Premium Essay

Customer Relationship Management

In: Business and Management

Submitted By toanquoctran96
Words 171161
Pages 685
Customer Relationship Management

VSF
This book is dedicated to my children Emma and Lewis of whom I am enormously proud.

Customer Relationship Management
Concepts and Technologies
Second edition

Francis Buttle

AMSTERDAM • BOSTON • HEIDELBERG • LONDON • NEW YORK • OXFORD PARIS • SAN DIEGO • SAN FRANCISCO • SINGAPORE • SYDNEY • TOKYO
Butterworth-Heinemann is an imprint of Elsevier

Butterworth-Heinemann is an imprint of Elsevier Linacre House, Jordan Hill, Oxford OX2 8DP 30 Corporate Drive, Suite 400, Burlington, MA 01803, USA First edition 2009 Copyright © 2009, Francis Buttle Published by Elsevier Ltd. All rights reserved. The right of Francis Buttle to be identified as the author of this work has been asserted in accordance with the Copyright, Designs and Patents Act 1988 No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means electronic, mechanical, photocopying, recording or otherwise without the prior written permission of the publisher. Permissions may be sought directly from Elsevier’s Science & Technology Rights Department in Oxford, UK: phone ( 44) (0) 1865 843830; fax: ( 44) (0) 1865 853333; email: permissions@elsevier.com. Alternatively you can submit your request online by visiting the Elsevier web site at http://elsevier.com/locate/ permissions, and selecting Obtaining permission to use Elsevier material. Notice No responsibility is assumed by the publisher for any injury and/or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any methods, products, instructions or ideas contained in the material herein. Because of rapid advances in the medical sciences, in particular, independent verification of diagnoses and drug dosages should be made. British Library Cataloguing-in-Publication Data A catalogue...

Similar Documents

Premium Essay

Customer Relationship Management

...Introduction In the early of 1960s, Levitt recommended that the aim of business was to “create and sustain customers” [1]. After more than few generations, it can be valued how the Customer relationship management thought, and the need to sustain a long-period relationship with customers, is becoming a noteworthy matter. The main reason for this customer’s worth return within the firm is the modification in the way of doing business nowadays [2]....

Words: 4224 - Pages: 17

Premium Essay

Customer Relationship Management

...INTRODUCTION The essence of the information technology revolution and, in particular, the World Wide Web is the opportunity to build better relationships with customers than has been previously possible in the offline world. By combining the abilities to respond directly to customer requests and to provide the customer with a highly interactive, customized experience, companies have a greater ability today to establish, nurture, and sustain long-term customer relationships than ever before. The ultimate goal is to transform these relationships into greater profitability by increasing repeat purchase rates and reducing customer acquisition costs. Indeed, this revolution in customer relationship management or CRM1 as it is called, has been referred to as the new “mantra” of marketing. The need to better understand customer behavior and focus on those customers who can deliver long-term profits has changed how marketers view the world. Customer Relationship Management is an innovative approach undertaken by the marketers in the process of developing lifetime customers and maximizing lifetime value of the customers. CRM approach is still new for the corporate managers, as in India the customers are still at the receiving end only....

Words: 1780 - Pages: 8

Premium Essay

Customer Relationship Management

...A lot of companies are not just attracting customers, but are working at building long term relationship with customers both local and foreigner, suppliers, employees, distributors and the general public. CRM has recently emerged as an integral marketing concept in the business world. In an attempt to reach and connect with customers in an environment highly saturated with products, advertisements, and promotions, businesses are implementing a customer relationship management component in their marketing schemes. CRM practices enable marketers to...

Words: 739 - Pages: 3

Premium Essay

Customer Relationship Management

...Definition of Marketing “Marketing is defined as a social and managerial process by which individual and groups obtained what they need and what through creating and executing products and values with others” -PHILIP KOTLER “Marketing is an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and it stakeholders.” Coping with these exchange processes calls for a considerable amount of work and exchange thinks about the means of achieving desired responses from other parties. Thus we see marketing management as the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value” -A.M.A (American Marketing Association) “The market include both places and region in which buyers and sellers are in free competition one another” - PYLE “Market for most commodities may be through not as a geographical meeting places but as getting together buyers and sellers in person by mails, telephone or any other communications” - MITCHEN CUSTOMER RELATIONSHIP MANAGEMENT Over a century...

