CRM Automation, what is it and how does it work?

More and more sales teams are adopting CRM automation in their workflow. But what makes CRM automation desirable, and why go for it? Here’s everything you should know.


Automation is changing the way teams operate across the globe. More and more sales teams are adopting CRM automation to streamline their processes and close more deals.

Finance Online Reviews reports that effective CRM implementation and automation can boost sales by 29% and increase sales forecast accuracy by a remarkable 42%.

The best part? CRM systems are user-friendly, so even if you're not tech-savvy, you can get up and running in no time.

In this comprehensive guide, I’ll guide you on what is CRM automation, how and where you can implement it, and the numerous benefits it brings to your business.

Let’s get started.

What is CRM Automation?

CRM Automation

Automated Customer Relationship Management (CRM) tackles repetitive tasks across sales, marketing, and customer service. For sales teams, it can whip up automated email sequences to nurture leads, schedule meetings, and update customer profiles after interactions. 

Marketers can use it to send targeted email campaigns, score leads based on their interests, and analyze campaign performance. 

CRM customer service teams can automate tasks like sending appointment reminders or generating reports to track satisfaction levels.

Businesses need automated CRM because it saves time, reduces human error, and allows employees to focus on more strategic tasks rather than repetitive admin work.

Now, CRM automation is a close cousin to marketing automation, but there's a key difference between both. 

CRM automation focuses on the entire customer journey, from attracting new leads to keeping existing customers happy. Marketing automation is more laser-focused on attracting and nurturing leads until they're sales-ready.

The results of automation speak for themselves. Compared to manual CRM, automation leads to:

  • Happier sales reps (because they get to focus on the exciting parts of the job)
  • More satisfied customers (because they receive prompt and personalized attention)
  • A bigger pile of revenue for the business (because closing deals becomes much easier)

Now, let’s talk about some of the must-have CRM automations.

Must-have CRM automations

Automating processes in your CRM makes your business more efficient and your team more productive. Let's look into some key processes you must automate with a CRM.

Lead management

A CRM can automatically capture and organize leads from different sources like your website, social media, and emails. It then assigns leads to sales reps based on predefined rules.

As a result, leads are quickly assigned to the right person. The process reduces your response times and increases the chances of converting leads into customers. Meanwhile, your sales team can focus on engaging leads instead of manually sorting them.

Email marketing

CRM email automation lets you create personalized email templates that automatically populate with lead details. 

Imagine sending an email that addresses a lead by name and mentions their specific interests! Automated email marketing helps you stay in touch with your customers timely, sometimes even without manual effort. 

You forge stronger relationships with leads and customers, make them feel valued and as a result, they are more likely to do business with you.

Customer support

CRMs can route customer inquiries to the right support agents. They can also trigger automated responses to common queries and track the status of support tickets.

Customers get quicker responses, and support agents can manage their workload more efficiently. This leads to higher customer satisfaction and faster resolution times.

Sales follow-up

A CRM can remind sales reps to follow up with leads and customers at the right times. It can also send automated follow-up emails or messages based on predefined triggers.

Consistent follow-ups mean fewer missed opportunities. Your sales team stays organized and can maintain relationships more effectively to produce higher sales success rates.

Reporting and Analytics

CRM analytics track all your sales data and generate reports that show you what's working and what's not. It lets you understand which marketing campaigns bring in the most leads, or identify bottlenecks in your sales pipeline. 

You gain data-driven insights to optimize your sales strategy and boost your overall performance.

This is all good and fine, but how can you incorporate CRM automation in your business? Here’s how.

5 Steps to implement CRM automation

Automating your CRM can revolutionize how your business operates. Here's how you can automate CRM step-by-step.

Steps to implement CRM automation
  1. Define your CRM automation goals

Before diving headfirst into automation, take a step back and reflect upon your goals. What repetitive tasks are bogging your team down? 

Map out how leads are captured, how follow-ups are handled, and how customer support requests are managed within your business. 

Then, pinpoint repetitive tasks that can be automated. Look for steps in your processes that are time-consuming or prone to errors. 

Once you know these pain points, set specific, measurable goals. Defining what you want from CRM automation will also help you determine which automation features to prioritize.

  1. Choose the right CRM

I know it sounds cliched but choosing the right CRM is of utmost importance. 

Most CRM platforms offer built-in automation features or integrate with other tools that can help. Do some research to see what functionalities your CRM offers and explore third-party integrations that might fill any gaps.

Choose a CRM that's easy to use and integrates well with your existing systems. Consider factors like user interface, customer support, and scalability.

  1. Configure the CRM

Most CRM platforms offer a user-friendly interface for creating workflows. These workflows will define the specific actions that happen when a certain trigger occurs.

Use the CRM's tools to create automation rules. For example, set up rules to assign leads to sales reps or to send follow-up emails after specific actions.

Tailor the CRM to your business needs. Create custom fields and tags to capture the information that’s most important to your operations. 

Start with automating a single task at first. Once you're comfortable, you can build more complex workflows. As you use your automation, monitor their performance and make adjustments as needed.

  1. Integrate with other tools

Ensure your CRM integrates with other tools you use, like email marketing platforms, social media, and accounting software. 

Set up automated data syncing between your CRM and these tools to ensure consistent information across all platforms.

  1. Train your users

Even with automation, your team is still key! Provide training on how to use the CRM automations effectively. 

Create resources like guides and FAQs and provide ongoing support to address any issues or questions your team may have. You want to ensure everyone is on the same page and can leverage automation to its full potential.

3 Key benefits of CRM with automation

Now that you've learned how to implement CRM automation, let's look at the key benefits a CRM with automation can bring to your business.

  1. Better customer experience

CRM automation helps businesses improve customer experiences significantly. By automating routine tasks like follow-ups, email responses, and data entry, companies can respond to customer inquiries faster and more accurately. 

Salesforce reported that companies using CRM automation saw a 35% increase in customer satisfaction. Customers feel valued when they receive timely and personalized interactions, which leads to higher loyalty and retention.

  1. Improved efficiency

CRM automations take care of repetitive tasks like data entry, follow-ups, and email marketing. 

With automated CRM data entry and updates, you ensure consistent and accurate information across your system. It also frees up your team to focus on more strategic activities that require human touch and creativity.

  1. Sales performance

McKinsey Global Institute's research says that more than 30% of sales-related activities can be automated. 

CRM automation tools help sales teams track customer interactions, set reminders for follow-ups, and identify potential upsell opportunities. This streamlined approach to managing sales processes can significantly enhance performance. 

According to HubSpot's state of AI report, sales professionals report saving approximately 2 hours and 15 minutes each day by using AI or CRM automation tools to handle manual tasks like data entry, note-taking, scheduling, and similar activities.

Best CRM solution in town!

Formaloo empowers you to build a custom CRM that perfectly aligns with your unique business needs. 

Automate repetitive workflows, personalize customer interactions, and gain valuable insights to optimize your sales strategy – all within a secure and user-friendly environment.

The features of Formaloo’s custom CRM include but are not limited to: 

  • Secure Cloud Storage: Keep your customer data safe and secure with granular permission settings.
  • Automated Workflows: Free your team from repetitive tasks with automated triggers and actions.
  • Drag-and-Drop Interface: Create beautiful and functional lead-generation forms in minutes.
  • Visual Data Reports: Gain actionable insights with easy-to-understand charts, graphs, and tables.
  • Custom Dashboards: Manage tasks, leads & deals with drag-and-drop ease and personalize your view for maximum efficiency.

Take control of your CRM automation today! Sign up for free to Formaloo

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CRM Automation, what is it and how does it work?