Manage Your Customer Relationships With CRM

Welcome to the final chapter of this course. Over the past few hours, you have learned how to:

• Map your customers’ journeys.

• Define the metrics you will use to assess user experience.

• Define the objectives of your CRM strategy.

• Improve your customers’ experience when they do business with you.

• Define and create relevant content for marketing.

• Determine the best way to deliver that content.

Now, we have one final step. How do you demonstrate the improved business value you've created from your CRM strategy?

Create a Business Value Dashboard

Remember the metrics defined in part 2 of this course?

1. A higher percentage of conversion to paying customers from initial interest.

2. A higher average order value for each conversion.

3. An increase in the frequency of purchases.

4. Reduced time between customer purchases.

5. Churn reduction, meaning lowering the number of customers who cancel their subscription.

6. Improved customer satisfaction.

7. A higher number of referrals from customers to their friends and family.

8. Improved efficiency within the organization, such as for the team using the CRM software.

You can quickly and easily create a dashboard that shows your chosen metrics and records how they have changed since the start of your CRM project.

This dashboard should map back to a financial value:

• Metrics 1 - 4 map directly back to orders.

• Number 5 (churn reduction) maps to lost potential revenue.

• Metrics 6 and 7 show an increase in sales and, particularly for referrals, to savings in the cost of marketing or discounts to acquire new customers.

• The final metric also represents cost savings, especially if you can equate efficiency improvements to the cost of the time you have saved your teams.

Determine the ROI of Your CRM Strategy

By recording the money saved and the revenue earned, you can identify your CRM strategy's  return on investment (ROI).

ROI is the ratio between the total amount of money spent on the project and the sum of the savings and business growth your project has resulted in.

$\$\backslash (ROI\; =\; \backslash frac\{Savings\; \backslash \; and\; \backslash \; business\backslash \; growth\; \}\{Cost\; \backslash \; of\; \backslash \; project\}\backslash )\$$

In short, you've equipped yourself with the evidence that senior management will need to congratulate you for a job well done: a successfully designed and executed CRM strategy.

Let's Recap!

• Track improvements to business value from your CRM strategy and software.

• Map your metrics back to financial results to calculate ROI.

• Use your ROI to demonstrate your CRM project's value to the organization.

You have now completed all the chapters! Congratulations! 

All you need to do now is test your understanding in the final quiz. Good luck!

I hope you enjoyed this course and that you are now ready to plan, execute, and measure the results of the best possible CRM strategy.