Crm : A Successful Competitive Advantage By Understanding Individual Customer Needs Essay

767 Words4 Pages
Introduction: Many firms using CRM to achieve their competitive advantage by understanding individual customer needs, and therefore to manage their marketing efforts more efficiently. For the rapid changes in the market-place, technology and marketing functions, customers are becoming more aware, less loyal and less acceptance of low service levels. These changes lead firms to make their marketing functions customer-based rather than product-based. In addition, growth in data storage technology has made it possible for firms to obtain more amount of customer-level information. All these reasons making effect on the rapid growth and increasing the awareness of CRM.
CRM refers to "the practice of collecting, storing, and analyzing customer-level information, and incorporating the results into the decision-making process of a firm".
The foundation step of the CRM process is customer acquisition which is the process of acquiring new customer. And the process after acquiring new customer is called customer retention which is the process of keeping and developing relationship with the customer.
Customer acquisition is the first and important process in CRM. Also in the beginning stage of the product, customer acquisition provides a key response to the challenges of competition. Developing existing or new markets, developing existing or new products, and branding programs are the three basic forms of customer acquisition.
Customer acquisition strategies passed through three
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