The evolution of the internet has made browsing a more interactive experience; by means of Web 2.0 applications such as blogs, wikis, forums, webcasts, podcasts, etc people can now be seen and heard to a far greater extent than earlier, they can voice their views and make their opinions count. This has come as a boon to ecommerce as now online retailers can tap into this vast user network and reach out to current and prospective customers.

The efforts of companies to leverage the intelligent and informed online user via the various channels mentioned have led to the arrival of CRM 2.0. Most CRM applications these days carry modules that enable the merger of the best Web 2.0 technologies and processes with your existing applications. This allows your business to enrich its database with information on the likes, dislikes, and buying patterns of online customers. You can also market your product that much more forcefully and get people to talk about it instead of having a dedicated marketing team to do the job.

CRM 2.0 is about making CRM truly collaborative where the business and the customer are on the same platform to take the business forward for the benefit of both. You can engage and involve the customer across multiple points. The customer decides the channel of communication best suited to him, he is spared spam and unwanted cold calls and you benefit from targeted and streamlined marketing.

Prospective customers prefer to put their faith in the word of someone they can identify with, that means a fellow web surfer, blogger, or forum member. It works to your benefit, especially if you own a small business. By implementing CRM 2.0, you can reach out to vast numbers, get qualified leads, and convert leads into business. CRM 2.0 encourages a two-way exchange of communication as an ongoing process carried out in multiple phases across multiple channels so that each purchase or business interaction strengthens the relationship between the buyer and the seller.

CRM 2.0 is of importance to both online as well as brick and mortar businesses as both can use the tremendous reach of the internet to generate and utilize information which can help them to sell more efficiently and increase their customer base. More importantly, a shared ownership of the communication process means that customer inputs are treated with respect, this helps to improve the quality of your products and the level of your services and thereby an improvement in the customer experience. A word from a satisfied customer is worth much more than any marketing effort and if you can leverage Web 2.0 you share a platform with your satisfied customers to market your business.

So if you wish to deploy a CRM solution that is compatible with Web 2.0 operations and processes, you would do well to do some research online so that your business reaps the benefits every CRM-related activity.

Piyush Bakshi is a full-time content provider working for Gate58 which owns http://www.vendordemo.com