Tuesday, 11 March 2014

Customer Relationship Management

customer relationship management


  • provide better customer service
  • make call centers more efficient
  • cross sell products more effectively
  • help sales staff close deals faster
  • simplify marketing and sales processes 
  • discover new customers
  • increase customer revenues
recency, frequency, and monetary value
  • organizations can find their most valuable customers through "RFM"
    • how recently a customer purchased items (recency)
    • how frequently a customer purchased items (frequency)
    • how much a customer spends on each purchase (monetary value)
the evolution of CRM
  • CRM reporting technology - help organizations identify their customers across other applications
  • CRM analysis technologies - help organization segment their customers into categories such as best and worst customers
  • CRM predicting technologies - help organizations make predictions regarding customer behavior such as which customers are at risk of leaving
using analytical CRM to enhance decisions
  • operational CRM - supports traditioanl transactioanl processing for day -to-day front- office operations or systems that deal directly with the customers
  • analytical CRM - supports back-office operations and strategic analysis and includes all systems that do not deal directly with the customers
customer realtionship management success factors
  • CRM success factors include:
    • clearly communicate the CRM strategy
    • define information needs and flows 
    • build an integrated view of the customer
    • implement in iterations
    • scalability for organizational growth

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