In today's ultra-competitive markets, the companies that manage customer relationships the best are more likely to win than those that don't.

That's why adoption of modern CRM systems like Salesforce, NetSuite and SugarCRM has skyrocketed in recent years, even amongst SMBs that often lack the resources to adopt enterprise-style technologies.

For companies that are still on the fence about CRM, it's worth considering the benefits CRM systems offer. Here are five of the biggest.


A well-implemented CRM system can replace manual processes that create significant organizational inefficiencies. But CRM systems don't just create efficiency by reducing the use of inefficient processes.

Thanks to the ability of popular CRM platforms to integrate with other systems, such as marketing automation tools, the efficiencies of CRM can enable companies to interact with customers in ways that they wouldn't have the resources to otherwise.


CRM systems give companies the ability to move away from tools, like spreadsheets, that appear to be entirely functional but fall short in a variety of areas.

One of the biggest: collaboration. In even small organizations, the entire customer lifecyle is typically too complex to be managed effectively by one person.

The use of cloud-based CRM platforms allows for employees in multiple departments to more effectively manage their customer relationships and to see the big picture at any time.

Data, data, data

For many organizations, data is one of the most valuable strategic assets, and CRM systems house some of the most valuable data. Of course, data in and of itself is often of limited practical use; its real value comes from data analysis and visualization tools.

Here, popular CRM platforms typically offer a variety of homegrown and third party tools that enable companies to understand their CRM data and learn things about their customers that wouldn't be possible otherwise.

Salesforce's AppExchange, for instance, offers Salesforce customers access to dozens of apps that help them make sense of their Salesforce data and put it to good use.

Increased accountability

When companies lack the tools to mange their customer relationships, customers are bound to fall through the cracks. CRM systems can help ensure that this doesn't happen by adding a layer of accountability to the customer relationship management process.

A well-implemented CRM system helps employees across departments understand their responsibilities to customers throughout the customer lifecycle and when those responsibilities aren't met, it's easy to identify what went wrong, where, who fell short and how to make sure it doesn't happen again.

Improved customer experience

Ultimately, for all of the benefits CRM systems provide to the companies that use them, the biggest benefit of CRM systems is that their use leads to a better overall customer experience.

Customers are more easily and accurately segmented, their needs identified, and because the status of a company's relationship with them is accurately tracked, companies can interact with them meaningfully at the right times, leading to more sales, faster sales and higher customer retention and satisfaction.

Patricio Robles

Published 10 April, 2015 by Patricio Robles

Patricio Robles is a tech reporter at Econsultancy. Follow him on Twitter.

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Comments (11)

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Chris Monkman, Web Developer at E-Dzine

It's strange how many features and functions you can now get from the big players for CRM systems plus the dash to cloud computing.

Especially since this sort of stuff has been around for 6-7 years+. I should know, I worked for a company that developed what can be termed a cloud based CRM package, complete with reporting tools, mobile version and specialised modules for specific roles.

over 3 years ago

meltag inc

meltag inc, Manager at meltag

Good article on the five biggest benefits of CRM systems. And yes as you said ultimately improved customer experience really matters for any business to increase their sales.

over 3 years ago


Marika RadiumCRM, User Experience at RadiumCRM

A very nice summary of the benefits to CRM. Looking at efficiency and collaboration we should definitely give a nod to cloud-based CRMs that allow their use on mobile devices as well.

Marika @ RadiumCRM

over 3 years ago


Rebecca Johnston-Gilbert, Consultant at Claritysoft

Overall, an on-target summary. While there are other benefits (e.g., centralized data means you can rebound if you lose a sales rep, the ability to secure data, etc.), these are a good "Top 5.".

The good news for companies on the fence is that there are great CRM options available at various price points (e.g. Salesforce, Claritysoft, etc.) Odds are there is a solution that will meet your needs.

over 3 years ago


Sushmitha Bhandari, Product Evangelist at Agile CRM

CRM’s are great tools for syncing marketing and sales processes. They are perfect for project management, task management and lead nurturing. Companies must definitely invest in CRM tools that match their business goals and objectives. Agile CRM is a great out-of-the-box sales enablement and marketing automation solution.

over 3 years ago


Pierre de Braux, Content at Spiralytics

Great article Patricio! Anyone who isn't riding the CRM bandwagon should be by now.
I found some other benefits of utilizing good CRM practices here:
Thanks for the invaluable info!

over 2 years ago


Maria Manzoni, Content Manager Marketing at

Hello, my name is María Manzoni.

Currently I work as Content Marketing Manager in Elemétrica, a startup based on Venezuela that offers Business Inteligence apps to retail stablishments under a SaaS model.

I was reading this article that you wrote and it certainly caught my attention, we would like to include it and share it on our blog as part of our content marketing strategy, we would take care of translating it to spanish making sure we do not alter the content of the article in any way, in addition we will absolutely guarantee all the copyright and credits to yourself.

Consecuently, I would like to know if you're interested and if we can proceed and do the adaptation to spanish. We think you could benefit from this by expanding your reach throughout our platform, currently serving thousands of peole in Latin America.

Thank you in advance for your interest on this matter, and if you happen to have any kind of questions or concerns do not hesitate to contact me.

Kind Regards,

almost 2 years ago

David Moth

David Moth, Managing Editor at Barclaycard

@Maria, thanks for your comment and for requesting permission before republishing our article - most people don't bother to ask :)

I'm happy for you to translate it, but please ensure to link back to Econsultancy and credit Patricio as the author.

almost 2 years ago


aaroon k, marketing at biznstool

nice article on benefits of crm. I know it’s hard to pick one that best fits your business. I have been in CRM Industry past 10 years. There are many CRMs out in the market, But I want to give top 5 picks on Cloud based CRMs.

Sales Force(
Bizns Tool CRM(
Less Annoying CRM(
Base CRM(

about 1 year ago


John Techie, Digital marketing at

A good briefing about the benefits of using CRM. Apart from efficiency, collaboration, data, accountability and customer experience, CRM/CVM ( are now evolved by helping the business people to communicate with their customers efficiently and also to track their responses to keep them better engaged.

about 1 year ago


Nikita Sawant, Consultant at Consulting

Brilliant article. CRM is all about taking sales and marketing to the next level, the benefits of which you have so clearly outlined. Totally agree with you about boosting Collaboration and improving team coordination, In fact, I recently read an article about how important aligning your sales and marketing team is. You can read it here:

3 months ago

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