Pipedrive is a good CRM product. But unfortunately one recent press release the company’s credibility is not good.
According to the statement’s headline, Pipedrive reported “record sales growth among small business customers worldwide.” When I read this headline, my first thought was wow, Pipedrive is crushing it with small businesses. But then I read on.
And if you read further into the press release, you learn that the company simply disclosed that there was “record revenue growth in its customer base” over the past year and that “customers won a deal every second day on average with Pipedrive CRM, which is a key indicator in measuring the impact Pipedrive is having on its goal of growing small businesses.”
The company also said that “despite the current macroeconomic challenges, Pipedrive customers have achieved strong growth and momentum within a year. On average, small business customers won more than 40 percent of all deals closed using the Pipedrive CRM, That has risen 20 percent year on year for the past two years.”
I think the purpose of the press release was to show that small businesses are resilient and growing despite all the obstacles they face. And by the way, Pipedrive played a big role in that growth.
Hmm.
So Pipedrive hasn’t really grown its own sales, as I originally interpreted from the statement’s headline. Fair enough, it’s a simple misunderstanding. However, there is something very concerning about the press release, something that I often see in press releases that are sent to me: the data.
How does the company actually know that their customers have grown their sales? And how do they know it was Pipedrive?
Where does this data come from? What was the sample size? Was this an independent investigation? How big were customers because a very small company could have sold $500 last year and $1,000 this year, meaning they “doubled” their sales. Also, as an accountant, I never rely on “sales data” from a CRM system because most CRM systems lack the internal controls that come with a good accounting and financial system. So unless these numbers came straight from a customer’s ledger, I’m not sure I believe them.
The bottom line: it’s an unnecessarily misleading press release.
I say unnecessary because Pipedrive doesn’t need to issue misleading press releases. I know this because my company has implemented Pipedrive and while it may lack some of the features of a more robust CRM system – particularly in the areas of marketing and services – it is certainly an easy to use and powerful sales and forecasting application that if set up correctly , can be a hugely useful tool for a sales team.
Press releases like this can play a more important role for a potential customer. People used to focus on features and less on the supplier. But thanks to the cloud, new CRM features are reviewed by all vendors and implemented quickly. “Features” have become less of a decision factor as they have become more commoditized. For example, Pipedrive is as competitive as the next when it comes to offering the features a sales force needs.
Aside from features, I tell my clients to focus more on the software vendor. Who are they? What do their customers say? How strong is their community? How strong are their finances? Where is their customer base? How quickly do they respond to questions? What is their reputation online? How active are their social channels? How committed are they to building more capabilities? What sets their CRM apart from their competitors? Do they do user conferences and what are they like? Is the company ethical?
All these questions tell me something about the company behind the CRM platform. They help me determine the company’s strength, credibility, and long-term commitment to its product. And given a customer’s investment, these factors are critical. Nobody wants to change a CRM system after it has been implemented.
Unfortunately, Pipedrive’s press release does not. It does not mention any of the above. Instead, I see questionable statements based on questionable data, which makes me feel less confident about the company behind the software.
As a CRM implementer and business owner, my advice to Pipedrive management – and anyone running a software company – is to stick to the facts when making public statements. Tell us what new possibilities your product offers that would entice me to buy it or how your company positions itself (and therefore your customers) for future growth. Put me at ease to make a long term investment in your product. Use relevant and independent data when conducting surveys or investigations. Give me news that will affect my business and persuade me to work with you.
Janice has been with businesskinda for 5 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider businesskinda team, Janice seeks to understand an audience before creating memorable, persuasive copy.