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GRADUATION RESEARCH PROJECT

Analysis of the efficiency of the existing CRM policies of Calvin


Klein and gathering suggestions for company’s betterment

Submitted by :

ROSHNI .V.K
MASTERS IN FASHION
MANAGEMENT

IN PARTIAL FULFILLMENT OF THE POST GRADUATE DEGREE "MASTER OF


FASHION MANAGEMENT (MFM)"

Submitted to :

Department of Fashion Management Studies (FMS)

National Institute of Fashion Technology (NIFT)

Plot no. 15, Sector 4, Kharghar, Navi Mumbai, Maharashtra -


410210 Phone: 022 2774 7100
Web: www.nift.ac.in
Project under : MARKETING - ON CRM
( Analysis of the efficiency of the existing CRM policies and
gathering suggestions for company’s betterment)

Date: 10th May, 2017

Guided by:

Mr. Sushil Raturi ( Associate Professor, MFM Dept, NIFT Mumbai)


and
Mr. Rudresh Muddappa
(Area Manager, South Region - Bangalore)

LOCATION : CALVIN KLEIN JEANS - PHOENIX MARKET CITYMALL,


WHITEFIELD

Submitted By :

ROSHNI .V. K

MASTERS IN FASHION MANAGEMENT


NIFT MUMBAI

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CONFIRMATION BY ACADEMIC ADVISOR

This is to certify that Ms. ROSHNI. V. K of National Institute of Fashion Technology (NIFT),
Mumbai has successfully completed her Graduation project work titled “Analysis of the
efficiency of the existing CRM policies of Calvin Klein and gathering suggestions for
company’s betterment” in partial fulfillment of requirement for the completion of 2 Years
Post Graduate Programme "Master of Fashion Management (MFM)" as prescribed by the
Department of Fashion Management Studies (FMS), National Institute of Fashion Technology.

This 'Graduation Research Project' report is the record of authentic work carried out by her
during the period from 9th Jan, 2017 to 24th April, 2017 under my mentorship.

Signature

Sushil Raturi
Associate Professor, Dept. of Fashion Management Studies,
NIFT Mumbai

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ACKNOWLEDGEMENT

I would like to take this opportunity to express my profound gratitude and deep regard to my
mentor, Mr. Rudresh Mudappa (Calvin Klein, The Cluster manager, South region), for his
exemplary guidance and constant encouragement throughout the duration of the project.

I would like to thank Mr. Eshank Bedi (Calvin Klein, The Regional Manager, South region)
who took his valuable time to brief me about the project.

His valuable suggestions were of immense help that I got passionate in knowing more about the
functioning and operations of the company. Working under his guidance was an extremely
knowledgeable experience for me.

I would also like to give my sincere gratitude to the Store manager, Mr. Sajjad Pasha (Phoenix
market city mall, Whitefield, Bangalore) and the colleagues who so graciously agreed to
participate in my study. In the course of gathering this material and collecting the data, I had
invaluable assistance from the VIP tier customers who spent their time to get my questionnaire
filled up and respond to my queries based on the project, without which this research would be
incomplete.

Special thanks goes to the Calvin Klein’s HR Team, Ms. Rashmi Gadakh and Mr. Aynsley
Moses who had accepted my request for doing my graduation project- internship under the
reputed brand, Calvin Klein for the required duration of 4 months. Their support and motivation
and trust in me had helped me gain passion in completion of the project successfully.

I express my deepest thanks to Mr. Sushil Raturi, Professor, NIFT Mumbai for his valuable
support and in giving necessary advises and guidance for the same.

I believe that I am tremendously fortunate to have worked with Calvin Klein, and I’m deeply
appreciative to each of the ones who helped me complete the project on time.

ROSHNI V.K Date: 10th May, 2017

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DECLARATION

I Ms. ROSHNI.V.K, hereby declare that the Graduation Research Project (GRP)
entitled
“Analysis of the efficiency of the existing CRM policies of Calvin Klein and gathering
suggestions for company’s betterment” is the result of my own research work carried
out by me during the period from 9th Jan, 2017 to 24th April, 2017 except as cited in the
references. This report has been submitted to Calvin Klein’s Head office at Bangalore for
their reference as well.

Signature

ROSHNI V K
10th May,2017

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ANNEXURE - VI
(A typical Specimen of External Jury Examination Proceedings)

NIFT: MUMBAI

Proceedings of the MFM GRP External Jury Examination of Ms. ROSHNI.V.K.


held at _________ am/pm on _______________ in NIFT, Mumbai

The GRP Internal Jury Examination of Ms. ROSHNI.V.K


on her MFM GRP report entitled “Analysis of the efficiency of the existing CRM policies of
Calvin Klein and gathering suggestions for company’s betterment” was conducted in the
_____________ at ________ am/pm on ________________ .

The following members of the External Jury were present:

1.

2.

3.

4.

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RECOMMENDATION

The Research scholar Ms. ROSHNI V K presented the salient features of his/her GRP work.
This was followed by questions from the External Jury members. The questions raised by the
Jury Examiners were also put to the scholar. The scholar answered the questions to the full
satisfaction of the jury members.
Based on the scholar’s research work, her presentation and also the clarifications and answers
by the scholar to the questions, the board recommends that
Ms.___________________________, be awarded the Master Degree in "Master of Fashion
Management (MFM)"

1.

2.

3.

4.

