Organizations are embracing the transition from CRM to CXM to create positive and consistent customer experiences across all touch points.
Businesses need to be in constant touch with the customers and require hi-tech business tools to meet this need. CRM and CXM are two essential tools that serve the purpose of maintaining positive customer interactions effectively.
Today, we see many organizations making a transition from CRM to CXM because of the numerous advantages of the latter. Keep reading to get an idea about the positive aspects of a CXM platform and why you should adopt a CXM strategy for your business.
But first, let’s understand the differences between the two.
What is customer relationship management (CRM)?
Customer relationship management relates to the strategies for managing customer interactions in an organization that helps to understand customers better. CRM collects and organizes data about customer interactions throughout the customer life cycle and devises effective methods to improve customer satisfaction.
Businesses can use the information to deliver products and services that enhance the customer experience. For example, by understanding customer preferences, you can formulate a sales strategy that targets the relevant customers with personalized products and services.
What is customer experience management (CXM)?
Customer experience management is the concept of managing customer interactions at each touchpoint to deliver a consistently positive experience and improve customer satisfaction. The attempt is to understand the customer perceptions about the business and formulate strategies to improve brand loyalty.
The business can retain a lasting impression in the customer’s mind through positive customer experience and encourage them to eventually purchase more products and services.
Why should we transition to CXM?
For providing the best experience to the new-age customers, organizations need to move beyond CRM since the capabilities of CRM software do not match the requirements of the digital era. It is often not sufficient to store all business data related to website activity, support tickets, customer emails, payment systems, etc. And even worse, CRM uses complicated technology and loses the human touch in customer interactions.
The traditional CRMs connect to customers using reminders, messages, and notifications and resolves customer queries on time. However, it lacks a centralized command center and fails to adapt itself to social technologies. This where the business need for shifting towards CXM gains relevance.
Here are some of the key reasons why you should use CXM software to survive the cut-throat competition of today’s business world.
- Exactly defines the customer’s needs – CXM is customer-centric and gives a correct picture of the current customer journey by highlighting their experiences at each stage. Companies can provide the best experience only when they have an in-depth understanding of the customer’s needs.
- Depicts employee engagement – A business can provide the right kind of customer experience only if the employees are motivated towards this goal. A CXM strategy helps to understand how engaged the employees are in providing a seamless customer experience.
- Monitor the marketing strategies – Customer surveys are great tools to get an insight into the progress of marketing strategies. Data related to customer satisfaction helps to understand how customers relate to the brand and what improvements are required.
- Improve customer journey mapping – CXM can help to implement a proper customer journey mapping, whereby memorable touchpoints are identified. This enables a business to optimize the customer experience across the significant touchpoints and boost conversions.
Quick access to information through the internet is changing the mindset of modern customers. They look for reliable experiences over social media and other digital platforms. CXM is the ideal solution to meet the customer demands of the information age and provide them with an outstanding experience.
Before you jump into the CXM bandwagon, ensure that you understand the core business needs and select the right technology partner. SBL has proven expertise to help you make the transition to CXM and take your organization to the next level. Contact us today to know more.