Customer Relationship Management Systems And Customer Relationships

The most effective Customer Relationship Management (CRM) systems are deliberately designed to align and enhance the strategic initiatives and programs of a given business or enterprise. They must take into account customer preferences, needs and wants as well, and strive to create a foundation of shared information and insight over time There are a myriad of studies that show how effective CRM systems are in transforming businesses and making them more customer-centric, profitable and responsive to rapidly changing market requirements. The level of adoption and continued use of CRM systems also assures a company's culture stays agile enough to respond to changing market conditions while also keeping the level of expertise and knowledge about customers continually growing (Chen, Chiu, 2010). Having a single system of record pertaining to all customer interactions give companies a competitive advantage in that they have greater insight into how prospects make buying decisions (Wang, Feng, 2012). When implementing a CRM system there are five critical success factors that are essential to its success and these include cost, risk, scope, time, and quality. The most effective CRM implementations that deliver the greatest value balance all five of these factors and synchronize them together to create strategies that deliver consistently profitable results. These five critical success factors are essential

Chen, I, J. and Popovich, K. (2003) Understanding customer relationship management (CRM). People, process and technology. Business process management journal, Vol. 9 No 5. Retrieved from http://cis.csuohio.edu/~ichen/CRM.pdf

* A Customer Relationship Management System needs to be implemented. Such a system can be bought easily. But The Company should not buy any system just to have it. The decision has to be considered carefully from the aspects of both technical support and management. Management aspects will be addressed at a later point. Technical aspects are that the CRM System must support modern interface and network structures; this so two-way

An effective Customer Relationship Management (CRM) program can be used to identify, retain, satisfy and obtain customers by using technology to optimize strategies for understanding customers’ needs to manage business interactions with current, former, and prospective customers. Additionally, CRM also enables companies to maximize internal, external, marketing and customer service operations to better address the needs of the customer building a better relationship with customers that a more profitable. (Ahmad & Buttle, 2001)

Today, customer relationship management is very important to the business world. Most of the companies established a department and the programs to manage their relationship with the customers. Customer relationship management (CRM) is a business strategy which designed to help a company to understand and look forward to the needs of its potential and current customers (Anderson & Stang, 2000). Customer data is being collected in several different areas of the company, stored in a central database, analyzed, and distributed to key points (Anderson & Stang, 2000).The business world once was “product-centric”, the companies just provided what they could produce. However, it is now become “customer-centric”, they provide products and service

Today, more and more companies find that cultivating customer loyalty is a key factor to achieve success. Customer relationship management (CRM) focuses on the relationship between customer and company. Due to this feature, many companies are trying to establish their own CRM system for helping them to connect new customers and boost old customers’ long-term loyalty. CRM systems include operations and analysis, and relationship marketing strategy and supporting, customer-centric business processes (Buttle 2004). With the development of information technology (IT), using CRM system

For example, when a customer is transferred from one customer service representative to another the CRM system would transfer all customer information and conversation notes so that the employee does not have to waste time asking all the same questions that the first representative asked before being able to attempt to help the customer. However, CRM’s primary focus is to create higher revenue by helping companies build a larger percentage of loyal customers through the use of building trust and relationships with their current and future customers. Acquiring new customers is extremely costly for a company. Surveys have shown that it could cost a company six times more to acquire a new customer than to keep a current customer. Not only that, but if a company is able to build a loyal customer base those loyal customers are worth much more than their own personal purchase volume. A loyal customer is likely to share their experience with others about companies that they are very loyal to and have a close relationship with. Therefore, the company is able to acquire repeat sales to the current customer and able to obtain new customers without any additional cost required to try to attract a new sales and customers. In addition, it has also been shown that it is 16 times easier to sell to an existing customer than it is to sell to a new

Since the early 1990s, the concept of relationship marketing has been promoted by academics, which centres on one-to-one relationships between parties. With the increasing competition in the global market and the development of marketing theory, especially consumer behaviors, relationship marketing has made way for the idea of CRM (Smith and Stewart, 2014). This idea is also consistent with the core of sport marketing, which is to ‘satisfy the needs or desires of sport consumers’ (Smith and Stewart, 2014, p.2). In the sport context, CRM ‘involves the use of information technology to create and maintain ongoing, long-term

It’s very important to a business to have good customer relationships; CRM Software’s main objectives are to attract new customers while maintaining and satisfying their current customers and trying to win back the trust of former customers. Customers are one of the most important variables for a business owner to pay attention to, when trying to create a profit. Customer Relationship Management software keeps track of customer information to help the company maintain a strong relation with the customers. Good CRM Software brings together information from all databases within a company and gives

Many major corporations look to implement a system that allows for strategic consumer marketing to assist in boosting revenue. This can often be done by the implementation of a customer relationship management (CRM) system. The CRM system is a strategic marketing tool that utilizes a detailed customer database (Cannon et al., 2015, p.108). Creating a template that contains critical customer information is the initial step. Tracking customer satisfaction is the following necessary step. The final step in generating a CRM system is to determine the means of collecting the customer data. By implementing this system it will allow for Starbucks to improve its customer retention.

Getting to know your customers, as well as any prospects, is a key component in the success of any business. This requires a lot of work and time, but even more important is the establishment of a relationship, in which the customer feels appreciated and valued. The customer is not only a person or a business purchasing a service or a product, but someone who matters and is important to the success of any business. As such, clean and organized customer record keeping and all information is essential to the success of any business, in order, to retain existing customers and bring new customers on board. This requires a very sophisticated and intelligent method for keeping customer records as the more we know about the customer, the more success that will be naturally brought to the business. This seemed to be an impossible task until recent years.

Enhancing customer satisfaction and retention using data tools provides many organizations steps in creating a service environment that knows who its customers really are and how it plans to retain those customers. Many service organizations has implemented customer relationship management tools. These tools are used to keep track of customer needs, access multiple sources of customer information, for example; credit reports, past contacts, and voice and e-mail messages to record service provided. Using these data tools could be a crucial element for providing

Many software were used for the different purposes that might cause the gap on each departments’ communication and waste time and money (Tommy, T, 2014). In recent years, many CRM software adjust to an integrated CRM system which combines each department needs and integrates all the information together. The new principle of CRM is combining marketing, sales, orders and support. Illustrated in Figure 2.

“The purpose of a business is to create a customer.” These famous words written by Peter Drucker have been around for more than 60 years. Astonishingly, businesses began to realize the validity of this statement only a couple of decades ago (Morris, 1994). With the rapid technological advances we are experiencing on a daily basis, companies are being forced to shift from a product-centered focus to a customer-centered focus. Instead of targeting customers, technology has flipped the role and allowed customers to target companies. This alteration has required IT professionals to “think customer” and tear down the wall between IT and the employees that interact with customers (McDonnell, 2001). In this customer-centric

Customer relationship management (CRM) is widely implemented and centralized system which offers a place for interaction under a company. An employee can handle again the repeated problem which occurred in the past by re-investigate it. Besides, CRM provides a place to identify what customers wants. Employees can track customer’s expectation by their feedback and communication that can improve their buying experience and stay interact with customer in order to understand their true needs.CRM also has ability to let the company see the customer interaction in clear picture. Different customers from different segments require different products and services, but this complex situation can handle well by CRM. Furthermore, CRM provides quality and efficiency system in the company management that helps company achieves their success by building long-term customer relationship.