Customer relationship management systems continue to become more sophisticated, functional and comprehensive. CRM software companies now offer improvements to existing functions while also creating specialized solutions for a variety of needs. Technological advancements regularly change the way we use CRMs in the business world by increasing the usefulness of and adding more value to collected data.

Artificial Intelligence

Artificial intelligence is hands down one of the most impactful technologies incorporated into the world of consumer data utilization. The technology encompasses many areas, including predictive analytics, machine learning and language processing. Companies have been adopting more and more AI technology to streamline internal and external processes and improve the customer’s experience with the business.

The primary areas in which we expect to see AI growth are predictive models (trigger events, customer behavior, project timelines, etc.), customer service (chatbots, self-service, sentiment analysis, etc.) and lead management (customer preferences, nurturing schedules, upselling suggestions, etc.). AI has the capability to both assist customers directly and to provide company employees with better tools and suggestions for managing and optimizing their work.

In 2019, data from Freshworks Inc. revealed that only 12% of CRM software users had incorporated AI tools, but that 75% were interested in exploring the capabilities offered by AI technologies.

Process Automation

Automation with CRMs and AI-specific workflows within a business model to continue to improve based on data and patterns. Advancements in CRM software have produced more efficient task automation and the ability for the system to automatically distribute work to the most appropriate parties.

Automation can delegate simple or administrative tasks to software, leaving employees more time to focus skills on serving the customer and the company in a more valuable and productive capacity. A study by HubSpot, one of the most popular CRM software companies, indicated that in 2021, 76% of companies employing CRMs reported using automation processes. At least 26% of non-automated companies indicated that they would plan to use it in the future.

Voice and Conversational UI

Voice technology is not only a critical accessibility advancement, it is also one of the fastest-growing tools of the customer interface. Statista reports that in 2020, there were around 4.2 billion voice assistants being used around the world, and we expect this figure to continue increasing every year. By the end of 2022, 35% of people over the age of 18 reported owning a smart speaker and 62% reported using a voice assistant on any device, according to the Smart Audio Report conducted by NPR and Edison research.

As the technology around natural language processing and voice recognition continues to advance, we expect to see an increase in the number and performance quality of voice assistants in 2023.

Focus on Analytics

Effective organization and analysis of the data collected by a CRM software is a key component to positive business outcomes, and we expect companies will place more emphasis on CRM’s ability to provide relevant, real-time reports on collected data. Integrated data analysis tools can help companies reveal areas of strength, flag potential issues and suggest opportunities for improvement, enabling them to efficiently respond to the needs of their client base and changing market dynamics.

Bill Gates said, “How you gather, manage and use information will determine whether you win or lose.” This statement highlights the importance of effective data interpretation and application in the business world, and companies will need to up their analytics game to stay competitive in 2023.

Mobile CRMs

Following the COVID-19 pandemic, remote work is now more widespread than ever. Owl Labs reports that 16% of companies across the world are now fully remote, and that 62% of employees between the ages of 22 and 65 work from home at least part time. With a majority of the workforce now expected to effectively perform job duties and maintain productivity outside of a designated office location, company employees must be able to access the data and functionalities of the company’s CRM via computers or mobile devices on remote networks. Cloud-based systems have become one primary solution to this challenge.

Small Business CRM

CRM providers have improved their ability to communicate at all levels of a company in an effort to gain a deeper insight into their customers’ needs while optimizing both front and back end operations.

Syncs Between Data Storage Areas

Ensuring employees in all departments have access to up-to-date, relevant data is critical in today’s market. CRMs that enable two-way syncing between stored company data hubs can minimize errors, redundancies and data silos, ultimately saving time and giving a team confidence in their data. Current, accurate data will provide businesses with the best chance of success, and will be one of the focuses for CRM technologies in 2023.

Data From Outside Sources

Data accumulated from within a business’s operations is undoubtedly useful, but CRMs that can communicate with sources outside of the company itself are on the rise in 2023. Outside data can provide a broader, high-definition overview of a customer’s patterns and preferences, enabling companies to personalize customer interactions even further. Data collected from the IoT and social media will be in the spotlight in the coming years.

IoT Technologies

The Internet of Things (IoT) refers to physical objects that can connect and exchange data with other devices over the internet. Some examples of IoT devices include automobiles, cybersecurity systems, smart home appliances and wearable smart devices. These devices have the ability to share information and alerts with the manufacturing or managing company’s CRM system. Companies will become more focused on using this data to improve customer experience in 2023.

Social CRMs

Integrating social media with CRM systems can help companies gain a more holistic view of customer satisfaction, customer behavior and sentiment surrounding their brand. Companies can use social media data to guide responses to customer concerns and queries, and to do so quickly. Social media and the CRM data derived from it will continue to play an important role in business operations in the coming year.

CRM isn’t just for big companies and niche industries. Until recently, the majority of industries employing CRMs have been large corporations working in consulting, insurance, real estate and distribution. Now, more industries than ever before are recognizing the value of CRMs and finding ways to integrate these tools into business operations. A report from Stellaxius showed overall CRM usage increased 18% between 2018 and 2019.

Industry-Specific CRMs and CRMs for Small Businesses

There has been an increase in CRM development that caters to the individual needs of certain industries. Examples include hospitality, banking, construction and healthcare, which are all industries that rarely benefited from CRMs in the past. Small business owners are also beginning to recognize the value that CRMs can give to customers and conversion rates. In the future, even more industries and businesses, regardless of size, are expected to begin using CRMs.

Fewer Adoption Barriers

It is now easier than ever to adopt CRM technology into the everyday operation of your company. CRM companies will continue to focus on making CRMs less expensive, easier to use and easier to implement. Companies that have been hesitant about integrating CRM technology into their business will be encouraged to give it a try.

Source: Forbes