Five Reasons You Won’t Invest in a Construction CRM, But Should

September 28, 2021
Erick Vargas

Companies that are not leveraging a CRM today might have some hesitations for a couple of different reasons. Here are some of the most common reasons companies are hesitant to invest in a CRM, but should

CRMs are critical for any business in the construction industry. We are now realizing the positive impact that CRMs have on our pre-construction and sales process. Using a construction CRM helps companies manage leads, bids, and clients so that they can build and track their pipeline and close more deals. Companies that are not leveraging a CRM today might have some hesitations for a couple of different reasons. Here are some of the most common reasons companies are hesitant to invest in a CRM, but should:

1. “It’s too expensive”

Companies that are looking to purchase construction CRMs generally spend anywhere from $2,000 - 30,000 for their system, depending on functionality, number of users and other features required by the company.

The construction companies that believe CRMs are too expensive are solely just looking at the cost. Not the return on investment they can expect as a result. Companies that invest in a CRM generally see an increased average of 33% and higher of revenue growth due to added productivity and centralizing communication.

Typically, at Followup CRM, if we help you close one more deal a month with our software system, then it pays for itself. Don’t let the cost hold you back from something that will help you grow your business.

2. “It’s too complicated”

One of the many reasons companies are hesitant to move forward with a construction CRM is because they believe the system might be too complicated. Many CRMs are complicated with workflows, data entry and really are built for management and not salespeople.

However, Followup CRM is easy to use and easy to set up, minimizing data entry so that we can get you in front of your customers. On average, the Followup CRM user age is in the mid-50s. Our system is any easy-to-use interface that any individual, not matter the age, can seamlessly leverage and adapt quickly.  

3. “I’m not tech savvy”

Another reason that companies are hesitant to move forward is that they believe they are not tech savvy. Change can be tough at any company, however, change is a part of business and crucial for growth. Many clients that move forward with Followup come from either a file system or paper and are rolling out a software system for the first time at their company.

Companies that don’t consider themselves tech savvy are typically excited to adopt a new easy to use software system that will help grow their business and manage their sales in a more organized manner. With Followup CRM, we help our users every step of the way from one on one onboarding, weekly training, a support center filled with helpful articles, Followup Academy, and more to make sure that your company easily adopts the system. Our construction onboarding specialist typically sees a 98% adoption rate with Followup CRM users.

4. “I’m too busy”

Another reason people are hesitant to move forward with a construction CRM is because they believe they’re too busy. Unfortunately, this is a mindset issue. Many people believe that with a software system, it’s going to take time away from their day to day activities. In the construction industry, people are busy running around, putting out fires, trying to close deals and take care of clients and, as a result, they feel like they don’t have the time to utilize a CRM.

However, our studies have shown that the typical user saves an average of 10 hours per week because of the system. This is because all of their activities are centralized in one place so they know exactly where to find information that they need. Users can also get up to date on a project, notes and pass communication with a client rather than searching endlessly in their inbox. Another time saving feature Followup offers is the team collaboration tools. Rather than emailing, calling or waiting until you get back into the office to get the answers you need, Followup allows you to notify a team member so that they can see the most up to date and relevant information about a job. At the end of the day, the average user actually gets time back by utilizing one centralized place to track all leads, bids and clients.

5. “I don’t think my team will use it”

Another reason why construction companies are hesitant to invest in a construction CRM is because they believe their team won’t use it. This is one of the more difficult justifications for not utilizing a CRM, however savvy businesses know that a construction CRM is critical for the longevity and future of their business. Many of our clients today have a policy written within their job descriptions and at their company stating that if it’s not in Followup CRM, it does not exist. A best practice that we recommend to get your team to utilize the system is to tie the compensation to the reports that Followup CRM generates, so that they can get paid depending on what the system is reporting.

One reason why the team might not use a CRM is because of the lack of accountability from the executives, VPs or managers. One of the best ways to hold your team accountable with using the CRM is to leverage this at your weekly or biweekly sales meetings. If you require your employees to publicly display their pipeline from the CRM at your sales meetings, they will have no choice but to utilize the system. Doing this consistently will help create better habits and allow for complete transparency, which, in turn, will help you and your team close more deals.

There are many excuses not to move forward with a construction CRM. However, in business and with changing times, it’s critical to invest in a platform that’s going to save time, allow for better organization and communication, and help you grow your business. With our comprehensive functionality and hands-on customer success team, we can guarantee that our CRM more than justifies these concerns your company may have.

To learn more about how Followup CRM can help your construction company, click here to schedule a life demo.

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