CRM

Customer Relationship
Management
Relationship Marketing
• All marketing activities directed towards establishing, developing and maintaining successful relationships.
Customer Relationship Management
• Comprehensive strategy and process of acquiring, retaining and partnering with selective customers to create superior value for the company and the customer.

Importance of CRM
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Growing de-intermediation process
Growth of the services economy
Emergence of TQM/ JIT/ MRP/ ERP
Advent of digital technology/ complex products/ solution selling
• Hyper competition
• Changing customer expectation
• Globalisation – global account management

CRM Process
CRM Formation
• Purpose
– Improve marketing effectiveness
– Improve marketing efficiency

• Programs
– Continuity Marketing
– One to One Marketing
– Partnering/ Co-Marketing

Program Types

Mass markets

Distributors

B2B Markets

Continuity
Marketing

 After marketing
 Loyalty programs
 Cross Selling

 Continous replenishments  Efficient customer response programs

 Special sourcing arrangements One to One marketing  Permission marketing
 Personalisation

 Customer Business
Development

 Key Account
 Global Account
Program

Partnering/ Comarketing

 Affinity Partnering
 Co0branding

 Logistics Partnering
 Joint Marketing

 Strategic Partnering
 Co-Design
 Co-Development

CRM Process
CRM Governance
• Role Specification
• Communication-with customers and intracompany
• Common Bonds
• Planning process
• Process Alignment
• Employee Motivation
• Monitoring Procedures

CRM Process
CRM Performance Evaluation vis a vis CRM objectives CRM Implementation issues
• Multi department involvement
– Role of IT

Winning markets through effective CRM
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Traditional Approach to CRM
Customer Contact by
• Telephone
Integration
• Mail with Tech
• In person
Personal Selling