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TABLE OF CONTENTS

CHAPTER TITLE PAGE


NO. NO.
* ACKNOWLEDGEMENT 4

* DECLARATION 5

* ANNEXURE - 6
RECOMMENDATIONS
1 COMPANY PROFILE 10

1.1 Overview 11
1.2 Growth of the global brand 12
1.3 Products 13
1.4 USP’s of Calvin Klein 15
1.5 Success of Calvin Klein 15
2 PROJECT UNDERTAKEN 17

2.1 Project description 18


2.2 Objectives 19
2.3 Methodologies used 19
2.4 Work break down structure 20
3 COMPARATIVE APPROACH 23

3.1 Promotions and customer service 24


programs
3.2 In-store appeal and services 26
3.3 Conclusion to Task (I) 28
3.4 Implementable strategies 29
3.5 Proposed CRM Model 30

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4 RESEARCH ON THE 31
COMMUNICATION FLOW

4.1 Task (ii) - Communication Flow 32


4.2 Refusal to enroll 32
4.3 Task (iii) - Telecommunication service 33
5 THE QUESTIONNAIRE AND 34
ANALYSIS

5.1 Questionnaire 35
5.2 Response 38
5.3 Observation and Inference 39
6 KEY OBSERVATION 47

6.1 Spreadsheet chart 48


6.2 Observations 49
7 LEARNING OUTCOME 51

7.1 Conclusion 52
7.2 Other managerial skills 53
7.3 Bibliography 55

CHARTS AND FIGURES


FIG.1 39
FIG.2 AND FIG.3 40
FIG.4 AND FIG.5 41
FIG.6 AND FIG.7 42
FIG.8 43
FIG.9 AND FIG.10 44
FIG.11 45
CHART.1 39
CHART.2 48

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CHAPTER 1

COMPANY PROFILE

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CALVIN KLEIN OVERVIEW
Calvin Klein is a global lifestyle brand that stands for bold and often minimal yet aesthetic
appeal. As per the AC Nielson Global Luxury Brand Study, Calvin Klein was found to be the
most frequently purchased brand in the world and holds the position for one of the top three
most coveted brands. Calvin Klein Jeans was the first designer jeans brand.
Calvin Klein continues to be a cultural catalyst across the world by embracing tension, brave
and edgy ideas and creating an unusual attitude among the youth. It believes in a culture that
provokes discovery and bold thinking. The team strives to make a positive impact on the world
and inspire passion in the people. They embrace individuality and embody authenticity.

Calvin Klein was founded in the year,1968 by Mr. Calvin Klein and his business partner Barry
Schwartz. They have built their stand as a leader in American fashion through edgy and
seductive designs. Global retail sales of Calvin Klein products increased by $10 billion in 2016
and were distributed over hundreds of countries. Calvin Klein employs more than 40,000
associates globally. By 2003 mid, they were acquired by the PVH Corp., which was one, large
apparel companies in the world.

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GROWTH OF A GLOBAL BRAND

PVH has excelled at growing brands and businesses with rich American heritages as years
passed by, becoming one of the largest global apparel companies. They have over 50,000
associates operating in more than 100 countries with over billions in revenues. They own the
iconic Calvin Klein, Tommy Hilfiger, Speedo,Van Heusen, IZOD, Speedo, Warner’s and Olga
brands and market a variety of goods under these and other nationally and internationally
known owned and licensed brands.

CALVIN KLEIN

Very few designers offer absolutely modern and sophisticated style as of what Avant garde delivers.
Mr.Klein’s Calvin Klein Empire which started off as a small coat company today proudly offers a
wide range of products from apparels to fragrance, underwear to footwear and much more. While
Klein’s chic designs were a rage, it was his launch of tight-fitted jeans that augmented both the
company and his status by leaps and bounds. The denim wear collection. Endowed with a tasteful
sense of fashion, Calvin Klein is one of America’s top fashion designers who created waves through
his minimal yet classic designs. He never infused too many colors in his apparels. In fact, Klein best
used neutral tones in his ensembles to give them richness and opulence. During ‘80s, Calvin Klein
witnessed a rapid growth after the launch of men’s innerwear.

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While the merchandises of CK received critical acclaim, and the advertisements were severely
criticized and created controversy as it portrayed sexiness. The criticisms were for being overly
provocative and socially irresponsible. The advertisements were eventually withdrawn, they
gave the brand much needed publicity.

Calvin Klein’s first step into the world of fashion was when he came as an apprentice
worker for Dan Millestein, in the year 1962, who owned a cloak and suit house.
Passionate and keen, he worked hard to better his own ideas and patterns. Meanwhile,
he designed for other New York shops as well. In 1968, he collaborated with his
childhood friend, Schwartz, to establish his own company, Calvin Klein. At the time of
its initiation, the company was limited to being a coat shop. Klein got his first order
from the Bonwit Teller which was a great New York City clothing store. Fortunately,
the order came as a result of great luck.

His first order made a great effect and earned him awesome reviews from both the
public and fashion press. The store executives were impressed with his work and
encouraged him to expand his line to sportswear as well. By 1971, Calvin Klein
Company had grown rapidly. The establishment traded not just in coats, but classic
blazers, sportswear, and lingerie in its women’s wear and collection. Within a matter of
time, the Klein became quite popular and highly successful and included couture line-
up that provided its women customers custom-made fashionable apparels.

PRODUCTS

Initial attempts to launch a cosmetics and fragrance line were not well-received, and forced are
treat. Determined to recoup the losses, a line of boxer shorts for women and a men's
underwear line were introduced and Calvin Klein became the ultimate name in designer
underwear. A hugely successful marketing campaign created a desire for Calvin Klein
underwear and the company continued to grow, undaunted.

