What is a CRM do I need one?

– G’day, Ben here from Max My Profit. Welcome to this week’s weekly white board wisdom. Today, we’re gonna talk about what is a CRM and why you need a CRM. In fact, I’m gonna give you my seven tips. I’ve heard many different iterations but essentially it’s a contact record management system. It’s a piece of software that helps you manage your relationships with clients or contacts. It could also be a client relationship manager. I don’t know exactly what it stands for but let’s put it this way, it’s a database or a way for you to manage your relationships with people who are likely to become a customer, who have become a customer. And there’s many different programmes out there that you can use. Some are free all the way through to quite expensive, depending on what your needs are. And what value you’re gonna get from those. So myself, I use a programme called Infusionsoft. It’s probably got too many bells and whistles for a lot of small businesses but it’s great for larger businesses or businesses with a bigger database and a sales team. And a requirement to be able to mange things at a higher level.

Starting Out

But if you are looking to just starting out it could be something as simple as something like Mail Chimp with just email auto-responders. And you get a free account with them, even. Otherwise, it’s quite a cheap account. But I’m gonna give you my seven reasons why I think every business should use a CRM. And you’re gonna learn why I think it’s gonna actually increase the value of your business. We’ll get to that very, very shortly. Alright, reason number one. A CRM will help you capture all your leads. You know, if you think about days gone by, I know when I first started in my business all my leads were captured on a bit of paper or might be business cards.

Business Cards

And if you’ve got a drawer full of business cards, then you definitely need a CRM because business cards, on their own aren’t gonna help you manage your relationship with that person unless you flick through them on a regular basis. And that’s super inefficient. And if you’ve watched any of my videos or know anything about what I teach and preach, I say that you’ve gotta be efficient. You’ve gotta be productive. So, let’s get rid of those business cards let’s put ’em all into some sort of database system where we can communicate with them on a much more effective and efficient way to maximise your sales results. And of course, minimise the amount of time you spend shuffling through business cards in your drawer. Really important. That’s the first thing. So, a good CRM should capture all of your leads. The second thing it’ll do is it’ll help you keep records when you do have a conversation. Now what sometimes I get told by my prospects when I’m talking to them is, “Geez Ben, you have an amazing memory.” I actually have a terrible memory.

Taking Notes

What I’m really good at is keeping notes. So, if I talk to you and you say it’s your son’s soccer game this weekend or it’s your daughter’s birthday or it’s your, you and your wife’s anniversary or you’re having a baby or whatever it might be I’ll actually make those notes in my CRM so when I next make contact with you I can read the notes before I pick the phone up and it sounds like I’ve remembered a lot about you, personally. Of course, that’s a huge rapport builder. And in sales, rapport’s a huge factor in how much somebody knows, likes and trusts you. So, if you could make sure you keep good notes, that way you can reiterate or regurgitate those things when you have your next conversation and it shows your prospect that you were actually listening and you were interested in them.

And they’ll think you’ve got an amazing memory but really what you’ve done is, you’ve been really good at keeping records. So that’s why it’s second reason why you would definitely have a CRM. My third reason is you can automate things. Now, I’ve already spoken about efficiency. I’m a big one for automating repetitive tasks. So, if you’ve got things in your business that happen in a repetitive manner and now one of the things that should happen in a repetitive manner is contact with your prospects. And a good CRM will allow you then to automate that contact process.


So, whether it’s them opting in on your website for something you could automate the lead details actually going into your CRM. It could be then having some sort of automation if they watch a video or if they take some sort of an action. Or let’s say you call somebody and you can’t get ahold and you leave a message for them, some CRMs will aid automating the process to remind you in few days to follow them up.

You can automate sending them an SMS, for example. If you’ve tried to call them, couldn’t get ahold of them so, now you know yourself, if you leave a voicemail it’s less likely to get through to them than if you send a text message. So you can automate a lot of those things. So, good CRM will let you automate a lot.

Like I said before, those free ones or cheaper versions of CRMs won’t let you do as much. They’ll still let you do some, in some cases. But certainly, if you start getting up into things like Active Campaign or Infusionsoft or Ontraport, those more robust systems, you can automate a lot of your process.

Whether it’s in sales or marketing. So, I’m a big fan of that. The fourth reason why I think having a CRM is paramount for any business. Is it will actually remind you to follow up. So, instead of having to rely on your own memory, it’s more about you’re now making sure that you have a system that taps you on the shoulder and says, “Hey, isn’t time that you give that person a call.” and now once again, some of this can be automated.

It depends on the system or you might have to manually put it in there. But it’s always good to have a reason or a reminder, rather, and a reason to call back somebody. So, you get your reminder, you go back, you read the notes you then remember what the reason was and you can make that call. And it’s gonna make you much more productive, much more effective, And it’s gonna mean that you’re gonna increase your sales because now you’re actually making sure you follow up. And if you look at statistics of sales people one of the main reasons people do not get sales is because they don’t follow up on a regular basis.

