What can SME’s do to maintain profits?
We may just have avoided a triple dip recession, but that doesn’t mean that businesses – especially SMEs – aren’t having a tough time keeping profits up. Many companies have been looking around for changes they can make to their business to reduce overheads and boost output. For many an option they have been considering is moving their CRM system to the cloud, financing it through a subscription model – which means they only have to pay for the people using the platform as they go along. That’s it.
Is cloud CRM the answer?
Straightaway this cuts down their up-front expenditure, since they don’t need to invest in assembling the necessary in-house infrastructure, plus the additional expenses associated with an on-premise system, for example; employing additional IT personnel needed to maintain it. So apart for the obvious savings, why should SMEs move to cloud computing. To find out we carried out research earlier this year which confirmed how much of a draw cloud CRM was for UK SMEs: when asked to list the major benefits, the highest proportion of the businesses we surveyed – 58% – said cost-effectiveness was its biggest appeal.
Research revealed
But our research identified other ways that moving the system to the cloud can help SMEs looking to improve their productivity. It’s generally accepted that the leaner you are, the more agile you’re likely to be. Businesses that can scale their system according to the number of users are therefore better positioned to respond to changing conditions, while ensuring that everyone who requires access to the CRM system has it. The SMEs we surveyed saw this as a big plus, as well as the fact that a cloud-based platform benefits from the latest upgrades at little or no cost. So it’s easy to get new staff onto the system, and the business doesn’t need to make significant changes every time new technology becomes available.
Cloud CRM = Access to all
If all customer-facing staff can use the CRM – which includes the newest upgrades – it gives them immediate access to real-time customer data, meaning that they don’t have to waste time searching for information and have more time to invest in building better customer relationships. Having a solution that automates time-consuming admin ensures that sales teams can focus more of their efforts on the customers and prospects who will drive revenues. And giving the marketing department the tools it needs to detect genuine targets and approach them effectively improves your chances of converting leads into sales.
Productivity puzzle solved?
I’ve discussed in previous blogs how difficult it is to boost productivity when it requires so much effort to keep hold of existing customers and acquire new ones. In fact, we’ve devoted our most recent research report to the subject. In The Productivity Puzzle we discuss how unusual the prolonged downturn is – especially in the UK, where employment has reached peak levels while output has been stuttering – and what businesses can do to get back to where they want to be.
So in summary…
A CRM system that enables all employees requiring access to use it easily – regardless of the size of the company – helps businesses deliver a better service while cutting out tasks that don’t directly strengthen relationships with customers. In today’s climate, wasted resources are a luxury that nobody can afford. With cloud-based CRM, companies can both cut down on unnecessary costs and ensure their system is the perfect fit for the business.