Options for using CRM in retail trade

For businesses today, providing a positive customer experience is an extremely important aspect of differentiating themselves from the competition. Many consumers have become more careful about who they buy from, so for companies, building relationships with customers is just as important as the price and quality of their products or services.

In customer relationship management, of course, the main and most effective tool is CRM-systems. And despite the fact that they are primarily perceived as a tool for those business segments where customers are easy to identify (B2B companies, e-commerce, sales of services, etc.), using CRM for retail also has its advantages. More about this in our article.

Choosing a CRM system for retail

It should be noted right away that not every CRM is suitable for use in retail trade. The main feature is that it is often impossible to identify a customer who made a retail purchase. Simply put, when a person goes to the nearest supermarket or store near the house, a person does not leave any contact details, which means that we have no information to enter into the system. Because of this, the owners of retail outlets may doubt the need to implement the system. In one of our articles, we considered in detail the categories of businesses that cannot do without CRM, and we also talked about who does not need the system.

But when it comes to retail, there are often different ways to get the customer data you need. First of all, we are talking about loyalty programs and customer cards. In this case, CRM capabilities come to the fore, which are responsible for marketing activities – discounts, accrual of bonuses, special offers, novelties, about which we can inform our customers using various communication channels.

There are also stores in which purchases, as a rule, are not made immediately on the first visit (we are talking about such goods as furniture or household appliances). For such a store, CRM will work in a more familiar, classic format, with the construction of a sales funnel and the customer’s lead through it.

How to make the right choice of CRM for retail? A few practical tips that can help with this:

• Determine your needs and must-haves.

First, you need to understand exactly what you need from a CRM. It can be tracking interaction with customers, managing data about consumers or in the case of a longer sale – building a funnel.

• Consider the size of your business.

The size and nature of your business play a big role in choosing the type of CRM software you need. If you are a large retailer with multiple outlets, you may need a more robust CRM with advanced features such as predictive analytics, inventory management, etc. If you are a small business, a basic CRM with basic features may be enough.

• Try the demos before you decide.

Most vendors offer free trial versions of their software. Use them to understand how the system works, whether its user interface is convenient, and whether it meets your needs. This will help you discover pros and cons in practice that you won’t find in product descriptions.

Functionality of CRM systems for retail trade

There are many IT solutions for sales automation on the market. And in this case, the functionality of the CRM system for retail trade will directly depend on the selected software, as well as built-in or additionally implemented integrations.

An effective system performs the following tasks:

• collection and analysis of statistics;
• systematization of the process of tracking the buyer’s actions;
• control and automation of the sales chain;
• consumer segmentation;
• processing of online orders through the call center, online store;
• personalization of the user experience.

In addition, most systems to one degree or another allow you to configure the necessary functions and add tools for working with clients. In complex complex platforms, you can implement any solutions and customize them to your needs with almost no restrictions. Simple systems can be improved only within the framework of the existing functionality, and it will not be possible to make complex improvements in them. On the other hand, most of the time the processes in a retail store are not that sophisticated, so it doesn’t make sense for a company to overpay for features that will never be needed.

Stages of implementation and difficulties at the beginning of work

Even before starting to use the system, it is important to mark the correct sequence of actions. In order for the integration to be successful, we recommend dividing the process into the following stages:

1. Design future processes based on your requirements. Of course, proper planning is the key to success in any business, especially one as complex and important as CRM implementation. The entire structure of the future system will be built on the basis of prescribed business processes.
2. CRM setup, integration of necessary programs, connection of existing software. Regardless of whether you configure the system yourself or turn to contractors, it is important to periodically review the work done and analyze whether everything is going according to the planned plan. Agree, I would not like to see the final result after a long setup and find that some of the processes were written incorrectly or simply turned out to be inconvenient in practice. An interim demo will allow you to see at the early stages which features need to be refined and make the necessary changes in time.
3. Entering the initial information needed in the work into the system. Customer data, product catalog – everything that was previously stored in another CRM or spreadsheets must be imported into the new system. At this stage, you should also set up employee accounts and restrict access.
4. Training employees to work in the system, which, depending on the complexity of the CRM itself, can take from several hours to several days. Ideally, create a knowledge base with short how-to videos that you can refer back to from time to time as needed, and use them to train new employees. The main goal of this stage is to acquaint managers with the functionality of the system and the scheme of work in it.
5. Further support and additional customization. Over time, the market changes, the company develops, the system requires updates and improvements. It’s important to quickly make changes to your existing software so that it continues to keep pace with your business and meet your demands.

Difficulties in the implementation process arise when these stages are neglected – settings are started without the initial design of the architecture or the training stage is skipped, as a result of which each user works in the system in his own way and complains of inconvenience or frequent errors. Following the stages described above will help you avoid many problems and see the effectiveness of CRM in retail trade as quickly as possible.

Possibilities and options for using the CRM system for retail

CRM for retail stores has many unique benefits that help you track, understand and manage your customers, while providing the best shared experience for them throughout the buyer journey. Next, we will consider in more detail the main options for using CRM in retail trade.

Management of customer information

The main benefit of a CRM for retail is that it acts as a centralized repository for all your customers and allows you to put their information to good use.

For example, the system allows you to segment your audience according to available information. This means you can target consumers much more effectively by better understanding what different audiences require. Thus, the use of a CRM system for a retail business is of great importance to retain customers and ensure the stability of sales.

Management of marketing activities

The benefits of CRM for retail include the ability to tailor marketing campaigns to the needs of your contact base, whether it’s a specific product or potential customer.

