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Customer relationship management (CRM)
What is CRM (customer relationship management)? CRM (customer relationship management) is an information industry term for methodologies, software, and usually Internet capabilities that help an enterprise manage customer relationships in an organized way. For example, an enterprise might build a database about its customers that described relationships in sufficient detail so that management, salespeople, people providing service, and perhaps the customer directly could access information, match customer needs with product plans and offerings, remind customers of service requirements, know what other products a customer had purchased, and so forth. It is a process or methodology used to learn more about customers' needs and behaviors in order to develop stronger relationships with them. There are many technological components to CRM, but thinking about CRM in primarily technological terms is a mistake. The more useful way to think about CRM is as a process that will help bring together lots of pieces of information about customers, sales, marketing effectiveness, responsiveness and market trends. CRM helps businesses use technology and human resources to gain insight into the behavior of customers and the value of those customers.
Key concepts of CRM
Customer Relationship Management (CRM) is a term given to the process of managing your relationship with your customers...better. It covers:
• • • • • •
Managing Leads Qualifying and Converting Leads Managing Opportunities Keeping track of Activities Management Reporting and Forecasting Summary of the Benefits.
HISTORY OF CRM
however.a limited use.In the beginning there was PIM. incorporating a more specific set of requirements to help them scale the coalface. Contact Management software became SFA. These PIM's are good personal productivity tools. Challenges faced during CRM . more customizable Internet solutions have hit the marketplace. Customer Relationship Management (CRM) is one of those magnificent concepts that swept the business world in the 1990’s with the promise of forever changing the way businesses small and large interacted with their customer bases. as a result of its increasing take on by people in sales and marketing. amongst other things. that are better able to manage larger volumes of data. it proved to be an unwieldy process that was better in theory than in practice for a variety of reasons. but they tend to fall over when applied in a business environment with a more demanding requirement. all purpose electronic diary with basic database functionality. The PIM slowly morphed into the CMS. with improved industrial strength database engines. which is the industry term for the set of methodologies and tools that help an enterprise manage customer relationships in an organized way. however. Contact Managers are fantastic. or Personal Information Manager . newer software systems and advanced tracking features have vastly improved CRM capabilities and the real promise of CRM is becoming a reality. or Contact Management System. that you could use to start organizing your names and addresses. CRM is short for Customer Relationship Management. what now forms the cornerstone of modern CRM applications. flexible productivity tools for most anybody or organization. First among these was that it was simply so difficult and expensive to track and keep the high volume of records needed accurately and constantly update them. They are also more robust. As the price of newer. In the last several years. and time. as in Sales Force Automation systems. In the short term. competition has driven the prices down so that even relatively small businesses are reaping the benefits of some custom CRM programs.
Systems that start disunited usually stay that way: siloed thinking and decision processes frequently lead to separate and incompatible systems. and dysfunctional processes. Often.Tools and workflows can be complex. opportunities. territories. implementations are fragmented—isolated initiatives by individual departments to address their own needs. and at the sales pipeline itself. especially for large businesses. Previously these tools were generally limited to contact management: monitoring and recording interactions and communications. and still are. offered as on-premises software that companies purchase and run on their own IT infrastructure. Next came the advent of tools for other client-interface business functions. These tools have been. Software solutions then expanded to embrace deal tracking. as described below. CRM CHART Types/variations .
Analytics Relevant analytics capabilities are often interwoven into applications for sales. Modules for Web 2. This allows sales representatives to pursue more clients in a shorter amount of time than would otherwise be possible. This has been superseded by marketing automation and Prospect Relationship Management (PRM) solutions which track customer behavior and nurture them from first contact to sale. These features can be complemented and augmented with links to separate. leads. often cutting out the active sales process altogether. A key marketing capability is tracking and measuring multichannel campaigns. marketing.e core for these applications has been and still is comprehensive call center solutions. Customer service and support Recognizing that service is an important factor in attracting and retaining customers. and revenue. and escalation capabilities. and search marketing campaign. search. including email. Metrics monitored include clicks. including such features as intelligent call routing. a 2009 study revealed that only 39% of corporate executives believe their employees have the right tools and authority to solve client problems. offline. Web analytics have evolved significantly from their starting point of merely tracking mouse clicks on Web sites. Even so. social media. Marketing applications generally come with predictive analytics to improve segmentation and targeting. purpose-built applications for analytics and business intelligence. computer telephone integration (CTI).Sales force automation Sales force automation (SFA) involves using software to streamline all phases of the sales process. At the heart of SFA is a contact management system for tracking and recording every stage in the sales process for each prospective client. sales forecasts and workflow automation. from initial contact to final disposition. responses. organizations are increasingly turning to technology to help them improve their clients’ experience while aiming to increase efficiency and minimize costs. and product knowledge. telephone and direct mail.0 e-commerce and pricing are new. By evaluating “buy signals. through sales forecasting and data quality. emerging interests in SFA. Many SFA applications also include insights into opportunities. and features for measuring the effectiveness of online. quote generation.“. Marketing CRM systems for marketing help the enterprise identify and target potential clients and generate leads for the sales team. deals. territories. Sales analytics let companies monitor and understand client actions and preferences. and service. minimizing the time that sales representatives need to spend on each phase.” marketers can see which prospects are most likely to transact and also identify .
