The manufacturing industry is experiencing a massive shift in operations processes as manufacturers work to meet increasing customer expectations and gain a competitive edge.
According to Customer Experience Magazine (CXM) research, only one out of 26 unhappy customers complain to the company. This means manufacturers with no way of tracking customer experience delivery are left in the dark.
On the other hand, manufacturers with an efficient CRM system can effectively discover frictions in the customer journey, easily track and resolve negative experiences, and better turn complaints into insights.
This critical role of a CRM makes it non-negotiable for forward-thinking manufacturers who understand that to be a future-ready manufacturer, customers must be at the center of every business decision. If you’re a manufacturer yet to implement a CRM system, you’re missing out on the benefits of a CRM.
Here is why every manufacturing company needs a CRM.
Benefits of CRMs to Manufacturing Companies
Improved Lead Qualification
CRM software helps manufacturers uncover the most qualified leads and optimize sales and marketing resources.
A CRM with the right integrations gives manufacturers an omnichannel overview of leads via different touchpoints – emails, phones, social media, and more. This 360-degree insight into customer behavior is critical to qualify leads based on criteria like level of interest, organization size, purchase history, etc.
Insights like this make prioritization and budgeting easy for sales and marketing managers, improve lead conversion optimization, and ultimately, enhance profit margin.
Increased Sales Conversion Rate
An effective CRM is a valuable tool for improving conversion rates. Innovative manufacturers use CRM software to collect and manage customer data, which helps them develop targeted marketing campaigns and personalized customer service delivery. A marketing campaign built on customer insights targets the ideal customer, has higher chances of conversion, and yields the highest ROI.
Additionally, CRM systems improve collaboration between sales, marketing, customer service, and other customer-facing departments. This collaboration is often in real-time and facilitates prompt and effective handling of customer inquiries. With improved communication, streamlined processes, and a holistic overview of customers, manufacturers can provide a more cohesive and efficient customer experience, thus increasing conversion rates.
Enhanced Product Quality
CRM software enables manufacturers to track evolving customer needs, expectations, and feedback. These insights are essential for product improvements in line with changing customer preferences, pain points, and recurring complaints. A well-implemented and integrated CRM facilitates better collaboration and communication between the customer-facing front office and the back office personnel involved in product development. This ensures everyone is working towards developing a better product.
Increased Customer Lifetime Value
An effective CRM helps manufacturers manage customer relationships. It facilitates personalized customer interactions, timely responses, proactive customer service, and efficient order management.
Manufacturers use CRM tools to understand customer preferences, purchase histories, and sentiments toward their company. These insights help companies resolve inquiries and complaints on time and tailor their services to meet customer expectations.
According to Estebal Kolsky’s presentation on Slideshare, 13% of unsatisfied customers tell 15 or more people when they’re unhappy with a product or service. An effective CRM like Salesforce Manufacturing Cloud helps manufacturers discover and handle these bad experiences before they discourage the customer or damage the company’s reputation.
With better customer satisfaction comes higher customer retention and lifetime value, consequently improving the bottom line.
More Accurate Demand Forecasts
To avoid overproduction or underproduction, manufacturers must anticipate market trends, identify customer needs, and accurately forecast demands. This is only possible with a system that stores and manages customer data and preferences.
A good CRM software enables manufacturers to segment their customer base according to purchase history, demographics, interests, and preferences. It also lets manufacturers track their sales pipelines and see potential sales opportunities better.
Analyzing historical and real-time customer data gives manufacturers insights into trends, patterns, and changes in customer behavior, making it easy to plan and adjust production schedules accordingly.
Better Supply Chain Management
Robust CRM software stores and shares customer information, analyzes customer data, forecasts demand, and facilitates helpful communication and collaboration among supply chain stakeholders. These features help companies streamline supply chain operations and ensure all stakeholders can access real-time information and make informed supply chain decisions.
Even more, manufacturers can improve inventory management by accessing the customer demand and sales history on the CRM software. This helps manage production, meet customer demands, and reduce production costs effectively.
An effective CRM system allows companies to maintain quality control, discovering and correcting potential quality issues informed by customer feedback and complaints.
Choose rSTAR Technologies for a Seamless Salesforce Manufacturing Cloud Integration
Although CRM software offers several benefits that help innovative manufacturers boost productivity, sales, and revenue, the key to optimal results lies in adopting the right software and working with an experienced implementation partner. Integrating an effective CRM system is complex and requires expert assistance, because not doing it right can have more cost implications.
Salesforce has been an industry leader in providing sales, marketing, and customer service software solutions for manufacturers. Their highly specialized product, Salesforce Manufacturing Cloud, provides manufacturers even more benefits.
As a certified Salesforce partner, rSTAR Technologies helps manufacturers set up and integrate their CRM solutions to meet their unique needs. We understand the significant benefits of a CRM to manufacturers, and we guide our clients each step of the way so they realize the best ROI from their CRM software implementation.