CRM systems can be a powerful mechanism for enhancing customer relationships through coordinating large amounts of data concerning a customer's preferences, behaviour, and needs. New business procedures can be designed to meet these customer needs more effectively, and this can lead to greater customer satisfaction and increased sales.

Although CRM systems are driven by technology and software, at a fundamental level CRM is not about these but rather CRM concerns the processes underlying the services that a company offers to its customers. These processes stretch from the supply side of the business, down through its operational and logistics systems, and out to the front-end services and support offered to customers.

A growing percentage of businesses worldwide are implementing CRM systems and they have been employed across a wide variety of businesses ranging in size from the very large (Above US$500 million revenue per annum) to small businesses (less that US $10 million revenue per annum.)

CRM systems are often modular in nature, allowing key business features to be implemented initially, and then other capabilities added at a future date. Modules supplied may range from front-end service tools through to marketing information systems and analytics. The Internet offers new areas for doing business and CRM systems integrate well into this arena.

CRM systems involve fundamental business commitments which may modify cultural, operational, and product support models, and which can affect the whole range of company operations beginning with strategy, development, marketing, sales and support, through to meeting each customer's special needs.

Key points to consider when implementing a CRM system include: