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Customer Relationship Management (Crm) in a South African Service Environment

In: Business and Management

Submitted By zsosa
Words 578
Pages 3
This study about Customer Relationship Management in South Africa gives an important overview about the relationship between customers and companies nowadays in this region. The focus was a long term insurance company. Insurance are a significant part of the service sector and is revolutionizing the financial sector. The insurance companies generate total gross written premiums of 25.1 billion in 2010, a very lucrative business. In the last quarter of 2009 the South Africa economy decreased, due to this change insurance companies had to improve it customer relations and use technology tools for enhance the interaction and build a long lasting commitment with the customers. Insurance corporations are convinced that they need to generate loyal customers and CRM is an exceptional tool that helps to attain that goal.
Before reviewing the results of the study, let’s address the CRM concept. CRM is a set of capabilities that helps organizations to enhance and build long lasting relationship through various processes, techniques and services. CRM is not a simple software development; it involves a technology, people and processes. For developing a CRM structure is important that all the organization be focused to a culture of customer loyalty. Market right now is increasingly competitive and the customer will stay with the company with the best service and knowledge about needs. Main characteristic of CRM are the instant response bases on customer information and the opportunity in management, CRM allows the executives to take better decisions based on this customers approach decide which clients need more attention and develop new strategies for potential customers. There are four underpinning of CRM theorized in marketing literature: trust (Morgan and Hunt, 1994; Moorman et al., 1983), commitment (Ndubisi, 2004; Morgan and Hunt, 1994), communication (Morgan and...

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