Customer Relationship Management
CRM Gamification - Using Psychology to Improve Sales
Feedback is a basic human desire, and fulfilling this desire makes people feel more powerful and in control. This allows people to carry out more tasks and for longer. By bearing this in mind, Customer Relationship Management (CRM) software can be designed in such a way that appeals to the need for feedback and rewards, in order for users to get more out of the software. This can dramatically improve your business processes and sales performance. This process is called ‘gamification’. This article will explain how CRM gamification is an important new trend that has the potential to transform how we use customer relationship management software.
Gamification can make CRM processes or applications more appealing, inspire users to adopt particular actions, demonstrate the best method of achieving or learning something, and motivate users through tapping into the human predilection to compete against each other. This can make boring, or repetitive tasks more interesting by introducing an element of motivation and competition to them, thereby encouraging participation, interest, action, accuracy, productivity, and other positive user behaviour.
Why Use CRM Gamification?
Gamified CRM works by offering reward mechanisms like points, scores, badges, leaderboard ranking, expert designation and progress bars, which are tangible illustrations of your achievements. Despite being a relatively new innovation, gamification has already reaped significant benefits for organisations that take advantage of it, disproving critics who predicted that it would be little more than a transitory fad. This article explores the best methods of how CRM gamification can improve your business processes.
Sales managers require accurate data in real time so that they can make intelligent forecasts and manage an effective sales pipeline. However, this is often made difficult by CRM systems being occupied with erroneous data, caused by things such as inaccurate forecasts, duplicate leads, obsolete data, and procrastinating the entry of data, or avoiding it entirely. These challenges can be tackled by effectively using gamified CRM.
One of the best uses of gamification is to accommodate it into your business’s sales methodology to help set measurable targets and track accomplishments. Measuring your targets lets you both discover the answers and see how effectively your team perform in such a way that leads to the best results.
Often, the best way to influence people through gaming mechanics is not through appealing to an end goal, but to make sure that everyone takes the necessary steps to achieve that goal. In this way, gamification can make sure that your team’s actions are the correct actions. For example, gamification can encourage salespeople to build a plan before making sales calls, which can result in sales moving more quickly through the pipeline.
How Can CRM Gamification Be Used Effectively?
If you know what kinds of behaviour you wish your team to demonstrate, then you can encourage such behaviour by designing related incentives. For certain tasks and behaviours, you can award points. You can create leaderboards based on how many points each user has, and pit your employees against each other. This incites urgency, competition and teamwork into your workforce. This is especially effective with salespeople, who are often confident, driven and competitive. You can also convert these points into rewards, or offer badges - your rewards don’t have to be excessive by any means. Some platforms can even add badges and leaderboards into your CRM interface.
Another common gaming mechanic that doesn’t necessitate over the top rewards is the use of levels, such as in airline rewards programmes. Airlines create different levels depending on how much the user has ‘achieved’, such as flying frequently. These levels can have unique rewards associated with each one, and the companies can email participants about their status so that they stay aware of their position, as well as reveal what more they can do to attain a better position. Levels are effective because people want to show off their status to other people, so when they are offered ways to display their status, they are motivated to keep participating in the program.
CRM gamification can also train your CRM out of behaviour that can potentially limit the success of your business. A frequent way deals are overlooked is by salespeople focussing on customers who are more responsive, and ignoring customers who are more reluctant to take calls, but could potentially offer a bigger potential for higher returns. Similarly, there are customers who may initially spend very little on your business, but could possibly spend a lot more, but these customers frequently aren’t tended to in favour of customers who spend a larger percentage of their budget on you. This is an example of how short-term reinforcement can add up to help you earn significantly more revenue.
A common problem businesses have with newly implemented CRM is user adoption – not everyone wants to start using the new system. When relaunching or reviving a CRM solution, utilising gamification techniques can provide sufficient incentive to use the CRM and adopt optimum behaviour to expand your business.
CRM Gamification can tell you a lot about your employees. A gamified system can monitor your workers and tell you what they’re doing in detail. This can tell you what they’re doing right and wrong, which employees are the most effective, and allows you to more easily reward positive behaviour. You no longer need to rely on opinion as gamification can provide tangible measurements of achievement that makes it immediately apparent. Gamification makes organisations assess the processes they go through, making it easier to improve upon them.
How SAS Can Help
CRM software is an essential tool for managing your interactions with customers. However, there are so many solutions available that cater to a variety of industries. Spending time finding the right system for you can cost your business a significant amount of time and money, and runs the risk of you implementing a solution that isn’t ideal.
Software Advisory Service can help you find the right CRM for your needs. We offer expert, non-chargeable buying advice to help find the right system for you, and can provide a shortlist of potential vendors depending on your specific requirements. Complete the form on the right so that we can find the solution you need today!
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