How SMEs can fight inflation with CRM software
Posted: Mon Dec 23, 2024 9:37 am
High inflation is causing problems for small and medium-sized businesses around the world. According to a study by the US National Federation of Independent Business (NFIB) , which represents the interests of small businesses, 37 percent of SME owners say inflationary pressure is the biggest problem they are currently facing. This is the highest figure since 1979.
Still, we know that SMEs are extremely resilient. In the last year, they have faced a pandemic, severe labor shortages, and the war in Ukraine, among other things. High inflation is another challenge that they can and will overcome - with the right tools like CRM (customer relationship management) software. Read on to learn how CRM software can help small and japan business mailing list medium-sized businesses survive these times of high inflation and continue business as usual.
What impact does inflation have on SMEs?
Inflation is depressing profits due to increased costs throughout the supply chain. Higher food prices and inventory costs are leading to price increases. Raising your own prices can be a risky move for SMEs, both because smaller companies cannot always keep up with their larger competitors and because they find it difficult to enforce price increases for customers they have acquired through years or decades of hard work.
But there is also positive news: As a study by Kabbage found, small and medium-sized businesses were able to nearly double their revenue between July 2021 and July 2022. And while the majority of business owners are worried about inflation and a possible recession, 80 percent of them are confident that their business will survive this economic downturn.
How can a CRM system help SMEs?
The right CRM software can help small and medium-sized businesses fight inflation in several ways.
Important key figures at a glance
Businesses always need to keep an eye on their business, but when the economy is tough or inflation is high, it's more important than ever to make sure nothing slips through the cracks. CRM software gives SMEs insight into pressing business needs, including detailed metrics on inventory costs, sales quotas, sales forecasts, marketing efficiency and more.
Still, we know that SMEs are extremely resilient. In the last year, they have faced a pandemic, severe labor shortages, and the war in Ukraine, among other things. High inflation is another challenge that they can and will overcome - with the right tools like CRM (customer relationship management) software. Read on to learn how CRM software can help small and japan business mailing list medium-sized businesses survive these times of high inflation and continue business as usual.
What impact does inflation have on SMEs?
Inflation is depressing profits due to increased costs throughout the supply chain. Higher food prices and inventory costs are leading to price increases. Raising your own prices can be a risky move for SMEs, both because smaller companies cannot always keep up with their larger competitors and because they find it difficult to enforce price increases for customers they have acquired through years or decades of hard work.
But there is also positive news: As a study by Kabbage found, small and medium-sized businesses were able to nearly double their revenue between July 2021 and July 2022. And while the majority of business owners are worried about inflation and a possible recession, 80 percent of them are confident that their business will survive this economic downturn.
How can a CRM system help SMEs?
The right CRM software can help small and medium-sized businesses fight inflation in several ways.
Important key figures at a glance
Businesses always need to keep an eye on their business, but when the economy is tough or inflation is high, it's more important than ever to make sure nothing slips through the cracks. CRM software gives SMEs insight into pressing business needs, including detailed metrics on inventory costs, sales quotas, sales forecasts, marketing efficiency and more.