You keep hearing about this social customer relationship management (CRM) thing, right? It’s definitely been a hot topic.
Here are some important points to consider when thinking about social CRM.
Social CRM is first a strategy that is often supported by various tools and technologies. The strategy is based around customer engagement and interactions, with transactions being a byproduct.
Social CRM is still about CRM (but evolved), meaning a back-end process and system for managing customer relationships and data in an efficient and process-centric way.
Social CRM will mean different things to different organizations. The key is being able to understand the business challenge you’re looking to solve, and then solving it.
Social CRM is one component of developing a social or collaborative business, both internally and externally.
CRM is comprised of sales, marketing and service/support–based functions whose purpose was to move the customer through a pipeline with the goal of keeping the customer coming back to buy more and more stuff.
Traditional CRM was very much based around data and information that brands could collect on their customers, all of which would go into a CRM system that then allowed the company to better target various customers.
PR now has a very active role in social CRM (in fact, PR typically owns budgetary control and authority of social initiatives ahead of every other department). In most organizations, PR departments manage the social presence of brands and handle the customer engagement.
The next change we can see is that advocacy and experience are crucial components of social CRM, which all revolve around the customer. In the first CRM image above, you’ll see that the customer is not really a part of CRM—there’s no collaboration, no relationship.
In social CRM, that has completely changed. The customer is actually the focal point of how an organization operates. Instead of marketing or pushing messages to customers, brands now talk to and collaborate with customers to solve business problems, empower customers to shape their own experiences and build customer relationships, which will hopefully turn into customer advocates.
It’s very important to keep in mind that social CRM is not a new “thing” that replaces CRM, it’s simply an evolution of what CRM has always been.
The challenge for organizations now is adapting and evolving to meet the needs and demands of these new social customers. What’s shocking from some of the above stats is that many organizations still do not understand the CRM value of social media.