Technology and social media have dramatically changed business operations. Now marketing managers and salespeople take care of the social customer who is updated on all the trends and news. This type of consumer is more interested in interaction and quick responses than in advertising messages and one-way communication.
These changes in requirements have led to the evolution of traditional CRM strategy and the development of business rules and processes. Currently, we can see the CRM industry undergoing shifting of priorities and transformation of productivity levers. Many business owners are grappling with the tough new choice – Traditional CRM vs Social CRM.
Classification of Both Concepts
At the outset, we need to clarify the notions of traditional and social CRM. This realization forms a good basis for further comparison. Let’s get down to business.
Traditional CRM is a business strategy that is reflected in a number of applications. The software improves data management, automates sales and marketing processes, and helps track customer behavior and communication history. The core of this CRM model is reflected in the standardized performance using input data as a basis. Social CRM is an innovative approach to realizing business process strategy, facilitating and cultivating trusting relationships with existing and future customers. The uniqueness of this CRM lies in the personalization of the content into a complete and meaningful conversation with a potential client that is distributed through social networks and digital channels.
Comparison of Main Tactics
Social CRM has shifted focus, supplementing traditional CRM with easy-to-use social media modes. Here is a critical comparison of the most important tactics and areas of influence.
Priorities of Functionality
- The process-oriented nature of traditional CRM allows workflows to be configured to a standard standard and each phase of the process defined.
- Social CRM involves a more complex conversation-centric approach. How the performance of the process and the number of steps depends on the activity of customers on social networks.
- Traditional CRM strategies have a well-defined list of ways to send emails, notifications, and newsletters. Also, this procedure is performed during specific business hours.
- Social CRM encompasses the evolving and dynamic channels for interacting with customers. The same campaign can have a different schedule depending on the prospect’s activity on the blog or on the social network.
- In traditional CRM, all processes depend on the relevance and quality of customer data leading to the assignment of a task to a specific department or service manager.
- Social CRM plays the major role in content quality and all employees use the database for sophisticated target audience engagement.
Shape of Processes
- All the processes that are performed within traditional CRM boil down to closing deals successfully. In other words, the transaction is a central focus.
- Social CRM complex relationships consist of relevant and valuable interactions aimed at satisfying customer requests and needs.
From what you can see, Social CRM uses traditional CRM as the foundation of its strategy, but advances it with social media insights to build valuable and far-reaching business-customer relationships.
Outcomes of Both CRMs
- Social CRM pushes the boundaries of digital marketing with two-way interaction, while traditional CRM focuses on promoting your product or service.
- The capabilities of technologies deprive traditional CRM of the human face of its achievements, while social CRM aims to humanize its business and close the deal with “a digital handshake”.
- Unlike traditional CRM, social CRM puts customer interests rather than data at the center of corporate strategy.
So it’s no surprise that more and more business owners are willing to implement social CRM to increase marketing effectiveness, increase ROI, and reduce customer service costs. Choose the best CRM and migrate!