How to Improve Conversion Rates with CRM-Based Analytics
Every business needs to maximize conversion rate to see ultimate success. After all, the more leads you convert into customers or subscribers, the more money you'll make, and the bigger your brand will grow.
But improving conversion rates isn’t just a matter of revamping your website and doubling down on targeted marketing. In many cases, CRM-based analytics can help you improve your conversion rates and create a superior experience for your customers. Let’s take a look at how you can use your customer relationship management software’s analytics tools to improve revenue and customer satisfaction.
The Importance of Data for Modern Business Success
Data is essential for modern businesses, and for good reason: data is the equivalent of raw information about your target audience, potential customers, and everyone in between.
Indeed, data analytics – or the science of organizing and analyzing data sets to glean usable insights – is a key strategy for businesses of all sizes. That’s because you can perform data analytics to learn more about your customers, create products that will be surefire successes, and predict the evolution of the market in which your business operates.
Data is so important for modern business that most enterprises use data analytics to some extent. Put in other words, your brand needs to gather and analyze data to improve conversion rates to keep up with the competition.
How CRM-Based Analytics Can Improve Conversion Rates
You might think that dedicated data analytics software is needed to fully utilize and take advantage of the data your business collects.
But the truth is, you might already have a wealth of data at your fingertips if you use customer relationship management software or communication software. This is already a staple strategy in many industries. For example, medical businesses can gain valuable insights into their patients via direct patient communication software.
That’s just the tip of the iceberg. Other businesses and industries that use customer relationship management include:
- Retail industries, which track customer trends, product preferences, and much more using CRM software
- B2B brands often use CRM software to track client preferences, contact info, and subscription status, especially businesses that offer software-as-a-service or SaaS
- The hospitality sector, such as hotel operators, use CRM software to track guests, manage loyalty programs, and ensure that each guest receives personalized service
- The banking industry also uses CRM software to track client needs, gather financial data, and ensure that debts are paid on time
- Insurance companies use CRM software to get new clients via leads, to guide new clients down the sales pipeline, and to track insurance products and subscription statuses
CRM software helps your sales staff by organizing and collecting customer information, such as contact info, lead status, and much more. Then your sales staff can pursue qualified leads much more readily and easily.
Now, let’s take a closer look at how you can use CRM-based analytics to improve your brand’s conversion rate.
Centralize Customer Data
CRM software enables your team to centralize and organize all the customer data that it gathers. Customer data from marketing campaigns, sales calls and communications, and raw purchases can all be combined, collated, and organized for easier analysis.
But CRM software doesn’t just gather data – it tracks its progress and often includes tools for analysis. CRM software can help you by keeping track of your KPIs, such as conversion rate, customer satisfaction, and much more.
Armed with that information, you can then make the most of the data you collect by determining:
- Ever more information about your target audience and most important leads
- What your target leads want and need out of your brand
- Which leads are most valuable for pursuit, enabling your sales staff to make the most of their limited time and resources
Once you centralize the data from your customers, you’ll have an essential bird’s eye view of the situation. All that data may enable you to create more accurate customer avatars or target audience personas.
Once you do that, you’ll understand your qualified leads much better. This will improve your conversion rate because:
- Your marketing materials will resonate more emotionally and directly with your target leads
- Your customers will be more satisfied with what your brand offers
- Your target customers will be more likely to develop loyalty to your brand
Centralized customer data is just the start of what CRM-based analytics can offer.
Segment Leads for More Targeted Outreach Efforts
That’s because CRM-based data analytics can improve conversion rates by allowing your sales team to segment leads into distinct groups or smaller subsets.
Say that you have a brand selling fitness apparel, workout milkshakes, and similar products. Naturally, the broadest scale version of your target audience is anyone enthusiastic about fitness and working out. But what if you could target your marketing efforts and sales outreach calls even more directly to specific groups within the audience?
Through CRM-based data segmentation, you can. By segmenting leads:
- Specific salespeople can go after specific potential customers
- Your marketing materials can be tailored even more toward specific niches or interests
People love to feel catered to and targeted specifically, not like they are part of large groups. By segmenting leads and targeting your outreach efforts, leads will be more receptive to what your brand has to offer and more likely to convert into paying customers.
Monitor Leads Throughout the Sales Pipeline
CRM-based analytics can also be effective at boosting conversion by letting you monitor your leads throughout the sales pipeline.
Sometimes, leads need to be nurtured for some time before they convert into customers or subscribers. With the right CRM software, you can monitor your leads and how they evolve or develop over time. That’s more data you can add to your overall database. Information is power and success in business. So by monitoring your leads in this way, your sales team can adapt or evolve its approach to convert specific, high-value accounts when needed.
Integrate CRM Data with Marketing Data
Of course, you can also integrate any CRM data with your existing marketing data sets. That can be an invaluable advantage when developing new campaigns or when trying to come up with new advertisements that will speak to the core needs, wants, or emotions of your ideal audience members.
Your marketing team will be able to create more effective and emotionally resonating ads. Your sales team will also be more effective at convincing on-the-fence leads to take the plunge and give your brand a try.
Collect and Implement Feedback Data
Don’t forget that CRM software allows you to collect and implement data in the form of feedback much more easily than normal. By taking the feedback data your customers offer:
- You’ll be able to address pain points much more quickly, showing your customers that you care
- You can make improvements to core functions or business processes, as well as sales tactics, to make future outreach approaches that much more successful (and to make future conversions much more likely)
- You’ll drive further customer loyalty in your current customers, and new leads will be more likely to develop loyalty right out of the gate instead of taking time to grow it
In the end, CRM-based analytics could be just what your brand needs to thrive in the competitive modern market. Of course, you need stellar CRM software and other tools to improve the quality of data collected and simplify data analysis in order to see the above benefits.
That’s where Channel.io comes in. Our comprehensive CRM platform and customer chat tool suite will help you connect with your target leads like never before, plus satisfy customer questions and concerns quicker than ever.