Best Contact Management Software
Buyer's Guide
Are you still storing critical customer information on an Excel sheet or a piece of paper? Or are you shuffling through business cards like a game of poker? If your answer is yes, then you’re in dire need of contact management software or a CRM system with contact management capabilities.
Customer data is as crucial to a business as your heart pumping blood to the body. And if that information is scattered and not easily available, your company can suffer a hemorrhage. Think of contact management or customer tracking software as a sophisticated version of the contact directory on your phone. It provides a 360-degree view of your prospects, clients and vendors so you can make quick customer-driven decisions.
This buyer’s guide will explain what content management tools do, their benefits and questions to ask before purchasing. We’ll also cover the best solutions in the market and offer recommendations to aid your software selection journey.
Executive Summary
- Contact management software lets you store customer and business contacts.
- It helps you gain customer insights, personalize interactions and collaborate effortlessly.
- Contact management systems offer generic features like scheduling, mobile access and advanced capabilities like reporting and analytics.
- Creating a detailed requirements checklist helps you decide what functionalities you’re looking for.
- Asking questions internally and to vendors can help narrow down your search.
- What Is Contact Management Software?
- Deployment Methods
- Primary Benefits
- Implementation Goals
- Basic Features & Functionality
- Advanced Features & Functionality
- Current Trends
- Software Comparison Strategy
- Cost & Pricing Considerations
- The Most Popular Contact Management Software
- Questions To Ask Yourself
- Questions To Ask Vendors
- In Conclusion
What Is Contact Management Software?
Contact management software enables you to store customer information and interactions. This includes details like client names, addresses, phone numbers, social media profiles, sales history, open quotes and even notes jotted down by your employee during interactions.
What turkey is to Thanksgiving, customers are to sales. And you need their contact information to develop sales and marketing strategies. Contact management systems provide an easily searchable database of all the important information you need.
The solution functions as a digital Rolodex that keeps track of your contacts in a database. It helps businesses streamline processes by providing teams quick access to the relevant customer, vendor or contractor information. You can also manage leads, monitor customer interactions, log employee activities and even schedule events.
Contact Management vs. CRM
Because the core function of both CRMs and contact management solutions is to essentially store customer information, the two are considered somewhat similar. However, there are a few broad distinctions that set them apart.
CRM software is an all-encompassing solution that lets you manage sales, marketing and customer service activities. On the other hand, contact management is more linear and focuses on storing necessary information about customers and business associates.
From typical CRM features like lead management, sales force automation and marketing automation, CRMs have evolved to aid other processes like project management, help desk, scheduling and interaction tracking. That’s why, typically, CRM comes with built-in contact management capabilities.
Usually, small businesses with a limited number of clients opt for standalone contact management systems. The reason is that they are comparatively cheaper than full-fledged CRM software. But also because small organizations could do without CRM’s extensive list of features.
On the other hand, while CRM software buyers look for modules beyond contact management software, they still might require contact management as a built-in feature. So if CRM is Batman, consider contact management software as its trustworthy sidekick Robin.
Deployment Methods
You can opt for on-premise or cloud deployment or a hybrid mix. While businesses are more inclined towards cloud-based solutions, it essentially boils down to your company’s specific needs.
Cloud-based
Cloud-based solutions store, manage and process data on public or private cloud servers hosted online. Companies don’t have to install, update or maintain the application.
Some of its unique advantages are low costs, smooth implementation and easy accessibility. However, it comes with its baggage of security and network issues and lack of customizations.
On-premise
On-premise contact management software is installed directly on your business server. It has a single license fee and requires no internet connection. Since the reins are in your hand, you can solidify security measures and avoid hacking and other cyber threats.
But on-premise solutions are infamous for their complex installation, set-up and a huge licensing fee. In addition, maintaining and upgrading the solution requires a lot of IT manpower.
Primary Benefits
Contact management software, also known as customer tracking software, benefits your organization in the following ways:
Improved Customer Experience
88% of customers say the experience a company provides is equally important as its product or service, according to a Salesforce report. Customer experience is emerging as the key brand differentiator. Contact management software empowers you to do exactly that!
Access to a centralized database of contact information, including past interactions, orders and basic details, allows teams to see valuable customer information and deliver quality, contextual interactions.
Some solutions also offer capabilities like follow-up reminders, call scheduling and automated routing to ensure you reach out to dissatisfied customers before escalation.
Optimized Sales Operations
Storing contact information in customer or prospect profiles includes jotting down where you got a particular lead from. This information helps you enhance your sales processes and create best practices for your sales and marketing efforts.
For example, if you realize your customers are more likely to respond via email than phone calls, you can ramp up your email campaign initiatives.
Easy Collaboration
Picture this: your customer service department needs details about a client and asks the sales department who created private files for each client. But the sales rep who made that particular address book is out of the office! Sounds like a hassle, right?
