CRM ...

Any application or initiative

designed to help an organization to
optimize interactions with
customers, suppliers, or prospects
via one or more touch points for the
purpose of acquiring & retaining
customers.
Custnmcr Rclatinnship Managcmcnt
(CRM)
C8M ls a sLraLegy by whlch companles opLlmlse proflLablllLy
Lhrough enhanced cusLomer saLlsfacLlon
C8M ls abouL auLomaLlng and enhanclng Lhe cusLomercenLrlc
buslness processes of Sales MarkeLlng and Servlce
C8M noL only deals wlLh auLomaLlng Lhese processes buL also
focuses on ensurlng LhaL Lhe fronLofflce appllcaLlons lmprove
cusLomer saLlsfacLlon resulLlng ln added cusLomer loyalLy
LhaL dlrecLly affecLs Lhe organlzaLlon's boLLom llne
!708039 CRM
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Typical oIIerings oI the current CRM solution
comprises oI :
Customer developments.
Service center.
Sales management & support.
Market Analysis.
Internet, telemarketing product &
brand management.
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ield sales ,Tele sales.
nternet sales.
ield service.
nternet customer service.
Service interaction center(call centers).
Business partners collaborations.
Technological impact on
CRM
In a Iast changing internet world there are very clear trends
that are emerging :
Speed: people expect service at Iaster speed.
3.7ease of global ma7et pla.e: more & more people,
communities across the globe are able to develop
relationships.
7ou3d the .lo. availability
Expa3sio3 of pa7t3e7s . internet oIIers ability to the
organizations and people to partner with suppliers and
customers across the globe.
# Evolution
BPR ERP SFA CRM eCRM
Cost Reduction Strategy Growth Strategy
IT Led Business Led Marketing Led
1980s 1990s 2000s
a9 8 E-CRM ?
n simplest terms, E-# provides a company to
conduct interactive, personalized and relevant
communication across the globe with their customers
by utilizing both the traditional and electronic
channels.
t adheres to permission based practices, respecting
individual's preferences regarding how and whether
they wish to communicate with you and it focuses on
the understanding how the economics of the
customers relationships affects the business.
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E- # is the electronic based version of
#. The user of an E- # solution
uses the sources of the internet to
increase the relationship with the
customer.
Web based # can easily handle the
relationships between entral sales
management, regional sales office,
customer care, sales, sales distribution,
regional sales team etc.
#
CRM (lectronic Customer Relationship
Management) expands the traditional CRM
techniques by integrating new electronic channels,
such as Web, wireless, and voice technologies and
combines it with ebusiness applications into the
overall enterprise CRM strategy.
The goal is to drive consistency within all channels
related to sales, customer service and marketing
initiatives to achieve a Ilawless customer experience
and maximize customer satisIaction, customer loyalty
and revenue.
ThereIore ,it is just an expanded, integrated version oI
CRM . Thus, ld CRM + Internet E-CRM
iffcrcncc bctwccn
CRM
and
E-CRM
E-CRM ?
To optimize the value oI the interactive
relationships.
nable the business to extend its personalized
reach in the hand oI customers.
Coordinating marketing initiatives across all the
customer channels.
Using the customer`s inIormation Ior more
eIIective emarketing and ebusiness.
Focus the business on improving the customer
relationship and earning a greater share oI each
customer`s business through consistent
measurement, assessment and actionable customer
strategy.
EVOLVNG TO E-CRM
In a nutshell, a company evolving to CRM should:
eIine its business objective. This would be
speciIic and diIIerent Ior diIIerent businesses.
Assess its current position with respect to the
environment and determine its current level oI
'sophistication along the CRM continuum
( CRM assessment).
eIine new business processes and align its
existing business strategy and existing processes in
line with the new realities (CRM Strategy
alignment).
eIine a technical architecture and the important
criteria associated with this architecture.
cy applicatinns nf E-CRM
nformaLlon lnLegraLlon appllcaLlon
n lncompleLe vlew of cusLomers reduces Lhelr loyalLy and
LrusL
ConsolldaLlng cusLomer daLa and lnformaLlon from dlfferenL
sources
1o keep up wlLh every cusLomer's lnLeracLlon
CusLomer analysls appllcaLlon
Measures predlcLs and lnLerpreLs cusLomer behavlor
redlcLlve models Lo ldenLlfy Lhe cusLomers mosL llkely Lo
perform a parLlcular acLlvlLy or behavlor
Cnllne analyLlcal processlng daLa mlnlng and sLaLlsLlcs
Cnntd..
