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Customer relationship management * Siham Ouzlim
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Plan Definition of CRM The purpose of CRM Why is CRM important? Advantages of CRM Disadvantages Steps to improve CRM
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Definition of CRM “CRM is concerned with the creation, development and enhancement of individualised customer relationships with carefully targeted customers and customer groups resulting in maximizing their total customer life-time value”.
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is a business strategy with outcomes that optimise profitability, revenue and customer satisfaction by organizing around customer segments, fostering customer-satisfying behaviors and implementing customer-centric processes. is a strategy used to learn more about customers' needs and behaviors in order to develop stronger relationships with them.
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The purpose of CRM “The focus [of CRM] is on creating value for the customer and the company over the longer term. When customers value the customer service that they receive from suppliers, they are less likely to look to alternative suppliers for their needs. CRM enables organisations to gain ‘competitive advantage’ over competitors that supply similar products or services.
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Why is CRM important “Today’s businesses compete with multi- product offerings created and delivered by networks, alliances and partnerships of many kinds. Both retaining customers and building relationships with other value- adding allies is critical to corporate performance ” “The adoption of C.R.M. is being fuelled by a recognition that long-term relationships with customers are one of the most important assets of an organisation”
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Advantages of CRM Service provided in a better way, and a quicker way. Sales force automated. Integrated customer information. Certain processes eliminated. Operation cost cut, and time efficient. Brand names more quickly established. Sales and marketing teams can benefit from having all this inside knowledge about customers. Lets you set up rules for distributing work throughout your company. Lets you pick and choose the functionality that you want.
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Disadvantages * Organizational wise change of priority to customers: - Significant investment of time and money. - Threatens management’s control/power struggle. - Heightens people’s resistance to change. - Inappropriate integration leads to disaster.
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Steps to improve CRM 1. Build a database 2. Analyse, define types, profitability 3. Customer selection 4. Activities to delight selected customers and discourage others 5. Analyse again to see how we’re doing
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*Enhancement : augmentation *Targeted : ciblée *Fostering : favoriser *Supply : fournir *Retaining : en conservant *Threatens : menace *Struggle : lutter
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