BUA235 Customer Relationship Management

What is CRM
CUSTOMER REALATIONSHIP MANAGEMENT
involves managing all aspects of a customers realtionship with an organization to increase customer loyalty. acknoldges industries that they are migrating from the traditional product- foccused toward customer driven organizations.
Elements of CRM
Sales force automation
Customer service
Marketing
CRM as a strategy
CRM is not just technology, but a strategy, process, and business goal that an organization must embrace on an enterprise-wide level
indetifys types of customers
design individual customer marketing
treat each customer marketing campaigns
treat each customer as indivudal
buying behaviors
CRM enabling organizations
self service
24/7 support
AVRS automated voice response phone systems
pasword resets via email
CRM supporting techonolgies
customer satifaction
customers have more choices and often already come with a considerable amount of product knowledge. Business need to do everything they can to acknowledge customers needs.
CRM looks at customers
demand, preferances, deomographics
CRM most valuable customers
find their most valuable customers through RFM
Recency, frequeny and monetary value.
how recently
recency
how frequent
frequency
how much each customer spends on each purchase
monetary value
evolution of CRM
CRM reporting technology, CRM analysis technologies, CRM predicting technologies.
CRM reporting technology
help organizations identify their customers across other applications.
CRM analysis technologies
help organization segment their customers into catergories such as best/worst customers
CRM predicting technologies
help organizations make predictions regarding customer behavior such as which customers are at risk of leaving.
Operational CRM
supports traditional transactional processing for day to day front office operations or systems that deal directly with customers
Analytical CRM
supports back office operations and strategic analysis and includes all systems that do not deal directly with the customers.
operational CRM and sales force automation
sales
1. sales management
2. contact management
3. opportunity management
sales and operational CRM technologies
1. s
2. c
3. o
1. sales manegement- automates each phase of the sales process- helping individual sales
2. contact management – maintains customer contact info and identifies prospect customers
3.opportunity management- targets sales opportunities by finding new customers
Number of prospective customers
Number of new customers
Number of retained customers
Number of open leads
Number of sales calls
Amount of new revenue
Amount of recurring revenue
Number of proposals given
sales CRM metrics
Number of cases handled by agent
Number of service calls
Average number of service requests by type
Average time to resolution
Average number of service calls per day
CRM metrics ( service metrics)
Number of marketing campaigns
New customer retention rates
Number responses by marketing campaign
Number of purchases by marketing campaign
Revenue generated by marketing campaign
Customer retention rate
CRM marketing Metrics
personalization
when a Web site knows enough about a persons likes and dislikes that it can fashion offers that are more likely to appeal to that person
current trends SRM, PRM, ERM
supplier relationship management ( SRM)- focuses on keeping suppliers satified by evaluationg and categorizing suppliers for different projects

PRM- partner realtionship manaegment- focuses on keeping vendors satifyed by managing alliances

ERM- provides employees with a subset og CRM applications available through a web browser