Owing to these factors. As with larger enterprises.those who are bogged down in a sales process and need assistance. especially for mobile and telecommuting workers. Small business For small business. and more. feedback from a technical support center can enlighten marketers about specific services and product features clients are asking for. service quality. and marketing. faxes. For example. These tools usually focus on accounts rather than on individual contacts. documents. Support-focused applications typically include dashboards similar to those for sales. . jobs. scheduling. small businesses are finding value in online solutions. service. These types of analytics are increasing in popularity as companies demand greater visibility into the performance of call centers and other service and support channels. This finds expression in the concept of collaborative systems which uses technology to build bridges between departments. More recently. many of the top-rated and most popular products come as integrated suites. want to be able to pursue these opportunities without the burden of re-entering records and contact data into a separate SFA system. including emails. Integrated/Collaborative Departments within enterprises — especially large enterprises — tend to function with little collaboration. Marketing and finance personnel also use analytics to assess the value of multi-faceted programs as a whole. in their turn. agent performance. and the frequency of various issues. They also generally include opportunity insight for tracking sales pipelines plus added functionality for marketing and service. Reps. plus capabilities to measure and analyze response times. in order to correct problems before they affect satisfaction levels. basic client service can be accomplished by a contact manager system: an integrated solution that lets organizations and individuals efficiently track and record interactions. the development and adoption of these tools and services have fostered greater fluidity and cooperation among sales.
volunteering and communications with individuals. such as using online communities as a source of high-quality leads and a vehicle for crowd sourcing solutions to client-support problems. These observers recommend careful market research to determine if and where the phenomenon can provide measurable benefits for client interactions. . demographics. People also use social media to share opinions and experiences on companies. and resent company involvement. Non-profit and membership-based Systems for non-profit and membership-based organizations help track constituents and their involvement in the organization. membership levels.Social media Social media sites like Twitter. companies are looking to gain access to these conversations and take part in the dialogue. Social media promoters cite a number of business advantages. Companies can also leverage client stated habits and preferences to personalize and even "hyper-target" their sales and marketing communications. As social media is not as widely moderated or censored as mainstream media. Capabilities typically include tracking the following: fund-raising. In light of the growth of social networking tools. sales and support. Many include tools for identifying potential donors based on previous donations and participation. membership directories. It is stated[that people feel their interactions are peer-to-peer between them and their contacts. Customers can now research companies online and then ask for recommendations through social media channels. positive or negative. LinkedIn and Face book are amplifying the voice of people in the marketplace and are having profound and far-reaching effects on the ways in which people buy. making their buying decision without contacting the company. More than a few systems are now integrating to social networking sites. there may be some overlap between social/community driven tools and non-profit/membership tools. Increasingly. products and services. sometimes responding with negatives about that company. individuals can say anything they want about a company or brand. Some analysts take the view that business-to-business marketers should proceed cautiously when weaving social media into their business processes.
marketing effectiveness. key factors include alignment with the company’s business process strategy and goals. including the ability to deliver the right data to the right employees and sufficient ease of adoption and use.Strategy To be followed For larger-scale enterprises. business processes lie at its core. a complete and detailed plan is required to obtain the funding. Depending upon the size of the company and the breadth of data. planners need to determine the types of client information that are most relevant. Moreover. some will likely need reengineering to better serve the overall goal of winning and satisfying clients. and two-way communication should be encouraged across hierarchical boundaries. Platform selection is best undertaken by a carefully chosen group of executives who understand the business processes to be automated as well as the software issues. and market trends. Technology: In evaluating technology. and cost quantified in three general areas: Processes: Though these systems have many technological components. sales. Therefore. and company-wide support that can make the initiative of choosing and implementing a system successful. Collaboration. It can be seen as a more client-centric way of doing business. especially with respect to process improvement. risks assessed. a company must analyze its business workflows and processes before choosing a technology platform. Benefits must be defined. Senior executives need to be strong and visible advocates who can clearly state and support the case for change. People: For an initiative to be effective. resources. teamwork. enabled by technology that consolidates and intelligently distributes pertinent information about clients. responsiveness. an organization must convince its staff that the new technology and workflows will benefit employees as well as clients. Implementation issues . choosing an application can take anywhere from a few weeks to a year or more. and how best to employ them.
