Best CRM Software for Small Business in 2024

Summary: Go through this comprehensive guide on CRM software for small businesses to discover how CRM software can transform your small business by managing customer interactions, organizing data, and automating tasks. This guide will help you choose the right CRM with tips on budgeting, key features, and vendor selection. Take advantage of expert insights to streamline your operations and boost your business growth.

What is Customer Relationships Management Software?

Customer relationship management (CRM) software helps businesses of all sizes handle interactions with current and potential customers. It organizes customer data, automates tasks, tracks sales, and improves communication. This tool helps businesses monitor progress, send offers, schedule appointments, and allocate resources.

Data from call centers or VoIP systems is entered into the CRM, categorized as new activity data. The lead management system organizes this data, recording each lead with revenue, contact details, score, job titles, industry, and strength.

The CRM efficiently handles leads originating from diverse origins, such as forms or social media platforms, across the entire process. This automation streamlines the progression from initial interaction to the finalization of deals and extends further, ensuring smooth operations.

It supports sales operations, overseeing transactions, unsettled payments, assistance requests, inquiries, and customer support. This ensures stakeholders have a consolidated view and understanding of the success of the business.

How To Select the Right CRM for Small business?

Choosing the best CRM for small business needs a careful approach. Follow these steps to find a CRM that fits your workflow and team dynamics;

1. Set Your Budget: Start by setting a clear budget. CRM software for small companies varies in price, from free options to those costing up to $1,000 per month. Knowing your budget early helps narrow down your choices and avoids options beyond your financial reach.
2. Identify Key Features: List the must-have features for your CRM tools for small businesses. Focus on core functionalities vital for your operations. Also, note secondary features that, while not essential, can boost efficiency. Get feedback from your team to ensure the software meets their needs.
3. Learn from Similar Businesses: Talk to businesses like yours to learn about their CRM choices. Understand what influenced their decisions and how satisfied they are. This helps you see if your shortlist includes the best CRM system for small businesses.
4. Stay Updated on CRM Trends: Stay abreast of the latest developments in CRM technology. Evaluate vendors on their commitment to innovation and how well they integrate with other software you use. This ensures your CRM system remains effective as technology evolves.
5. Check Reviews and Feedback: Check reviews and customer feedback to understand real-world performance of CRM software for small companies. Look for common themes in reviews to get reliable insights, which will help in making your decision.
6. Try Demos and Free Trials: Engage with prospective CRM vendors via demonstrations and trial periods. Demonstrations offer a firsthand view of the software's functionality and allow for inquiries. Free trials give you a chance to test the features. Involve your team to get diverse feedback on usability and effectiveness.

What are the key features of CRM software for small businesses?

Here are the key features your customer relationship management for small business should have;

1. Contact Management: A CRM's main function is to store all the information about leads and customers in one place. This includes contact details like personal information such as names, contact numbers, social media links, and addresses. Convenient access to these details allows you to reach potential customers anytime from anywhere.
2. Lead Management: Managing leads is crucial for converting potential customers. Leads show interest in your product but haven't yet been qualified. The best CRM programs for small businesses should capture lead details from various channels like calls, web forms, social media, and emails. It ensures you don't lose leads, tracks their progress through the sales cycle, and helps target the appropriate leads at right moments.
3. Document Management: Centralized document management lets you create, store, and share attachments easily. You can attach images, PDFs, spreadsheets, and more to leads, improving productivity. For security, set access and edit rights, and use version tracking to monitor alterations.
4. Workflow Automation: A good CRM for small business will automate repetitive tasks like follow-ups, invoicing, and email sending. Workflow automation triggers actions or reminders, helping salespeople avoid duplicate work and saving time. This ensures the right actions are completed at each stage of the sales process.
5. Reporting and Analytics: CRM tools for small businesses generate regular reports on success of marketing campaigns, sales numbers, and customer retention. These insights are reflected on dashboards that help businesses to make informed decisions.
6. Sales Forecasting: Good CRM software for small businesses offer forecasting features that predict future sales based on current and past data trends. This helps in making informed decisions about upcoming quarters and new markets. It also anticipates market changes, reducing business risks.  