According to statistics, 91% of consumers say they are more likely to buy from brands that provide recommendations and recommendations for them. With a CRM, you can do more than just set up ads or send messages to your customers. Since the system stores the history of purchases, customer preferences, places of purchase (addresses of offline points or online stores), it allows you to create personalized offers that are more likely to interest the buyer. And you, in turn, will have the opportunity to analyze the effectiveness of such marketing activities and optimize them for even greater effectiveness.

Integration with the online store database

Retail CRM is an indispensable tool for companies that, in addition to retail outlets, also have an online store. Here are some of the main advantages of integrating the system with the site:

1. CRM integration with the online store database allows for automatic synchronization of customer data, orders, purchases and other important parameters.
2. This greatly simplifies the process of updating and exchanging information between systems, prevents manual data entry errors, and ensures that information is up-to-date and reliable.
3. Centralized customer management that allows you to collect and store all customer data in one place. This makes it possible to easily track and analyze their purchase history, preferences, communication and other important information.
4. Improving marketing and sales strategies, which allows you to identify trends, measure the effectiveness of strategies, identify the most profitable customer segments and make informed decisions to improve marketing and increase sales.
5. Automation of routine tasks and processes. For example, when a new order arrives, the CRM system can automatically create a contact in the database, generate tasks for employees and send messages. This simplifies and speeds up order processing, increases team efficiency, and improves customer service.

For companies considering how to engage retail customers with CRM, such integration is a powerful tool that simplifies customer base management, improves marketing and sales strategies, automates processes, and improves communication.

Management of loyalty programs

One of the main ways CRM is used in retail is a loyalty program, which allows repeat sales to existing customers, as well as offering additional goods and services. After all, this is often the only way to identify the client – we give him bonuses, discounts or the opportunity to be the first to learn about special offers, and in return we receive a phone number and other contact information.

For this, both ordinary cards and mobile applications with a personal number or code can be used. In both cases, the CRM system uses existing information to form special offers and further inform customers through various communication channels. Send a message about an additional discount in honor of a birthday or remind about the number of bonuses on the card and their validity period – the system will do all this automatically!

Customer service management

It is known that customers are more willing to share negative experiences than positive ones. It’s simple – coming to a store, a person expects to receive good goods and quality service. And pleasant impressions after the purchase are not perceived as something special – because it is exactly what the customer expected. On the contrary, they immediately tell their friends about a negative experience, share it on social networks and let you know about it.

Responding effectively to complaints and inquiries separates a leading customer-centric brand from a laggard. Using a CRM ensures that all data is centralized, so no message or call is ever lost or unnoticed, and customer inquiries can be dealt with according to their priority. This, in turn, provides improved service quality in retail through CRM.

Integration with IP telephony and communication channels with the client

We mentioned earlier that CRM helps companies to effectively resolve inquiries and improve customer service, not allowing messages and complaints to go unnoticed.

In particular, this is possible thanks to a wide range of communication channels for interaction with customers, for example:

• IP telephony
• E-mail 
• Online chats
• Social media
• Messengers
• SMS message

These channels are different, and most systems already have integrations with them or give the opportunity to implement additionally by downloading the necessary programs from the marketplace.

Already after the first purchase or even a consumer request, the system saves his contact data, and thanks to the integrated communication channels, you can send information about the order, conduct satisfaction surveys and, of course, send newsletters with promotions and special offers.

Accounting for sales and customer transactions

CRM provides the company with a powerful tool for organizing and systematizing information about customers, which helps in strengthening relationships with them.

Accounting for sales and transactions in CRM allows you to track the entire customer life cycle: from the first contact and transaction to repeat purchases and loyalty. Managers can see the current status of each deal, track its progress, forecast and plan future purchases. It helps in sales management, process optimization and informed decision-making.

With CRM in retail, companies can improve their reporting and analytics. They get access to various reports and statistics about sales, customers, effectiveness of marketing campaigns and other key metrics. It allows you to analyze results, identify trends, identify successful strategies and make management decisions based on facts.

Advantages of CRM systems for retail trade

As you have already managed to see, the possibilities of using CRM in retail trade are quite large and have a number of advantages. Moreover, equipping your store with such a tool will lead to better customer service than what your competitors offer.

Summarizing all of the above, we can highlight the main benefits of CRM implementation:

• Higher customer satisfaction

With CRM, a business can track customer preferences and purchase history to recommend products that may interest them. In addition, using the system to send targeted marketing messages increases customer loyalty and improves service quality.

• Increase in sales

CRM helps track customer interactions and identify opportunities for up-selling and cross-selling products. Creating and sending special offers based on consumer interests is another way to increase sales for retailers using CRM.

• Cost reduction

CRM software allows you to reduce costs by automating tasks such as customer service, sales and marketing. In retail stores, you can store and manage data automatically, saving you time to focus on other important tasks in your business.

High-quality implementation of CRM systems for retail trade from crmium.com

If you want to quickly and efficiently implement CRM in your retail business, you can delegate this task to professionals!

The CRMiUM company has been on the market for more than 7 years, and during this period, specialists have implemented more than 300 successful projects related to the integration of business systems in various fields. The team is an expert and integrator of the most popular Ukrainian and foreign solutions, including ZOHO, Creatio, Odoo, Pipedrive, NetHunt, HubSpot and others.

The CRM implementation service from the CRMiUM company is not only technical work on system integration and configuration, but also a detailed analysis of your business processes, thanks to which, as a result of cooperation, you get an optimized system for work.