Benefits of CRM for Cannabis and Affiliate Businesses

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Customer relationship management (CRM) involves managing all interactions with each customer and lead to improve a company’s sales and reduce churn. CRM is now important for all companies working in and with the cannabis industry.

In fact, the benefits of CRM for cannabis and related businesses of all sizes are far-reaching — they don’t just affect sales, but marketing and customer service as well. Below are 10 key benefits of using a CRM system to help you understand why you need to prioritize managing customer relationships in an organized, strategic way.

1. Improved lead generation and qualification

Not everyone is a potential sales leader for your business, and they won’t all respond positively to the same type of communication. Thanks to the data you collect about leads in your CRM software, you can segment your leads and send them the most relevant email communications.

Engagement data can tell you which leads you are targeting, where leads are in the marketing funnel, and help you identify qualified leads to send sales messages or route to the sales team for a face-to-face outreach. As a result, the sales team only focuses on the most qualified leads.

2. Optimized lead and customer management

A CRM tool is a centralized database of all the information your business has about every lead and customer, making it quick and easy for anyone to find the information they need, when they need it. The data provides historical perspectives on each lead and customer that can inform how your marketing, sales, and customer service team members communicate with each contact.

Instant access to all this data not only streamlines processes but also reduces redundancies. All data resides in a single location rather than in different team-owned silos. Additionally, centralization improves customer satisfaction when communications are tailored to the personal experiences of each contact with your brand.

3. Increased customer retention, loyalty and advocacy

It costs less to keep a customer than it does to find a new one, so use the data in your CRM software to target each of your niche customer segments and send them the right messages. Track their engagement to identify potential problems or opportunities, and quickly address them with sales leads or timely email marketing campaigns.

Use the data in your CRM to cross-sell and up-sell to existing customers based on the historical purchase information you’ve collected over time. If a customer hasn’t bought anything for a long time, send re-engagement email marketing campaigns to motivate them to make another purchase. The more targeted and relevant the communications and offers are to each customer, the better your results will be.

4. Increased revenue and profits

Because you can track marketing and sales processes in a CRM tool, you know what’s working and what’s not working. With streamlined processes, more sales will be closed, fewer leads will be lost, and customers will make more repeat purchases. Why? Because your teams can set up reminders and follow-ups to communicate with them at the best times without errors.

5. Improved efficiency and productivity

A robust CRM tool frees employees up to focus on revenue-generating activities instead of mundane tasks, searching for information, or re-entering data. Everything team members need is at their fingertips in a CRM, meaning employees can focus on creating the best communication and experience for customers for greater return on investment and better results for the company’s bottom line.

6. Deeper customer insights and data analysis

Data is great, but if it’s not organized in a way that’s usable, data means nothing. CRM software provides metrics and data that can be used to create more effective email marketing campaigns, sales leads, customer service, and more. With reliable data that is easily accessible, reps can segment lead and customer audiences more effectively and streamline communications for each audience to achieve the best results.

7. Better audience segmentation

Audience segmentation is critical to generating, nurturing, and converting leads. If your business sends irrelevant communications to prospects (or customers), they will not be satisfied. They don’t trust your brand as a reliable source of relevant information, which means they’re more likely to unsubscribe from your email marketing messages, ignore your sales pitches, and possibly worse

For example, they might mark your email campaigns as spam, affecting your future email deliverability, or they might share negative opinions about your brand on social media, damaging your reputation and future sales. Use the data in your CRM to segment and deliver the most relevant content, communications and experiences to each contact – every time.

8. Improved collaboration and communication

Integrated sales and marketing teams produce better results than separate departments operating in their own silos. CRM software can be used by employees in a variety of departments within your organization to collaborate and communicate in real time. Changes, updates, feedback, tasks, notifications and more are visible to everyone, so all team members are always on the same page and working from the same data on each contact.

9. Improved Customer Service

Your customer service team can use CRM software to understand customer histories and provide the best support at the right time. Customer satisfaction will increase if customers don’t repeat themselves and have to explain their problems or stories again. All information is available to the support staff in the CRM tool.

10. Better marketing funnel and sales pipeline management

The integration of sales and marketing is crucial for companies today. Using a CRM tool is an easy way to bring these two teams together. You can use CRM software to track lead engagement across the marketing funnel and identify unqualified, marketing qualified, and sales qualified leads. CRM software makes it easy to see what’s working and what’s not working in your marketing strategy, so you can quickly make changes and optimize results.

In addition, CRM software provides data on leads that can help you identify pain points in your sales pipeline, analyze sales calls and email success rates, and find opportunities for improvement. The sales team can also communicate with the marketing team to share insights about lead passing, so the marketing team understands what really makes a sales-qualified lead. Ultimately, more qualified leads can be generated and more sales can be closed.

Key insights into the benefits of CRM for cannabis and sideline businesses

CRM is critical for cannabis and sideline businesses as markets grow and the industry becomes more competitive. CRM software can be used to store and manage lead and customer data, allowing you to better manage your brand’s relationship with each contact through improved marketing, sales, and customer service.

If you need a CRM tool to engage with cannabis and hemp license holders in the US, Canada and international markets so your business can receive the above benefits, schedule a Cannabiz Media License Database demo.