Customer relationship management (CRM) is a set of strategies and techniques used in businesses to manage and analyze customer interactions and data in a customer lifecycle. The goal is to develop customer service relationships, which will help with client retention and sales growth. CRM systems collect customer data from several points of interaction between the customer and the firm. Mainly from the company's website, phone, live chat, direct mail, marketing materials, and social networks. CRM data is used by sales teams when determining if a lead has been contacted or when completing a new transaction with a client.

Why is it important?

There are several reasons why a company needs to implement a CRM strategy to improve the functioning of a business.

1. The primary goal of customer relationship management is to improve the customer relationships of a business.

2. CRM helps to gain a deeper understanding of customers by analyzing sales analytics, customer loyalty, and areas for improvement.

3. A proper CRM strategy can create a seamless communication funnel.

4. CRM assists in better customer segmentation.

5. Helps in discovering new insights from business data.

6. Enhanced data privacy protection CRM incorporates the General Data Protection Regulation, which ensures maximum security for customers' data.