Implementations almost invariably fall short when one or more facets of this prescription are ignored: Poor planning: Initiatives can easily fail when efforts are limited to choosing and deploying software. Experts advise organizations to recognize the immense value of integrating their client-facing operations. is a long way from being solved. internally-focused. context. For example.Increases in revenue. and service. sales. while perhaps less severe. Toward a solution: overcoming soloed thinking. Marketing staff should be able to leverage client information from sales and service to better target campaigns and offers. and support for the workforce. Proponents emphasize that technology should be implemented only in the context of careful strategic and operational planning. More recent research indicates that the problem. enterprises simply automate flawed client-facing processes rather than redesign them according to best practices. Such “point solutions” offer little or no integration or alignment with a company’s overall strategy. sales representatives need to know about current issues and relevant marketing promotions before attempting to cross-sell to a specific client. In 2003.275 participating companies had end-user adoption rates above 90 percent. and significant savings in operating costs are some of the benefits to an enterprise. In other instances. . less than 40 percent of 1. And support agents require quick and complete access to a client’s sales and service history. department-centric views should be discarded in favor of reorienting processes toward information-sharing across marketing. higher rates of client satisfaction. Adoption issues Historically. According to CSO Insights. the landscape is littered with instances of low adoption rates. In this view. integrations are piecemeal initiatives that address a glaring need: improving a particular client-facing process or two or automating a favored sales or client support channel. without an accompanying rationale. a Gartner report estimated that more than $1 billion had been spent on software that was not being used. Poor integration: For many companies. They offer a less than complete client view and often lead to unsatisfactory user experiences.
all information gathered about the prospect site and their personnel is recorded in the CRM database. via an email campaign.. trade shows.In a 2007 survey from the U. for instance. • Choose the right capabilities: Employees need to know that time invested in learning and usage will yield personal advantages. 72 percent indicated they would trade functionality for ease of use. Specialists offer these recommendations for boosting adoptions rates and coaxing users to blend these tools into their daily workflow: • Choose a system that is easy to use: All solutions are not created equal. With expenditures expected to exceed $11 billion in 2010. and 67 percent said that finding time to evaluate systems was a major problem. 51 percent cited data synchronization as a major issue. and simplicity should be as important a decision factor as functionality. • Provide training: Changing the way people work is no small task. phone calls. 43 percent of respondents said they use less than half the functionality of their existing system. If not. many staffers still need assistance with learning and adoption • Lead by example: Showing employees that upper management fully supports the use of a new application by using the application themselves may increase the likelihood that employees will adopt the application CRM in Organisation CRM & Executive Management Managing the customer relationship enables a business to identify the right customers. handle specific customer service issues. and help is usually a requirement. Customer Relationship Management requires a central enterprise-wide database that is used by all members of the organization. they will work around or ignore the system. enterprises need to address and overcome persistent adoption challenges. four-fifths of senior executives reported that their biggest challenge is getting their staff to use the systems they had installed.K. target them with the right offers at the right time. The first relationship generally occurs during the sales and marketing cycle when the "customer" is first a "prospect". etc. and create databases of information that reflect the specific consumer traits of its public. direct mail. Even with today’s more usable systems. and deliver that information using the right channel. Once the prospect becomes a . Further. CRM software enables a business to retain valuable information and then use that information to increase sales. During the sales process. Some vendors offer more user-friendly applications than others.
Assisting the organization to improve telesales. and streamlining existing processes (for example. with the aim of improving customer satisfaction and maximizing profits. maintenance contracts or service level agreements as well as all work or support provided to your customer. CRM consists of: Helping an enterprise to enable its marketing departments to identify and target their best customers. taking orders using mobile devices) Allowing the formation of individualized relationships with customers. manage marketing campaigns and generate quality leads for the sales team. Every conversation. and management play important roles in providing service and maintaining a good relationship with the customer. In addition. Providing employees with the information and processes necessary to know their customers. professional services. its customer base. Managing Leads Consider the various ways new customers interact with your business: . sales generally retains the relationship with the customer. understand and identify customer needs and effectively build relationships between the company. what has been shipped to the customer. and distribution partners. development. visit. or correspondence with a customer should be recorded in this database. According to one industry view. and sales management by optimizing information shared by multiple employees. account. customer support. You need to track the individuals at your customer. the products which the customer has purchased.customer. identifying the most profitable customers and providing them the highest level of service.