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The fragrance line rebounded and became one of the company's most successful products. In
1993, Calvin Klein was named "America's Best Designer," primarily for his minimal, yet
purely American designs. The Calvin Klein brand has been famous for stirring a bit of
controversy, starting with the famous Brooke Shields ads, in which a 15-year-old Brooke
announced that nothing came between her and her Calvins. Modeling for Calvin Klein would
launch a number of other careers, including those of Mark Wahlberg, Antonio Sabato Jr. and
Kate Moss. Currently, Calvin Klein remains a fashion leader, with the following brands
providing major draws:

- Calvin Klein Collection, the high-end designer line


- Calvin Klein Sport
- Calvin Klein Jeans
Calvin Klein Underwear
- Calvin Klein Watches + Jewelry
- CK one Lifestyle
- Calvin Klein Home

Calvin Klein features a stunning array of classic and popular fragrances. Such household names
as Obsession, Eternity, ck one and Euphoria are all part of the famous Calvin Klein line.

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Obsession, stunning and sensual, was launched in 1985, and was recognized immediately for its
intense scent. Eternity features a sweeter floral profile, and is noted for its clean and feminine
fragrance. The modern scent of ck one is designed to be appropriate for both men and women.
Clean and refreshing, the light fragrance is meant to be splashed liberally, ideal for close contact.
Euphoria is a sexy fragrance, with exotic fruit notes and fragrant florals , blended into a rich and
sensuous scent.

USPs OF CALVIN KLEIN


• CK is a Global Fashion Giant : Rs. 50k+ Cr with Widest range of product line
• Ability to upscale.

• Superior products.

Specific to India
• The brand with highest recall in BTL segment in India.

• Pioneer concept store i.e. CKU\Lingerie\Accessories stores.

• Arvind industry leader.

• Significance Of CK in Arvind’s portfolio.

SUCCESS OF CALVIN KLEIN

Calvin Klein himself was featured on the cover of "Vogue" the following year. The brand
quickly expanded, adding sportswear, blazers, lingerie, linens, scarves, shoes, sunglasses
and more. By 1978, jeans had been added to the Calvin Klein line and were a hit, inspiring a
designer jeans explosion.

Simple and brief are the main characteristics of CK brand. It is the main trend in the fashion
world. Calvin Klein is always confidence and clever. He considered his design work as modern
products. He will continue to focus on aesthetics and purely simply. He concentrates on elegant
and easy style. He is always trying to be pure, sexy and elegant. He will do everything

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what he can to display consolidated manner. He thought customers can follow his design and
cooperate with him. The key role of CK brand is sexy. So CK advertisements are full of sex
and tempting. Its advertisements often use naked model to establish perfect and artistic image.

However CK may use subtle methods to promote its products to increase popularity. It caused
quite a lot dispute. And it is also criticized by the British advertising standards department. His
sexy concept is varied and colorful. So recently CK uses a group of vigor and young people
who has bright smile and beautiful body to show CK spirit. This kind of enthusiasm overtake
the heart of customers. CK wants to continue to inject the vigor spirit to social and family life.

The next brand schedule is to invade modern class to develop and create suitable dresses.
Middle level career ladies are accessible and courteous. However they don't want to spend time
on dressing. They like to wear elegant and easy clothes. Actually it is the main stream of future
modern life. As for body figure, they are pure and fresh. Thus the central plan of CALVIN
KLEIN is to establish sexy and natural lifestyle to increase awareness.

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CHAPTER 2

PROJECTS UNDERTAKEN

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PROJECT DESCRIPTION:

(i) COMPARISON:
- Of the different brands and their outlets that would match to Calvin Klein’s positioning
and comparing on the aspects of promotions being carried out, customer service programs /
clubs (CRM) if they have any for the frequent customers of the store.
- Of the in-store ambiance, merchandise assortment, VM, staffing, sales etc.

(ii) RESEARCH:
- About the communication flow in the staff - customer relationship ( especially with the
VIP tier customer )
- Research on why the customers refuse to enroll on the VIP club service that’s been
provided.

(iii) TELE COMMUNICATION SERVICE :


- Of how effective it has been, how the VIP customer responds and feedback.

(iv) THE QUESTIONNAIRE FOR THE VIP - TIER CUSTOMERS :


- It includes asking them about the service that we provide, the relationship, that’s been
maintained ( communication - flow and the message - conveyance) , it’s effectiveness, in-store
experience - rating, suggestions for betterment and feedback ( On the VIP Club services )

The basic objective of the questionnaire is to know how the customers position CK in their
minds and analyzing the effectiveness of the VIP Club benefits and inviting suggestions for
betterment of Sale - operations.

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OBJECTIVES

From the basic project description,the objectives been driven are:

 To study about the existing CRM Policies of Calvin Klein,India.

 Comparative approach to competitive brands and analyzing the efficiency of the CRM
policies.

 To develop a new CRM Model for the brand for it’s betterment in CRM standards.

METHODOLOGY USED

 The secondary data - Calvin Klein’s existing customer care policies and promotions which
acts as the existing knowledge to do the researches that is to be done for the analysis of how
efficient the customer relationship management policies are carried out across.

 Observational method -The research on the tele calling efficiency,the responses from the
VIP Tier customers to the questionnaire and about customer’s stand on the policies and the
brand.

