Top 3 Risks of Not Having CRM Software In Your Business
Without CRM, how risky your business will be? Let's see
20 January, 2023 by
Chuah Chun Yan

Top 3 Risks of Not Having CRM Software In Your Business  

“Do I really need to spend more money on simple software?”

“My sales teams are doing fine getting in touch with our customers, CRM is no use to us.”

“Why use CRM when I can just have Excel sheets?”

Those are some common misconceptions most growing business owners have about implementing CRM software.

When your business grows gradually, customer data slowly gets more diverse without notice. To the point where your sales team encounters trouble analyzing and measuring customer data.

Worst come to worst, even data recording becomes a problem.

At this stage, you’ll probably ask your teams to compile all the customer data in one place. 

In hopes, the huge pile of messy data will be reorganized for better data analysis or information communication.

Wouldn't it be great if you could avoid all this mess?

Simply having a CRM implemented can save you all the hassle and resources spent.

That is why most brilliant will implement CRM software as soon as their business allows them to.

Especially in this day and age, CRM software is an essential tool for businesses of all industries.

Refusing to adopt CRM software is just putting your business at risk by hindering your business and your team's growth.

To give you a better picture, let’s look into the top 3 major risks of not using CRM software in your business.

  • Poor Data Management

  • Inaccurate Forecasting

  • Low Workplace Efficiency


Poor Data Management

Without CRM software, poor customer data management simply happens in a business.

Having poor customer data management is a fast track to a company's demise due to the lack of data-driven planning.

Without CRM, all customer data, communication history, and feedback will be lost within a large amount of data.

Employees will have poor information communication because of the lack of customer data visibility and accessibility.

Only by managing data systematically with CRM, will the data be reliable, visible, secure, and integrated seamlessly.

Automatically recorded and well-stored data helps improve the accessibility to the latest customer information, overcoming the barrier of information communication, understanding customers, and making more informed decisions.

That is why you will need a CRM that provides your business with a single source of truth to store and visualize all the massive and complex data.

 

Inaccurate Forecasting

Every company needs forecasting.

It is essential to help a company minimize or even avoid the chances of losses in the future.

Forecasting is important, but forecasting accurately with accurate data is even more crucial, which is why having accurate and readily accessible historical data is vital.

Without enough data that is accurate, companies will not be able to analyze and gain fruitful business insights or trends.

Forecasting will be inaccurate, causing leaders to plan their sales strategy poorly, employees to be in ambiguity, and eventually, the company to face losses.

With CRM, years of customer data will be recorded, visualized, and stored accurately.

This helps leaders and managers of the company in gaining an idea of how the company has been performing in the past, and how will it perform in the future.

With sufficient customer data, companies will also be able to determine which customer segment they should focus on in their future sales plans.

By implementing a CRM, forecasting can be more accurate, allowing the company to have a clearer direction for the future.

 

Low Workplace Efficiency

Without CRM, you are probably running a business with very low efficiency.

Your employees are probably spending most of their time on daily repetitive tasks like:

  • Updating piles of customer information

  • Searching through long history for a single data

  • Emailing every single lead or customer individually just to give them updates

  • Manually keying in a huge number of leads

  • Creating reports to keep track of sales performance

Everything that is mentioned above causes low efficiency in the workplace.

Let’s not forget that time, resources, and costs are also needed to resolve human mistakes and errors.

In short, manually carrying out the work slows down work completion.

Your employees are forced to postpone the tasks that are actually contributing to the growth of your business.

With CRM, manual tasks can be automated.

Human errors and mistakes can be prevented.

Employees will have more time to do more impactful actions, all with the goal of increasing your business's revenue and profits.

Undoubtedly, your business will grow much quicker and better.

 

To keep it simple, poor data management must be resolved as soon as possible as it will bring up the issue of inaccurate forecasting and low workplace efficiency.

Without CRM, these risks will persist. Fortunately, you can always break the chain. If you are interested in implementing a CRM, here's how you can start.