CRM in Hotel Industry
Chapter # 1. Introduction to the Project Topic
1.1 What is Customer Relationship Management (CRM)?
CRM entails all aspects of interaction a company has with its customer, whether it is sales or service related. It even uses technology to streamlineprocesses that impact customer loyalty, service delivery and quality management.Today, businesses are facing an aggressive competition and they have tomake Efforts to survive in a competitive and uncertain market place. Peoplehave realized that managing Customer relationships is a very importantfactor for their success. Customer relationship management (CRM) is astrategy that can help them to build long-lasting relationships with theircustomers and increase their profits through the right management systemand the application of customer-focused strategies.
“Customer is the most important person for a business. He is not aninterruption to our work but the purpose of it. He is not an outsider; he isa part of it. We are not doing him a favour; he is doing us a favour bygiving us an opportunity to serve him.” (
By Mahatma Gandhi)It has grown mainstream and is being implemented in a wide range of companies and organizations such as manufacturing, financial services,transportation and distribution, medical services and products, consumerpackage goods and others. This explosive growth of CRM reflects theintersection of genuine market need and enabling technology. And, in thisgrowth period, the impetus for CRM is shifting from an emphasis onefficiency, i.e., doing more things faster with less cost, to effectiveness, i.e.,doing things better for increased revenue with a high "return onrelationships (ROR)". According to Chaudhuri and Shainesh (2001)-A CRM programmer requiresa clear understanding and commitment to the company's customers, vigilant adherence to detailed goals, commitment from both executives andline workers, and a constant awareness of the customer's view point.Customer relationship management is about more than simply managingcustomers and monitoring their behavior or attitude. CRM has thepotential to change a customer’s relations with a company and increaserevenues in the bargain. Furthermore it helps to know the customers well-enough to decide whom to choose and whom to lose.The objective of CRM (customer relationship management) is to recognizeand treat each and every customer as an individual. It is very essential for