8ealLlme declslon appllcaLlon
1o coordlnaLe and synchronlze communlcaLlons across
dlsparaLe cusLomer
n effecLlve realLlme declslon appllcaLlon promoLes
lnformaLlon exchange beLween Lhe company and every
cusLomer
ersonallzed messaglng appllcaLlon
8ulldlng cusLomer proflles and enables cusLomlzed
producL and servlce offerlngs based on Lhe lnformaLlon
lnLegraLlon appllcaLlon
nals nf E-CRM
Reduce
osts of marketing.
Improve
Accuracy and relevance of recommendations.
ustomer satisfaction.
Increase
onversion rate, i.e., Turn surfers into buyers.
ustomer retention.
Order size.
Customer response.
Competitiveness through
diIIerentiation.
ProIitability.
Cnntd..
T0 8 E`8 of E-CRM
The not only stands Ior 'electronic but
also perceived to have many other
connotations. Though the core oI CRM
remains to be cross channel integration and
optimization. The six 's oI CRM are
brieIly explained in the Iollowing slides.
E- "electronic
channels
E- "enterprise
E- "empowerment
E-
"Economics
E- "
Evaluation
E-
"Extern
al
nforma
tion
T0 8 E`8 of E-CRM
Electronic channels: new electronic channels such as
web and personalized e messaging have become a
medium Ior Iast and interactive , economic
communication , challenging company to keep pace with
the increased velocity. CRM thrives on these electronic
channels.
Enterprise : through CRM the company gains the
mean to touch and shape a customers experience through
sales, services and corners oIIices whose occupants need
to understand and assess the customers behavior.
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Empowerment: it must be structured to accommodate
consumers who now have the power to decide when and
how to communicate with the company. Through ,which
channel , at what Irequency. An CRM must be structured
to deliver timely pertinent, valuable inIormation that
consumers accepts in exchange oI his/her attention.
Economics : an CRM strategy ideally should
concentrate on the consumer economics, which drives
smart asset allocation decisions, directing eIIorts at
individuals likely to provide the greatest return on
customer communication initiatives.
Evaluation: understanding the customers relies on a
company`s ability to attribute customers behavior to market
programs, evaluate customer interactions along various
customers touch points channels and compare anticipate ROI
against actual returns through analytic reporting.
External information : the CRM solution should be
able to gain and leverage inIormation Irom such sources as
third party inIormation networks and webpage proIiler
application.
cquisition (increasing the no. oI customers)
xpansion (increasing the proIitability by encouraging
customers to purchase more products and services)
Retention (increase the amount oI time in which the customers
stays with company, making a longterm relationship)
EY FEATURE8
OF E-CRM
#egardless of company objectives, E-#
solution must posses certain key
characteristics. t must be
riven by a ATA WA#EHOUSE.
ocused on the consistent metrics to asses
customers actions across the channels.
Structured to identify a customer profitability
or profit potential.
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To determine the eIIective allocation
decisions accordingly, so that most
proIitable customers could be indentiIied
and retained and the resource could be
invested in the relationships, which are more
proIitable.
E-CRM $$E$$MENT
eIore the implementation oI a particular strategy
into any business scenario, it is worthwhile to
know the current state oI the business with respect
to prevailing competition.
It is very important to develop a numerical
measure oI how a company measures up in the
eyes oI the customers with respect to its
competitors.
cncfits
Retaining existing customers.
Selling more to existing customers.
Finding and winning new customers.
Interactions leading to trusted relationships:
o.us the busi3ess o3 imp7ovi3g .ustome7 7elatio3ships a3d ea73i3g a
g7eate7 sha7e of ea.h .ustome7s busi3ess.
Increasing eIIiciency.
Improving marketing and sales decision making.
nabling process measurement leading to
process improvement.
Cnntd..
nables 24*7 customer interaction:
optimi:e i3te7a.tive 7elatio3ships betwee3 .ustome7s a3d
.ompa3ies.
Personalization through technology:
e3able a busi3ess to exte3d its pe7so3ali:ed messagi3g
th7ough the Web a3d email.