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Reasons Why a Robust Database Is a Must for the Success of Your Small Business

Reasons Why a Robust Database Is a Must for the Success of Your Small Business

Small businesses are used to handling sales, marketing, filing, and even back office on their own. More often than not, small businesses are one-man shows and they rely on a file cabinet and Excel spreadsheets to keep track of their clients. But many small business owners are realizing the importance of powerful database software for their growth and success.

Small business owners have understood that failure to use a robust database could be hampering their future growth. Spreadsheets could be wonderful tools for accurate number crunching. However, when you have gigantic datasets, for instance, on staff, customers, or even inventory, it would be far more beneficial to have powerful database software.

Here are some of the reasons why you must seriously consider substituting spreadsheets with databases for boosting your business.

Ensuring Centralized Systems

If your small business is expanding and you have hired people to assist you in managing the business, it could be challenging to keep constant track of the ever-increasing volume of data. You must consider opting for a powerful database system for efficiently managing your business-crucial data securely, safely, and centrally. Once a database system is in place, you can easily access any of your data whenever you require it.

Providing Improved Human Resource Management

If you start using a good Human Resources database for managing all your staff records, it could help you immensely in saving both time and money. A powerful HR database is capable of streamlining all HR responsibilities, automating routine tasks, and speeding up data processing, including things such as payroll, leave, staff hours, and benefits. This could free up time that you can now use to focus on the growth of your business. You could get in touch with reputed database management services such as for perfect solutions.

Facilitating Customer Relationship Management

Customers are supposed to be the lifeblood of any business and so an efficient CRM database must be at the top of your mind for ensuring business growth. Full-featured Customer Relationship Management databases generally are effective and powerful for storing and processing all sorts of data right from customer interaction history, customer contact details and accounts to the leads, new prospects, and business avenues. Some competent CRM systems could be assisting you in running and tracking marketing campaigns like email newsletters.

Today, small businesses have realized that the most effective way of boosting profits is simply to understand clearly what your customer has in his or her mind. The more accurate information you are able to obtain about your customers, the easier it is to target them. Databases make it incredibly easy and convenient to perform functions such as storing, sorting, and even creating lists of customers and contacts.

It pays to know small facts and details about your best fifty customers. You would be able to chalk out specific offers and deals exclusively for them. Alternatively, you could introduce an enticing rewards scheme for the top few customers. There are numerous ways of using this information to your advantage.

Providing Product and Customer Analysis

By accumulating and putting all information relating to your customers and products into a uniquely generated and professionally designed database, you could easily find out which customers have become repeat buyers and which products are really doing well, and could identify the items that are not well-accepted by your customers. Product and customer analysis functions are quite challenging and pretty time consuming when you try doing them manually.

Offering Efficient Stock Management

Databases could be generated particularly for stock control. Just by looking at a database, you could see what items are almost out of stock and what items do not need immediate replenishment. With this sort of efficient stock management, automatic reordering of the stock has become possible once an item reaches a specific level.

Managing your inventory efficiently could be a balancing act. It is quite possible to have excess inventory, risking wastage on one hand or too little stock on the other, culminating in customer disappointment and frustration. Moreover, it would adversely impact your reputation.

If inventory is monitored and tracked manually, you may make certain data entry mistakes, miscount, or even misplace notes and spreadsheets. By implementing an efficient inventory tracking database, particularly alongside barcode scanning and electronic data interchange, you could be avoiding all those risks and minimizing lost sales and at the same time, boosting your avenues for growth.

Helping in Reducing Overheads

Reducing the labor and time required for processing manual transactions could make a substantial cost saving. By seamlessly integrating an efficient database into your e-commerce website, it is possible for businesses to achieve more profits.

Planning for Growth

Most corporate databases have reporting capabilities right from productivity tracking and input data analysis, to predicting customer needs and future trends. If you are chalking out a stratagem for a boost in productivity and growth, a powerful database system could prove to be immensely beneficial to your business and a valuable resource.

Making Sure Timely Note-Taking

As your small business starts growing, you may be receiving all kinds of contact from your esteemed customers. They could be calling you with queries regarding the item they had purchased from you and for other relevant information. Notes kept in spreadsheets or handwritten notes would work fine if you have a limited number of clients, say within 50.

This is simply because, at this point in time, you may be able to remember the conversation between you and a particular client. This would become a thing of the past once your business starts growing. You no longer can recall specific conversations and you simply cannot run to get your handwritten notes for all customer inquiries.


In this highly competitive world, businesses must realize that powerful databases could completely transform them. Most of your business rivals are using databases, so you must stay abreast with the latest and forge ahead of the competition. Expert database design teams create easy-to-use and simple databases that could be customized as per the specific requirements of your business. Most of these professional database design experts can also provide you with some training or guidance for using the database efficiently, so that it remains consistently updated and well-maintained.

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by Andrew Thompson // Andrew Thompson is a DBA specialist. He has a passion for blogging and has an impressive fan base. He shares tips and business success secrets along with valuable resources such as

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