Thursday, 16 March 2017

CHAPTER 11 : Building a Customer - Centric Organization - Customer Relationship Management

➤ CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

CRM enables an organization to;
  •   Provide better customer service
  •   Make call centers more efficient
  •   Cross sell products more effectively
  •   Helps sales staff close deals faster
  •   Simplify marketing and sales processes
  •   Discover new customers
  •   Increase customer revenues

➤ RECENCY, FREQUENCY AND MONETARY VALUE

An organization can their most valuable customers by using a formula RFM :
  • How recently a customer purchased items (Recency)
  • How frequently a customer purchased items (Frequency)
  • How much a customer speeds on each purchased (Monetary Value)

➤ THE EVOLUTION OF CRM
  • CRM reporting technologies - help organizations identify their customers across other applications. 
  • CRM analysis technologies -  help organizations segment their customers into categories such as best and worst customers. 
  • CRM predicting technologies - help organizations predict customer behavior, such as which customers are at risk of leaving.Image result for THE EVOLUTION CRM
➤ THE UGLY SIDE OF CRM

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➤ CRM EXPLOSIVE GROWTH


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➤ USING ANALYTICAL CRM TO ENHANCE DECISION 
  • Operational CRM – supports traditional transactional 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 system that do not deal directly with the customers

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➤ CRM SUCCESS FACTORS
  •  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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