What CRM is — definition and core features

CRM (Customer Relationship Management) is a software category that consolidates customer data from various sources — calls, emails, meetings, offers, orders — and makes it available to the whole team in one coherent view. In practice, CRM replaces Excel sheets, notebooks, email folders and 'tribal knowledge' with one system where everyone sees what they need.

Core features of a modern CRM include: customer records with full history, sales pipeline with stages (lead → qualification → offer → negotiation → close), automated follow-ups, reports and sales forecasts, integrations with email, phone and marketing automation. More advanced CRMs also offer a built-in AI assistant, workflow automation and configurable permission models.

CRM differs from ERP in scope. ERP manages what has already been sold (orders, invoices, warehouse, production, accounting). CRM manages what is going to be sold (leads, offers, pipeline). Ideally, both systems are integrated so the rep sees full client context (purchase history, unpaid invoices, complaint status), not just the pipeline.

Choosing a CRM depends on company size, industry and customisation needs. For small teams (up to 10), simple SaaS like Pipedrive or HubSpot Free is enough. For mid-sized companies (10-100), Salesforce, HubSpot Pro or open source like Open Mercato. For large companies, enterprise solutions or custom open-source implementations. The key criterion is TCO (total cost of ownership) over 3-5 years, not the monthly per-user price.

CRM implementation typically takes 4-12 weeks and includes process audit, configuration, data migration from Excel or an older system, team training and post-launch support. Cost is typically EUR 3,500-18,000 for European SMEs, with annual licences from EUR 0 to EUR 45,000 depending on vendor. Open source minimises licence costs and allows full code customisation.