Running a successful small business is no walk in the park, much less operating a general contractors business in a highly competitive and heavily regulated industry. The Small Business Administration estimates that there are over 30 million small businesses in the United States. Furthermore, the SBA also states that about 30% of these businesses fail within their first two years and nearly half fail within 5 years.
Succeeding in a hyper-competitive general contractors industry requires the careful management and oversight that you can only get through good CRM software. If you're considering investing in a CRM for your general contractors company, these striking stats sourced from independent research studies might convince you to pull the trigger:
A study by Nucleus Research claims that for every dollar spent on CRM software, companies bring in $8.71 in return. Considering the fact that most wealthy investors marvel at their 10 to 15% returns, the idea of an 871% return would probably make their mouths water.
Interestingly enough, the same research firm claims their study displays that companies reduce their sales cycle by up to 14% while employing a CRM. As a result, sales teams are able to close deals much quicker and move on to new leads - thus driving up top line revenues.
Many general contractors businesses spend a fortune on purchasing general contractors leads but have a less than 12% conversion rate to show for the spend. A good general contractors company CRM can significantly boost closing ratios and allow you to book more top dollar jobs.
According to Hubspot nearly a quarter of sales reps do not know what a CRM is or what it does and 40% of sales reps still use traditional tools like spreadsheets and email programs to store and track customer data.
If you are reading this article, you know what a CRM is but how about your competitors? What are the odds that their sales reps are using a general contractors CRM software?
Studies by Salesforce are displaying that CRM software increases sales by 29%. Furthermore, the systems increase salesperson productivity by over 30% and sales forecast accuracy by 42%. A CRM revitalizes every aspect of your general contractors business - but it's effects have the greatest emphasis on empowering your sales department. This is critical when you consider that general contractors is a seasonal business. You want your sales reps to fire on all cylinders during general contractors season and that's precisely what a general contractors CRM helps them do.
A study published by the Aberdeen Group on leading sales teams displays a stunning 81% likelihood of utilizing a CRM. The message is clear. Utilizing a CRM system allows for a results-oriented sales team that follows up on every general contractors lead and does not let any deal fall through the cracks.
In a study presented by Software Advice, 74% of all respondents are stating that using a CRM improves their access to customer data. By gaining a better understanding - they position themselves to make an impact that leads to a sale. Growing your general contractors business is all about understanding your customers and building lasting relationships.
A 2015 study by Capterra displays some exciting statistics on CRM's effects on customer retention and customer satisfaction. Specifically, 47% of companies utilizing CRM software systems report a significant (positive) impact on customer retention and an equal number agree their CRM has a significant impact on customer satisfaction. With customer acquisition costs at an all time high, more general contractors companies than ever before now rely on referrals and positive online reviews. A good general contractors company CRM can help get valuable referrals and positive reviews on a consistent basis.
Until recently, the general contractors industry was was sadly lagging behind in its use of enabling modern technologies like CRM. The industry is however rapidly changing now with several millenial businesses reaping the benefits from modern CRM technology to gain a competitive advantage in their markets.
Today, the CRM market is estimated at about $120 billion and CRM is becoming a necessity. We live in a digital era, and you need a powerful CRM system to instantly gratify your customers and to take your business to the next level. Evidence suggests that the most successful general contractors companies started using a CRM at a very early stage and have been using it consistently.
CRMs are powerful tools that radically improve all aspects of a general contractors business, but don't just take our word for it. If you're looking to be stress free while increasing revenues and driving profits - it's time to consider Serwiz, the #1 general contractors company CRM software. Click here to sign up for a FREE trial today.