in the right amount.Together with the creation of Sales Force Automation (SFA). further personalize marketing messages and enable mass customization . you may receive enquiries from customers who have simply seen your web site or an ad in the yellow pages. . eMail: You may receive email enquiries or people may reply in repsonse to email based marketing initiatives such as newsletters. but your first contact with a customer. tighten customer relationships and most important. will likely be through one of these methods. and at the right time that fits the customer’s specific needs.These are broad categories. or simply by the customer. you may promote your web site through various marketing initiatives such as Google Adwords eCRM: As the internet is becoming more and more important in business life. where electronic methods were used to gather data and analyze customer information. We can define eCRM as activities to manage customer relationships by using the Internet. For example: • • • Phone: You may cold-call a prospective list of customers or alternately. web browsers or other electronic touch points. the contact may be initiated by you. Further more. In addition. many companies consider it as an opportunity to reduce customer-service costs. Web: You may receive enquiries from a web based "contact us" form. the trend of the upcoming Internet can be seen as the foundation of what we know as eCRM today. The challenge hereby is to offer communication and information on the right topic.
since communications is the central aspect of customer relations activities. support marketing. Self-services are becoming increasingly important in CRM activities. sales or services processes. The rise of the Internet and eCRM has boosted the options for self-service activities. marketing and customer service activities conducted through mobile medium for the purpose of building and maintaining customer relationships between a company and its customer(s). which is related to sales. An example was Ford’s plan to sell cars directly to customers via its Web Site. A critical success factor is the integration of such activities into traditional channels. either one-way or interactive. and use wireless networks as the medium of delivery to the customers.However. three different levels can be distinguished: • Foundational services: This includes the minimum necessary services such as web site effectiveness and responsiveness as well as order fulfillment.Different levels of eCRM: In defining the scope of eCRM. many opt for the following definition of mCRM: “communication. which provoked an outcry among its dealers network. • Customer-centered services: These services include order tracking. acquiring or maintaining customers. product configuration and customization as well as security/trust.CRM activities are mainly of two different types. . Mobile CRM: One subset of Electronic CRM is Mobile CRM (mCRM). but to be aggressive and contact the customer himself in order to establish a dialogue and solve problems. • Value-added services: These are extra services such as online auctions and online training and education. Reactive service is where the customer has a problem and contacts the company. Proactive service is where the manager has decided not to wait for the customer to contact the firm. This is defined as “services that aim at nurturing customer relationships.
Other contact points include 3G telephone. and letters.but we know better. and staff can retrieve information on customers from the database when necessary. Applications serve Marketing (e. resulting in high flexibility. CRM encompasses several areas: Operational CRM: Operational CRM provides support to "front office" business processes. who made it possible for their customers to check in for their flights by SMS. The dealership is a contact point. wants. that focus on creating two-way exchanges with customers so that firms have an intimate knowledge of their needs. Since mCRM is not able to provide a complete range of customer relationship activities it should be integrated in the complete CRM system What Areas Does CRM Cover? CRM is a multifaceted process.g. CRM helps companies understand. data mining software and permission marketing). You meet with a salesperson whom demonstrates the car.eCRM allows customers to access company services from more and more places. and buying patterns. In this way. Both are contact points. . this is what some would call CRM . takes this one step further and allows customers or managers to access the systems for instance from a mobile phone or PDA with internet access. and Service (e. For example you buy a new car from a dealership.g. monitoring Customer Touch Points). the needs of current and potential customers. Sales (e.g. and then send the company an e-mail. CRM implements a set of information technologies. This is the interface between your organisation and its customers. Interactive TV. focussing on improvement of internal and external business processes. Each interaction with a customer is generally added to a customer's contact history. The salesperson is a contact point. You go home and look at the car manufacturer's website. video conferencing. CRM and Information Technology Customer Touch Points are vital since your business has a marketing orientation and focuses upon the customer and his or her current and future needs. Applications are essentially the software and programmes that support the process. as well as anticipate. Incidentally. customer care). mCRM however. including sales. since the Internet access points are increasing by the day. An example of a company that implemented mCRM is Finnair. and you enter a showroom.marketing and service. telephone.