Why does a small business require CRM software?

Here are the top ten reasons your small business needs CRM software.

• Boost Efficiency: CRM software helps teams collaborate on important documents, share insights, and automate repetitive tasks like data entry and task assignments. This streamlines processes and increases overall productivity.
• Grow Sales: With the best CRM for small business, sales and marketing teams can segment customers based on preferences and spending habits, then schedule targeted email campaigns. This helps streamline sales activities and monitor sales cycles, leading to higher conversion rates.
• Improve Lead Management: CRM tools for small businesses store data on both prospective and existing customers. They automatically gather prospect details from various sources and track lead status, including recent contacts and queries. This ensures efficient communication between sales teams and prospects.

Best CRM for scaling your small business

Find the list of 10 best customer relationship management system for small business with their uniques features and prices;

Best  CRM for Scaling your Small Business
Softwares	Features	Price
Zoho CRM	Contact & Account Management, Social Network Integration, Lead Qualification	Starts at $20/user/month
Nutshell CRM	Team collaboration, Opportunity & Pipeline Management, Email Marketing	Starts at $16/user/month
Salesforce CRM	Permission Management, Data Import/Export, Lead Prioritisation	Starts at $25/user/year
Copper CRM	Workflow Automation and Management, Customer Contract Management, Reports & Dashboards	Starts at $29/user/month
Bitrix24	Campaign Management, Access Control, Contact & Account Management	Starts at $61/user/month
Freshsales CRM	Visual Sales Pipeline, Territories and Lead Assignment, 2-way Email Sync	Starts at $11/user/month
Agile CRM	Appointment Scheduling, Mobile CRM, Opportunity & Pipeline Management	Starts at $14.99/user/month
Vtiger CRM	Lead Qualification, Order Management, Reports & Dashboards	Starts at $15/user/month
Octopus CRM	Task/ Activity Management, Workflow Automation and Management, Social Network Integration	Starts at $9.99/month
Pipedrive CRM	Contact & Account Management, Reports & Dashboards, Lead Qualification	Starts at $24/seat/month

Benefits of CRM for Small Businesses

Whether you are launching a new venture or trying to stay ahead of your competitors, CRM software is a crucial SaaS tool. Here are the main benefits it offers;

• Better Customer Relationships: CRM software tracks customer interactions, providing sales teams with valuable insights. With 72% of businesses reporting better customer data through CRM, sales professionals can identify ideal moments for engagement and upselling opportunities.
• Aligned Data: CRMs provide a complete overview of sales and marketing information by automatically organizing leads and customer details. This alignment streamlines business contact management and increases report accuracy by 42%.
• Increased Revenue: The best CRM for small companies address customer pain points with detailed information, helping close more deals and boosting revenue by an average of 29%.
• Unified Account Status: CRM systems compile progress reports from different departments, using advanced analytics to create custom analyses of each lead's journey. This helps prioritize customers based on account status and increases lead conversions by 17%.
• Boosted Sales and Marketing Efficiency: CRM for small companies improves sales by educating reps on KPI usage and sorting. Marketing teams gain real-time insights into lead interactions, optimizing budget ROI and enhancing sales by 29%.
• Data-Driven Decisions: CRM software uses analytics and reporting tools to offer vital insights into business health, customer behavior, and team performance. These insights enable informed decisions and strategic planning, yielding an average ROI of $8.71 for every dollar spent.

How much does CRM cost for a small business?

The cost of CRM for small businesses varies depending on business size, strategy, revenue model, and budget. The price depends on whether you choose an on-premise or cloud-based solution and the specific subscription plan. Typically, CRM pricing ranges from $12 to $200 per user per month, influenced by the size of the business and the chosen platform. 

CRM providers offer a range of plans to suit different needs, from free options for small entrepreneurs to entry-level and mid-range plans for moderate-sized teams, and custom-feature enterprise plans for larger companies. Cost transparency varies; some vendors clearly state implementation, training, and onboarding costs, while others reveal this information during demos or trials, often free for the first 30 days.