You have way more customers than you think (here's proof)!
Week 20 - Customer Relationship Management (CRM): Haff Notes 52-Week Business in Plain English Challenge
Welcome to Week 20 of our 52-Week Business in Plain English Challenge! Last time, we dipped our toes into learning how to write newsletters that don’t stress you out to write.
This week, we're tackling something that sounds intimidating but can provide a ton of insights into your business: keeping track of your growing customer relationships without drowning in spreadsheets.
💡 Here's the thing: as your business grows, your customers will be scattered across dozens of platforms. A good customer relationship management system (CRM) brings them all together in one place—and that customer list becomes your business's most valuable asset.
New to the Haff Notes Business in Plain English series? You can catch up on all previous articles in the archive at haffnotes.substack.com where each article builds on the last to help you create your comprehensive business plan.
Why You Need One Central Customer Hub
How many total customer (or potential customer) contacts do you have in your business right now❓
Picture this: you're a jewelry maker who's been growing steadily in business.
You know you have:
Social media followers on Instagram and Facebook
People on your newsletter list
Customers who've bought from your Etsy shop
Wholesale accounts on Faire
Customers who subscribe to your community newsletter on Latchet
Customers on your Shopify site
Each platform has its own customer list, and there’s no one central hub for you to wrap your mind around how many people you actually have in your business’s orbit.
During the slower season, it’s incredibly common to feel like no one knows about your business, and it’s hard to keep your momentum and enthusiasm alive.
If for no other reason than simply for your morale purposes - combining all of your customer contact information into one central place gives you an incredibly comforting and motivating number that can help motivate you even when sales are slow.
That number - the total number of people who have shown interest in your business - is much higher than you think it is. And seeing that total number will give you the juice to keep going:
- to set up that email automated flow for new customers
- to send out a newsletter with a discount code during the slow season
-to share behind-the-scenes info with people who genuinely love what you do
That’s why it’s important (and a host of business analytics reasons) why you will want to take the time to combine your customer information into one hub. It’s worth the time and energy to do this work.
Remember, these aren't random contacts. Every single person has opted in to hear from you. They've raised their hand and said, "Yes, I want to know what you're up to." You're not bothering them—they can always unsubscribe. But the reach you can have as a small business is truly astounding once you see it all together.
The Hidden Power of Your Customer Information
Last month, when I pulled together all our candle business customer data from different platforms, I discovered something fascinating: we had customers in nearly all 50 states. I had no idea our reach was that broad!
This kind of insight can transform how you think about your business. Suddenly, I could see our hot spots—where are customers especially engaged? Which products sell best in different areas?
Big businesses do this analysis with teams of people and expensive software systems. But as small business owners, we can gain powerful insights from information we already have—it's just sitting in different places waiting to be connected.
What to Track (Without Getting Overwhelmed)
You don't need to go deep into analytics about which pages someone visited or how many times they clicked your newsletter. For most of us, the important information is simpler:
For service-based businesses:
Are they an existing client or a prospect?
Have they purchased your courses or workbooks?
What's their average investment per project?
For product-based businesses:
How many times have they purchased from you?
What's their average order value (the average amount they spend per purchase)?
Do they tend to buy earrings or necklaces? Candles or diffusers?
For everyone:
Where are they located?
How did they find you?
What category of customer are they (wholesale vs. retail, new vs. returning)?
This information helps you understand what products are working, where your customers are coming from, and how to serve them better.
Choosing Your CRM: What Actually Matters
Customer relationship management software can get overwhelming quickly because most systems are built for big businesses with dedicated tech teams.
I've tried many options, and here's what I've learned matters most for small businesses:
Ease of use is everything. If updating a contact makes you want to pull your hair out, you won't use the system consistently. (This is where I always start - how easy is it to update the contact? If that is difficult, I move on to the next software.)
Integration with email is crucial. Most CRMs connect with email services because that's ultimately where you want your customer relationships to live.
Export capability is non-negotiable. You need to be able to get your data out in a CSV (comma-separated values) file—basically a simplified Excel spreadsheet—so you're never trapped in one system.
The top options worth exploring include Klaviyo, Drip, Kit (formerly ConvertKit), HubSpot, and Zoho. I've standardized on Drip for my businesses because I love the user interface, but your choice should depend on how you like to work and your comfort with technology.
Most CRM platforms offer seven-day free trials. Here's my approach: when I sign up for a trial, I immediately go to my calendar and mark a reminder two days before the trial ends to cancel if it's not working for me.
Use those seven days to really test the system. Some software looks amazing in the demo but becomes frustrating when you're actually trying to update a contact or segment your list. Others surprise you with how intuitive they are once you start using them.
Getting Your Data Together
The good news? You can usually export customer information from most platforms as a CSV file. Look for an "export" button in your account settings.
Sometimes when you import a CSV into new software, you'll need to adjust the column headings to match what the new system expects. For example, one system might want "Name" while another needs separate "First Name" and "Last Name" columns. It's usually a quick fix to get the column headings to match. *search for a youtube video on the software if you’re running into issues or ask their help desk directly.
Important legal note: When importing customer information into an email system, you must ensure everyone has opted in to receive marketing emails from you. This is regulated by laws like CAN-SPAM, and it's crucial for maintaining trust and compliance.
CAN-SPAM laws require that you only send marketing emails to people who have given you permission to contact them, and you must always provide an easy way for them to unsubscribe.
Segmenting - Group Your Contacts by the Type of Relationship You Have with Them
Think of segmenting as organizing your customer list into meaningful groups—like sorting your closet by season or occasion.
For a candle business, you might create segments for wholesale customers, retail customers, people who love seasonal scents, and location or region.
A nutrition coach might segment by current clients, past clients, people interested in weight loss, or those focused on reducing inflammation.
This organization (segmenting) allows you to send targeted messages that feel personal and relevant. Instead of sending the same email about your new fall candle collection to everyone, you can send wholesale pricing to your retail partners and gift-focused messaging to individual customers.
The result? Higher open rates, more engagement, and customers who feel like you truly understand their needs. Most CRM systems make segmenting pretty straightforward—you can usually tag contacts or add them to different lists with just a few clicks.
Why This Matters for Your Bottom Line
During slow periods, your customer list becomes your lifeline. You can reach out with:
Special promotions for loyal customers
New product announcements
Behind-the-scenes content that builds connection
Seasonal or holiday offers
We consistently see sales increase every time we email our customers. If there's no other reason to organize your customer relationships, remember this: during tough times, your business can pick up simply by reaching out to people who've already opted in and want to hear from you.
Your Action Steps This Week
Take inventory - List all the places where you currently have customer information (social media, email lists, sales platforms, etc.)
Choose your trial - Pick one CRM system to test this week using their free trial
Start simple - Don't worry about advanced features yet. Focus on getting basic contact information into one place
Export and backup - Even if you're just using a spreadsheet for now (and that’s completely ok if excel is your comfort level right now), export your customer data from each platform and create one master list
Plan your segments - Think about how you want to categorize your customers (new vs. returning, product preferences, location, etc.)
Remember, this is a multi-step, multi-year process for most of us. Start with getting consistent on the basics—bringing all your customer information together and using it regularly. Once you've mastered that, you can dive deeper into automation and advanced segmentation.
Your customer relationships are the heart of your business. Taking care of them properly isn't just good business—it's the foundation for sustainable growth.
Next time, we'll explore how to create invoices that make your vendor breathe a sigh of relief and want to reorder from you because you’ve made it so incredibly easy.
Here's to building a business you love to own,
