86% of customers are willing to pay between 13% and 18% more for a product or service as long as they get a better customer experience. It is therefore not surprising that more and more companies are focusing on CXM (customer experience management) than on CRM (Customer Relationship Management).
But what is CXM exactly and how can it help companies? CXM or CRM is designed to manage customer interactions, either through digital or physical points of contact. The goal is to provide personalized experiences that drive consumer loyalty to the brand and increase company revenues.
CRM and CXM: Which to implement?
CRM and CXM strategies have one thing in common: they both seek to optimize customer relationships. However, they differ in their perspective. CRM is focused on sales to drive more revenue for the company, which it achieves by facilitating relationship building for the organization.
CXM, on the other hand, puts the focus on customers, as its objective is to make their experience with the brand the best. Focusing on the customer experience is perceived as a comprehensive strategy, as it allows the collection of information in a more extensive way to track, monitor and organize the interactions between consumers and companies throughout the customer lifecycle.
By using a CRM you can know what a customer looks like to the company and the CXM defines what a company looks like to the customer. Focusing on the customer experience is key to competing in today’s business world, but that doesn’t mean leaving CRM behind. While some companies may be moving from a classic CRM to a CXM strategy, the truth is that CRM is still a must-have tool for businesses.
Does CXM really bring an end to the CRM era?
Not really, there is only a change of perspective that gives greater relevance to the customer experience factor. To implement a good CXM strategy, it is essential to have a good CRM that allows you to better understand your customers in order to personalize your interactions with them.
There are CRM tools that allow companies to focus on customer-centric objectives. One of them is Microsoft Dynamics 365, which is designed to integrate in the same solution different tasks to work in the same ecosystem sales, service, operations and marketing.
Dynamics 365 is ideal for driving the CXM strategy because it includes CRM capabilities to access and manage customer information and personalize customer experiences, customer service capabilities for teams to communicate with customers through omnichannel interactions.
If you want to implement this solution to extend the capabilities of CRM and focus on customer experience, Fusionworks can help you. Contact us!