CRM for all... 2nd part

I had mention that it really does not matter what kind of business we are, CRM is always an important tool.

Understanding the transactional data is important and we do this through analytic report, but also we need to understand not only this transactional information, but also we need to understand and measure how our customers behave when facing sales campaigns. We need to understand how our respond rate is in the different kind of campaigns and communications we present to the different customer’s segment.

Knowing the respond rate of our customers will help us to project the revenue we may achieve when we run a campaign. Different kind of campaign will have different response rates and different customer segments will have different response rates too. This correlation is key for us to understand to be able to project the potential revenue. Now, another piece of information is how much cost us to reach directly an specific customers, in other words, we need to know the know how much we will invest depending on how we will reach the customers, phone, text message, direct mail, email, or any other media or combination. We also need to decide how many times we need to touch the customer to get the best return on marketing investment or ROMI. This part is important so we can decide on the campaign to run maximizing the revenue and minimizing the cost and this will have a direct impact in the gross margin of the business.

How do we select the best customers to run a sales action?