Words: 1487 - Pages: 6

Premium Essay

Customer Relationship Management

...Customer Relationship Management 1. Introduction In a world where the customer is always the king, more and more companies are going an extra mile to get to know the customers and make them feel happy. Customers want more than just courtesy of the person serving them, they want the sales representatives and the company to know them, recognize them and understand them. Here, the word "relationship" comes into place. Customers want a business relationship with the company where they can be appreciated and respected. Hence, customer relationship management, or CRM, is fast becoming one of the major elements of corporate strategies in many organizations. Already, companies such as Hong Leong Finance and UOB are pouring in millions of money into IT initiatives that will see the deployment of new servers and a CRM system. These IT initiatives are aimed at enhancing the workflow processes thereby saving time and money in the long run. 2. Definition of CRM 2.1 CRM is a strategy Customer Relationship Management (CRM), is strategic approach that combines the business processes, technology, employees, and information across an enterprise to attract and retain profitable customers....

Words: 2422 - Pages: 10

Premium Essay

Customer Relationship Management

...Customer Relationship Management A Framework for Customer Relationship Management 3 main topics of the article 1. Old and new marketing approach differences – what are the reason for the shift in the marketing approach Old | New | Transaction based | Reaction based | Mass advertisement | One to one marketing | Price oriented product | Customized | Acquisition | Retention | Indirect communication | Direct communication | | | Transaction Marketing (old approach) Just one exchange between company and customer and this is the product from company to customer and money from customer and company. Main objective is to maximize the profit out of this single transaction therefore there is a strong need to acquire more and more customers. Relationship Marketing (new approach) Main difference between TM and RM: multiple transactions between company and customer. Objective: to maximize Profit out of multiple transactions with a single customer. The profit out of multiple transactions with one single customer is called: Customer Lifetime Value Reasons for the shift 80/20 rule (80% of the profit is generated by 20% of the customers) Globalization | competition Acquisition is more expensive Cross and upselling Acquisition vs retention is the main reason for the shift 2....

Words: 739 - Pages: 3

Premium Essay

Customer Relationship Management

...One example of a narrow perspective is to view CRM as database marketing (Peppers and Rogers, 1995) emphasizing promotional aspects of marketing by leveraging customer databases. Other examples of a narrow approach include electronic marketing (Blattberg and Deighton, 1991 as cited in Sin et al., 2005) and after marketing (Vavra, 1992 as cited in Parvatiyar...

Words: 7085 - Pages: 29

Premium Essay

Customer Relationship Management

...In the past, customer satisfaction has been used to explain a customer’s loyalty but marketing scholars argue that there is a relationship between customers’ perceptions and behavior; but for the most part, customer satisfaction is still expected to play a major role in customer retention (Gustafsson, Johnson, & Roos, 2005, par.7). References: Kapanen, R.  (2004). Customer relationship management and service delivery. International Journal of Services Technology and Management, 5(1), 42-55.  Retrieved October 11, 2011, from ABI/INFORM Global. Kotler, K. & Keller, P. (2009). A framework for marketing management. (4ed.) Pearson Education. Gustafsson, A., Johnson, M. D., & Roos, I. (2005). The Effects of...

Words: 301 - Pages: 2

Premium Essay

Customer Relationship Management

...The increased use of customer relationship management software has also led to...

Words: 5644 - Pages: 23

Premium Essay

Customer Relationship Management

...Customer Relationship Management Holly Smith August 16, 2011 Introduction Customer acquisition and retention have become essential in a highly competitive global market where advanced technological and web-based tools and applications are used to lure new customers as the old marketing strategy of quality goods at low cost has become redundant and the focus is on customer centric marketing and product development. Customer Relationship Management (CRM) has been defined as, “a cross functional, customer-driven and technology-integrated business process management strategy that maximizes relationships” Chen and Popovich (as cited in Parsongsukan,2010, p.17). The successful implementation of a CRM strategy requires organisational transformation, changing business processes and only then can CRM implementation achieve the desired results and CRM vision. CRM implementation cannot be restricted to software and technological upgradation for enhancing customer database management. CRM is an integrated approach that requires organisation and business process transformation for effective implementation. History of CRM The evolution of CRM started from mass marketing when companies’ mass- produced goods and services believing that customers had similar needs and preferences....