 Data collection - The comparison of other competitive brand’s CRM standards and policies
to that of Calvin Klein’s policies and hence in drawing out a conclusion on it’s efficiency
and the survey responses that’s been collected from the respondents who are the potential
customers of Calvin Klein,India.

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WORK- BREAK DOWN STRUCTURE

START DATE END DATE TASK

9th Jan,2017 9th Jan,2017 Visited HO, joined CKJ


(Joining day) team for PMC,
Whitefield, Bangalore.

10th Jan,2017 12th Jan,2017 Gaining knowledge


about the CK
merchandises,
assortment, basic store
operations, price
ranges.
13th Jan,2017 31st Jan,2017 Customer service,
interacting with the
customers,
communication flow,
CRM
1st Feb,2017 19th Feb,2017 Visiting other stores of
the mall (TH, Guess,
Gas etc.) to know and
compare the CRM
policies, sales and
in-store ambiance
efficiency. ( Task (i))
6th Feb,2017 8th Feb,2017 Preparation of the
questionnaire ( Task
(iv) and updating the
same online.
9th Feb,2017 30th March,2017 Responses retrieval,
customer service -
drawbacks and
suggestions for the
improvement )

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10th Feb,2017 30th March,2017 Customer service,
interactions, analyzing
the reasons for not
enrolling for VIP Club
or regular services, and
feedback receipt. ( Task
(iii))
19th Feb,2017 19th Feb,2017 Completion of Task (i)
- documentation

20th Feb,2017 28th Feb,2017 Tele-calling the VIP


customers to introduce
the offers and
promotions and
customer services.
28th Feb,2017 30th March,2017 Customer services,
Task (iii) completed -
documented.

1st March,2017 30th March,2017 Customer services,Task


(ii) completed.

15th March,2017 28th March,2017 Tele calling of the VIP


tier customers about the
double-points benefits
and other promotions.
29th March,2017 31st March,2017 Gathering of the raw
data to document fairly.
Preparing to send the
1st draft to the HO by
6th April,2017.
1st April, 2017 6th April, 2017 Documentation of the
collected information.

6th April, 2017 6th April, 2017 Sending the first draft
of the progress to the
HO.

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6th April,2017 19th April,2017 Working on the task
(iv) to completion

20th April,2017 22nd April,2017 Final documentation

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CHAPTER 3

THE COMPARATIVE APPROACH

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Task (i)

COMPARATIVE APPROACH
Brands to compare with CK : Tommy Hilfiger, Guess, Gas, Marks &Spencer

* PROMOTIONS AND CUSTOMER SERVICE PROGRAMS:

TOMMY HILFIGER-

- The promotions and offers that was on during the month of March,2017 was, if shopping
for 35k, one would get a 9000Rs gift voucher free, else for 15k, 7000Rs gift voucher free
which was open to
all. There was no special offers running for the VIP customers.
They had this idea of sending out the “We miss you” card to the customers who had done
shopping for quite a good amount and has not turned back to the store for a while. This
worked well enough, irrespective of the VIP tier customers the people use to rush into the
store to just redeem it and sometimes they ended up buying something else along with it as
well. Their whole idea was to get the customer to the store and were successful in it.

During the EOSS time, Feb-March, they had wonderful offers which was open to all like 50%
off on most of their merchandises and additional 5% discount if using the ICICI card for the
card payment. On non-discounted merchandises, the VIP customers always get additional 10%
off each time. It is a lifetime offer. They become a VIP customer after a purchase of 20K at a go.
While, during the last two weeks of the EOSS sale, they had special offers on different
merchandises (watches and accessories) for a very limited period like that ends just in 2 days
time. They inform their regular customers on this and they sometimes end up meeting that need.

This is a good strategy where you get to see a rush at times when the offer is made to a “limited time”.
That can get the customer think and rethink on the same if to go or not for the offer.

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GUESS-

- Unlike other brands and outlets, the Guess team has the EOSS sale still running, even though the
major portion of the store (about 85%) is all of the new season stocks. The sale is upto 50% off o
the last season merchandises. Their tele calling and communication is not that effective, still they
manage to get the walk-ins due to the “Sale” and also by creating that pleasing ambiance.
They keep a record of their customer’s name and contact details and instantly asks for the
feedback as well. It is done manually, giving the customer the opportunity to enroll themselves in a
book they call, “ Customer visitor book ”. There is a column, asking them if they would like to get
updated with the offers and discounts via messages or emails.

They don’t record any separate details of their VIP customers and hence there is no club as such.
But once their customers shop and record the name, according to their priorities and feedback,
they respond and communicate via messages and tele calling.

Once the customer shops for 40K, they become eligible for getting the complimentary gifts that
could be in the form of accessories like wallets and pouches mostly, but not instantly. This offer
is not always on.

GAS-

- The team GAS uses the software, “Retail - r- Pro” for billing and they have the in-built option to
save customer’s basic information. There’s no discounts running on after the new stock launch in
the stores, hence the regular walk-ins are not that much. There’s no special offers or discounts for
the regular customers as such after the launch. They do tele calling often for their regular customers
though. There is no loyalty programs as well.

MARKS & SPENCER-

- The Marks and Spencer team has this loyalty card program which is divided to various segments.

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They are the ‘Club member’, ‘Premier member’ and the ‘Elite member’. There is no voucher
issued for the club member, once they enroll, they get a 10% off offer on their next purchase. As
for the premium member customers, who became premium members by purchasing for 15K at a
bill, there is a discount of 15% off given for their benefit. The elite members are the ones who
shopped for 65K from M&S and they get to shop with a 20% discount later on their purchases. The
premium members will be issued with a gift voucher of 1000Rs and the elite member with a
5000Rs voucher which they could redeem in a limited time period (3 - 4 months). For each time
purchases the points get added too.

