If you could create your own fantasy board of directors, who would be on it? CO— connects you with thought leaders from across the business spectrum and asks them to help solve your biggest business challenges. In this edition, we ask the founder of two Dallas-based technology consulting firms to share his insights on how small business owners can use customer relationship management (CRM) software to succeed.
In this edition of "Ask the Board," we feature Paul Wnek, Founder and CEO of Coalescence Cloud and ExpandAP, which both provide technical and financial technology consulting services to businesses in various sectors. Wnek shared his tips to guide entrepreneurs and small business owners on how to integrate CRMs into their organizations.
Whether on Day 1 or several years down the road, one of the most important components of any business is its customer records. At any point, businesses may realize they need a real or new way to intake and organize the constant firehose of customer data available in each digital and in-person interaction.
With CRM software, the burden of keeping up can be automated. Here are my best tips on where and how to start a CRM integration in your business.
Understand what CRM software does
CRMs help streamline customer relationships and business operations. Everything your customers play a role in can now be stored in one place, bringing exponential lifetime value as the data from various touchpoints compounds.
CRMs are not just an automated Rolodex, but this software can also perform functions like customer communications. For example, you can access vendor information and recent inquiries all in one spot, meaning you can pick up right where you left off in the next interaction.
Keep in mind that CRMs cannot necessarily bring you customers, but they help you keep loyal ones by automating outbound touchpoints and curating customer experiences based on their historical interactions. They can prompt you with reminders that enable you to treat each person like a valued member of your business ecosystem.
Nail down what your business needs in a CRM
Look at your processes. What does your staff complain about? What takes the most time? Where are you entering duplicative data? Identify any bottlenecks and commit to automating these processes. There are a ton of CRM options available to small businesses, so having a clear end goal in mind will help you narrow down the platforms and their various features so you get the best return on your investment.
For example, if your staff consistently runs late on expense reporting or your accounting team is consistently cross-checking various platforms, choose a CRM that can automate your expense reporting and accounts payable processes. This takes the stress off your staff and allows the accounting department to see invoices against cash flow and budgets in real time, reducing missed payments or errors that ultimately cost you more time and money.
There are a ton of CRM options available to small businesses, so having a clear end goal in mind will help you narrow down the platforms and their various features so you get the best return on your investment.
Paul Wnek, Founder and CEO of Coalescence Cloud and ExpandAP
Research integration capabilities and choose a product
Integration is key in choosing a CRM. You just took stock of your business processes and current software, so consider one that easily integrates with those systems. For example, if you use a specific accounting software, you'll want to be sure there's a simple data migration process or an integration available that allows you to see your accounting data alongside your customer records.
Shop around for a CRM with a menu of integrations needed to reach your goals today and as you grow. When you're speaking with different sales reps, don't be afraid to negotiate to get the best rates.
To familiarize yourself not only with the software but also what it will be like working with the people behind it, ask to get to know the account manager you'll work with at your CRM vendor once you are onboarded. After all, they will assist you as your business grows.
Implement it
Once you have chosen your CRM, you're one step closer to feeling the ease (or pain if you ignored the last step) of integration. Your next step consists of consolidating your customer information, vendor details, and financial records into this new single platform. If you don't have internal experts who understand the platform, it may be best to work with the vendor or a partner consulting firm to implement your CRM.
Consultants have the advantage of having implemented these systems for many different companies and can steer you toward best practices to build for long-term success. Setting up a CRM isn't always the quickest process, especially if you've gone without one for a long time and have a bit of data to sift through, but the result of eliminating data silos and manual processes supersedes any headaches that may come with implementation.
In practice, if you choose a CRM with an accounts payable and expense reporting integration, you will essentially see your full business in one platform, from customer records and their transactions to your vendor invoices and employee expense reports.
Train your team
Some contracts come with a certain level of support and training for your team as they learn a new platform. Be sure to maximize the value of any training offered and develop resources for your team! Hosting "lunch and learns," participating in webinars, or attending provider-sponsored local events are excellent ways to begin educating your team about the new platform.
Make sure your rollout plans include end-user testing and enough time for training. It's important for the team to feel confident in the new processes before they're required to use the platform.
Depending on how big of a change the new platform is for users, some companies may incentivize users to start using the new platform before sunsetting the old one officially, allowing their team to get used to the new platform gradually. Having a well-trained user base is key, as now that everything is in one place, your No. 1 job is to keep the data clean from errors.
Automate timing to improve customer relationships
With all customer data integrated in one place, you should have easy access to reporting on your customer data and trends so it's easier to make informed business decisions and engage with your customers at scale. For example, if you've integrated customer order records into your CRM, you can run a report to identify which customers typically take you up on discounts, and you can then send them a personalized campaign.
If you're integrated with your marketing automation platform, you may also identify customers who may need a renewal reminder and automate a message to send to them. Enjoy using your CRM to prioritize the human relationships in your business with automatic reminders telling you when to reach out to secure that customer relationship for a lifetime.
Expand and check-in
As your business grows and your processes evolve, it's important to assess how your CRM is working in real time. Many CRMs offer in-depth analytics, so use these insights to make sure you're still making the most of your CRM to best support the needs of your business.
CO— aims to bring you inspiration from leading respected experts. However, before making any business decision, you should consult a professional who can advise you based on your individual situation.
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