Small Business Is Personal
The competitive advantage of small businesses over medium and large companies is often customer experience NOT price, capitalizing on having the best customer experience possible is best for the bottom line. It is observed that the innate value per customer is higher for small businesses compared to large businesses. It follows that the consequence of losing a customer is also relatively much higher. The result of these factors is that the small business sector is adopting automated customer relations services at an increasing rate, and the impact is positive.
Implementing a management solution early in the lifespan of a business is the single most important decision an owner can make. A major advantage of early stage adoption is that automation of basic tasks reduces labor costs significantly. Earlier integration with management systems empowers businesses to develop a more cohesive sales strategy earlier in their life cycle. Automation at any stage of the life cycle of a business greatly increases the rate of lead generation and lead conversion, by allowing each sales team member to manage many more tasks. Customer service is benefited by business management software as well, with a large increase in customer retention as well as satisfaction. Many in the SMB sector operate with lean teams that benefit greatly from automation in multiple areas of their business, resulting in an advantage in long term growth rates compared to those without.
There are advantages of early stage adoption, and there is a point at which many find adoption of a management system a complete necessity. On average roughly ⅔ of all businesses, regardless of size, implement some type of business management tool within the first 2 years of operation. Secondly, this timeline tends to be determined by number of average clients above all other metrics. It is observed that roughly ⅘ of all businesses adopt a management system before they reach 1000 clients.
Barrier Of Cost
The adoption threshold for many small businesses is directly related to the cost of management services. The average cost can be a significant expense, at is $150 per user / month. With more than 70% of all people reporting spendings above $50 per user/month. This can be a pain point for small businesses causing them to forgo implementation until a larger userbase is established. Industry giants lead the charge in cost as well as features, many of which are considered an unnecessary expense. However, more options are becoming available with solutions as robust as the most expensive options and at a significantly lower cost. The rate of growth of the under $50 user/month portion of the customer relationship management market is well outpacing the other price brackets. This is the result of successfully tapping into the small business market. Odin CRM is one CRM solutions offering features not found in many industry giants such as live chat, data storage, and automated emails. At $25 per user/month Odin CRM is among the cheapest robust solutions available on the market. Odincrm.com has a list of product features and details.