Business owners often seem puzzled when it comes to any new technology. Our world is changing at an extremely fast pace, so just a decade ago what seemed like cutting-edge technology is today an absolute must for every home.

Similarly, the CRM market has experienced remarkable growth since its inception. This is the reason why several companies nowadays believe their current CRM system is ineffective and are considering switching to a new one. The risks are high in today’s rapidly changing business environment, as new trends and modern technologies create exciting opportunities for business growth.

What Is CRM?

Customer relationship management is a term that refers to methods, strategies, and technologies that companies use to organize and analyze customer interactions and data throughout the customer lifecycle, with the end goal of enhancing business relationships with customers, improving retention rates, and driving sales growth. Additionally, CRM software places all your customer data into a single location that can be accessed from a cloud database. 

A leads management system mostly focuses on capturing, tracking, and converting potential customers (leads) through the sales pipeline. Basically, CRM encloses a broader range of functions, including lead management.

With the growing importance of understanding customer behavior and their preferences, organizations are adopting CRM strategies to deliver the best performance in real-time and stay ahead of their rivals. Rapid shifts in the fields of business intelligence and embedded analytics, the Internet of Things (IoT), and artificial intelligence, and their implementation in CRM solutions are likely to boost product enhancement and innovation among customer relationship management vendors.

For several companies, the CRM system that initially was set in place was chosen to meet their needs at the time and does not currently support their company’s operations. Others might have selected a CRM System due to financial constraints or without performing adequate research. Businesses outgrow their CRM systems for a variety of reasons, but frequently they are unaware of the warning signs.

Unsatisfied clients, missed sales targets, lost deals, and an inability to see the desired results from your efforts are some of the most prevalent signals that you need to upgrade your CRM/leads management system.

5 important signs that indicate it may be time to upgrade your CRM system

Your data has become limited, disorganized, or unreliable

It is crucial to safeguard the data of your most loyal clients, considering the considerable amount of information you have about them from all areas of your business. Regardless, users who rely on outdated systems and disorganized processes are at risk of losing this valuable data. CRM ensures that all of the previous interactions are preserved by centralizing your customer data in one location. You can store various kinds of client-related data in traditional CRM systems. No matter what changes you make to your business, customers rely on receiving robust experiences and relevant services.

Unreliable data and reporting

CRM systems centralize all client data, and as data is becoming an increasingly valuable resource for companies, your CRM system must keep up.

Are there any useful options missing from your existing CRM system for data input? Are sales and marketing professionals finding it difficult to anticipate sales figures, build customer personas, extract data, or spot buyer trends? It could be time to update your system if your business users are having trouble gaining value from CRM data.

Through an easily configurable reporting dashboard, an effective CRM system should be able to track and analyze sales and marketing interactions and activities across the whole sales process. But it’s also critical that your CRM takes into account the guesswork involved in both short and long-term pipeline estimates, implemented with dynamic variables like volume, probability, and status.

But, you’re restricting not just your sales team and management but also the capacity of your company’s leadership to make wise judgments if your CRM isn’t equipped with strong forecasting features and sales reporting.

Not compatible with current business procedures

It is possible that the CRM system your company previously used may not align with your current business procedures. Will the new feature enable employees to extract more value from consumer data? Are team members modifying the system by hand to make it function better for them?

Does your CRM system effectively enable hybrid or remote work? It could be time to think about an upgrade if your company is wondering if the present CRM system is constraining rather than streamlining business processes.

Besides, a company’s technology systems should encourage business growth. If your CRM system cannot support your business growth objectives, it might be time for an upgrade. Modern cloud-based CRM solutions offer robust scalability, enabling your business to adjust as needed.

Limited support or expensive maintenance

You might have to pay for expensive maintenance and upgrades if your company still uses an on-premise CRM system. In addition, some suppliers of outdated CRM systems have declared an end-of-life support stop date or do not offer enough support to vendors. With younger technical talent trained in emerging technologies, the skills needed to maintain or update an outdated CRM system may become more expensive and difficult to find.

