At first, I disagree with this statement. I think Customer Relationship Management (CRM) is universally appropriate or applicable to all businesses. Customer relationship management refers to a series of processes, focused on initiating two-way communication exchanges with customers to have a detailed knowledge of their specific needs and buying patterns. The major benefit of a CRM system is that it helps business organizations in determining the type of customer best suited for the growth of their business. CRM enables business organizations to formulate strategies focusing on customer-driven growth and in providing superior and friendly customer experience There are four advantages of CRM that businesses should implement this strategy. * Customer Satisfaction
By implementing CRM strategies, the company can focus on improving customer satisfaction through examination of customer preferences, demographics and interests. This information may be collected through automated surveys or personal phone calls from customer service representatives. Customer research may be performed to discover the reasons why one product is more popular than another. Customers typically enjoy the attention they receive and the interest in their happiness and satisfaction with the product, and the data that is collected can help the company produce better products and services in the future, contributing to improved customer satisfaction. This also improves customer retention over the long run.
The data that is collected through customer research can provide ideas for marketing and advertising for a big business. With many products or services to market, a large company may have difficulty targeting different customers for each item. However, customer research will provide information about what the customer likes about the product, what they are looking for in future products, and what purpose they would like the product to serve. All of this information provides great content for print or commercial advertisements and packaging designs for each product. * Lowered Costs
By automating customer service with CRM software, the company can easily gain customer research through online or telephone surveys. The software automatically formats and calculates the data, making it faster and easier to collect this information. Fewer customer service representatives will be needed for collecting this information and less time will be spent preparing reports on customer research. Another advantage is word-of-mouth advertising from satisfied customers; as CRM strategies make customers happier, they become more likely to bring in new customers through word-of-mouth, which lowers the cost of finding a new customer.
* Brand Image
As customer satisfaction and retention improves, the corporation's brand image may begin to improve as well. Customers will begin to associate the brand with good customer service, quality products and a personable approach. The CRM strategy's focus on the customer will let each buyer know that their input is valued by the company. This can attract more customers and continue to create loyal customers to the brand. There is an example about effective implement of CRM. ICICI Bank has to manage more than 13 million customers. The bank has over 550 branches, a network of 2025 ATMs, multiple call centres, Internet banking and mobile banking. Its customers often use multiple channels, and they are increasingly turning to electronic banking options. Business from the Internet. ATMs and other electronic channels now comprise more than 50 per cent of all transactions. In the process of making its business grow to this level, ICICI Bank has distinguished itself from other banks through its relationship with customers. The Teradata solution focuses on a Customer Relationship Management (CRM) platform. Information from various legacy and transaction systems is fed into a single enterprise called wide...