The LoyaltyEffect, based on work carried out by the consultancy Bain & Co., shows that a 5% improvement in a company's customer retention rate will increase profits by 15 to 50 percent, depending on the industry.
eMarketer predicts that spending on customer relationship management (CRM) applications will grow to $10.4 billion by the end of 2001, a 167 percent increase from the $3.9 billion spent in 2000.
Consultants such as Bob Thompson of Front Line Solutions have proclaimed wireless technology to be the most important new technology for CRM.
|
|
|
  |
Use wireless messaging alerts to keep in touch with your customers, increasing revenue through enhanced sales and customer retention rates.
|
 |
|
In the current world of business, keeping up with rapid customer demand is a difficult task. In fact, it is one at which many businesses are failing. Jupiter Media Metrix reveals that only 41 percent of B2B firms responded to customers’ email inquiries within six hours, and only half of those replied accurately. This is crucial because one of the biggest factors in making new sales lies in responding promptly and accurately to customer needs. The quicker a company’s team receives leads, the better the opportunity to turn them into new sales.
Meanwhile, customer retention remains as instrumental to a company’s success as new sales. The top five companies in any industry have a 93 to 95% customer retention rate, as opposed to the average company, which has a 78 to 82% retention rate. This retention rate translates into significant revenue. The LoyaltyEffect, based on work carried out by the consultancy Bain & Co., shows that a 5% improvement in a company's customer retention rate will increase profits by 15 to 50 percent, depending on the industry.
It is for these reasons that eMarketer predicts that spending on customer relationship management (CRM) applications will grow to $10.4 billion by the end of 2001, a 167 percent increase from the $3.9 billion spent in 2000. Dataquest corroborates this prediction, projecting a compounded annual growth rate in the market for CRM services worldwide of 48 percent through 2003.
With all of this revenue being spent in order to improve the efficiency of customer relationships, a tool which can speed up the transfer of information offers an invaluable enhancement. Wireless messaging provides the optimal method by which to accomplish this, since, according to Jack Gold of the Meta Group, more than 75% of knowledge workers will be mobile at least 25% of the time by 2003/04. For these reasons, consultants such as Bob Thompson of Front Line Solutions have proclaimed wireless technology to be the most important new technology for CRM.
Simplewire’s platform integrates easily into any CRM product in order to enhance it with the ability to send wireless alerts to staff members, keeping them informed of new customer requests and demands in real time. Transmitting the information within seconds, and enabling 2-way messaging, which allows replies, Simplewire’s alerts can keep an increasingly mobile workforce up to date on the latest information, and allow more and more companies to improve their response rate. This improved customer relationship management will lead to increased sales and customer retention, and hence directly increase revenue.
|
|
|
|
