CRM Concepts

CUSTOMER RELATIONSHIP

MANAGEMENT: CONCEPTS

AND TECHNOLOGIES

(CRM)

PRESENTED BY:

SAURABH SHARMA

CRM: CRM is the core business strategy that integrates internal

processes and functions, and external networks, to create and deliver

Value to targeted customers at a profit. It is grounded on high quality

Customer related data and enabled by information technology.

Types of CRM:

1. Strategic CRM

2. Operational CRM

3. Analytical CRM

4. Collaborative CRM

1.Strategic CRM: It is focused upon the development of a

customer-centric business culture. This culture is dedicated to winning and

keeping customer by creating and delivering value better than competitors.

1.Product Oriented businesses: Best quality product to win the customer.

2.Production Oriented businesses: Low cost high production to provide a wide

Range of products at a lower cost to win the customer.

3.Sales Oriented businesses: high investment in advertising and promotion to

win The customer.

2.Operational CRM: operational CRM automates and improves

customer-facing and customer supporting business process.CRM software

application enable the marketing, selling and service functions to be

Automated and integrated.

1.Marketing Automation:- marketing automation enabled marketer to do

(i) Market segmentation

(ii) Campaign management

(iii) Event based (trigger) marketing

2.Sales force automation:-

(i)Account Management

(ii)Lead Management

(iii)Opportunity Management

(iv) Pipeline Management

(V) Contact Management

(VI) Quotation and proposal generation

(VII) Product configuration

3.Service Automation:-

(I) Case (incident or issue) management

(II) Inbound communications management

(III) Queuing and routing

(IV) Service level management

3.Analytical CRM:-Analytical CRM is concerned with capturing, storing, extracting,

integrating, processing ,interpreting, distributing, using and reporting

Customer related data to enhance both customer and company value.

1. Sales data 2.financial data

3.Marketing data 4.Service data

4.Collaborative CRM:- It used to describe the strategic and tactical alignment of normally

Separate enterprises in the supply chain for the more profitable

identification, attraction, retention and development of customers.

Miss-understandings About CRM:-1.CRM is database marketing

2. CRM is marketing process

3. CRM is an IT issue

4. CRM is all about loyalty schemes

5. CRM can be implemented by any company

CRM Definition:- CRM is the core business strategy that integrates

Internal processes and functions and external networks to create and

Deliver value to targeted customers at a profit. It is grounded on high

Quality customer related data and enabled by information technology.

CRM Constituencies:-1.Companies 2.customers and partners of those companies

3.Vendors of CRM software 4. management consultants

5.CRM application service providers (Asps)

6. Vendors of CRM hardware and infrastructure

Commercial context of CRM:-1. Banks:- analytical capability enhancement to enhance cross selling

2. Automobile manufacturers :- selling through distributors/dealers

Networks. It needs highly collaboration.

3.High-tech. companies

4.Customer goods manufacturers

Models of CRM:-The IDIC model:- 1. Identification- customer identification

2.differentiate- high/low value for present and future

3.Interact- understand customer’s needs and wants

4.Customize- ensure that the expectations of customers are met

The QCI model:- ???

Relationship:-A relationship is a composed series of interactive episodes between

Dynamic parties over time.

Changes within Relationship:

1. Awareness 2. Exploration

3. Expansion 4. Commitment

5. Dissolution

TRUST:- 1. benevolence 2. honesty 3. competence.

Types of trust:- 1. calculus based trust

2. Knowledge based trust

3. Identification based trust

reason for companies want relationship with customers:-

1.Reduced marketing costs

2.Better customer insight

3.Customer life time value

reason for companies do not want relationship with

customers:- 1.loss of control

2.Exis cost

3.Resource commitment

4.Opportunity cost

Loyalty ladder:-

Advocate

Loyal customer

Repeat purchaser

First time purchaser

Prospect

suspect

The CRM Ecosystem:-

CRM ecosystem

Service providers

CRM solutions providers(oracle,

SAP, sales force,microsoft)

Hardware and infrastructure

vendors

1.CRM Solutions Providers:-1.Enterprise CRM suites:- More than one billion dollar business and

More than 1000 employees

2.Mid Market CRM suites:- Less than one billion dollar business and

Less than 1000 employees

3.CRM specialty tools:- Solutions for narrow functional breadth but

Deep specialty capability for enterprise and mid market businesses.

2.Hardware and Infrastructure Vendors:-1.Call Centers :- Tight integration- software and customer service

Agent’s desktop and automated call distribution (ACD)

2.Sales person has to synchronized their devices with central team.

3.Service Providers:-1.Strategy Consulting

2.Business Consulting

3.Application Consulting

4.Technical Consulting

CRM Solutions:-1.Customer and Product Management

2.Marketing

3.Sales

4.Service and Support

5.Partner relationship management (PRM)

CRM Analytics:-1.Standard Reporting

2.Online analytical processing (OLAP)

3.Data Mining

Automated workflow:-1.Service enquiry escalation

2.Email response

3.Lead assignment

4.Dialog scripting

5.Log-in navigation

6.System integration

ProductProduct –ID

Product –

Description

Customer Customer-ID

Customer –name

Customer-

Description

Region Region –ID

Country

State

City

Time Year –ID

Month –ID

Week-ID

Day-ID

FACT

Product-id

Customer-id

Region-id

Month-id

Year-id

Knowledge Management:-•Knowledge Management is the organizational practice of consciously

Gathering , organizing, storing, interpreting, distributing and judiciously

Applying that knowledge to fulfill the mission of the organization.

It should be:-

1.Sharable

2.Transferable

3.Accurate

4.Relevant

5.Timely

6.Secure