Professional Documents
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Assignment #3
Vit Horky
2
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Table of Content
Table of Contents
Social Media Marketing examined through Internet with a link to a specific company.........5
References............................................................................................................ ..............15
Bibliography.................................................................................................................... ....18
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A situation: I am a Internet Marketing consultant hired by the board of Skoda Auto a.s. company. I ams
asked to introduce that Customer Relationship Management (CRM) generally is and I ams aksed to
give a general overview of CRM at the Czech republic company Skoda Auto. I should assume that
nobody from the board does not know mich about the subject.
The idea of CRM is, according to STD Group Inc,2008, that it helps businesses use
technology and human resources to gain insight into the behavior of customers
and the value of those customers.
1. It tracks and report every interaction with a customer, describing the customer's purchase,
interest or demand.
2. The CRM isa universal instrument for collecting data about the service requests, order entry,
3. The CRM is be able to measure the performance of the business on the basis of internal
benchmarks.
4. The CRM facilitates the working processes and it emhasizes the positive and exclude the
✔ Striking a balance in how they use resources to market to the most valuable consumer
segments;
experience;
✔ Setting sales goals and establishing rewards for meeting them; compensating the sales team
consistently;
✔ Narrowing the gap between customer expectations and the actual service experience;
✔ Using analytics tools to gain a deeper understanding of the actual intentions of customers in
the central role of relationship marketing. The best way for a company to build strong relationships with
their customers is to build up customer loyalty. To achieve this, a company must develop an effective
CRM strategy.
more beneficial than those of the competition. The core product advantage can be
however suddenly replicated or even improved by rivals.
“Companies need to be able to execute customer service at a consistently high level – hence the value
Lauchlan S, 2006
Benefits of CRM
A major bendit of customer-centered management in the company can be the development of better
increased sales through better timing due to anticipating needs based on historic trends
selling)
identifying which of your customers are profitable and which are not
Limits of CRM
Moreover, when implementing a customer relationship management (CRM) system, it's critical to have
a clear plan, both pre and post training for users, and a systematic approach to rolling out features.
Some of the usual mistakes of sales managers and marketing managers are presented bellow.
Not integrating with accounting and marketing information, focusing too much on how sales
Not connecting with service departments, forgetting that customer relationships span the entire
Not planning or staging roll out with a systematic approach shaping the software to your
Forgetting to set baseline measures then testing new features to drive improvements in your
selling system;
(Hitt J, 2006)
1. Detailed information about a client and its purchases are automatically used in a electronic shop
which offer the visitor personalized offerings. The offer is therefore more focused and the
2. The customer can use a website as a gate to information about the history of his/her purchases,
invoices received etc. – the system retrieves information automatically from a CRM and other
software that help them to get detailed information about the customer and its contracts at the
time when the customer calls to helpline and ask for help/information/services.
4. The CRM system can gather very important information about customer complaints and
1) Salesforce.com
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The Salesforce system is a web-based solution, so called SaaS solution (Software as a service)
that is a useful tool to manage customer data, sales data and other information essential for
Amazon.com has been regarded as a leader when it comes to using Customer Relationship
Management. In order to retain their customers, Amazon.com utilizes cookies to keep track of
your preferences. They give their customers the option to open an account with their website.
When people sign up, the company has the capability of keeping a record of all the transactions
someone has made. Included in the records are information such as:
The Prague-based internet marketing consultancy and webdesign studio developed its own
ERP system on the core of Inspiro ERP that controls and manages information about all its
clients, suppliers and solutions – the system basically manages all information relevant to
communicate effectively with customers. The system was recently upgraded by new module of
CRM system that allows employees to retrieve and use detailed information about the client,
history of orders and contracts that has been signed. The system is fully accessible online
The CRM system in the Palmolive company uses technologies of SAP. SAP 2007, publishes in
Web based CRM, sometimes referred to as Hosted CRM, OnDemand CRM, Online
CRM, Browser Based CRM and now SaaS (Software as a Service) software solutions,
is where the Customer Relationship Management (CRM) software is hosted by an
Application Service Provider (ASP), typically the vendor of the software.
These web based CRM applications are delivered as services over the Internet,
rather than on your local network like conventional CRM software.
There are some of the characteristics of CRM system run as a web-based online
solution:
✔ Accessibility - you can access web based CRM from anywhere provided you have Internet
access.
(SmallBizCRM, 2008)
A website providers and web communities have been more and more interested in
using CRM as a complex tool how to improve communication and consequently
business performance. Therefore, the market offers lot of solutions even for small
companies that has not been used to think on CRM as a cost-effective solution.
Protection Act
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Any consumer by using Internet is protected by a law given by a state where the user currently
accessed the Internet. The United Kingdom released its UK Data Protection Act novelized in 1998 – its
- Kept secure
company
Skoda Auto use specialized e-commerce systém VYZKOUSENO.cz for order gathering and processing
The system is developed on Microsoft Commerce Server 200 technology with implementation on
– Fast integration with other information systems of Skoda Auto run on Microsoft
THe systém has been developed for easy upgrade of CRM module. The CRM system is, according to
the Case Study Published by Sprinx s.r.o., 2007, ready to cooperate with CRM.
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Recommendations of improvements
The Skoda Auto integrated e-commerce system should be more connected to CRM system. The
customer-centred module should be used in order to get, sort and use information about Skoda´s
customers and its purchases if the company want to achieve higher rate of repeate orders from existing
customers.
Before any discussions about how to improve the CRM performance within a
company following questions should be answered by responsible senior managers
in the compan:
How does the company allocate marketing spend between loyal customers, in revenue and
profits?
What is the brand's level of repeat purchase and how does this compare to automobile industry
industry average?
What is the profile of the loyal customers? How do we acquire more of them?
What opportunities can Skoda give to loyal customers to buy more, or to recommend Skoda?
REFERENCES
CXO Ltd.
eMarketer Inc.
Kang J
Learn That.com
SmallBizCRM
BIBLIOGRAPHY
Dave Chaffey et al, 2007, Internet Marketing, 3rd edition, Pearson Prentice Hall, United States
of America
Edexcel HNC & HND Business, 2004, Marketing. BPP Professional Education, London
Edexcel HNC & HND Business, 2004, Organisation and Behaviour. BPP Professional
Education, London
Kotler P & Keller K L, 2006, Marketing Management, 12th edition, Pearson Prentice Hall, United
States of America