Social CRM

Earlier this month, one of our team had the fortune of a day out at our nation’s capital to attend the Internet World 2011 event. After a day of meeting, greeting, networking and learning, they returned the next day brimming with new ideas and brandishing what seemed to be a small forest-worth of flyers, pamphlets, and whitepapers (also known as bumf).

Now, when you attend an event such as this, it is great if you can identify one thing that stands out, that has legs, and this year it is Social CRM.

At this point, some of you are thinking that this is another buzzword thought up by some bright spark in a minimalist new media company which involved taking something that has existed for ages and making it ‘shiny and new’ by sticking the word ‘social’ in front of it. However, this makes sense, and if you have been spending the last couple of years getting stuck into social media you should be looking into it, today.

Social CRM is an evolution of the traditional concept of CRM (that’s Customer Relationship Management, to you and me). However, despite its name, traditional CRM is actually company focussed, it creates a process by which a company can organise its sales, marketing and support functions to target customers with communications in order to leverage more out of their wallet. However, the traditional CRM process is fundamentally one-way.

Your customers now expect collaboration any time, any place, any where, instead of simply having marketing messages pushed to them. Customers expect to talk with brands to solve their specific problems and shape their own relationships with those brands. This is a crucial difference between traditional and Social CRM. The pay-off is that brands that do this well will benefit from customers that act as brand advocates, open to promoting and recommending them through social channels which are an increasingly important marketing tool that can dovetail with other marketing efforts such as search engine optimsation.

The issue for many organisations is that there now needs to be a change in mindset. Many of you reading this will have invested a large amount of time and money building presences on social media sites. However, you now have to move away from Follower counts, Re-tweets and Likes to understand how you are going to manage the online communities that you have created and how you are going to create value from them. Failing to do so will send your social presence in decline and put back the progress you have made; now is the time to realise the CRM value of social media.

Authored by Ian Cockayne