Guangzhou -- With the increasingly mature digital technologies such as "Cloud Big Things moving intelligence" and the application of digital technologies to thousands of industries, the proportion and importance of digital economy is also getting higher and higher. IDC estimates that by 2022, the proportion of global digital economy will reach 60%, and that of China will reach 65%. Global spending on digital transformation will reach $2.3 trillion by 2023, more than half of all ICT spending.
In recent years, retail, manufacturing, consumption and other industries emphasize user-centered, with the help of digital technology to reshape the connection, open up the people and goods yard, multi-dimensional data help enterprises better understand the needs of end users and consumers, data breaks the space limit, can connect the supply and demand more quickly and efficiently. In such a user-centered era, CRM(Customer Relationship Management) is paid more and more attention by enterprises.
It is worth noting that traditional CRM products in the past began to appear many pain points in the face of emerging technologies, and could not meet the new needs of the development process of enterprises. In this context, intelligent CRM, which integrates technologies such as "cloud Big Things moving intelligence", has gradually become the mainstream of the market, and the overall market scale has also begun to reach 100 billion.
The pain points of traditional CRM are emerging
It has been more than 20 years since the emergence of traditional CRM in China in 2000. However, at the beginning of the promotion and use of CRM in China, it only focused on its sales domain and related functions, which defined it as a simple enterprise sales team management tool. This also led to the following pain points in the use of traditional CRM in the current new needs of enterprises:
The first is the lack of personalization in traditional CRM. Traditional CRM products are relatively simple and homogeneous. The reason is that most of the products only have basic functions to meet customers' routine daily management needs, and cannot provide targeted solutions according to different customers' operational pain points and business needs.
Second, traditional CRM is difficult to activate and improve customer retention. In the past, traditional CRM focused on the management of customer relationship processes such as user follow-up, lead allocation, business opportunity management, etc. For enterprises, it was just a user database and tool management software. The management application for users was relatively shallow, with low user stickiness, difficult to activate and effective operation efficiency.
The third issue is operational capacity. Traditional CRM is only limited to manage the daily management of customers, and cannot provide the operation and service of the whole life cycle management of customers, such as marketing, sales and service.
Finally, there are the limitations of traditional CRM usage scenarios. Traditional CRM is often inseparable from the PC terminal. For enterprise managers, it is impossible to obtain real-time sales situation in time, so business management decisions often cannot be timely adjusted according to the current situation. For those who need to work in the field, traditional CRM can be a disguised obstacle to their business completion, rather than truly enabling them to sell more efficient completion performance.
CRM has become a trend to subvert conventional wisdom
Traditional CRM can not solve the needs of enterprises, naturally let CRM ushered in the opportunity of iterative upgrading.
In 2018, with the development of cloud computing, artificial intelligence, data intelligence and other technologies, C2B(Customer-To-Business) is an irreversible trend. In order to break through the gap of interactive value-added between enterprises and users, CRM must build a more diversified product matrix and a service platform that can provide full life cycle management. In the process of marketing, sales and service, we focus on customers and start from the needs of users to provide more systematic and perfect integrated solutions, and realize business empowerment and value upgrading of enterprises through data interconnection.
Based on this, smart CRM comes into being. Intelligent CRM integrates cloud and communication, artificial intelligence, data intelligence and other capabilities, bringing many innovations to the CRM industry. On the one hand, intelligent CRM services bring business value empowerment to enterprises through product matrix. Intelligent CRM expands to the full life cycle of enterprises, including customer acquisition in early marketing, customer incubation in the middle stage, customer management and after-sales service in the later stage, etc., to help enterprises open up online and offline channels, improve the retention rate and stickiness of end customers, and explore the full life cycle management of customers.
On the other hand, smart CRM services rely on advanced and powerful technical capabilities to empower enterprise business. Intelligent CRM services, through powerful storage, computer vision, data intelligence and other advanced technical capabilities, speed up and improve the management efficiency of enterprises, organizational communication quality. For example, using computer vision capabilities, data can be collected through a camera.
Compared with traditional CRM and mobile CRM, intelligent CRM services can significantly improve the operating efficiency of industry customers, the retention rate and stickiness of end customers by relying on new technologies, and help customers manage their key operations in the whole life cycle in a more efficient and effective way.
In addition, in terms of CRM products, the business model selection of CRM manufacturers will change from the past "herd effect" to the present independent thinking, and from the past imitation to the present clear market segmentation - target market - product positioning. Different types of manufacturers combined with external opportunities and internal strength will promote the implementation of different business models. For example, the general CRM manufacturers with abundant funds and backed by big trees begin to improve the "large and complete" SaaS + PaaS platform-level capabilities, choose the development direction of general business + industry, and build horizontal competition barriers. The other part of CRM manufacturers focus on the subdivision of the field to start the deep cultivation of a specific track, longitudinal capability precipitation, to achieve "small but beautiful".
Toward a market size of 100 billion
The comprehensive advantage of intelligent CRM for enterprise empowerment also makes its market scale grow rapidly. According to the report of Frost & Sullivan, a well-known international information agency, the market size of intelligent CRM service market was 20.2 billion yuan in 2016, and by 2020, the data has increased to 50 billion yuan, with a compound annual growth rate of 25.5%. As more and more enterprises replace traditional CRM with intelligent CRM, the potential market size of intelligent CRM service market in the future is expected to reach 224.8 billion yuan in 2025, with an annual compound growth rate of 35.1% during this period.
In the context of such a high industry scale growth rate, enterprises that can provide intelligent CRM services, especially the top camp, will also usher in a performance explosion in 2020-2025. According to the Frost Sullivan report, the total revenue of the smart CRM market is expected to reach $33.7 billion from 2020 to 2025, with a staggering compound annual growth rate of 46.5%.
It is worth noting that even if such a high development rate is maintained, the market penetration rate of the smart CRM industry will only reach 15% by 2025. In the future, with the digital transformation of smart CRM services and increasing market acceptance, it is foreseeable that more and more small and medium-sized enterprises will become customers of smart CRM service providers. This also means that in the next ten years or longer, intelligent CRM will continue to maintain a rapid growth trend, and the future market capacity will not be excluded to reach 500 billion or even trillion.
