In today’s fast-paced world, digital technologies are the game-changers for the business landscape. They are reshaping all aspects of business operations, and customer relationship management (CRM) systems are no exception. Traditionally, CRM systems focused on two goals: managing customer data and automating sales processes. Without a doubt, it worked wonders in improving organisation, efficiency, and time management for companies. 

Contemporary digital CRM platforms have taken it up a notch and tapped a critical element of business success: personalised customer experiences. All types of organisations, including start-ups, small businesses, and global giants, are leveraging the power of personalisation to build a loyal customer base, drive conversions, and boost revenue. 

That brings us to the question: How are different digital technologies enabling businesses to have personalised interactions and marketing strategies for their customers? Simply put, they can gather a massive amount of structured and unstructured data from social media, websites, purchase history, and other sources. After deep analysis, they provide valuable insights into customer behaviours, preferences, needs, and feelings. The result? More effective engagement with customers. 

At present, Artificial Intelligence (AI), Augmented Reality (AR)/Virtual Reality (VR), Gamification, and the Metaverse are some of the widely used digital technologies. Each plays a unique role in analysing customer data and providing valuable insights for tailoring the experiences for different customers. 

AI-powered CRMs can perform many tasks like automation, data analytics, and predictions. AI can review and concisely extract extensive data sets into accurate reports. It can also go through past information on customers, sales, and leads to predict future trends. Do you need help writing personalised marketing emails? Do you want to automate different business tasks? AI can do it all! Moreover, AI can segment leads and customers into various groups. AI uses natural language processing (NLP) to analyse customer conversations and feedback through social media, email, and support chat, providing insights into customer’s perceptions, feelings, and trends. 

Using AR/VR in CRM for immersive insights is also a hot trend among businesses. With these digital technologies, companies can create virtual environments and simulations. They can observe how customers interact with their products and services in realistic scenarios. It helps them better understand user preferences and decision-making processes. 

Next up, gamification! We humans love incentives, and when businesses promise them, they become our instant favourites. A few popular gamification techniques include using point systems, honouring badges, giving challenges, or providing promotional spin-the-wheel. But how does this technology help in CRM? Gamification improves user participation and interaction. As a result, it provides more opportunities for collecting feedback, tracking user behaviour, and understanding their motivations and preferences.

All in all, it is clear that digital technologies have made customer relationship management (CRM) systems significantly more efficient. Digital CRMs streamline various operations, from managing customer data to automating routine tasks, saving time and effort. In addition, they help understand customer insights, allowing for more targeted communications and marketing initiatives. Ultimately, this leads to stronger, long-term customer relationships and boosts product and service sales. The final takeaway? Digital CRM platforms are the way forward for flourishing businesses!

The author is Program Chairperson, SBM, NMIMS Bengaluru