CUSTOMER RELATION MANAGEMENT (CRM) PROCESS: WHAT
IT’S AND WHY?
CRM can simply
be defined as a method by which business keeps track of and organizes contact
(priority profile) of both its current and potential customers. By doing so,
business aims at increasing the volume and level of services provided and at
the same time developing and maintaining potential markets and customer
engagement and hence increases profitability and sustainability.
HOW AN OPTIMAL
CRM CAN BE DEVELOPED AND MAINTAINED?
Scholars and
interest business groups have developed and introduced several methods by which
businesses can implement desirable CRM levels. These methods can be organized
into five major steps, also known as processes. These are:
- Identification of targeted market and value proposition. This can be achieved by creating data base of priority customer profile in which individual customers are organized such that the most valuable ones are listed on the top of the hierarchal order, followed by the least valuable, and so on and so forth.
- Defining CRM strategy: at this stage, businesses should choose the best customer relation and services type that suit them. This can be done through, for example, building a dedicated online social community of CRM.
- Handling individual customers: this can be achieved in accordance to customer priority profile data base as well as the chosen strategy of the business.
- Measurement of performance. This is often done by selected software such as SAAS (Software as a service delivered online). It is well documented that this software reduces cost to its minimum for most businesses.
- Developing and maintaining re-engagement of customer: Keeping customers engaged is one of the most challenging tasks for most businesses. However, the most effective and recommended methods by sustainable customers engagement can be achieved are customer satisfaction surveys; email and; social media.
In age of virtual media where there are millions of
businesses competing with one another I wonder how would this situation affect
the way we visualize CRM and how we can overcome these new challenges?
Nice concept about CRM Process. every business needed to track about customer interaction. Like in BPO sector CRM is most important tool. nice video.
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ReplyDeleteThanks Patel, useful info about the relation between CRM and BOP you can find it in this website.
ReplyDeletehttp://www.destinationcrm.com/Articles/Columns-Departments/The-Tipping-Point/BPOs-Next-Level-42600.aspx
Excellent post! You showed us a whole package content about customer relationship management including how to process it with steps. As the core part in B2B and B2C business nowadays, CRM could and should be well-studied by all companies who really care about gain the really edge in competition.
ReplyDeleteThis is good post though & the video was nice it tells about the customer relationship management.
ReplyDeleteGood Job
Excellent post Osman, You have clearly illustrated the meaning and the processes of CRM. Indeed, when a company uses CRM effectively, it can keep track of customer information like contacts, purchases and preferences, etc.; allowing the company to match their customer’s needs with their products and services.
ReplyDeleteBeing involved with CRM could only benefit a company, like what Fatme stated, if used effectively customer information is much easier to keep track of. CRM should be a priority for companies. Great post Osman.
ReplyDeleteCustomer relationship is an important aspect of successful business. It helps to maintain the current customer and that will increase the word of mouth of these customers.
ReplyDeletecrm is very important in that it allows companies to maintain customers but also gain an understanding of their needs and wants. they can then use this info to gain even more customers and keep existing ones happy. great post!
ReplyDeleteCRM is important when it comes to defining your customers and knowing your customer database. It will help with current a future customer relations which can also help you understand what is needed Good Job Osman
ReplyDeleteGood post on CRM. These five points are very important in customer relationship. They can also make much easier to determine your customer live value.
ReplyDeleteVery well done! You did an excellent job of stating the importance of CRM for a company. It is good for all company's to properly organize their customer database to keep track of customers information and purchases. By doing this company's can know who to send information to about deals or news about certain products that reflect the customers previous purchases. Overall CRM is definitely important for all businesses to use and understand.
ReplyDeleteGreat Post!
ReplyDeleteCRM is a valuable asset to a company if used effectively. If used properly, the CRM can offer data about buying patterns, trends, and when/what/why customers need to buy. Knowing this information can only help out a company
I agree! CRM adds significant cost savings for companies. When a company chooses to implement a CRM system, the customer will become more loyal and will continue to search for the company again and again.
DeleteIf a company does not use CRM properly it will not be effective, however if a company does use it properly it can be a huge asset to a company. It allows companies to keep loyal customers and easier to figure out your Customer lifetime value.
ReplyDeleteI agree Ryan, it proves a huge asset to the company. It prioritizes the customer according to individual factors that can result in a long term relationship. This is key in running a successful business. The social aspect is crucial as well, creating a community around the product or service.
DeleteGreat Post!
Many companies still aren't customer-centric. A great way o improve business and gain more customers is to understand your customers and try to appeal to them in everything you do. CRM is a process that all companies should focus on in order to be successful.
ReplyDeleteCompanies need to have more employees helping people in the actual store instead of just with the final transaction.. It is so annoying when you can't find something you are looking for at a store, it is even more annoying when you can't fund someone to ASK where that thing is that you are looking for.
ReplyDeleteIf companies focused on CRM instead of maximizing profit, they would maximize profit.
They say the hardest thing to do as a company, and expensive is to create new customers, which is why CMR is so important as you so well articulated. It is cheaper to retain consumers and keeps them happy, which in turn keeps the company happy and continuing to operate. CRM, integral. Well done.
ReplyDeleteI think, customer relationship management is becoming one of the major elements of business strategies in many companies all over the world. The way that companies treat their customers will determine their profitability and will impact financial performance of company.
ReplyDeleteWell done. Moreover, CRM may be chosen because it is thought to provide to following advantages:
ReplyDeleteDecrease in Overall costs
Increase profitability
Understanding the CRM process is crucial for building strong customer relationships and driving business growth. It enhances customer experience and boosts loyalty. Great insights.Social Cali - San Diego.
ReplyDeleteCustomer Relationship Management (CRM) streamlines interactions with customers, boosts satisfaction, enhances sales, and fosters loyalty, making it vital for modern businesses to thrive and grow.Social Cali San Diego.
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