The combination of CRM and RFM
Knowing your customers is a necessity, which is why the combination of CRM and RFM is essential to understand and make the most of your audience.CRM is a system designed to manage and analyze interactions with customers throughout their life cycle. It allows you to centralize information, track communications and identify sales or assistance opportunities.
RFM is an analysis technique based on three variables:
- Recency: how recently the customer made a purchase.
- Frequency: how often do you make purchases.
- Monetary: how much you spend overall.
Why is this important?
CRM provides a 360° view of the customer, but needs clear segmentation criteria. That's why the RFM model makes a difference, turning raw data into operational insights:Intelligent segmentation: With RFM you can identify high-value customer segments (for example, those who buy frequently and spend a lot) directly from the CRM.
Advanced customization: Combining the two tools allows you to create targeted campaigns based on real customer behavior, increasing response rates and ROI.
Resource Optimization: Focusing on the most profitable customers reduces waste and improves the efficiency of marketing and sales strategies.
Imagine an e-commerce that uses CRM to track all customer interactions and the RFM model to analyze sales data. Thanks to integration, the company can:
- Identify "big spenders" and offer them exclusive promotions.
- Win back customers who haven't purchased for a long time
- Reward loyal customers with targeted loyalty programs.
The five steps to set up an RFM analysis with Salesforce and HubSpot
- Integrate revenue data with CRM: The first step is to have access to up-to-date, comprehensive sales and transaction data to power it into your CRM.
- Use a calculator to measure the three parameters: Recency, Frequency and Monetary must be calculated precisely. Salesforce and HubSpot offer customizable tools and reports for this purpose.
- Create lists and combinations: Segment customers based on different RFM combinations.
- Define a strategy for each segment: Create targeted plans to incentivize customers to move to the next level (for example, personalized promotions or loyalty programs).
- Monitor performance: Analyze how customers move between segments, evaluating the effectiveness of the strategies adopted.
Practical implementation examples with HubSpot and Salesforce
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Example with HubSpot:
When a customer reaches a specific level of RFM (e.g. level 1), you can set up a workflow that sends a personalized email with an eye-catching image. If the customer is in the "churning" category (at risk of abandonment), you can start a targeted campaign to win him back.
- Furthermore, HubSpot allows you to automate campaigns based on RFM activities, simplifying the execution of specific actions for each segment.
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Example with Salesforce:
You can configure advanced reports to identify "churning" customers and create automatic notifications for the sales team. These reports help improve timeliness by intervening with customers before it's too late. In addition, it is possible to monitor variations in RFM segments and implement periodic campaigns.
What you can do once you've segmented customers with RFM
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For B2C e-commerce:
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Automate flows: Send rewards and incentives to drive cluster customers up.
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Send promotions to customers who haven't purchased in a while’.
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For B2B:
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Supporting the salesperson: timely notifications on changes in purchasing behaviour.
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Prevent the churn: intervene before the drop in performance rather than waiting for annual comparisons.
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Do frequent analysis: compare data over shorter periods for more targeted interventions.
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Do you need to implement an RFM strategy in your CRM? Soluta can help you. Contact us to find out how to integrate and make the most of the features of Salesforce and HubSpot to optimize your marketing and commercial actions.