Your teams shouldn’t have to jump through hoops to access information. Storing all contact information in a shared repository fosters collaboration among departments. That way, teams can view files in real time and be in the loop.
Instant access to data reduces the time and labor costs involved in foraging for documents. It also gives everyone complete visibility and ensures full transparency.
In-depth Insights
With tons of customer data at your disposal, you can analyze it to identify recurring patterns, pain points, preferences, interests and more. This data, in turn, helps you optimize marketing campaigns to cater to your customer’s needs.
You can use reporting and analytical tools to create reports providing valuable insights into your customers. Metrics like sales funnel analysis, revenue predictions, customer churn rate and win rate enable you to make strategic, data-driven decisions.
Personalized Interactions
You can categorize customer data into groups based on variables like gender, industry, location and more. This segmentation helps your teams deliver personalized communications. And that’s super important! 49% of customers are likely to become repeat buyers after a personalized shopping experience.
Behavioral information like email click rates, website visits, downloaded content and list subscriptions give you a well-rounded picture of your customer’s wants and needs. With all that personal data, you can respond to clients the way they want. For example, a sales rep can prepare for a call beforehand by looking at the customer’s interaction history.
Implementation Goals
|
Goal 1 Improve Data Management |
Move from outdated and disorganized contact storing methods like Rolodex or Excel sheets. You can use custom fields to classify contacts into customers, employees, vendors and companies. |
|---|---|
|
Goal 2 Automate Data Entry |
The system lets you automatically log customer details spanning several channels, including email addresses, web form capture, scanned copies of physical files, social media profiles, phone calls and more. |
|
Goal 3 Centralize Information |
Easy access to relevant files at critical junctures of sales, marketing or customer support efforts makes things a whole lot easier. Contact management solutions help you assimilate information in a centralized, shareable database easily accessible by every team. |
|
Goal 4 Increase Productivity |
You can automate rudimentary processes with features like appointment and event scheduling to boost productivity levels. |
Basic Features & Functionality
| Centralized Repository |
Store contact details in a unified database. You can maintain records of customers’ primary contact information (name, address, phone number and email), last interaction, follow-up activities and meeting notes. |
|---|---|
| Custom Search and Filter |
Easily retrieve relevant information through contact search and filter. You can set up custom parameters to locate specific information within the database. Filter results based on name, company, industry, job title and other details. |
| Data Import and Export |
This feature allows you to transfer data from CSV files, Microsoft Excel, Google Sheets, business cards, CRMs and other documents. You can drag and drop files from the computer or upload them to contact profiles. |
| Tracking |
Customer contact software allows you to track activities like lead opportunities, sales assignments, contact transfers, schedules, client interactions, purchase history and more. |
| Segmentation |
You can sort contacts based on attributes like industry, location and customer lifecycle stage. |
| Mobile Access |
Most contact management systems offer mobile app support. Sales, support and marketing teams can quickly access contact information on the go. |
| Scheduling and Alerts |
Missing important meetings or follow-ups is not only a bummer but could also lead to losing clients. Contact management software provides automated reminders, so you don’t miss out on anything. Schedule events and tasks related to specific contacts within their profiles. You can also set automated alerts for upcoming calls, meetings and emails. |
| To-do Lists |
To-do lists are useful for more than just grocery shopping. They also help teams streamline their tasks and maintain a standardized workflow. Create specific task lists for your employees and ensure they don’t miss out on a task by alerting them when they’re assigned a list. |
Advanced Features & Functionality
| Reporting and Analytics |
Some contact management systems enable you to generate custom reports. Visual tools help you identify recurring patterns and gain insights into contact behavior. |
|---|---|
| Automation |
Eliminate rudimentary admin activities and free up time by automating data entry. You can record information from multiple channels like websites, phone calls and emails. |
| Integrations |
Contact management software facilitates smooth data flow by integrating with your existing systems like CRM and Gmail. |
Current Trends
The contact management software market is evolving like any other industry. Here are some emerging trends you should look out for:
Integration With CRMs
While previously, contact management systems were a standalone product, now they’re more likely to be combined with other systems that cater to sales, marketing or customer service. For example, businesses now have the option to purchase a well-rounded CRM that offers contact management as a module.
Rising Popularity of Chatbots
The usage of AI chatbots saw the largest growth last year as they offer better engagement and generate more high-quality leads, according to a report.
Using intelligent chatbots in contact management systems allows you to provide better and more proactive services to customers in need. It helps with quick issue resolution and reduces ticket volume.
Increasing Omnichannel Adoption
Customers aren’t only active on one channel. They switch through multiple modes of interaction throughout each stage. Noting down every piece of information helps your team deliver better engagement.
