The Psychology of CRM

The emotional aspects of managing customer relationships

One of the common mistakes in designing a CRM (Customer Relations Management) is that it is focused on creating a system but doesn’t include relationships between people. However, managing customer relations is always about human-to-human interaction, so apart from the systems we need to remember about the psychology of CRM and human relationships. 

The role of emotions in CRM

Two main motivational factors in any human behavior are seeking what makes us feel good and avoiding what makes us feel bad. This is the vital part of the psychology of CRM. 

Motivational factors of buying decisions

Like other types of behaviour, most purchases are emotional. People make buying decisions either to feel good or move away from things which make them feel bad. 

Why should I consider psychology in my CRM?

When designing your company’s CRM, automated messages, scripts for conversations with customers etc you may easily lose sight of the emotional part of communication. Try to understand the emotional state of your customer at every touch point, what concerns they may have and what they are trying to achieve. Think about what would make them feel good and what would make them feel bad at every stage at their customer journey. 

The key factor in the psychology of CRM

The feel good factor

As mentioned above, the key motivation for the customer to buy your product or service is to feel good. So the key challenge in the CRM design is to make your customers feel good. Sounds easy in theory, but how can you accomplish this in practise?

How to make customers feel good?

First, you need to establish an emotional connection with your customer. It can be a smile or a genuine interest in them, just try to see them as another human. For example, simple gestures like remembering a customer’s birthday can go a long way.

How to motivate employees to make customers feel good?

Make your employees feel good

If you want your employees to go the extra mile for your customers, your team need to enjoy the workplace and feel good about coming to work. You need to make your people feel good for them to make the customers feel good. 

The emotional aspect of company values

Values are emotions. You are more likely to attract customers who are aligned with your values and they are more likely to convert into buyers because of this deeper connection. 

Values cannot be perceived only on the logical level, cannot be faked and they trickle down from top to bottom of the company structure. If your team feel valued, respected and looked after, it will reflect on your customer service. 

Thus to develop outstanding customer relations you need to add an emotive value to your interactions. 

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