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Customer Relationship Management (CRM) needs to be a high priority for any business owner. While the focus on product and service cannot be underestimated, CRM is seen as the lifeblood of what can grow your business. Your customers are an asset to your business, and retaining them should never take a back seat. Every business owner should have a CRM program that provides customer data and analytics software to help identify customer habits and behaviour. With these insights, you will be able to personalise how you treat your customers and reward them accordingly for their loyalty.
The importance of CRM for your business
Using tactics for your business, you are able to develop a lasting relationship with your customers. CRM can generate an increase in profits for your business by increasing loyalty from your existing customers – who typically spend more than new customers and are cheaper to retain than it is acquiring new customers. The data that is collected from CRM activity can also be used to develop loyalty and promotional programs, as well as establish databases for business insights and intelligence. By taking out a business loan to invest in CRM tools that can grow your business and keep your customers happy.
Use customer insights to your advantage
The insights gained from CRM can identify patterns and trends in your customer behaviour in real-time that will allow you to quickly jump on opportunities that could catch the attention of your customers. With the data received, you can develop customer profiles based on demographic, geographic or other information and then send targeted messages to customers from a specific segment. You will be able to gain a deeper understanding of your customers and tailor your services or product offerings to their needs – ultimately improving your customer satisfaction.
Creating a personalised experience
The great thing about CRM is that it can keep track of the essential dates, such as first purchase anniversary and the customer’s birthday, for you to create a personalised experience for the customer. When the event takes place, the customer can receive reminders or endearing messages to make them feel special. You may also reach out to customers with special offers or send them email notifications of events or discounts based on their preferences which you can capture.
A customised experience goes a long way in establishing customer loyalty. You can apply for business funding in Johannesburg, Durban or anywhere in South Africa to access much-needed funding to invest in CRM marketing tools. A cash boost, plus a steller personalised marketing campaign based on your CRM data, can generate customer loyalty and a lasting relationship.
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A government body wants to make it easier for fintech firms to test new products that aren’t covered by existing regulations.
Today, (23 April 2020), the Intergovernmental Fintech Working Group (IFWG) called on SA finance companies and startups to apply for the Regulatory Sandbox, during a live stream.
In the sandbox, companies will be exempted from regulations while they test new services. The goal is protect consumers while making way for new products that will improve financial services.
The IFWG is made up of the following financial services organisations:
- National Treasury
- Financial Intelligence Centre
- Financial Sector Conduct Authority
- National Credit Regulator
- South African Reserve Bank
- South African Revenue Service
During the live stream, Gerhard Van Deventer, Senior Fintech Analyst at the South African Reserve Bank, and Kagiso Mothibi, Head of the Fintech Department at the Financial Sector Conduct Authority, outlined the process.
Mothibi explained companies in the sandbox will be able to test products and services that don’t fit into existing regulations. Testing will start on 1 July. The testing period is six months.
“Regulators can provide exemptions in order to safely test the products over that six-month period.”
However, exemptions won’t be available for all regulations.
“We will review these on a case-by-case basis,” said Mothibi.
Van Deventer summarised the criteria for participating companies:
- Business to Consumer: increase competition, improve financial inclusion
- Business to Business: lower costs, increase efficiency, and improve compliance
Products must be fully developed and should “challenge the existing framework”, added Van Deventer.
Plus, the idea should be different from existing services on the market.
Van Deventer encouraged applicants to conduct their own research so they can highlight how their service is not covered by current policies.
Once testing has been completed, the group may lobby for regulatory change.
It’s hoped the unit will “shape regulations that provide clear benefits to financial services,” added Mothibi.
Although several countries have launched similar initiatives, South Africa was unique because of the collaboration of several financial bodies.
In addition to the regulatory sandbox, the IGFW has a regulatory guidance unit: a single entry point for fintech companies to ask questions about regulations
Dr Arif Ismail, chairperson of the IFWG, said fintech firms had an especially important role to play as “local and global economies navigate this period of uncertainty”.
In a report jointly released by the IFWG in February, it states:
“SA has a small but fast-growing fintech industry, presenting considerable benefits and risks.
As a result, regulators need an understanding of the fintech landscape in South Africa in
order to manage risks in a way that does not stifle innovation.”
The closing date for applications for the first round of the regulatory sandbox is 15 May.
For more information visit the IFWG website.