In fact, marketers who used three or more channels in a campaign earned a whopping 494% higher order rate than those using a single channel campaign.
A contact management system stores all details across every channel within every profile. It gathers details from multiple touchpoints like email addresses, phone calls and live chat conversations.
Software Comparison Strategy
The contact management solutions market is diverse, and singling out the right system may seem like an uphill task. Start with searching for platforms that particularly cater to your business needs. Making a requirements checklist will help you narrow down the results.
You should also reach out to your peers in the industry to see what platforms they’re using and gauge whether they fit your business. Next, go through product reviews to get a complete picture of the software.
Once you have top three or five vendors, request free trials or demos to see the system in action. You should also ask questions to clear any doubts you may have. Make sure to be thorough with your questions for each vendor.
Cost & Pricing Considerations
The cost incurred for contact management software depends on several factors like deployment strategy, type of software and the number of user licenses required. Apart from these, additional costs, including add-on services and extra modules purchased, may influence pricing. You will also be charged an upfront fee for any set-up, implementation and migration services.
Contact management systems can be more affordable than full-fledged CRM software. Most vendors price cloud-based solutions on a “per month” and “per user” basis. If you’re opting for an on-premise deployment, you’ll need to pay an upfront sum to own the software’s license indefinitely.
Some free customer tracking solutions are available in the market with limited functions. A few vendors also offer enterprise or premium plans that cost more than the basic plan and include additional modules. Keep in mind that there might be a limit on the number of contacts you can store in the database.
The Most Popular Contact Management Software
Our team of analysts and researchers evaluated the contact management software market to pick the best solutions. The following list ranks the top performers in the market currently:
Zoho CRM
Zoho CRM is a cloud-based solution that helps your sales and marketing teams close more deals. Its contact management module stores customer information across channels like phone calls, websites and social media in a centralized place.
It syncs customer tickets with their sales profiles to promote cross-functional collaboration. You can manage communications and respond to customers within the system.
Follow-up schedules in Zoho CRM.
Oracle CX Sales Cloud
Oracle CX Sales is a customer-centric system that offers sales, service and marketing teams a 360-degree view of every customer. It unifies information from multiple data sources to provide an accurate customer timeline across all channels.
It enriches profiles with updated demographics and identifies duplicate records to prevent double entries. You can validate client addresses, emails and phone details in real time.
Contact profiles in Oracle CX Sales Cloud.
Dynamics 365 for Sales
Microsoft Dynamics 365 for Sales drives business growth through intelligent sales insights, personalized interactions and optimized customer service. It offers a consolidated workspace to collaborate with other teams.
You can access customer records and share files within the system. Use Microsoft Teams to contact customers via their preferred communication channel.
Contact management in Dynamics 365 for Sales.
Pega CRM
Pega CRM boosts agent productivity and helps personalize customer interactions through tools like intelligent automation, case management and omnichannel engagement.
The Customer Decision Hub provides contextual information to agents and leverages AI to recommend the next best actions.
Customer service management in Pega CRM.
Creatio
Creatio is a low-code application streamlining marketing, sales and customer service operations. It enables you to track every interaction and build a comprehensive customer view. You can keep records of information like client addresses, prior orders and invoices, interactions and connections between accounts, and so on. Use this data to analyze buyer behavior and drive business growth.
Its intelligent data enrichment capabilities allow you to automatically identify email addresses, phone numbers, social media profiles and other relevant contact information. You can also segment customer data based on different parameters.
Managing customer profiles in Creatio.
Questions To Ask Yourself
Questions can be daunting in an interview or an exam, but in the quest for perfect contact management software, they can help you make the right decision.
Use these questions as a starting point for internal conversations:
- What challenges do you currently face in storing and managing contacts?
- What do you wish to achieve by implementing contact management software?
- Will a standalone system or a CRM with content management capabilities better suit your needs?
- Which departments will use the system, and what features are a must-have?
- Do you need a solution that will integrate with current and future applications?
Questions To Ask Vendors
Use these questions as a starting point for conversations with vendors:
About the Software
- Is there a cap on data storage? How much will you be charged for exceeding the limit?
- How many channels does it capture contact information from?
- What reporting tools does the system offer?
- Does it offer data access on mobile devices?
- Can you access data offline?
About the Vendor
- How scalable is their data infrastructure?
- What is the frequency of system updates?
- Do they assist in implementation and migration?
- Do they provide paid or free add-ons?
- Do they comply with regulatory laws?
In Conclusion
Choosing a contact management software that aligns with your business needs requires meticulous research and consideration. But once you land on the system that fits you like a glove, you’ll see improvements in your day-to-day operations.
The right contact management solution will streamline your business processes, reduce manual dependency and give your employees everything they need under one roof. Hopefully, this buyer’s guide serves its intended purpose of being useful in your software selection process.
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