The customers get additional benefits like 15% off on their Birthdays or anniversaries as well.
They get to update their birthday details over the mail link which they send them after enrolling.
Always the new member of M&S get a 500Rs welcome voucher, which they can redeem after 2
days time. Apart from these, they have the “ Just for You” cards which are the gift cards they get
to buy for how much amount they wish. They do the tele calling and messaging according to the
customers request for the information of new stock and frequent great sale discounts.

* IN-STORE APPEAL AND SERVICES:

 Tommy Hilfiger, puts enough effort to maintain the window displays, niches and walls to
go with the universal theme being followed across rest other stores. If replenishing the
merchandises on the floor, they make sure it goes with the wall’s story and theme as they
have different stories to match to their merchandises kept on the walls. Their main focus is
on the above mentioned as well as on the man-power.
 They believe more the number of fashion consultants to attend customers, more the sale
would be. The third thing that they matter is matching the staff’s grooming and trimmings
according to the brand’s standards and them being loyal to their culture that they follow.
 The VM team visits often, whether they receive the new stock or not, they come up to check
if the theme is been matched to merchandises been kept or had gone misplaced. They set the
store’s merchandises and take care of assortment in the launch night usually. They make
sure it is all set before the customer walk ins.

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 The team, Guess don’t have any strict maintenance of the VM and staffing. Monthly once
the VM team will visit but they make sure their in-store displays change weekly to kill
the monotony which is quite a good thing to attract customers.
 The theme is been followed anyways but the placement is in-fashion with lighter to
darker shades.
 The uniform policy just like the other brands are followed. The briefing is strictly done which
they call it ‘5 mm briefing’ where they share the YTD and per day’s sale target.

 At GAS, they assign a store-VM, who has to take care of the placements and
replenishment.
 The VM team rarely walks in to the store though, but each store-VM is responsible for
the merchandise placement according to the centralized theme and story.

 Marks & Spencer functions almost the same as others with the uniform policy where the
managers wear white and staffs, black.
 Something that they strictly follow is the frisking to ensure security. The ambiance and
the rush is usual because of their attractive VM displays and wide open doors which
warmly welcome the customers to itself.

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CONCLUSION TO TASK (I):

Calvin Klein’s customer service programs are comparatively good, as compared to those of
the brands mentioned above. Calvin Klein has this VIP tier programs ( Blue tier level -
eventually crossing the total purchase amount of 20K, and VIP tier level - in a single purchase,
crossing 20K )
A little more input in getting the customers enrolled could push this bit to a better extend. It is
noted that some customers do refuse to get them enrolled, the main reason being the feeling of
not getting much benefits out of it in the future with their purchases.

To tackle this, a welcome card or something like that could help them getting the feel of being
special to us and our club with a small amount to redeem later. Even though CK is not lagging
behind when it comes to the aspects of CRM policies and also with the in-store service and
experiences, it is possible that it could be even better with the existing CRM strategies itself.
Yet, found some implementable ideas though, for the betterment.

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IMPLEMENTABLE STRATEGIES :

 Like one of those Tommy Hilfiger’s policies to get the customers always bounce back to
the store after one purchase, CK can have something similar to the “ We miss you” cards
which are the coupons of, say 1000Rs or 1500Rs which to the customers will be sent
when not seen for so long ( 3 - 5 months) to the store with a certain validity period. This
strategy could rush the customers to the store at least once again to redeem it or can lead
them to purchase even more that that if they like something instantly at the store.

 Another thing that could be implemented is something similar to that of the Marks and
Spencer’s strategy like we could have a “ Welcome to Ck Club ” card which could be
given to the customers after their first time purchase. This could be given instantly but
can keep a barrier like they can redeem it after 3 or 4 days. By this way we can expect the
customer bounce back in 3 days time at least and there are chances that they end up buying
more as there are chances that they won’t come up again just to redeem a small amount of
500Rs off or 1000Rs off card.

 CK can also have a “ short time period sale”, like, fixing some ‘happy hours’ on the
weekends, say, from 4pm-8pm with benefits for the VIP tier customers like additional 10%
or 15% off on limited merchandises.

 When it comes to the store ambiance and appeal, CK could do better.


Being the BTL brand, that pride has to be kept with the merchandises as well with proper
focus lightings, and CK’s theme-old which was the black and white classy look and
appeal which people still admire. The store has to stand out among the other brands with
proper freshness and fragrance being maintained throughout the run-time of the store.

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 Another thing is to frequently check for replenishment if needed and mixing and matching
of styles to break the monotony of the placement.

This includes the changing of mannequin’s postures and style/clothing if needed,the


replacement or mixing of the merchandises placed especially at the entrance. This is to avoid
the chance of customer thinking like there’s no change at all with the store and it’s
merchandises. Always a refreshing look could help much with getting the people to the store.

PROPOSED CRM MODEL

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CHAPTER 4

THE RESEARCH ON THE


COMMUNICATION FLOW

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Task (ii)

RESEARCH :

* COMMUNICATION FLOW

The in-store communication flow between the customers and the fashion consultants are found
to be fairly good. The review by the questionnaire proves it; as most of the people (esp. The
VIP tier customers) are fairly satisfied as it helped always in meeting their needs at the store.

