Customer Relationship Management - whats in a name?

Customer relationship Management (CRM) is about using people, processes and technology to develop long-term, profitable relationships with customers. The internet is an important medium through which CRM services are delivered. CRM is not only about technology, it requires skilled staff in order to understand customers and to deliver the product or service they want.

Some examples of effective CRM
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The key benefits of CRM
Better, faster information on customer needs and behaviour

  • More cost-effective management of the customer relationship through automating and streamlining of customer processes
  • More empowered customers who can quickly find the information they need, at the time and place they need it.
  • More profitable and loyal customers

Does CRM fit every business?
No, CRM is best suited to organizations with a large customer base and sales force, with a variety of marketing and sales programmes. Internal IT resources and quality infrastructure are prerequisites.

CRM - A Roadmap
Step 1: Setting the Vision in Motion
Step 2: Targeting the Right Customer
Step 3: Determine How to Measure Success
Step 4: Blueprint Your Customer Information Strategy
Step 5: Redesign Your Processes by Talking to Your Customers
Step 6: Expand to Different Customer Contact Channels
Step 7: Identify Intersecting Customer Processes
Step 8: Refine, Refine, Refine!

Critical Success Factors
Target the right customers

  • Own the customer's total experience
  • Streamline business processes that impact the customer
  • Provide a 360 view of the customer relationship
  • Let customers help themselves
  • Help customers do their jobs
  • Deliver personalized service
  • Foster community

CRM Actionlist
Talk to customers before you start

  • Develop a long-term vision and strategy at enterprise level
  • Develop a ROI model
  • Balance people, processes and technology - Change Management is key
  • Involve customers and staff throughout the project
  • Create a single view of your customer - ensure good data quality
  • Rewards and incentives are tied to customer objectives
  • Train and retrain your staff
  • Consider integration issues

CRM Pitfalls
Forget about the C in CRM

  • No commitment from senior management and staff
  • Rewards and incentives are tied to non-customer objectives
  • Poor integration
  • Thinking technology is the solution
  • Poor quality customer data and information

Bottom line
CRM is about motivating the right customers to continue doing business with you

  • CRM is a journey, not a goal. Once embarked, you're in for the long haul. Rather than Big Bang, proceed in steps, invest short-term, looking for quick returns.
  • Executive Buy-In depends initially on the right executive commitment and leadership. Project failures are mainly due to people and processes not technology.
  • CRM is not (only) about technology, technology is an enabler to support strategy, tactics, processes and skills