CRM Systems: Using Data to Manage Customer Relationships [Podcast]

By Jeff Korhan

CRM Systems: Using Data to Manage Customer Relationships

Episode 67 of Landscape Digital Show reveals how to teach CRM systems to organize and manage data to better manage customer relationships.


The most basic tool for accomplishing business objectives is a simple checklist. You have lists of customers, products, and activities that drive your business.

How well all of that works together will determine the success of your business. While some have tackled this challenge with spreadsheets, CRM systems that integrate with marketing automation are infinitely more reliable.

CRM or customer relationship management systems initially start out as a database of customers and information associated with them. Over time this database becomes something bigger. It grows into a digital asset whose value grows as the business grows and streamlines the management of customer relationships.

There are many excellent CRM systems, but let’s be clear that the value of the CRM is ultimately measured by the quality of data that it gives the business. The responsibility for making that happen is 100% on the business.

You have to teach your CRM how to give your business the right data on its customers, leads, and prospects.

Let’s examine how that works.

Step 1. Use Categories and Tags to Organize

Lists work best to get the job done when they are highly targeted, and that is made possible with strategic tagging.

Tags organize customer data so that it is discoverable, but more important so that the CRM can segment customers, prospects, and leads into lists that the business can use to accomplish its objectives.

Many companies segment their lists into customers and prospects and that’s it. My practice is to go further so that my business can personalize its interactions with our customers.

For example, we obviously have a client list, but we also add other tags to distinguish repeat customers from the larger group of customers because they are clearly higher value customers that trust us completely.

Think of your tagging system as the search algorithm for your CRM. You know when you perform a Google search it delivers all the available search results. However, the Google navigation allows you to focus on specific result categories, that is, images, news, videos, maps and more.

Think of categories as buckets of similar content. For your CRM they are buckets of customer insights that are defined by related tags. The more tags you use the more accurately your lists can be defined, but to make those tags easy to locate and use you should create meaningful categories.

Here are the categories I use that you can borrow from:

• Business Status – (client, prospect, lead, vendor)
• Personal Status – (repeat client, early adopter, friend, influencer)
• Behaviors – (actions people take)
• Subscriptions – (opt-ins)
• Products – (purchases)
• Interests – (insights)
• Events – (live events)

A contact (person) can only have one business status tag, but he or she can have multiple personal status tags that further describe who they really are, such as a client that is a repeat client and an early adopter. These are the clients that Go to the full article.

Source:: Business 2 Community

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