how and for how long . and where they are sent. Permission marketing can occur at any of the Customer Touch Points. CLC focuses upon the creation of and delivery of lifetime value to the customer i. CLC is a summary of the key stages in a customer's relationship with an organisation. or similar organisations. For example. and embodies the marketing concept. and the Customer Life Cycle (CLC). *Data Mining is where an organisation evaluates large Data Stores for patterns. Applications present 'patterns' in a format that can be used for marketing decision-making. as well as details of how and when the customer was recruited. The data is analysed using Applications. It is so called because marketers need your 'permission' to market to you. However. Data on the life time value of individual customers is stored here. looks at the products or services that customers NEED throughout their lives. where you buy insurance and the vendor asks if you wish to receive further details from them. Leads are stored here. *Permission Marketing is where a customer elects to accept (or 'opt-in' to) marketing material from an organisation e. which makes it impossible to draw out a single Life Cycle that is the same for every organisation. The problem here is that every organisation's product offering is different.Data Stores contain data on every aspect of the customer. when you buy them. Data is also kept on the web pages that you visit and the products that you consider. an organisation keeps data on the products you buy. It is marketing orientated rather than product orientated. but then do not buy. The Customer Life Cycle (CLC) and CRM The Customer Life Cycle (CLC) has obvious similarities with the Product Life Cycle (PLC).individuals have been retained.e. and details of any products that have been extended to individuals are also stored. Essentially. .g. or relationships between groups or individuals (or segments).
and then extend additional products and services to them . to buy a vehicle to get you to work. and you may wish to buy property. can recruit and retain customers. You can start young when you want to save money. Then when (or if) you begin College or University there are Student Loans. However the purchase of each car.Let's consider an example from the Banking sector. and returns every year for its annual service. HSBC has a number of products that it aims at its customers throughout their lifetime relationship with the company. and save for your own children's education.so they visit VW's website and register. the customer decides to trade in his or her car. and the cycle begins again. He or she decides to buy the car and arranges finance. for example. and so take out a mortgage. So.although HSBC may not offer this!). This is how an organization such as HSBC. The car is then delivered from the factory. Then after three years. 11-15 year olds are targeted with the Livecash Account. You could take out a car loan. The customer reviews models and books a test-drive with her or his local dealer. will in itself be a CLC with many Customer Touch Points. which is marketing orientated. This is an example of a Customer Life Cycle (CLC). . and when you qualify there are Recent Graduate Accounts. When you begin work there are many types of current and savings account. As you progress through your career you begin your own family. and ultimately HSBC offer you pension planning (you may want to insure yourself for funeral expenses .throughout the individual's life. You embark upon a number of savings plans and schemes. Here we apply a CLC. Volkswagen Cars retains a customer for many years and one can predict the products that meet a customers needs throughout his or her family lifetime. It would also be advisable to take out a pension. Another important point is that a lifetime CLC is made up many shorter CLC's. The longer-term life cycle is simply the shorter-term life cycles viewed consecutively. and 16-17 year olds with the Right Track Account. The consumer may need a bigger vehicle as his or her family expands .
our goal is to retain them as customers for the extended products or services.Through market orientation. Growth . Customer Acquisition. Customer Retention . Of course once our loyal customers have purchased them.Our customer returns to us and buys for a second time. 2. Growth . Customer Retention.Through market orientation. We keep them as a customer. Customer Acquisition . 1. or the next level of product or service. Value Creation. We introduce products and services to our loyal customers that may not wholly relate to their original purchase. . We have acquired our customer. Customer Extension. 6. Here. Customer Extension . supplementary purchases. 3. innovative IT and value creation we aim to increase the number of customers that purchase from us regularly. and typical of many of the models and diagrams of CRM that you will find on the Internet and in popular books on the topic of eMarketing/eCommerce. 3.Our customers are regularly returning to purchase from us. These are additional. 2. which is a hybrid. innovative IT and value creation we aim to increase the number of customers that purchase additional or supplementary products and services. Growth . Three contextual factors: • • • 4.This is the process of attracting our customer for the first their first purchase. innovative IT and value creation we aim to increase the number of customers that purchase from us for the first time. 5. we propose a model. The model has three key phases and three contextual factors: Three key phases: • • • 1. Innovative IT.Through market orientation.Business Strategy and CRM We now consider the Business Strategy Perspective on CRM. This is most likely to be the purchase of a similar product or service. Marketing Orientation.
