments to build a strong fanbase. And this is impossible without an Ecommerce CRM.
Customer Loyalty and Retention
77% of people are likely to recommend a brand that they trust. Isn’t that what you want?
But to achieve this you need to nail the above-discussed things and for that, you need an E-Commerce CRM.
What Should an Ecommerce CRM be capable of?
Customer Data Management
An Ecommerce CRM helps you collect, store, and analyze customer data from many channels.
You can use this to personalise marketing and sales efforts.
An Ecommerce CRM allows you to tackle marketing efforts that target a large audience.
Email campaigns and social media ads based on customer data and behaviour gets hard when the volume is high. An Ecommerce CRM helps you automate these processes.
Customer Support and Service
Ecommerce CRM makes customer support and service easier and more efficient. You can do that consistently and on multiple platforms.
You don’t have to run searching for each customer’s information. All you need to do is log in to your CRM software.
Data Analysis and Reporting
With the right business insights and analytics, you can always derive a fail-proof strategy.
These insights provide a deep dive into the world of customer behaviours, needs, and engagement.
This information from multiple platforms, helps you alter your marketing and sales strategies better.
How to Implement a CRM in Your Ecommerce business?
Ecommerce CRM implementation involves steps that need accurate planning and execution.
So, here is a step-by-step guide for you to put in place Ecommerce CRM:
Gather Your Requirements
Know your requirements beforehand. It is a must to know which specific features would provide the most value to your business.
You need to have a clear understanding of the purpose and functionality behind your CRM purchase.
Tools such as data management, order management, marketing and sales automation, and service tools are a few important things that you consider.
Choosing the Right Ecommerce CRM Service Provider
Once you have your needs defined, you should choose the right CRM service provider that suits your E-Commerce business.
There are several CRM providers in the market.
Zoho, Salesforce, and HubSpot offer specific E-commerce features and integrations.
We have a blog along with a Ultimate Guide to Choosing a CRM For Your Small Business where we discuss some of the best CRM in the market and a detailed comparison. Do take a read.
Integrating Your CRM
CRM integration is a very important step while you are implementing a CRM software for your business. In this step, you’ll be integrating your E-Commerce website with your CRM.
This is to capture customer data and order information in real-time and have it synced with your CRM.
Configuring Your Ecommerce CRM
The next step after integrating is to configure your CRM. This needs to be done to meet your specific business needs.
It involves setting up customer data fields, creating workflows and automation, and configuring reports and dashboards.
This step determines your productivity, efficiency, and success.
Educating Your Team
Another important step is to train and educate your team on how to use the system.
Without adequate training, it is difficult to make the most of the system that you bought.
Each team should be trained for their team’s purposes along with collaborative needs.
Let’s say, if your marketing team is capable of planning and executing campaigns, then they should also collaborate with your sales team about the leads generated.
Corporate training plays a crucial role in educating the team about various aspects of the business, including e-commerce CRM. By providing training sessions, companies can equip their employees with the necessary knowledge and skills to effectively manage customer relationships in the e-commerce industry. Educating the team on the importance of utilising CRM tools and techniques can significantly enhance their ability to engage with customers, improve customer satisfaction, and ultimately increase sales revenue. Therefore, investing in corporate training that focuses on educating the team about e-commerce CRM can yield significant benefits for businesses operating in this industry.
Optimise your Ecommerce CRM
The last step is to track and optimise your CRM system.
You need to make sure that the CRM is meeting its intended needs.
You need to analyse your data and reports to identify trends and areas of improvement.
And then, make necessary changes to your workflow and automation.
Do this regularly to maximise the impact and value of the CRM in your E-Commerce business.
Let’s Take a Look At a Few Best Practices for Successful Implementation.
Start small and focus on one area of your business to install E-commerce CRM.
Get the stakeholders and all the departments in the implementation process.
Monitoring and measuring the reports and making changes where required should happen regularly.
You should also improve and optimise systems based on customer feedback.
Let’s now discuss a few strategies that could let you make the most of your CRM.
- Segment customer data such as buying history, surfing habits, payment statuses, and demographic to personalise marketing and sales efforts.
- Tailor your product recommendations, email promotions, and other such strategies to make a unique impression.
- Use analytics to reach the right audience at the right time with the right message.
- Create seamless customer support and interactions across all platforms like email and social media.
Key Factors to consider before choosing a CRM
Choosing the right E-Commerce CRM platform is just as important as all the other factors that we discussed.
While the CRM market is a sea of expert solution providers, it can be challenging to choose a CRM.
So, here are 5 factors that you need to consider no matter which solution provider you choose.
A user-friendly CRM software saves time by avoiding or reducing the amount of time spent on training a resource.
This would provide your small business plenty of time to focus on the business rather than training.
A CRM’s flexibility is a critical characteristic. Customization of fields, workflows, and reports should be possible in your CRM.
This enables your employees to work in a workflow that is tailored to your procedures, increasing productivity.
You should ensure that the CRM software can interface with other software that your small business employs.
