Should your business invest in social CRM tools?
Social business refers to this new paradox that we are all facing as small business owners. The way we do business has changed. Our customers want to connect with us in their preferred channels – not ours.
I can already see the way we engage with customers changing. I am constantly checking email, text, mobile and social media. With new aggregation CRM tools out there – should we be investing in a social business and these new interface tools? I, for one, am interested in anything that gives me more insight into my clients and makes finding that information easier to manage.
IBM described the benefit of social business as follows:
“When you inspire your workforce to innovate and collaborate more productively, you create tangible business value. When you anticipate needs and deliver exceptional experiences, you delight your customers and create advocates. When you integrate your business processes with the right social tools, you secure a competitive advantage and pioneer new ways of doing business.”
The opportunity to collaborate, innovate, listen and create better experiences is now made easier with social tools.
Kathy Herrmann described a social business as “the model centers on engaging, collaborating, and connecting with customers, partners, employees, and other interested parties. The reason I believe that as small businesses we should adopt a social business practice is because it focuses on the customer as the central part of your business ecosystem.”
Kathy explains that social CRM or SCRM is the platform to use to narrow the focus to the customer, making them central to the business. “SCRM is all about building genuine conversations with customers.”
I think that today whether we like it or not, business is social and so integrating social tools into your business system is becoming essential. It is step one in creating better informed and smarter employees and a delivering better customer experience.
SCRM tools allow us to:
- Engage, collaborate, and create with customers, partners, and employees. Crowdsourcing is one example.
- Capture and share traditional, transactional data with the unstructured data prevalent in social conversations and stored among social networks. Having one dashboard for all communications is becoming increasingly important. We don’t just email, we text, Skype, Facebook and connect in many online portals and mediums.
- Deliver a high quality customer experience that includes at least some personalization by including contact attributes from the contact’s social profile. We have moved way beyond automated email blasts. 1:1 communication and personalising the customer experience online is now possible with technology.
Social tools are sometimes add ons to the traditional CRM platforms. I have been investigating a few over the last couple of weeks and here are my top picks for small business.
- Social listening solutions, allowing companies to monitor the public web and capture social conversations occurring about their brand, products or services. Examples include Radian6, Sysomos, Attensity, Inside View and Visible Technologies. My pick is sprout social or google alerts as a starting point for small businesses.
- Community solutions, allowing companies to engage and influence interested audiences as well as empower peer-to-peer based interaction and support. Examples are Facebook, Jive Software, and Lithium Technologies. My pick for small business is a relevant small business blog and Facebook or LinkedIn (B2B). If you are retail then, Pinterest is worth using.
- Social connectivity solutions, allowing companies to connect CRM solutions with popular social networks such as Twitter and Facebook to monitor social activity, integrate social stream data with CRM transactional data and participate in conversations with greater context. Examples are Salesforce Service Cloud, RightNow CX. Topsy, Mailchimp (Social Experience). My pick for small business is Nimble. InsideView is providing sales consultants some great intelligence for building insight and connections by leveraging your network and the web.
Benefits of social CRM tools:
1. 81% received product purchase advice from friends and followers through a social site according to ClickZ
2. Sales – empowers teams to connect with the right experts to meet client needs, connect with clients and get to know your prospects better than the competition and engage with clients and prospects in new ways resulting in 49% high client retention and 25% in quota performance according to VCC case study.
3. McKinsey’s Global Survey in 2010 says that 9 out of 10 companies report measurable benefits from social business. According to IDC “The appetite for workspace strategies and the related requirement to review enterprise application strategies are driving the adoption in Australia of social business tools, particularly in the banking, financial services, insurance, distribution and services and government sectors.”
The tools have been adopted because of their ability to shine the light on opportunities and been used to identify target verticals where quick wins are likely and where a different go-to-market approach may be required.
The starting point for small business is to have a social business strategy. It is sound to start listening to your customers, competitors and the industry to collect as much insight and data to make better business decisions. Start by listening and then engaging where your customers are. Some of the tools above will give you a heads up for very little investment in time. I use Nimble for example to see who has tweeted about me, who is connecting with me on LinkedIn or posted to my Facebook wall. It summaries all the social interaction on one dashboard. It also enables me to add in data about people from their other online profiles and fill in some blanks, which I love.
So if you want to use the information that is out there in the social business environment some of the tools above give you a great start. At the end of the day business software offers portals that allow your customers, partners and vendors to collaborate with you is no doubt the future, allowing you to get closer to your customers and partners, move quickly and seize opportunities.