Lead Management vs. CRM: What's the difference?
The most important step in answering this question is to understand the key differences between CRM and Lead Management, and in particular why companies think they need CRM but really need Lead Management.
Customer Relationship Management (CRM): is a business strategy to select and manage the most valuable customer relationships. CRM requires a customer-centric business philosophy and culture to support effective marketing, sales, and service processes. CRM applications can enable effective customer relationship management, provided that an enterprise has the right leadership, strategy, and culture.
- Enterprise CRM is very expensive, typically $150 to $1000 per user
- CRM is exactly what it says, customer relationship management, but CRM doesn't address what happens before a customer becomes a customer
Lead Management (LM): is the process of rapidly and effectively creating, nurturing, distributing and analyzing leads. The ultimate goal? To increase the likelihood that a lead will convert to a qualified opportunity and then a new, satisfied customer.
- Leads360's Enterprise Lead Management is as low as $35 per user
- The first step in your sales cycle. Leads become customers; without proper lead management, you won't have customers
When cost and performance are measured, there's really no comparison: Lead Management offers a significant advantage over Customer Relationship Management (CRM) in helping companies achieve their sales goals.
CRM helps select and manage customer relationships; but without effective leads, where will the customers come from? Lead Management focuses on the first step in the sales cycle - the creation and management of leads, and the process of transforming those leads into qualified opportunities, and ultimately into satisfied customers.
The optimization of lead flow across sales and marketing is critical to achieving sales goals. Lead Management improves responsiveness to prospect inquiries, and can prevent leads from falling through the cracks. The result? Increased lead conversion rates, and the assurance of getting the most from your marketing spend.
To find out more about How Lead Management software can help you increase sales, click here.
To explore Leads360, one of the most successful and cost-effective lead management systems available, click here.