What makes a CRM? Simple: Customers, Relationships, and the Management
Thereof. In this three-part series, we are taking a detailed
look at each term to better understand what a
CRM system is and what it can do for your business.
Today, let's look at "Relationship."
The term relationship is one that we use so often in our personal lives that it seems almost impersonal to attempt a rigid definition of it for business purposes. Not only so, but relying on a computer system to plan, script, and automate a relationship probably seems even more impersonal. But in business, every process must be scalable and repeatable, especially the process of building customers. So, a
CRM software is not only wise, it's often necessary. But just what is it that we're managing? What is a relationship?
To start, relationships entail things we know. For sure, relationships are much more than facts we know about a person, but they are not less than those facts. My relationship with my wife is much more than knowing her birthday, eye color, favorite foods, and her preference in gifts. But if I did not know this information, deepening the relationship would be difficult, if not impossible. The first thing that a CRM must do to manage a relationship is store and recall pertinent details.
But we can know facts and figures about complete strangers. A relationship, by definition, takes on a much more dynamic nature. There is interaction, messages back and forth, conversations and discoveries that build the relationship over time. In a good relationship, my interaction today will be impacted by what I've learned over the interactions in the past. If I do not adapt my own behavior in the relationship based on what I've learned previously, then I am a bad friend (or vendor, or client, or what-have-you).
Lastly, relationships ultimately will entail commitments between parties. When we say that we are managing relationships with customers, we are not only storing facts, figures, and a log of historical interactions for reference. We are using the system to hold us accountable to commitments made and future interactions. Relationships are fluid and must be maintained, not merely archived.
Your CRM must be able to not only archive, but also drive the relationship forward.