One thing that could help improve the communication flow would be trying to make it more
casual and personal when it comes to deal with them personally, offering them water to drink if
needed, resting while the other-significant is trying out some fit, and having a pleasing look.

The flow has to be natural, coming from heart, to help. A bit


personalized approach could boost the build of stronger bonds with them. Constant tele callings
are already practiced at the store when there’s any promotions or additional discounts, which is
a good way to keep the customer engaged.

* REFUSAL TO ENROLL

It was found that some customers refuse to enroll themselves up after their purchase, the main
reason being their busy-life and they chuck the offer off, not deep thinking. This obviously
can’t be changed .

Another reason which has been found was, they feel it won’t be of any use to them later. The
way to tackle this is by making them feel special right at their first entry to the store. Apart from
good services, finally at the time of billing, they could be given a “ Welcome to CK Club”
card which acts as a coupon to redeem later with their purchase ( As mentioned before). They
would clearly feel privileged to walk to the store next time.

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Task (iii)

TELE COMMUNICATION SERVICE :


( of how effective it has been, how the VIP Tier customers responded, and their feedback)

The tele communication service was found to be effective in getting in touch with the core
customers of Calvin Klein. It was constantly carried out during the EOSS sale time and the
special promotions for the VIP tier customers. But about 40% of the customers only turned
back after effective tele calling being carried out during the EOSS sale time.

The problem what I could find is not completely from the side of CK as they maintain proper
records of their feedback on how positively or negatively they respond to it. The main reason is
that the majority of these customers are of a busy schedule and hence they end up not coming
up as they promised, or may feel lazy after their hectic daily schedule or might have other
priorities.

In this matter, there is nothing that could be done from the store’s side to tackle that. Apart from
it, CK team can take an initiative to make the customer feel special and privileged by the
aforementioned ‘happy hour - sale’ strategy which is very limited and is much beneficial for
them.

33
CHAPTER 5

THE QUESTIONNAIRE AND THE


ANALYSIS

34
Task (iv)

THE QUESTIONNAIRE AND ANALYSIS :

The questionnaire includes asking the VIP tier customers (inclusive of few blue-tier as well)
about the service, the relationship that is been maintained (communication - flow and message
conveyance), it’s effectiveness, in-store experience - rating, suggestions for betterment and
feedback.

The basic objective of the questionnaire is to know what the VIP tier customers position Calvin
Klein in their minds and the effectiveness of the customer relationship management.

The online link to the questionnaire is :

https://docs.google.com/forms/d/e/1FAIpQLSfNnt0_M7gqO5_zpyYQsm
fnjrqts2sAUxDA3Uf-n6ICfzhytQ/viewform

The questionnaire is as follows:

CALVIN KLEIN (CUSTOMER RELATIONSHIP MANAGEMENT)

This questionnaire is to retrieve information about the Calvin Klein's core customers and to
analyze their level of satisfaction with the products and services that's been offered from the
stores and to provide them an opportunity to give suggestions and feedback for the betterment
of the brand's schemes and services.

The basic objective is to know where we stand in their minds and to know what we lack
when compared to other brands they love and follow.

35
Name : Contact number :
Age group : Occupation :
o <25
o 25 –
35 o 35<
…………………………………………………………………………………………………

VIP Member of Calvin Klein?

o Blue tier
o VIP tier
o Not sure

1. How often do you visit the CK store or shop for our products?

o Quite often o
When in need
o Not Impulsively/Casually Rarely

2. How would you rate the merchandises and in-


store services of CK by your personal
experience?

3. Are you aware that one can shop for CK products online, from nnnow.com ?

o Yes
oNo

4. Would you be considering to go for the online or the in-store shopping mode?
o Online ( nnnow.com) CK stores
o Other sites/apps

5. Are you satisfied with our VIP customer policy benefits?


o Yes
o No The Justification:

36
6. Any suggestions to improve the services being provided to make you feel more
convenient?

…………………………………………………………………

7. Which other brands share a good portion in your wardrobe?

…………………………………………………………………

37
THE RESPONSES

A Total of 25 VIP Tier customers participated in the CRM feedback questionnaire. The
Participants of are as follows:

38
OBSERVATION : Chart.1

Fig.1

39
It was found that out of 25 customers who responded, about 52% of the VIP Tier customers are
aged above 35 years old. Whereas the brand Calvin Klein focuses more on sophisticated
youngsters, than the adult and married class.

Fig.2

About 92% of the participants were the VIP Tier customers and the remaining 8%, Blue tier
customers. This 8% of the Blue tier customers was included so as to know if they would like
to suggest on any improvement in terms of service being provided to that set.
Also it was found that majority of the customers fall under the working class and are settled in
life. Most of them are into Business though.

Fig.3

From the results, it was noted that majority of the customers shop when they are in need (About
44% ) and about 40% of the respondents do shop casually or impulsively.

40
The quite-often purchasers/ store visitors are of low percentage (about 16% ) only.

INFERENCE :

This small fraction of the respondents (16%) who shop quite often could be increased to a larger
percentage by attractive offers that is beneficial for the customers a s well as the company. (Few
suggestions are under the “ IMPLEMENTABLE STRATEGIES” section under the Task (I))

Fig.4

It was found that all the customers perceive the Brand, Calvin Klein’s products and services
being delivered to them with a high rating of 5 out of 5. This result is a gist of how the
customers position the brand compared to other brands they follow and use.

