Customer Relationship Management

Customer Relationship Management (CRM)

Presented by—

Nilotpal Chakraborty

SFSP, DAVV, Indore

CRM

CRM

2© Nilotpal Chakraborty

Introduction

Customer relationship management (CRM) is abusiness strategy which provides with a vision forthe way an organization wants to deal with itscustomers.

CRM is both a business strategy and a set ofdiscrete software tools and technologies, withthe goal of reducing costs, increasing revenue,identifying new opportunities and channels forexpansion, and improving customer value,satisfaction, profitability, and retention.


Customers

Supplier

Partners

Employees

Investors

Individuals

Business organizations

Government agencies

Other stakeholder


Building blocks of CRM

1) A database that collects information about thecustomers.

2) A way to analyze the information in the database.

3) A strategy for applying the analysis to better meetyour clients’ needs and identify potentialcustomers.

4) Collecting data to ensure CRM strategy is effective.

5) Privacy issues

6) Metrics for measuring the success of the CRMprogram.


Benefits of CRM

Effective CRM gives you the opportunity toshow the your customers that—

You know and recognize them

You understand them

You care about their needs, questions andconcerns

You want to deliver services and products theyneed the most

You appreciate their business


Benefits of CRM

Reduced costs Increased customer satisfaction Growth in numbers of customers Maximisation of opportunities Better and more timely decisions Increased access to a source of market and

competitor information Highlighting poor operational processes Long term profitability and sustainability


…..for the organization

Maximize repeat business opportunities byanticipating existing customers’ needs

Identify best customers

Identify potential customers

Identify complementary products that can besold to the customers

Target marketing campaigns/materials andpromotions


…..for the customers

Make ordering or buying easier through pre-filledorder forms and e-mail reminders

Tailor the shopping experience for your customers,allow self-service, and thereby reduce customerresponse times

Develop an e-newsletter with topics that would be ofinterest to customers

Offer free or discounted complementary products tocustomers

Offer incentives for additional or future purchases

Offer a chat room or online forum where


Implementing CRM CRM is a business philosophy, NOT a

technology.

Successful CRM system implementation iscritical to ensuring that the recipientorganization receives the features andresources required to succeed. Stayinginvolved ensures the organization receives theproduct and services expected.

Develop strategy, then select technology.

Identify products and target customers.10© Nilotpal Chakraborty

Information Technology & CRM

Technology plays a pivotal role in CRM. Technological approaches involving the use of

databases, data mining and one-to-one marketing canassist organisations to increase customer value andtheir own profitability.

This type of technology can be used to keep a record ofcustomers names and contact details in addition totheir history of buying products or using services.

This information can be used to target customers in apersonalised way and offer them services to meet theirspecific needs.

This personalised communication provides value forthe customer and increases customers loyalty to theprovider.


Information Technology & CRM

Some of the CRM technologies—

Cookies

Loyalty cards

CRM software

Well known CRM vendors—

Oracle

Microsoft

SAP America Inc.


Conclusions

• Organizations need to know their customersand understand their needs and interests.

• Streamline interaction between theorganization and its customers helps in fastand better quality services.

• Helps in retaining and improving customerbase.


THANK YOU


Customer Relationship Management

Education

Transcript of Customer Relationship Management