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Marketers Double Down on CRM Spending

CRM solutions help advertising and media agencies improve customer service efforts

August 17, 2016 | Marketing

Marketing technologies like customer relationship management (CRM) are playing a greater role in many organizations’ budgets. In fact, a study by Duke University’s Fuqua School of Business found that CRM spending growth consistently outpaced brand spending growth by around 2 to 3 percentage points.

CRM vs. Brand Spending Growth According to US Marketing Executives, Feb 2014-Feb 2016 (% change)

Why are so many marketing organizations turning to such CRM solutions? It appears that the technology helps improve a company’s efforts to deliver better customer service.

A separate April 2016 survey from Insightly revealed that more than 40% of creative professionals worldwide said CRM has allowed them to offer better customer service and customer responsiveness.

In addition, CRM isn’t just making customers happy, it’s also helping to increase sales.

Ways in Which Having a CRM Solution Has Improved Their Overall Business According to Creative Professionals Worldwide, April 2016 (% of respondents)

Based on Insightly’s survey, roughly two-thirds of respondents also saw sales increase between 10% and 49% as a result of their CRM solution use, a statistic which suggests many more executives will be giving the technology a closer look in the near future.

Generally, executives are looking to technology for improved sales productivity. Research from Forbes Insights and Brainshark found that many organizations are moving to implement more marketing technology in their stack—especially sales enablement tools. And, more than half of US execs surveyed said they were spending on sales enablement technologies, analytics and CRM to improve sales productivity.

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