What is the Difference Between Lead Management Software And CRM?

6 mins

Lead management software and CRM (customer relationship management) software are both tools used by businesses to manage customer data.

CRM software often includes features such as sales force automation, which can help sales teams keep track of their pipeline and close more deals.

There is a lot of confusion when it comes to lead management software and CRM. Both are customer relationship management tools, but they serve different purposes.

Lead management software is designed to help sales teams track and manage leads throughout the sales process. CRM, on the other hand, is a more general tool that helps businesses manage their customer relationships.

So which one should you use? There is no right or wrong answer for that, it completely depends on your own needs and goals.

Is CRM And Lead Management the Same?

CRM (customer relationship management) and lead management are two terms that are often used interchangeably, but they actually refer to two different things.

Lead management is the process of tracking and managing leads throughout their lifecycle, from initial contact to conversion. CRM, on the other hand, is a software solution that helps businesses manage their customer relationships more effectively.

While both CRM and lead management are important tools for any business, they serve different purposes. Lead management is focused on generating and nurturing leads, while CRM helps businesses build better relationships with their customers.

Is Lead Management Part of CRM?

Lead management is a process in which leads are generated and nurtured until they are ready to be passed on to sales. Lead management includes everything from lead capture and lead qualification to lead scoring and lead nurturing.


It is often considered a part of the CRM (customer relationship management) process, as it helps businesses manage their relationships with potential customers.

Lead capture is the first step in the lead management process. This is when leads are gathered from various sources, such as website forms, trade show registrations, or online advertisements.

Once leads are captured, they need to be qualified. This is when businesses determine whether or not a lead is worth pursuing.

To do this, businesses typically use Lead Scoring, which assigns a numerical score to each lead based on factors like how likely they are to purchase your product or service, how much budget they have available, or what stage of the buying cycle they’re in.

Once leads have been qualified, it’s time to start nurturing them.

Lead nurturing is the process of developing relationships with potential customers through regular communication until they’re ready to buy. This can be done through email marketing campaigns, targeted content offers, or even personal phone calls.

The goal of lead nurturing is to keep your business top-of-mind for when the time comes that your leads are ready to buy.

Last but not least, once leads have been fully nurtured and are ready to purchase your product or service, it’s time to hand them off to sales.

Lead Management and CRM Software- What’s The Difference?

Customers are the lifeblood of any business. Unlike other assets, they cannot be replaced. This is why it’s essential to have a plan for managing your customer relationships.


CRM software is one tool businesses can use to build and maintain relationships with customers.

Lead management software is another tool that can be used to manage potential customers (leads) who have shown an interest in your products or services.

While both CRM and lead management software share some common features, there are also some important differences.

Here are some of the key ways in which CRM and lead management software differ:

Customer Focus

CRM software is focused on building and maintaining relationships with existing customers, while lead management software is focused on acquiring new customers.

Data Tracking

CRM software tracks data related to customer interactions, such as sales history, contact information, and communication logs.

Lead management software tracks data related to leads, such as contact information, lead source, and conversion rate.


CRM software typically includes a wider range of features than lead management software, such as sales force automation, marketing automation, and customer service features.

Lead management software typically includes fewer features than CRM software but often offers more robust lead tracking and reporting capabilities.


CRM software is typically more expensive than lead management software because it includes a wider range of features. However, there are also many free and low-cost CRM solutions available.

Lead management software is generally less expensive than CRM software because it has a narrower focus and fewer features. However, the cost of lead management software can vary depending on the features included in the solution.

Lead Nurturing

Some CRM solutions offer lead nurturing capabilities that allow businesses to cultivate relationships with leads until they are ready to purchase.

Lead management solutions typically do not include lead nurturing capabilities but may offer integration with third-party marketing automation solutions that provide these capabilities.

What Do You Mean by Lead Management in CRM?

Lea management is the process of identifying, nurturing, and converting leads into customers. It’s a key component of any successful CRM strategy.

The first step in lead management is to identify potential leads. This can be done through online research, trade shows, networking events or even word-of-mouth referrals.

Once you’ve identified a potential lead, it’s important to nurture that relationship by providing valuable content, helpful resources, and timely follow-ups.

If done correctly, this will eventually lead to a conversion – either through a sale or some other desired action.

Lead management is an essential part of any CRM strategy because it helps turn potential customers into actual ones.

By following a structured process and using the right tools, you can ensure that your leads are properly managed from start to finish.

How Does CRM Help in Lead Management?

CRM systems help in lead management by providing a database of potential customers and clients, as well as tools to manage interactions with them.

First, by tracking leads through the entire sales process from initial contact to conversion, CRM systems provide valuable insights that can help organizations improve their sales strategies and close more deals.

Additionally, CRM systems can automate many of the tasks associated with lead management, such as sending follow-up emails or scheduling appointments, which can free up time for salespeople to focus on selling.

How Will You Identify a New Market for Us to Enter?

The first step in finding a new market to enter is to identify your target audience. Who are you trying to reach with your product or service?

Once you know who your target audience is, you can begin to research where they congregate online and offline. There are a number of ways to identify potential markets for your business. 

Here are a few suggestions:

1. Look at your competition. Where are they selling their products or services? If they’re having success in a particular market, it may be worth considering for your business as well.

2. Use the Google AdWords Keyword Planner tool. This tool allows you to research which keywords people are searching for online related to your product or service. You can then use this information to identify potential markets that would be interested in what you have to offer.

3. Use social media listening tools like Hootsuite Insights or Social Mention. These tools allow you to track mentions of key terms related to your industry across social media platforms. This can help you identify conversations happening around potential markets for your business.

How to Choose the Right CRM Lead Management Software?

Are you looking for CRM lead management software? There are many options available on the market, and it can be tough to decide which one is right for your business.

Here are some things to consider when choosing a CRM lead management software:


What features does the software offer? Make sure that the software has all the features you need to manage your leads effectively. For example, if you want to track customer interactions, make sure that the software has this capability.


How easy is the software to use? You don’t want to spend hours trying to figure out how to use the software. Look for a user-friendly interface that is easy to navigate.


What is the price of the software? Be sure to compare prices before making a purchase. You may find that one CRM lead management software is more affordable than another.

Lead Management Software Examples

Sales leads are the lifeblood of any business. Good sales lead management software can make a big difference in the success of your company.

Here are examples of some of the best lead management software on the market today:

1. HubSpot Sales: HubSpot Sale is a great option for small businesses. It includes features like contact and account management, email tracking, and pipeline visualization. It’s also affordable, starting at just $50 per month.

2. Zoho CRM: Zoho CRM is a good choice for businesses of all sizes. It offers features like lead capture, contact management, opportunity tracking, and quote creation. Prices start at $12 per month per user.

3. Salesforce: Salesforce is one of the most popular CRM platforms on the market. It offers a wide range of features, including lead capture, contact management, opportunity tracking, and quotes & invoices. Prices start at $25 per user per month for the basic plan.

Final Thoughts

There are a few key differences between lead management software and CRM software.

Lead management software is typically used to track and manage potential customers from the first point of contact through to the conversion, while CRM software is focused on managing customer relationships after the sale has been made.

Lead management software often includes features such as lead capture forms, lead scoring and grading, and automated email marketing, while CRM software typically includes features such as contact and account management, activity tracking, and sales pipeline management.


Michael Fied

founder of and SpamBurner

Michael Fied is the founder and CEO of and SpamBurner. In addition, he’s an internationally top-rated and award-winning website advisor and website architect with a global team of 55. You can find Michael on LinkedIn or contact him directly here.

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