A major challenge of companies using CRMs is that they just focus on getting new customers. Everything is about getting as many new leads as possible and closing them as fast as possible. The problem with this approach is that they are ignoring the lowest hanging fruit: renewals.
Consider this: the probability of selling to an existing customer ranges between 60% and 70%, while that of selling to a new prospect ranges between 5% and 20%, according to Marketing Metrics.
When selecting a CRM system, companies need to look for a system that manages, process, and analyzes relevant data for their renewals amid all the clutter. You want as much information coming in as possible, to have a “big net.” But the net can’t be too fine. You need to be able to filter out the no-value catch from the big fish.
The folks at Service Source developed an interesting infographic that compares regular CRM systems against CRM systems with a renewals component.