customer relationship management by derek hendrikz
DESCRIPTION
The CRM or Customer Relationship Management slides by Derek Hendrikz introduces the CRM concept in terms of definitions, process, customer service or care vs customer driven approaches, etc. www.derekhendrikz.comTRANSCRIPT
“At least one business rule from the past remains constant: the customer reigns
supreme. Successful companies never lose sight of
their customers’ demands, and are careful to keep track of these needs as
they evolve and change” (Brink & Berndt:2004, p. 6)
www.derekhendrikz.com
Transactional vs. Relationship Marketing:
www.derekhendrikz.com
Mutual Independence
Independence and Choice
Competition & Conflict
Mutual Co-operation
Transactional Marketing
Relationship Marketing
A person or entity, who through the purchasing of goods or services, directly or indirectly sponsors the existence of a
specific organization or business.
Customer…
www.derekhendrikz.com
• Suppliers
• Employees
• Shareholders
• Competitors
Other role players within a organization
www.derekhendrikz.com
The establishment, evolution and maintenance of relationships that
will enhance the retention of customers with the ultimate aim
of ensuring organizational survival.
CRM…
www.derekhendrikz.com
• Effective relationship development.
• Effective customer assessment & analysis.
• Processing and internalization of customer feedback.
• Effective customer complaint resolution.
• Revision and evolution of the customer value proposition.
Primary objectives of CRM
www.derekhendrikz.com
The importance of good Human Relations:
1. It reduces conflict.2. It assist people in focussing on matters of
influence and not on matters of concern.3. It stimulates a harmonious working environment.4. It reduces the time spent on handling difficult
customers and employees.5. It makes you a nice person to work and be with.
www.derekhendrikz.com
Why should we be aware of our prejudice?
• So that we can understand the point of view and perceptions of others.
• So that we can deal with conflict in a constructive way.
• So that can be objective in our relationships with others.
• So that we can separate people from problems.
www.derekhendrikz.com
How to change your prejudices…• Place all assumptions regarding a
specific category on ‘ice’.
• Find similarities.
• First seek to understand before making judgment.
www.derekhendrikz.com
“If you are in a meeting for 15 minutes and people are not
talking about the customer or something that impacts on the customer, get up and walk out”
(Ian Brooks: 2001)
www.derekhendrikz.com
Customer Focused: Customer Driven:We think about our customers We think like our customers
Believe customers are important Know customers are our business
Focus on internal issues Focus on the world of the customer
Use information to change the customer
Use information to change their business
Do things that work for the company Do things that work for the customer
Staff are advocates for the company Staff are advocates for the customer
Decisions are made without thinking about the customer
Customers are considered before decisions are made
www.derekhendrikz.com
Some hard facts on the benefits of customer retention!!!
• Most companies lose more than 50% of their customers every 5-years.
• Reducing this defect rate by 5% would double profits.• Increasing customer retention by 2% is equivalent to cutting
cost by 10%.• Return on equity is 17% in customer driven companies versus
11% in average companies.• Profit on sales is 9% in customer driven companies versus 5%
IN OTHERS.• Market share growth is 6% vs. 2%.• Cost reduction is 10-15% vs. 2-3-%.
www.derekhendrikz.com
Derek Hendrikz
www.derekhendrikz.com