Words: 2689 - Pages: 11

Premium Essay

Customer Relationship Management

...Customer relationship management (CRM) is one of the most important concept of modern marketing. It is a model for managing a company’s connections with existing and upcoming customers and maintaining profitable customer relationships by delivering superior customer value and satisfaction. Nowadays, significant changes are occurring in the ways companies relate to their customers. Big corporations are using Interactive customer relationships to reach their carefully selected customers, and new technologies have changed the marketing relationships in which customers interact with companies. Email, Web sites, Cell phones, Blogs, Social Networks are all new Internet capabilities that help a company manage customer relationships in an organized way. The Integrating Email marketing is a good example of customer relationship management, it has so many benefits for corporations such as Real time connection, greater segmentation and sales visibility. Besides, it also helps companies to create customer loyalty, satisfied customers remain loyal and talk favorably to others about the company and its products and services. On the other hand, there are many strategies for building long term customer loyalty and relationships: because customers are different and they always come with a variety of different desires, needs and expectations, the most important strategy is to know first your customer and to treat every single one with concern and compassion....

Words: 973 - Pages: 4

Premium Essay

Customer Relationship Management

...There are several definitions about Customer Relationship Management (CRM), but some people have many mis-understanding such as database marketing, marketing process, loyalty schemes and do-able by any company....

Words: 739 - Pages: 3

Premium Essay

Customer Relationship Management

...BSc (HONS) in Business Information System BIS3012 – Customer Relationship Management Field Research – Customer Relationship Management Tutor: Dr. Lakshimi Narasimhan Chari Date of submission: 9th December 2011 ABSTRACT. Relationship Management is the most strongest and most efficient approach in maintaining relationship with customers. Businesses base on the customers as the famous saying, “Customers are always right” The impact of CRM in the commercial world cannot be undervalued. CRM is first and foremost business strategy that can be effectively executed through the appropriate business process and technology management capabilities the best match to an organization’s customer facing goals. Says Francis Buttle, pg 6, yr 2009. Table of Contents Pages 1. Introduction to Customer Realationship Management (CRM) 1 - 2 2. Business Models of Companies # Alibaba.com 3 # Illyria Geotechnologies 4 # iTunes 4 # Apple.Inc 5 # E-Bay 11 5 # Avon 6 # Inland Revenue Board of Malaysia 6 # Syabas 6 # The Northeast Gang Information System 7 # Proton Sdn Bhd 7 # E-Citizen portal of Singapore 8 # Immigration Department of Malaysia 8 3.Social Media Applications 9 4. CRM Software applications 10 5. CRM Strategies and associated business process 11- 12 6. CRM Best Practices 13 - 14 7. Conclusion 15 8. References 16 – 17 Introduction....

Words: 3821 - Pages: 16

Premium Essay

Customer Relationship Management

...Able to build a stronger customer relationships As a sales team, what matter most is to build a strong relationship with your customers. By implementing the CRM technology, the team productivity would be increased and enable one’s to spend more time with the current customers. Not only that, sales person is also able to spend more time with new and potential customers due to the efficiencies that was put in place by the implementation of the CRM technology. Ultimately, more time with your customers means an increase...

Words: 1693 - Pages: 7

Premium Essay

Customer Relationship Management

...It serves 30 million residential customers and more than 1 million commercial customers, delivers more than 10 billion pieces of mail annually, and maintains relationship with more than 24,000 retail sales points for CPC products and services. CPC maintains relationships with more than 24,000 retail sales points for CPC products and services. 1.2 Problem of CPC From the company started the operation until now, CPC was faced increasingly competition from aggressive independent carriers that were targeting specific business sectors. Customers’ experience with CPC was often complicated and frustrating. Besides, CPC also lack of the knowledge of how to manage their customer, but leaned to focus on their technical process improving the interior works instead of issue what their customer needs and wants (Canada Post: Customer-focused Delivery). A customer could call three or four times about the same issue and receive different responses from call center agents. 2.0 Importance of CRM to CPC Process redesign for Customer Relationship Management (CRM) is so important for CPC’s success. CRM is containing every details of a company’s customers, thus, it’s easy to track a customer. It also can be using to determine a favorable customer (Importance of Customer Relationship Management (CRM), 2012). Besides, CPC can maintain repository on customer profiles by using CRM, thereby treating each client as an individual and not as group....

Words: 2355 - Pages: 10