what are the pros and cons of database marketing ?
TRANSCRIPT
Customer Database and Database Marketing
Successful must build, maintain, and use customer database to transact customer relationships
A Customer database contains information about the customer
accumulated through transactions, registrations
info, telephone queries, and customer contact
A Customer database contains information about the customer
accumulated through transactions, registrations
info, telephone queries, and customer contact
A Customer database contains information about the customer
accumulated through transactions, registrations
info, telephone queries, and customer contact
A business database contains
business customer’s past
purchases; past volumes, prices
and profits etc…
A Customer database contains information about the customer
accumulated through transactions, registrations
info, telephone queries, and customer contact
A business database contains
business customer’s past
purchases; past volumes, prices
and profits etc…
These data are collected
by company contact
center and organized into
a data mining house where marketers capture,
query and analyze them
to draw inferences
Through Data Mining Company
can:
• Identify prospects
• Decide on customers who
receive special offers
• Deepen customer loyalty and
enthusiasm by remembering
customer preferences
• Reactivate customer
purchases
• Avoid serious customer
mistakes
Database marketingis used when business
markets that easily collect information from
customerse.g. hotels
Customer relation managements
by companies with lot of cross-selling and up selling
e.g. Amazon and GE
• Some situations are not conducive to database management
• The product is once in a lifetime
• Customers have little loyalty
• The unit for sale is very low, so that CLV is low.
• The cost to gather info is high
• There is no contact between final buyer and seller
• Building and maintaining database requires large investments
• Nearly 70% CRM systems are po orly designed
• It is hard for everyone in the company to be customer oriented
• Employees still prefer the old transaction marketing
• Not all customers want a relationship with the company
• The assumptions behind CRM may not always hold true.
• Loyal customers may expect or demand more and resent to
paying full price of product or services
Special thanks
• https://www.flickr.com/photos/sean-b/• https://www.flickr.com/photos/danielygo/• https://www.flickr.com/photos/68751915@N05/• https://www.flickr.com/photos/kimberlynmerrill/• https://www.flickr.com/photos/griddlecakes/• https://www.flickr.com/photos/darwinbell/• https://www.flickr.com/photos/whyld/• https://www.flickr.com/photos/59937401@N07/• https://www.flickr.com/photos/dahlstroms/• https://www.flickr.com/photos/franganillo/• https://www.flickr.com/photos/122969584@N07//
Thank you!
Created by :
Ashwin SasikumarGovt. Model Engineering College, Kochi
Prof. Sameer Mathur
IIM Lucknow
www.IIMinternship.com
During an internship under :