Fig.5

It was also recorded that most of the customers have Tommy Hilfiger’s and Levi Strauss’s

41
products in their wardrobe other than Calvin Klein’s . These brands probably might have
been successful in attracting the customers back to the store for more or might possibly are
doing well with the customer services and management like Calvin Klein.

Fig.6

About the online presence awareness, among the 25 respondents, it was noted that about 68%
of the people were informed about nnnow.com which is quite fair.
The awareness to the nnnow.com could be done more effectively to indulge more customers to
try the same out. There are chances that the customers will go for the same once they gain the
trust on the features that they value while purchasing like, authenticity, color they are looking
for, apt size of the product etc.
Their busy-schedule and work life has led them to restrict themselves to walk to the store at
times. Hence, there are chances for good success in pushing customers to buy online through
nnnow.com.

Fig.7

42
OBSERVATION :

It was found that even though about 68% of the people were aware of the “ nnnow.com”,
there is a fair number of customers, about 56% of the total, which is 14 respondents to be
precise who are willing to go for the nnnow.com - purchase.

The main reason as researched was found to be their busy-schedules and work life that kind of
restricts them to find time for a casual shopping.

INFERENCE :

The result proves a fair chance of success of the “nnnow.com” as despite the awareness of the
same, a fair fraction of the customers, about 56% of them are willing to try the online mode.

Received a fair response to the in-store experience and the services being delivered for the
customer’s convenience.

Fig.8

The parameters being considered were the in-store ambiance which includes Music, Vibe,
Fragrance, Cleanliness etc , the visual appeal, merchandise assortment, communication being
carried out and the sale services.
The majority of the responses were positive which shows they enjoy shopping at the store and

43
perceive the brand to be of high level.

Fig.9

It was recorded that all the respondents were satisfied with the existing VIP customer policy
and benefits, though some customers have suggested a few things that could possibly help them
in a positive way.
Fig.10

44
According to the justifications being recorded, the major share of the respondents fairly state
that they are happy with the existing policies.

But no great comments came from their side, that is a sign that the policies could be made better
and something catchy or interesting strategies could grab their attention and push the reason to
enjoy the VIP Tier benefits.
Fig.11

Most of the customers were found to have no issue with the existing policies and strategies, but
some customers have suggested to update them on a timely basis about the offers and other

45
benefits and also for the gift card availability all the time. Some customers have requested for
special offers if possible for them to get motivated to walk in to the store.

Some of the suggestions have been included in the “ Implementable strategies” section under the
Task (I) which could be followed for betterment of the existing policies.

46
CHAPTER 6

KEY OBSERVATIONS

47
Chart.2
KEY OBSERVATIONS

48
The spread sheet data :
..\Roshni\CALVIN KLEIN (CUSTOMER RELATIONSHIP MANAGEMENT) - ROSHNI VK.csv


The in-store communication flow between the customers and the fashion consultants are
found to be fairly good. Customers reviewed it to be greatly satisfied with very positive
responses.


A bit personalized approach could boost the build of stronger bonds with them.


The main reason behind the refusal to enroll at the first place is due to the potential
customer’s busy-life and they chuck the offer off, not deep thinking.


It was also noted that CK’s theme-old which was the black and white classy look and
appeal, people still admire.


It was found to be effective in getting in touch with the core customers of Calvin Klein. But
about 40% of the customers only turned back after effective tele calling being carried out
during the EOSS sale time.


About 52% of the VIP Tier customers are aged above 35 years old; whereas the brand
Calvin Klein focuses more on sophisticated youngsters


Most of the customers have Tommy Hilfiger’s and Levi Strauss’s products in their
wardrobe other than Calvin Klein’s . These brands probably might have been successful in
attracting the customers back to the store for more or might possibly are doing well with the
customer services and management like Calvin Klein.


The awareness to the nnnow.com could be done more effectively to indulge more customers
to try the same out.

49

There are chances that the customers will go for the same once they gain the trust on the
features that they value while purchasing like, authenticity, color they are looking for, apt
size of the product etc.


56% of the total, which is 14 respondents to be precise who are willing to go for the
nnnow.com - purchase.

It was found that the customers enjoy shopping at the store and perceive the brand to be of high
level as they rated the in-store experience and services to be of great quality.

It was recorded that all the respondents were satisfied with the existing VIP customer policy
and benefits, though some customers have suggested a few things that could possibly help them
in a positive way.

Most of the customers were found to have no issue with the existing policies and strategies, but
some customers have suggested to update them on a timely basis about the offers and other
benefits and also for the gift card availability all the time.

From all the key observations, it was possible to arrive at a conclusion which was positive for
the company in general.

50
CHAPTER 7

LEARNING OUTCOME

51
CONCLUSION

As the questionnaire was to analyze the core customer’s level of satisfaction with the products
and services that's been offered at the stores and to provide them an opportunity to give
suggestions and feedback for the betterment of the brand's schemes and services.

It could be concluded with all the inferences that’s been drawn out of this that the customers
had positioned the brand to be at the top compared to the rest they follow and the customer
relation management and the policies are effective enough to build enough satisfaction in
customer’s minds, yet could be better and more attractive to widen the customer base to a larger
extend.

52
OTHER MANAGERIAL SKILLS DEVELOPED

In any of the organization,one has to be responsible and dependable. Working with Calvin
Klein, made me see how the employees ( Fashion consultants) coordinate and help each other in
getting sales done.The way they deal with the customers as well as the housekeeping team for
help find a stock, different convincing and indirect persuasive methods, analyzing the consumer
behavior at the store, suggesting the proper fits and styles that would go with them, and so on.

