A database is the collection of valuable information about your customers that is stored
inside your Customer Relationship Management system. It is an important component in
maintain customer relationship management. This database might include data such as the customer’s name, occupation, location, contact information, contact history, order history, social profile, interests, or any other relevant data you collect for the business. Why Should Ettenio Implement a Database? A CRM database makes it easy to improve the customer experience, while giving the company the tools to increase sales and give their customers exceptional support. By actively managing customer information in a database, Ettenio will be able to: Attract and maintain customers The database provides a view of customers who are buying your products or services, while also managing the acquisition of new customers, customer retention, and development of your customer base. An organization can also make more informed selling decisions, as the most likely potential customers are those who have made past purchases. Identify trends (e.g., seasonality) By concentrating on developing a customer database, Ettenio will get valuable insights about their customers regarding trending products. For example, Ettenio may find that one of their skin care products is remarkably popular among the 18–25-year-old age group. The company could then use this information to promote the product on social media where younger customers are more likely to visit. Build customer loyalty A customer database can also provide Ettenio with an opportunity to build rapport with their customers. The company can inform them on product updates, new services, and communicate promotional and advertising strategies to keep them informed. It also offers an opportunity to show that they are not only about business by interacting with your customers and showing them that their interests are of concern. In turn, effective and honest communication will lead to loyalty and brand affinity – which is building an emotional connection between brand and customers. Deliver superior value to each customer Ettenio should be interested in learning more about customers and provide them with a service more suited to their needs. The most effective way to store and manage customer information is in a relational database. Keeping track of customers’ contact information, purchase data, future needs, and other relevant information can help Ettenio to meet the needs, wants and expectations of potential and current customers. The importance of PRIVACY! Maintaining the privacy of your customers’ information must be a significant consideration when creating a customer database. As a minimum, you can ask customers for consent to store their data and let them know what it will be used it for. Being truthful will increase the quality of data, with a little human interaction going a long way to reinforce customer relationships.