5 Common Mistakes to Avoid When Implementing CRM into Your Small Business

Posted: 4/27/2015

Guest blog post by Didi Zheleva of InTouch CRM.

Implementing a customer relationship management (CRM) system is no proverbial walk in the park. While adopting CRM is incredibly beneficial for any business, if approached incorrectly it won’t be as effective and you’ll soon lose interest in keeping the system up to date..

Many studies have shown than anywhere from 20% to nearly two-thirds of all CRM software efforts have either failed to live up to expectations or failed altogether. So if you want to be part of the successful majority who implement CRM into their businesses and cash in on the benefits it brings, try to avoid these common mistakes.

#1 Choosing a System that is Only a CRM App

You don’t want an app that is exclusively a CRM tool. All businesses need a solution that is linked to the other aspects of customer relationship management, such as lead nurturing, outbound communications, sales etc. Why have 5 different software applications that don’t talk to each other when you can have them all under the same roof?

Think about how you are going to use your data and look for a solution that offers all of the other features you want and will need.

What additional features are worth consider when choosing a CRM vendor:

Lead and Sales Management Tool to help you keep track of where different leads at in the sales pipeline. An integration between CRM database and leads and sales tool will help you keep track of the history of the leads by adding notes and attaching documents to the contacts.
Email Marketing will empower you to communicate with prospects and customers while keeping track of which contacts have received which communications and how they’ve interacted with them (opens, clicks etc). Equipped with engagement information and insights will help your sales team identify warm leads.
Task Management Tools will help your team navigate tasks regarding customers and leads easier. Synchronize activities between team members by creating, assigning, and managing tasks and events associated with opportunities, customers, and leads. Set calendar visibility between employees and managers, and configure event alerts.

#2 Bad Data

Your CRM is only as good as the data it contains.

Here is what this means. Have you ever had the misfortune of making a follow-up call, only to find out that another member of your team had already contacted the customer? That would be a little embarrassing but where was the confusion? This could have been avoided if the lead’s history was updated after the initial follow-up call to notify other team members that the call has been completed.

Outdated, inaccurate or incomplete customer data often hampers sales and marketing performance. What’s more, it makes you look bad! Many of your contacts would have changed their phone number, email address or even their company, leading to an accumulation of redundant and incomplete data in your CRM. Make sure you clean up your data regularly particularly when implementing a CRM tool.

Start with a clean slate and only input quality and up-to-date information. From there on, make sure to create and follow a process of adding contacts to your database and completing their histories after every interaction.

#3 Lack of Structured Processes

CRM is a big initiative and a key element for a successful CRM deployment is organizational readiness and structured processes implementation.

What this means is that in order for a CRM system to be successfully incorporated in your business, you will need to have a system in place for how the app is going to be used and maintained. A truly integrated CRM system requires consistency in processes.

This requires a business to examine the various processes such as planning and executing marketing campaigns, driving leads to sales and ensuring customer records are being updated and prospects followed up with.

Once such a system is in place and running, you can relax in the knowledge that your CRM will run smoothly.

#4 Lack of Training

Many people get a CRM system and think they can just get on with it. This is still the case in many occasions, however more often than not you will need training. And not just one person, but everybody who will be involved in the use and maintenance of the CRM system.

Waiting until the solution is fully deployed to begin training staff is a common CRM mistake that many businesses make. It is important to start training the people who will be using the system early on in the implementation stage so your users become comfortable working with the system before it is fully rolled out. This will help you troubleshoot problems before the CRM system is in full production mode as well as help the team familiarize themselves with the different features of the system . Take advantage of free trials, training resources but most of all (if you could afford it) do invest in a 1on1 training session. Most CRM providers offer them and they usually explain the CRM system in great detail, set it up for you and even give you practical tips on how to make the most of the different tools for your particular business.

#5 Assuming the Adopting CRM Will be All The Work You’ll Have To Do

Don’t assume that your new CRM will magically transform your business. Although it will bring many opportunities for growth and business scale, CRM is nothing but a tool. And just like any tool, it is the people who use it that make all the difference in a business.

The true value of a new CRM is only realized if your employees know how to use it and adhere to established standards and the structured processes you’ve put in place. Try to keep the information accurate and up-to-date, add as much relevant information to a lead as possible but ultimately, use this data to drive your marketing communications and sales processes. This is commonly known as user adoption. Without adoption your new CRM implementation is doomed to fail.

CRM strategies offer companies a complete view of their customers across the entire organization. Companies reap large gains from the efficiencies that come with a fully integrated CRM system by offering better service and developing deeper relationships with customers. Follow these guidelines and I can assure you that by avoiding these most common mistakes, you will set yourself on the track to success and business growth.