TIME MANAGEMENT AND ORGANIZATIONAL SKILLS

Time management is really important irrespective of the position that a person has in the store.
Be it the store manager or housekeeping, one has to follow the roster timings that’s prepared
for the week and follow it. To the maximum there would be 6 people in the store altogether, so,
if someone gets it delayed then the sales will be affected to some extent. Was able to see how
they coordinate and run the store when the store managers and other superiors were unavailable.
Here everyone gets an opportunity to attend the customers, suggest and convince them to
finally buy the product and bill it off. The targets were set for the week to achieve, and
whoever achieves the target, will be given some extra points. The fashion consultants take it
like a game still, they coordinate and help each other achieve it. That keeps them motivated to
work.

TECHNICAL SKILLS

Got familiar with the billing system and was able to work on a new software “ Voyager” which
was slightly different from “Shopers9” which was used before. Learned how to bill and redeem

53
vouchers, cash dealings and working on the software for tallying the product GC counts and
stock movement records.

PROFESSIONALISM AND LEADERSHIP QUALITY

There is no indifference or superiority issue that happens within the store. Be it the store
manager or the housekeeping, they respect each other so that the relationship gets boosted for a
fair functioning of the activities at the store. They portrays the Calvin Klein’s attitude and
assigns each tasks for the respective staffs like a leader.

Everyone in the store has the liberty to suggest ideas that could be for the betterment of the
store and the sales. By following the cleanliness maintenance and proper grooming standards,
and by giving proper customer assistance and care, the professionalism naturally comes out of a
person. It includes the personal cleanliness as well as the cleanliness of the surrounding and
how one maintains it.

CUSTOMER SERVICES

Calvin Klein values the customers to be the main one at the store. No matter whatever the
customer says, the customer is always right. One has to be always up for assistance whenever
needed and proper guidance and suggestions can be given for them in terms of fits and styles.
Calvin Klein believes once the rapo is built, it stays if well served and they ensure giving the
best from their side when it a new comer to the store.

Other skills improved are communication skills, understanding different types of customers by
analysing them with their appearance and movements, fostering diversity and community
building, team works, commercial awareness, working under pressure, taking up initiatives and
being responsible as if its one’s own store and the commitment with passion.

54
BIBILIOGRAPHY

Website references :

 http://explore.calvinklein.com/en_US/explore
 http://www.thefamouspeople.com/profiles/calvin-klein-inc-954.php
 http://gdetail.image-gmkt.com/836/717032851/2015/8/db5616aa-eca5-
43ad-bb94-0ff0bf 7e9ea5.jpg

55
EXECUTIVE SUMMARY

The basic objective of the project was to analyse the efficiency of the existing CRM
policies and gathering suggestions for company’s betterment. The aim was to finally
develop a CRM model, researching about the possibilities of improvements and it’s
implementations. According to the observation, it was found that The in-store
communication flow - fairly good. ( The questionnaire) The Constant tele callings have
helped a lot to it. A bit personalized approach could boost the build of stronger bonds
with the customers and the brand. Also a Comparative approach was done to
competitive brands to compare with Calvin Klein’s CRM policies.The methodologies
being used were the Data collection method in gathering the data from the competitive
brands and from the prospective customers using a questionnaire,and secondary data
of the information on the Calvin Klein’s customer care policies. - Calvin Klein’s existing
customer care policies and promotions which acts as the existing knowledge to do the
researches that is to be done for the analysis of how efficient the customer relationship
management policies are carried out across. Observational method was carried out to
research on the tele calling efficiency, the responses from the VIP Tier customers to the
questionnaire and about customer’s stand on the policies and the brand. It was found
that Calvin Klein’s customer service programs are comparatively good, as compared to
those of the brands being compared. Calvin Klein has this VIP tier programs ( Blue tier
level - eventually crossing the total purchase amount of 20K, and VIP tier level - in a
single purchase, crossing 20K ). A little more input in getting the customers enrolled
could push this bit to a better extend. It is noted that some customers do refuse to get
them enrolled, the main reason being the feeling of not getting much benefits out of it in
the future with their purchases.
It was found that some customers refuse to enroll themselves up after their purchase,
the main reason being their busy-life and they chuck the offer off, not deep thinking.
This obviously can’t be changed .Another reason which has been found was, they feel it
won’t be of any use to them later. The way to tackle this is by making them feel special
right at their first entry to the store. Apart from good services, finally at the time of billing,
they could be given a “ Welcome to CK Club” card which acts as a coupon to redeem
later with their purchase.They would clearly feel privileged to walk to the store next time.
The tele communication service was found to be effective in getting in touch with the
core customers of Calvin Klein. It was constantly carried out during the EOSS sale time
and the special promotions for the VIP tier customers. It was recorded that all the
respondents were satisfied with the existing VIP customer policy and benefits, though
some customers have suggested a few things that could possibly help them in a
positive way.
Most of the customers were found to have no issue with the existing policies and
strategies, but some customers have suggested to update them on a timely basis about
the offers and other benefits and also for the gift card availability all the time.
From all the key observations, it was possible to arrive at a conclusion which was
positive for the company in general. It could be concluded with all the inferences that’s
been drawn out of this that the customers had positioned the brand to be at the top
compared to the rest they follow and the customer relation management and the
policies are effective enough to build enough satisfaction in customer’s minds, yet could
be better and more attractive to widen the customer base to a larger extend.

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