and marketing analytics. pricing. grow. since every consumer displays different purchasing habits and preferences. but also the core product and its benefit. quotations. leads.centres on the generation of shareholder value based upon the satisfaction of customer needs (as with marketing orientation) and the delivery of a sustainable competitive advantage. tangible product. CRM software collects data on consumers and their transactions. Organisations will track individuals. it is vital to its success. Service . orders.B. Marketing Orientation . speedy and focus upon the needs of customers.Information Technology must be up-to-date. When Amazon tells you that customers that viewed/bought the same product as you. and try to market products and services to them based upon similar buyer behaviour seen in other individuals (e.g. (N. 6. Customer Relationship Management (CRM) Key Business Process areas Marketing CRM aligns marketing processes and drive customer demand using functionality to enhance management of marketing resources. campaigns. Value Creation . product configuration.is exactly that . In some ways. Marketing orientation will focus upon the needs of consumers for all three levels of a product. opportunities. Huge databases store data on individuals and groups of individuals. Customer needs are addressed by the Three Levels of a Product whereby the organisations not only supplies the actual. Innovative IT . trade promotions. CRM means that an organisation is dealing with a segment of one person. billing. contacts.4. also bought another product). It should be efficient. 5. 'market' orientation and 'marketing' orientation are not the same). activities. and also the augmented product such as a warranty and customer service. accounts. Whilst IT and/or software are not the entire story for CRM. and contracts. segments and lists. and retain profitable relationships with functionality for sales planning and forecasting and the management of territories. Sales CRM enables you to acquire.means that the wholes organisation is focused upon the needs of customers.
the Web. channel service. and e-service provides flexible delivery options. collaborative selling. and service analytics. communications. and interaction center management. and service efforts across all touch points. Web channel enablement Increase sales and reduce transaction costs by turning the Internet into a valuable sales. field service. . and Web channel analytics. resource planning. human resources. Improve processes for partner recruitment and management. e-service.CRM can drive service revenue and profitability with support for service sales and marketing. warranties. Increase profitability and reach new markets with a fully integrated Web channel. including voice. and analytics for partners and channel managers. channel marketing and forecasting. text messaging. Partner channel management With CRM you can attain a more profitable and loyal indirect channel by managing partner relationships and empowering channel partners. Functionality to support call centers. you can maximize customer loyalty. including support for e-marketing. consistent experiences across all channels. customer service. telesales. partner order management. Business communications management Manage inbound and outbound contacts across multiple locations and channels. marketing. cut costs. e-service. and boost revenue by transforming your interaction center into a strategic delivery channel for marketing. sales. Effectively handle activities such as telemarketing. in-house and depot repairs. contracts. IT support. and service channel for businesses and consumers. Integrate multichannel communications with customer-facing business processes to provide customers and partners with seamless. More effectively manage service orders. and e-mail. ecommerce. Running an interaction center Customer interaction centers are places where you meet your customer face to face. With CRM. complaints and returns.
Increase accounting accuracy of trade and financial results with backoffice integration. Trade promotion management CRM will boost a company's brand presence and profits with visibility into and control of all trade related processes. promotions. and retail execution. and more. service-level agreements. a business can: • • • • • • • Provide better customer service Increase customer revenues Discover new customers Cross sell/Up Sell products more effectively Help sales staff close deals faster Make call centers more efficient Simplify marketing and sales processes 10 ways a CRM system will improve an organisation… . develop. Using CRM. up-selling. Plan.Real-time offer management Turn all customer interactions into opportunities to build customer relationships and generate revenue. Increase your trade promotion success with analytics and enhanced management of trade funds. Take appropriate subsequent actions to enhance customer relationships and ensure relevant and personalized customer interactions. and retention offers. Gain key business insights to help you optimize trade activities. and execute cross-selling. claims.
2. A CRM system can also help you identify and market to your most profitable customers. This approach allows you to increase your marketing efficiency while reducing the cost. Improve Call-Centre Efficiency and Service: In a call centre. Anytime Information Access: The web access option gives mobile employees instant access to the centralised data to support their all their activities to improve their time efficiency while also being more prepared and knowledgeable when interacting with your clients. Report and Analyse Customer Feedback: Including quality control and evaluation results. Improve Organisation Performance and Productivity: The centralisation of data results in faster customer service. 6. Store. improved data accuracy and the ability to quickly and easily access and share information to boost your productivity. Improve Client Profitability: Have the information to create and sustain individual client relationships and boost client satisfaction to maximise profits. 3. 7. 4. 5. Improve Decision Making Through Better Client Knowledge : Have a sharper competitive edge. . a CRM system enables employees to quickly and effectively access the client information to decrease the time of the call. to ensure a prompt reaction to any scenario that may arise. Call Centres can also automatically identify incoming calls and instantly loads a complete client history ready for the employee. enabling you to sell more effectively and attract new customers. Professional Quality Controlled Documentation: When templates and documents are held in one location your organisation improves and you can easily achieve a consistent brand image.1.
such as a the Automatic Version to check you are working from the latest version and full audits of all actions between your organisation(s) and your client. history tables.8. instant data field creation for the information you didn't know you needed yesterday. Better Management Information: Parameter driven reports. ADVANTAGES The advantages can be summarized according to the Feature Marketing • • • • • Make intelligent business decisions with enhanced customer insights Increase marketing velocity and speed to market Maximize visibility into and control of your entire marketing process Drive customer demand Increase returns on your marketing investments Sales • • • • • • Grow profitable relationships Maintain focus on productive activity Eliminate barriers to productivity Improve sales efficiency Service Transform service into a profitable line of business Increase customer loyalty . Minimise Delays: CRM systems become the focal point of all client activities within your our extensive performance optimisation developments and an intuitive interface ensure that users experience the minimum delay when operating a mission critical operation. 10. 9. Enhanced Quality Checking: Including a range of built-in features.
