Nexa Lab Blog – CRM data refers to information related to customer interactions, preferences, and behaviors.

It is part of the integral CRM (customer relationship management), which may either be a strategy or software. This, in turn, is an aggregation of data integral to customers, who require it for service efficiency.

CRM data is used by organisations to make better decisions on process optimisation facing their customers.

Today, we’ll take a closer look at CRM data.

What is that? What are the 4 types of CRM data? How can you even integrate CRM data with other tools in your software arsenal?

Let’s get to it.

What is CRM Data?

CRM data is information that has been collected and stored within a Customer Relationship Management software.

This data is an important tool that can help a business manage its interactions with its customers and prospects. This data can include many things that happen during customer interaction.

It can be your customer preference, purchase history, communication history, or any information that is collected about your customer throughout his journey with your business.

CRM data is what fuels customer relationship management. It’s the treasure trove of information that helps you understand better where your customers are.

More in Nexalab’s blog: What is a CRM Database and How Can It Be Integrated With Other Tools?

4 Types of CRM Data

In general, there are 4 types of CRM data, according to FitsSmallBusiness.

There are identity data, descriptive data, quantitative data, and qualitative data.

But, what are they? Let’s break down the different types of CRM data.

1. Identity Data

This is the basic stuff – the who’s who of your customer base. It includes:

• Names
• Contact information
• Addresses
• Social media profiles

It’s like the foundation of a house. Without it, you can’t build anything else.

This information can help you identify and categorise your customers, personalise your interactions with them, and target specific groups for marketing campaigns.

2. Descriptive Data

This data paints a picture of who your customers are as individuals. It might include:

• Demographics (age, gender, occupation)
• Psychographics (interests, values, lifestyle)
• Company information for B2B customers

Descriptive data might not always be as concrete as basic data, but it provides valuable insights into your customers’ preferences and behaviors.

This kind of information also sometimes can be a little private, so make sure to handle it with care and ensure that you are following all privacy regulations when collecting and using this data.

3. Quantitative Data

This is where numbers come into play. Quantitative data includes:

• Purchase history
• Website visits
• Email open rates
• Customer service interactions

It’s the cold, hard facts that tell you what’s working and what’s not. Although this data is needed for your CRM strategy, some of the quantitative data is not produced in the CRM software.

Purchase history, for example. While this data is needed for your CRM strategy, the data itself is produced by the e-commerce platforms you use (Shopify for example).

So, to make sure this data is available on your CRM software, you will need the integration between your e-commerce platform and your software.

4. Qualitative Data

This is the softer side of data, but don’t underestimate its power. It includes:

• Customer feedback
• Survey responses
• Social media comments
• Customer service call transcripts

It’s the stuff that helps you understand the ‘why’ behind the numbers.

Qualitative data provides valuable insights into customer preferences, behaviours, and sentiments. Analysing this data can help you make informed decisions and modify your CRM strategies to better meet customer needs.

What is The Function of CRM Data?

Now that we know what CRM data is, let’s talk about why it’s so important.

CRM data serves multiple functions:

• Customer Insights: It helps you understand your customers on a deeper level. You start to see patterns and preferences you might have missed otherwise.
• Personalisation: With CRM data, you can tailor your products, services, and communications to individual customer preferences. It’s like being a mind reader, but with data!
• Predictive Analysis: Some CRM software can analyse your data to predict future needs. Using this, you can anticipate customer needs and behaviours.
• Customer Service Improvement: CRM data allows for more efficient and effective customer support. Your team can access a customer’s history at a glance, making problem-solving much faster.
• Sales Optimisation: It helps your sales team identify leads, track interactions, and close deals more effectively. It’s like giving your sales team superpowers!

How to Collect CRM Data

Collecting CRM data isn’t about being sneaky or intrusive. It’s about creating opportunities for your customers to share information willingly. Here are some ways to do it:

• Online Forms: Use sign-up forms, surveys, and feedback requests on your website. Make sure they’re short and sweet – nobody likes filling out a novel just to buy a coffee!
• Social Media: Monitor and engage with customers on social platforms. Social media is a goldmine of customer insights if you know how to listen.
• Customer Service Interactions: Train your team to collect relevant information during customer interactions. Every conversation is an opportunity to learn more about your customers.
• Transactional Data: Collect data at the point of sale or during online purchases. This is where you can gather some of the most valuable quantitative data.
• Email Marketing: Use email campaigns to gather information and track engagement. Just remember, nobody likes a spammer!

Remember, always be transparent about what data you’re collecting and how you’ll use it. Nobody likes feeling like they’re being watched without their knowledge.

How to Integrate Your CRM Data With Another Software?

Having a mountain of data is useless if you can’t make sense of it. That’s where CRM data integration comes in.

CRM data integration is the process of bringing all your customer data together in one place. It involves several processes, like centralising the data, cleaning it, standardising it, and analysing it.

The most important part is to do this in the centralisation processes. Like what we’ve said before, not all of your customer data is available on your CRM software.

For example, a managed service provider business might use professional service automation software to manage their projects and billing.

So, to make sure everything is centralized, you’ll need to integrate that data with CRM system software. With that, you can have a more comprehensive view of your customer interactions.

Secondly, you need to clean the data. Removing duplicates and making sure of the accuracy of it. While this can be tasking if done manually, the process can be faster and better with the API integration between CRM software and your other system.

Lastly is to standarise your data. It’s important to make sure all data is in a consistent format.

However, this process is the same as when you clean your data.

When you do it manually, you’ll need to check your data one by one. However, with API integration, everything can be done automatically , saving you time and ensuring that your data is consistently formatted across all platforms.

Integrating CRM data with another software might open you another opportunity to streamline your business operations and improve overall efficiency.

But, it’s not an easy task to do.

It can be technically challenging, especially if you don’t have a dedicated IT expert in your company. So, make sure to consider doing a consultation with an integration expert like Nexalab.

With the help of integration experts , you can ensure a smooth and successful integration process, avoiding any potential pitfalls or errors that may arise.

They can provide guidance and support to help you optimize your CRM data integration and maximize its benefits for your business.

More in Nexalab’s blog: What Is CRM Integration? Definition, Types, and Reasons Might Need It

Conclusion

So, what is CRM data? It’s the key to understanding your customers, improving your business, and staying ahead of the competition. It’s not just about collecting information; it’s about using that information to create meaningful relationships with your customers.

From identity data to qualitative insights, each piece of CRM data tells a part of your customer’s story. You can write the next chapter of the story together by collecting, integrating, and analysing this data.

Investing in CRM software is a smart move for any business looking to improve sales, marketing, and customer service. But to get the most out of your CRM, it needs to work with your other tools.

Nexalab’s App Integration Services can help you connect your CRM with other essential platforms, like PSA software, for example. This means you get a complete view of your customer data, automate repetitive tasks, and personalise your customer interactions. It’s a solution that helps you get the most out of your CRM investment. Contact Nexalab today to explore how App Fusion can drive your business forward.