e crm

E-CRM

Prepared By: Anshu Prabhakar (09mb41)

Customer Relationship Management (CRM)

CRM is a strategy by which companies optimise profitability through enhanced customer satisfaction.

CRM is about automating and enhancing the customer-centric business processes of Sales, Marketing, and Service.

CRM not only deals with automating these processes, but also focuses on ensuring that the front-office applications improve customer satisfaction, resulting in added customer loyalty that directly affects the organization’s bottom line.

CRM Evolution

BPR ERP SFA CRM eCRM

Cost Reduction Strategy Growth Strategy

IT LedBusiness Led Marketing Led

1980s 1990s 2000s

Need for e-CRM orthe problems faced by Traditional CRM

Vendor offerings exist within the broad CRM categories of sales strong, service and marketing. CRM evolved with different vendors carving out their own niches in complete isolation from the others.

Lack of a single customer-centric data warehouse has caused any addition of more customer touch points only served to worsen the problem caused

E-CRM

E-CRM (Electronic Customer Relationship Management) expands the traditional CRM techniques by integrating new electronic channels, such as Web, wireless, and voice technologies and combines it with e-business applications into the overall enterprise CRM strategy.

The goal is to drive consistency within all channels relative to sales, customer service and marketing initiatives to achieve a flawless customer experience and maximize customer satisfaction, customer loyalty and revenue.

Therefore ,it is just an expanded, integrated version of CRM . Thus, Old CRM + Internet = e-CRM

The differences between CRM and e-CRM

Key applications of e-CRM

Information integration application

An incomplete view of customers reduces their loyalty and trust

Consolidating customer data and information from different sources

To keep up with every customer’s interaction

Customer analysis application

Measures, predicts, and interprets customer behaviors Predictive models to identify the customers most likely to

perform a particular activity Online analytical processing, data mining and statistics

Continued….

Real-time decision application To coordinate and synchronize communications across

disparate customer An effective real-time decision application promotes

information exchange between the company and every customer

Personalized messaging application Building customer profiles and enables customized

product and service offerings based on the information integration application

Benefits :

Retaining existing customers.Selling more to existing customers.Finding and winning new customers.Interactions lead to trusted relationships:

Focus the business on improving customer relationships and earning a greater share of each customer’s business.

Increasing efficiency.Improving marketing and sales decision making.Enabling process measurement – leading to process improvement.

Continued….

Enables 24/7 customers interaction: optimize interactive relationships between customers and companies.

Personalization through technology: enable a business to extend its personalized messaging through the Web and email.

Goals of e-CRMReduce : Costs of marketing

Improve : Accuracy and relevancy of recommendations Customer satisfaction

Increase : Conversion rate, i.e., Turn browsers into buyers Customer retention and frequency Order size

Continued….

customer response competitiveness through differentiation Profitability.