Low customer satisfaction

Customers dislike long wait times and expect quick responses to their queries. When they don’t get this, they often leave negative reviews, which can quickly spread. Acquiring customers is tough, but identifying valuable ones is easier with a CRM. It can help you categorize customers based on spending, budgets, and recurring needs, allowing better forecasting and stronger relationships. Customer complaints usually stem from disappointment and frustration with communication. A CRM can help address these issues effectively.

About lead management system

The best lead management software helps you handle leads, turning potential customers into actual ones. It helps you organize the sales process effectively, keeping track of all open sales opportunities and monitoring each lead’s interactions—such as emails, calls, quotes, and proposals.

Lead management software allows you to structure your sales pipeline based on how you sell your product or service. It’s generally easier to set up and customize compared to CRM systems.

Think of lead management software as a precursor to CRM. It equips your sales team with tools to manage prospects. Once they convert these prospects into customers, you can then add them to your CRM.

When choosing between CRM and lead management software, start by asking, “What do you need right now?” If you need to manage existing customers, opt for CRM. If you’re focused on supporting your sales team, choose lead management software.

Case study: Improving Toyota Germany’s lead management system

At Webchain, we specialize in transforming outdated lead management systems into efficient tools that drive customer engagement and sales. For Toyota Germany, we enhanced lead collection processes with customizable online forms, significantly improving lead conversion rates and data utilization. Our solutions streamlined appointment scheduling and empowered dealerships with advanced reporting capabilities to optimize sales strategies effectively.

How we did it:

Outdated lead collection methods

If the way you collect leads depends on manual data entry or does not link up with your website and other online platforms, this could be a pointer towards an upgrade.

Solution: For Toyota, we saw this need and therefore came up with simple online forms that can be customized to suit the needs of a particular dealership managing their respective leads.

This made their process of collecting leads more efficient because it became easier for them to collect information about potential clients coming into their businesses.

Low conversion rates

Conversion rates are your lead management system’s direct indication of how well it is running. A rigid system that does not allow for flexibility and customization may be the reason why you are struggling to convert website visitors into leads and further into customers.

Solution: We improved Toyota’s conversion rates by introducing different input fields and forms that spoke to different customer segments. Therefore, this customization increased participation and made all efforts easier towards leading to sales.

Inadequate data utilization

Effective lead management goes beyond capturing contact information. It involves analyzing collected data to improve sales strategies and deliver better customer service.

Solution: We empowered Toyota with advanced data analysis capabilities. This way they could scrutinize web form data that enabled them to find out which were their most appropriate sales approaches, anticipation of customer needs, and overall improvement in service delivery.

Poor appointment scheduling

If scheduling appointments or test drives is cumbersome for your customers or leads to long wait times, your CRM system may need an overhaul.

Solution: As a result, we made sure Toyota implemented user-friendly forms within their CRM system hence streamlining scheduling. This allowed customers to easily book appointments and test drives online, reducing wait times and significantly enhancing customer satisfaction levels.

Reporting and analytics

To evaluate the effectiveness of your lead management efforts and make data-driven decisions, it is vital to have a comprehensive reporting capability.

Solution: We were able to enhance the German Toyota’s reporting capabilities by improving their CRM system. This improvement enabled us to give detailed lead and customer reports that provide valuable insights into sales performance, customer trends, and lead behavior. As a result, dealerships were empowered to optimize their strategies and enhance overall performance.


Today’s rapidly changing market means that for your business to remain relevant there is a need for a modern lead management/CRM system.

By considering these five signs, you can identify areas where your current system may be falling short such as outdated lead collection methods, low conversion rates, inadequate data utilization, poor appointment scheduling, and limited reporting capabilities.

Upgrading your CRM system isn’t just about keeping up. It’s about taking the lead in enhancing customer engagement and satisfaction.

If your organization is considering a CRM or lead system upgrade, CONTACT US for more information.

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