This saves you a lot of time that would otherwise be spent on a frantic, time-consuming process to streamline data.
Although it is important that price shouldn’t be the only factor you should be considering, it sure is one of the important factors.
Never go for a low-cost CRM that doesn’t suit your business. Go for the one that suits you even if it’s on the expensive side.
This one-time investment will give back big. Make sure it gives the best value for money.
Reviews and Ratings
Check what other users are feeling and talking about the CRM which you’re about to choose.
This will give you clear strengths and limitations of the CRM.
These factors can help you achieve your sales and customer retention goals when done in a precise way.
Metrics to Track on Ecommerce CRM
In Ecommerce CRM, there are Several Metrics that are Essential to Track your Progress
Let’s see them in this section.
Customer Lifetime Value (CLV)
This metric represents the total amount of money a customer will spend as long as he’s in a relationship with your E-Commerce brand.
Understanding the CLV will let you figure out your investment limit in acquiring and retaining customers.
You can then design your marketing strategies and customer service to increase revenue in the long run.
Customer Acquisition Cost (CAC)
This metric measures the cost taken to get a new customer.
You will test the effectiveness of your marketing campaigns to make sure that you get the best results out of them.
By comparing your CAC to your CLV, you can determine if the marketing campaign is profitable.
It is the percentage of your website traffic that completes a desired call to action.
That can be filling out a form or even buying your product causing revenue spikes.
You want your conversion rate as high as possible, which also indicates that there’s something that’s working well on your website.
Tracking conversion rates pinpoints your areas of improvement such as optimising product pages, improving the checkout process, and/or much more.
Customer Retention Rate
This is the percentage of customers who have continued doing business with your company over time.
When customer retention is high, you can conclude that the customers love your products.
It is easier and cheaper to retain customers than to get new ones. So, tracking your retention rate becomes crucial for this reason.
It doesn’t stop there, they are also most likely to refer new clients for extra revenue.
All these metric measurements and how you utilise the insights from them have a high impact on your E-commerce success.
Challenges of Ecommerce CRM
- Choosing and implementing a CRM for your business needs is crucial and needs expert support.
- Managing large amounts of customer data and ensuring its accuracy and security can be tough initially.
- Integrating with other business software such as inventory management and POS can be complex.
- Training and adapting employees can be tough without expert support.
What Does the Future Look Like for Ecommerce CRM?
- The advent of Artificial Intelligence (AI) and Machine Learning (ML) will make it easier to predict customer behaviour and personalise marketing campaigns.
- The growing trend of social media CRM will only get better to provide better engagement and customer service.
- Predictive analysis will give a far more in-depth analysis of customer behaviour to predict future sales for targeted marketing campaigns.
- Ecommerce mobile CRM lets you manage customers and potential customer interaction through mobile devices like smartphones and tablets.
Let’s Now See What Not to do With your Ecommerce CRM
- Poor data management even in the Ecommerce CRM is possible. Avoid this to never have a sale or a lead.
- Sales are important, but not focusing enough on customer experience is a huge mistake. Don’t make your customers unsatisfied.
- Not using Ecommerce CRM to its fullest will not only make your performance drop but will be a huge waste of money.
- Ignoring metrics and analytics will hinder your growth and improvement.
Mastering Ecommerce CRM is the most important step for a business looking to boost its sales and customer retention.
With the information provided in the blog and with sheer determination, you can do that and achieve your goals.
Let’s see a short recap of this blog here.
- Importance of Ecommerce CRM
- Its Major Components
- How to Implement Ecommerce CRM
- Metrics to Track Common Ecommerce CRM Mistakes to Avoid
- and much more…
As the future of Ecommerce CRM is bright, businesses should stay up-to-date to survive with the evolving advancements and competition.
And it’s almost inevitable when your plan is to be successful in the E-commerce business.
So, make the wiser decision.
We’ll see you in another educational blog.
What is an Ecommerce CRM?
Ecommerce CRM also helps businesses manage client interactions, information, and touchpoints. It allows many platform integration such as social media, email, and websites for better organisation.
What are the benefits of Ecommerce CRM?
A CRM lets you segment customers, improve customer experience, and ensure customer retention.
What are the main components of Ecommerce CRM?
The main components of a CRM are customer data management, marketing automation, customer support and service, and data analysis and reporting.
How can businesses implement Ecommerce CRM?
Step 1: Know your requirements.
Step 2: Choose the right CRM service provider.
Step 3: Integrate your E-Commerce website with your CRM.
Step 4: Configure your CRM.
Step 5: Train and educate your team.
Step 6: Track and optimise your CRM system.
What are some challenges of Ecommerce CRM?
- Choosing and implementing a CRM.
- Managing large amounts of customer data and ensuring its security.
- Integrating with other business software.
- Training and adapting employees.
What are some common mistakes to avoid in Ecommerce CRM?
- Poor data management.
- Not focusing enough on customer experience.
- Not using E-Commerce CRM to its fullest.
- Ignoring metrics and analytics.