You can stay on top of your sales without lowering your prices. You just need to build strong relationships with your customers, but you have so many of them, you cannot remember all their names. That’s where customer relationship management comes into play. We prepared some CRM statistics to help you improve customer relationships and scale your business.
Projections for 2021 were that 22% of businesses planned to do the same. This upward trend comes from the digital transformation we are facing wherein CRM is the leader. It’s not about beating the competition but boosting sales with new technologies and creating powerful relationships with clients.
The percentage of CRM users has increased since 2018 when 59% of companies used CRM software, which shows how quickly CRM has revolutionized the market.
Apart from being user-friendly and easy to manage, companies using CRM software have reported accuracy on contacts data (39%), accuracy on the company’s data (36%), and reporting abilities (30%).
Laptop and desktop usage are still the CRM industry leaders. Mobile CRM is also growing by 11%, reaching $15 billion worldwide, as people are on their phones more and more frequently. Companies reported an increase in their mobile sales quotas by 35% from 22%, according to CRM market statistics.
17% of salespeople report that CRM manual data entry and its lack of integration with other tools is a major hindrance. 14% of business owners further say that CRM is not applicable or salespeople don’t know how to use it.
CRM statistics suggest that for 50-100 users, the implementation can take around 11 months with a reasonable strategy that uses mid-market technology. The timeframe will vary depending on the circumstances, the number of users, and the type of project.
Cloud CRM statistics show that only 12% of companies used cloud-based CRM in 2008, with that percentage skyrocketing to 87% by 2020 due to the efficiency and cost-effectiveness of CRM tools. Also, younger companies are more prone to cloud-first solutions.
The CRM market share is split among CRM firms like Salesforce, Zoho CRM, HubSpot, Pipedrive, Microsoft Dynamics, Freshsales, Nimble, Copper, SugarCRM, and Insightly. Zendesk is another leading force in the CRM market.
Sales experts also think CRM software delivers excellent value. A third of salespeople spend between three and five hours per week using CRM tools, while 24% spend over 10 hours per week.
That’s 44% of employees at medium-sized companies. CRM trends and stats further indicate that 23% of employees in small companies (under 100 employees) have adopted CRM and only 27% at large companies.
Only 18% adopt CRM within their first year of work, 65% of companies adopt CRM in the first five years, and only 10% after the 6th year and beyond, according to recent customer relationship management trends and statistics.
CRM research shows that overall CRM usage increased from 56% in 2018 to 74% in 2019. If the high CRM adoption rates continue, especially with cloud and mobile versions, projections for 2034 are that the CRM market size will hit the roof with $228 billion.
Nucleus Research analyzed a sheer spectrum of industries, including small and large companies, and showed that the average CRM has excellent ROI. For every dollar companies spend on CRM, they get $8.71, which is a significant increase from 2011’s $5.60.
According to CRM ROI statistics, CRM usage can improve profit margins by over 2%, and the revenue per salesperson can be significantly scaled. That means shifting the focus to providing customer experience above all else doesn’t just enhance businesses but boosts the performance of related personnel.
Customer satisfaction and retention can be improved by 47%, sales revenue by 45%, and upselling by 39%. If implemented properly, CRM can help you not only track but follow up and engage with your customers as well.
Using CRM will also boost your conversion rates by spinning 300% and your sales team’s productivity by 34%. It will further reduce the sales cycle by 8-14% due to its data accessibility, high functionality, and simplicity designed with users in mind, CRM statistics show.
According to various reports, the rates were bouncy from year to year and difficult to predict. CRM failure was 50% in 2001, 70% in 2002, 18% in 2005, 31% in 2006, 29% in 2007, and 47% in 2009.
Other factors for CRM failure include the lack of business strategy (48%), lack of process change (45%), and lack of executive support (40%).
Some of the reasons CRM projects fail include data integration problems, CRM exceeding the company’s budget, and technological limitations.
(Harvard Business Review)
Proper CRM implementation can snowball your business and set firm foundations between your brand and your clients, but you need to be strategic about it. It’s the digital era we’re in, so the only way to distinguish yourself from the pool of businesses operating within the same niche as you is to bring the customer to the forefront of your strategy. People will pay more for the experience rather than products and services, so use that to your advantage — you have all the CRM statistics to learn from. 2021 has already proved to be a customer year all over again.