What is a CRM?
A CRM, or customer relationship management system, is software that stores contacts, companies, deals and activity in one shared record.
Why it matters for sales teams
The CRM is the system of record for a sales team. It holds who you are talking to, what was said, which deals are open and what happens next. Managers use it to forecast and review the sales pipeline, reps use it to plan their day, and other teams use it to see a customer's history.
A CRM is only as useful as the data in it. If calls, emails and outcomes are not logged, reports become guesses. That is why teams connect their phone, email and outreach tools to the CRM, so call logging and other activity tracking happen without manual entry.
Example
A rep finishes a call with a prospect. The call, its outcome and her notes are attached to the contact record. She moves the deal to the "Demo scheduled" stage and sets a follow-up task. Her manager sees the change in the weekly pipeline report.
Common CRM objects
A CRM organizes its data around a few core objects:
- Contacts: individual people
- Companies or accounts: the organizations they work for
- Deals or opportunities: potential sales and their stages
- Activities: calls, emails, meetings and tasks