• • • Drive revenue Reduce costs of customer service and field service Decrease service giveaways Web channel enablement • • • • • Drive revenue and extend market reach Increase customer convenience and satisfaction Reduce the cost of sales and support Build lasting customer loyalty Improve sales and service profitability Running an interaction center • • • • Increase customer satisfaction Improve credibility with your customers Increase revenue and productivity Manage the customer interaction life cycle Partner channel management • • • • Boost revenue through channel collaboration Reduce indirect channel support costs Increase partner satisfaction and ease of doing business Maximize value to your customers by enabling your partners The types of data CRM projects collect • • • • • • • • Responses to campaigns Shipping and fulfillment dates Sales and purchase data Account information Web registration data Service and support records Demographic data Web sales data Some CRM Disadvantages .
Overhead If the company decides on a local CRM application. If the company chooses a small CRM application that is not stable. which adds an expense to running a personalized CRM application. system administrators and maintenance people to keep the software running. If the software is proprietary. there are overhead costs associated with running the software. the company needs to pay software developers. The CRM training is also different for managers compared to regular staff. because most CRMs have specialized functions for managers and executives.Record Loss Some CRM applications use remote Internet connections to save customer records.The disadvantage of this type of CRM is that the company does not have control of the data. Training takes away time for productivity. Salesforce is a popular CRM application provided through an Internet connection on the company's domain . When using a remote CRM application hosted by another company. Having a local personalized or proprietary CRM system also requires the owner to do system upgrades and security patches to ensure the integrity of the system. These extra functions are also required learning. the company is unable to retrieve records. Large corporations need to roll out training schedules for all their employees. it can mean several thousands of dollars in lost revenue. Training If the company is small. For large-scale CRMs. and if the remote CRM system has an outage. training issues may be a small disadvantage. The training requirements can be as short as a few hours or can take up to several days. CASE STUDY Polaris Industries Situation . so it is a disadvantage for brand-new CRM systems. use local backups to avoid record loss. this can mean hiring professionals to train employees in groups. There may also be system downtime. It's also important to keep backups of the information.
Service & Marketing at Polaris. A dealer extranet site allows dealers to log their own cases into the Polaris system. Solution Inetium recommended that Polaris implement Microsoft Dynamics CRM 3.0 and Microsoft Office SharePoint Portal Server 2003 with Windows SharePoint Services. Project Manager for Sales. making it easier for them to serve their Polaris customers. Using the collaboration features of Windows SharePoint Services and SharePoint Portal Server 2003. dealer or vehicle. and easily access pertinent information related to their cases.Five separate teams within Polaris provide support to dealers. Inetium worked with Polaris developers and managers to build customized SharePoint sites to help Polaris manage content and business processes.” said Bede Braegelmann. a dealer called to discuss an open case. Inetium also integrated CRM with Polaris' legacy applications.to-use forms that pre-populate with existing dealer information and dynamic drop-down menus that only show choices relevant to that type of case. Benefits It’s now easy for support representatives to access the information they need to resolve issues in a timely way. . None of the systems were capable of providing a single. custom views of case records. update records. “One hour after implementing Microsoft CRM. Microsoft CRM integrates with the desktop productivity applications Polaris already was using. consolidated view of all calls related to a specific customer. SharePoint dashboards feature easily changeable.000 per day. Each support team maintained its own call-logging system. the support representative accessed the records needed to successfully handle the call. easy. With one click. simplify how staff find and share information. In addition. With support calls coming in at a rate of more than 1. which provide critical information on order status. internal sales staff and consumers. They can also access detailed information on Polaris services and products. and enable more informed decisions among managers. materials schematics and component parts. it was imperative to find a way to address dealer inquiries more efficiently. built on legacy technologies. The cumbersome process was frustrating for both support representatives and dealers. making it difficult to pull together all the information related to an ongoing case. Excel and Outlook. including Microsoft Office Word. the existing systems lacked reporting and analysis capabilities that would allow Polaris management to assess the effectiveness of customer service operations. making the new application easy for employees to learn.