Regular Contact

And I was of the thinking that if you don’t make contact of some sort every month, at a minimum with your prospects, they’re gonna forget who you are. Because it’s a noisy world out there. So, when you got to follow up it doesn’t have to be a call. It could be an email. It could be a text message. It could be you send something in the post. But at least a good CRM will remind you to do that. Reason number five. Is it’ll help you nurture our leads. So, one of the things that I think’s really important in this day and age is that people are getting bombarded by a lot of information and you wanna make sure that you’re the one that’s being the most helpful.

Lead Nurturing

And we call this lead nurturing. So a good CRM will actually help you do this. The way that it does that is, you can pre-program in a series of emails that are helpful. It might be checklists or tools, resources, articles, whatever might be that you send out on a predetermined schedule of calendar of timeline that you wanna send these things out. And you can actually tailor them based on what that person needs. Some CRMs you can actually say, that person’s interested in making more money so we’ll send them these emails. This person over here is interested in employing people so you can send them these emails. So you can actually categorise them and group people inside your database and just send them the applicable emails.

And once again, you can do this, I know you can do this with Mail Chimp which is a very cheap starting point for a lot of small businesses. You can definitely do it with the more robust systems that I mentioned before like your Infusionsofts, your Ontraports, your Active Campaigns. And it’s a great way for you to be able to then tailor your message and nurture your leads. So when they are ready, ’cause obviously they weren’t ready to buy from you in the beginning but as you nurture them, they’ll start raising their hand and, you know, when they’re ready they’ll start buying from you.

Which is cool. So that was reason number five. Number six, and this is a big one. A good CRM will help you track your results or your return on investment from your marketing. I see a big problem in small businesses or small, medium businesses, any business, in fact. I see a huge problem that people aren’t tracking their return on investment they get from their marketing. So, it’s easy to go out there and spend thousands of dollars on marketing campaigns but you wanna know what’s working, what’s not so you can do more of what is, and less of what isn’t.

A Good CRM

And a good CRM will allow you to go back and look at all the history of the people who have bought from you and what lead sources they came from and more sophisticated systems will actually let you enter the data of the investment you made for that campaign and help you work out acquisition costs.

Costs per lead or cost per client. And then also things like lifetime value. Depends once again, on the functionality of the system you use but a good CRM, or any CRM, should allow you to have some basic functionality where you can track the effectiveness of your marketing. It’s a big one. And then the seventh one is, I’m a great believer that a fantastic CRM will increase the value of your business.

You’re probably wondering, well why will it increase the value of my business? Well, there’s a few different reasons. But the primary reason is that a good CRM will increase the value of your business when you go to sell it, is first of all, you’ve got systems and processes in place for converting your prospects into customers. You’ll have a bit of history there that you can show and demonstrate to a prospective buyer of your business, or an investor that you actually have a predictable process in place for getting a client on board.

Good Data

I think that’s the first thing. The second thing is, you’ll actually have an accurate database, an up to date database, of prospective customers and customers. And so if someone was going to come to you and look at buying your business, for you to be able to say, here’s a data base of X number of thousand people that have shown some sort of interest but haven’t bought yet and here’s where they’re at in their cycle of nurturing.

Here’s the ones that have bought in the past but we’re trying to get back. If you’ve got that database, that will increase the value of your business. I think that a prospective buyer will look at that in a favourable manner because now they’ve got a starting point. They’re not gonna have to sit there scratching their head wondering where their next customer is gonna come from because you’ll have a list of people that they can go straight to market to and get great results. There’s my seven reasons why you need a CRM.

I’d Recommend a CRM

So, if you weren’t using a CRM in your business, I highly recommend it. I don’t sell CRMs, wish I did because in the next 10 years every business is gonna need one. But I can tell you now that you need to go find your self one if you wanna be more effective in your business, you wanna be more efficient, you wanna get more sales, and you wanna work less hours so you too can go on holidays and enjoy wherever it is you like to go because your business will be on autopilot whilst you’re on holidays which is pretty cool. Alright. So just a reminder, if you haven’t already been to one of my free workshops, I encourage you to head to businessfasttrack.com.au I have free workshops and seminars on a regular basis throughout the year. You can grab a free ticket there.

Seats are limited. We don’t have these huge rooms. I typically I only have 30 to 40 people attend these events. I like the more smaller, intimate groups where I can work with you a little bit more one on one. It’s a three hour workshop where I take you through my five stage business acceleration blueprint. Now, quite often get asked, “Ben, why do you do these events for free? Are you gonna sell me something?”

Well, no I’m not gonna sell you anything I’m gonna give you the opportunity if you like to find out more, get enrolled in one of my programmes, yes. It’s really like a test drive. You think about, you wouldn’t buy a car without a test drive most people wouldn’t. I’m a big believer that if you thinking about getting some help to grow your business, to market your business, to scale your business, then this is your opportunity to come and meet me, come and see what it is that we’re all about so I can then help you make an informed decision and if you love what you hear, then we can keep talking.

If not, that’s okay as well. No harm done. So, until next time, have a very profitable day. Thank you..

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