CRM and ecommerce

6 Benefits of CRM for Your Ecommerce

Customer relationship management (CRM) is one of the biggest digital marketing innovations of recent years. Both companies and ecommerce service providers are expected to reach out to their audiences and offer them extra incentive for engagement.

However, depending on your business’ size, budget and scaling, you might not have enough resources to afford CRM software of your own. Luckily, there are numerous benefits to using CRM software and providing customer relationship features to your followers. Let’s take a look at several reasons as to why you should consider CRM for your ecommerce website.

Building Industry Authority

A good example of ecommerce dominance can be seen in Amazon and their business practices. Amazon is not the only website that operates based on ecommerce services. However, it is a giant player on the market, overshadowing other websites by a large margin. They achieved industry authority not through paid advertisement or influencer programs (which came later).

Amazon built their reputation through careful cultivation of customer relations, as well as numerous incentives for loyalty to their website. You can do the same with your ecommerce store as well by introducing CRM features to already existing processes. Offering small discounts, freebies or exclusive content to existing customers will slowly build your industry authority and make your brand name a serious contender.

Higher Conversion Rates

It’s one thing to attract visitors to your website and another to convert them into actual customers. Customer relationship management is built on added value to the visitor. Things such as curated product lists, custom search categories and wish list discounts add up to high conversion rates.

Studies have shown that 64% of companies consider CRM software and processes as an integral part of their sales funnel. After all, your potential customers will only be as keen to purchase your products as you are to make it worth their while. The more people you convert into buyers, the higher percentage of success you will have in the industry. High conversion rates translate to revenue, which is the baseline of any online business. If CRM translated to pure expense to you until now, consider the benefit of conversion as an incentive to explore the possibilities.

Audience Segmentation

Knowing who your customer base is comprised of is an important part of growing your ecommerce business. In that respect, CRM software can help you track and analyze each purchase made on your website. For example, you may want to expand your product lineup or add new shipping options to your existing features. CRM software can effectively extrapolate data for you to analyze and consider the next best step in terms of ecommerce expansion.

The CEO of PickWriters spoke recently: “I believe that audience segmentation and precise advertisement targeting is the key to online success. After all, it’s impossible to appeal to each existing customer through a single piece of marketing content.”
Audience segmentation can also come in handy when planning discounts and sales campaigns. This can help you target individual groups within your customer base based on gender, age and purchasing preferences.

Better SEO ranking

While it doesn’t directly affect your search engine ranking, CRM software adds up and plays a huge role in your SEO. Search Engine Optimization (SEO) dictates whether or not a website ranks high when someone searches for a relevant term in Google, Yahoo, Bing or similar engine. Optimizing your content per SEO standards through CRM (or manually) will get you that much closer to new potential customers.

Using CRM software can help you curate the content on your website and organize it into logical segments and categories. Coupled with tools such as Google Adwords and SEM Rush, your CRM software can also help you optimize the descriptions of each individual product with keywords. This is a great practice because you will achieve multiple positive flags with SEO in one fell swoop and attract more people to your website.

Testimonials, Reviews and Referrals

The positive side-effect of providing extensive CRM features to your customers is their willingness to put in a good word for your ecommerce website. Testimonials, reviews and referrals play a huge role in helping your site grow, especially in such a competitive industry as ecommerce. Data shows that 70% of companies are planning to invest into software and technology solutions for the betterment of their business. There is no reason to leave your ecommerce site out of that percentage since CRM is becoming a necessity rather than an option.

Make sure to emphasize your need for customer testimonials and reviews after each successful purchase through your website. The CRM software you choose can help you automate the testimonial gathering process in order to leave as much free time for data analysis as possible. You can do this by sending personalized thank-you emails with small surveys which can then be analyzed and formed into testimonials. This adds up to your website’s social proof since many reluctant customers are swayed by the words of other people.

Room for Experimentation

Lastly, using CRM software gives you plenty of room for experimentation with your ecommerce website. You can implement new marketing strategies, test new products and services, as well as conduct group testing with volunteers. You can even experiment with new payment methods, data security procedures and customer engagement processes in a safe and controlled environment.

CRM software is a versatile tool which will give you numerous new ideas to solve creative business problems which would be difficult to manage manually. This can save you a ton of time and resources since your testing will only be done in a vacuum without going live until the moment you are satisfied with the outcome.


In Summation

The ecommerce industry is a challenging market to stay relevant in. If implementing CRM software can give you an advantage over the competition in your niche, you should consider taking a leap of faith. The numerous benefits we listed are only the tip of the proverbial iceberg in terms of CRM capabilities. Give one of the tools a shot to see whether or not it piques your interest and adds anything to your already-existing ecommerce operation.


Author bio

Kristin Savage nourishes, sparks and empowers using the magic of a word. She does her voodoo regularly on the Pick Writers blog and occasionally contributes to other educational platforms. Along with pursuing her degree in Creative Writing, Kristin was gaining experience in the publishing industry, with expertise in marketing strategy for publishers and authors. Now she had found herself as a freelance writer.  She observes with a special interest how the latest achievements in media and technology help to grow readership and revenue and shares her opinion. You can find her on Facebook and Medium.