In addition. Customized forms also saved time by displaying only the fields necessary for that particular issue and automatically validating the VIN and serial number. M-Viron’s requirements meant that the majority of outbound calls are made to mobile phones. Productivity increased because staff spent less time mining data and more time focusing on customer needs.The intuitive screens in Microsoft CRM made it easy for employees to transition from legacy programs. Polaris management gained a 360-dgree view of customer service operations and communications. managers can now uncover recurring or widespread issues and adjust operations to resolve those issues. Sarah was put off by the price but was interested in the concept. M-Viron can now generate inbound calls by leaving messages on customers’ voicemail. took over one shop in January 2004 and then the Stone branch in September 2006 – which is where the call centre is now based. was looking to grow the business and was approached by a competitor who was interested in selling her their predictive dialing solution. Why Did M-Viron Choose Telecom Applications? . but had some Business to Business customers. The Business Challenge M-Viron operates in an extremely competitive sector facing varied business challenges on a daily basis from 3rd party retailers as well as the networks themselves. The adoption of the Telecom Applications solution with the TouchStar Dialler software meant that only live calls go through to their advisors as the software identifies engaged tones and phones which are set to voicemail mode. so decided to start looking into alternative solutions and came across Telecom Applications. M-Viron Case Study Company Background M-Viron is the leading network of local Orange mobile specialists with 17 outlets across the UK. Managing Director Sarah White. With the new capability to view data from a variety of different perspectives. with their two telesales staff making all sales calls on mobile phones. The company has grown over the last few years from 7 members of staff in 2005 and now has 18 employees. At the time M-Viron focused on retail. Managing Director Sarah White.
which is very important and useful to a company like ourselves. Implementation At the point of sale.” said Sarah White. “The implementation went smoothly with no problems. I liked the look of the software and was very attracted by their straight talking and honesty. not only did the product have all the functionality that I required. The intelligent scripting tool allows the advisor to enter all the information into the script and dependant upon the answer to the question.” said Sarah. will determine the direction in which the agent is directed. it was also at a very reasonable price” “They understood that I wasn’t a millionaire and also the limitations of a small business.M-Viron were looking for the whole call centre package and were pleasantly surprised to find that Telecom Applications could provide the whole package from the Touchstar dialer. “After finding Telecom Applications whilst searching on the internet I organised for them to come and demonstrate the software to me.” Our Solution Telecom Applications installed a fully DMA / FSA compliant integrated blended call centre solution that was provided by TouchStar-Software UK. as we have to operate outside the normal 9-5 working hours. Whisper coaching allows dedicated trainers and coaches to help train staff whilst on the phone passing them valuable information with the customer blissfully unaware.” “They were very accommodating with all my requests and did their best in ensuring that all of my needs were met” “Another deciding factor was the 24/7 support that they offered. to computers and even the furniture. “After also speaking to some of their competitors I was pleasantly surprised when I received the quotation. Telecom Applications advised that installation and training would be completed in 5 days and that there would be little interference with the day to day running of the business. .and all of this is done without any human intervention. the engineers arrived on Friday and by Tuesday we were able to load data into the dialler and start making calls. The fully automated dialler ensured that M-Viron hit OFCOM’s 3% drop call target by adjusting the settings if the drop rate went too high .
Results • • • • Increased productivity Increase in sales not just proportionate to increase in staff More than met all DMA & Ofcom requirements Company grew from 7 to 16 agents in 8 months . Lease Cost Routing. Valuable training was provided by TouchStar coupled with 24hr support -eradicating issues before they affect the business Reports are easily generated with detailed statistics. Intelligent scripting tool which provides the advisors with an aid to help them throughout the call New Campaigns can be created in minutes Campaigns can be changed without any disruption to the advisors Flexible and scalable – grows with your business Value added extra’s (e. 0870/0845 numbers.Benefits of Telecom Applications Solution The following are some of the ways in which Managing Director Sarah White believes M-Viron has benefited from the Telecom Applications solution: • • • • • • • • • • Call Recording became a necessity for all Orange retailers and without the call recording functionality M-Viron wouldn’t have been able to continue trading The system is quick and easy to use and is backed up by constantly available support from the TouchStar and Telecom Applications team.g. real time and historic reports. Cat5 Cabling etc) All of the above has led to substantial Increases in productivity and sales.
com/Customer-Relationship-Management-%28CRM%29-KeyBusiness-Process-areas/a42p3 http://www.com/customerserviceguest/crmhistory.html http://crmtutorial.REFERENCES: http://customerservicezone.php?id=50444 http://advantagesofcrm.htm http://www.com/tutorials/crm/the-history-of-crm.COM/_WSN/PAGE3.crm2day.com/content/t6_librarynews_1.com/disadvantages-to-crm/ HTTP://CONCEPT2INC.exforsys.HTML .
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