Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
Harvard Business Review customer relationship management
Short note on customer relationship management
Short note on customer relationship management
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Customer relationship Management (CRM)
• CRM is a tool and a business approach that facilitates organizations to fulfill needs of their customers, also by improving customer-service, and ultimately achieve a high level of customer satisfaction.
• This eventually helps in gaining customer loyalty and retention at a great extent. It combines various technologies to restructure customer interaction, which helps in identifying, procuring, and most importantly retaining customers.
• CRM structure of a company incorporates information from all possible data sources and functional areas by amalgamating, evaluating and distributing it to provide a universal view of each customer in real time.
Main Objectives of CRM system are listed below:
…show more content…
Let’s discuss some traits of Marketing and Sales strategy followed by Enriched customer-centric service:
1. Marketing:
Primarily, CRM system assists direct marketing by acquiring passenger data and giving service and product information.
CRM systems give a vision into money-making and loss-making passengers (customers) giving an understanding into the assets that need to be consumed on them.
Based on the preferences of the passengers and frequency to travel in flights, Airline Company can have a rough idea which passengers they can up-sell (offering higher-priced products) and cross-sell (selling surplus products/services to existing customers) products.
With no second thoughts, Up-selling would certainly help the Airline Company to inflate its buyer base by selling higher-priced products to the existing customers.
2. Sales:
CRM products shall facilitate the Airline Company to see the precise preference passengers currently have, what new products they are worthy for and what paybacks can be delivered to the customers/passengers if they enhance additional products to their
…show more content…
For enriched Customer-centric Service:
Customer toll free numbers should always be attended
If missed, then it should be re-routed to the suitable authority who can address it
Customer’s concern/query and information should be entered only once so they feel that their queries are addressed and recorded. (It gives customer a level of confidence in the company)
So any representative can address the query whenever needed based on the customer’s information stored in the system.
Enhanced access to the customer’s information can benefit call-centers address maximum calls/queries which will help to attain greater efficiency and diminish transaction time. This will lead to reach greater quality of service at minimum cost
Mode of communication should be maximized such as through phone/e-mail/SMS/sending notification via company’s app
High-priority treatment should be given to the esteemed customers to maintain the level of satisfaction (which doesn’t mean less or no priority to be given to rest of the customers but the balance should be
High levels of customer satisfaction will not guarantee future sales, but are more likely to result in repeat future sales than indifferent or poor customer service. Moreover, satisfied customers are more likely to try out other products/services in the firm’s range, or recommend it to friends and family. Build on customer loyalty Customer loyalty is valued highly by most businesses and can be
Divide your target market into segments. Address how the markets will be segmented and how the CRM will allow you to retain your segmented markets.
Or, then again perhaps, VTB can use the CRM structure to discover about better customer advantage, deliberately pitching, and market designs. According to Bang (2005) CRM is viewed as an educated business philosophy to make and keep up whole deal customer associations. For example, CRM system would be an enabling specialist of business comes about like future repeat purchases. VTB's should use the CRM as a focus business methodology to robotize customer advantage. All things considered, customers tend to put orchestrate at long last and expect the package passed on time. Henceforth, on the operational side, data must be gotten, fused, arranged and fulfilled, to satisfy its targets (Bang 2005). The operational viability of the CRM structure is to accumulate the data from customer to be deciphered later on to
RBC Financial Group uses a customer relationship management (CRM) strategy that provides a variety of services for a variety of clients. The strategy allows for individual customers to trust RBC and develop a personal relationship with each and every client. One major factor that allows CRM to operate effectively is the use of technologies and analytics to help classify each client’s financial situation. These customer profitability-based techniques allowed RBC to categorize their clients into A, B, and C groups so that the sales teams could optimize their efforts in catering to these different clients. This strategy holds the following strengths: optimizing sales efforts to different customers, easily accessible electronic sales leads, centralized and standardized financial decisions, and building personalized and sustainable customer relationships. There are a few weaknesses to the system though including the complexity in predicting future positions of companies despite the use of analytics as well as the complexity in creating consistency when using these
Benefit for the customer to remain involved at all stages and for their voice to be heard.
Improve the efficiency of the business: CRM helps them to eliminate redundancies in their marketing campaigns by allowing them to intuit which stage of the purchasing process each returning customer is in. They can send out marketing materials that are targeted to specific interests and purchasing abilities, rather than transmitting general messages that are far less likely to generate an optimal amount of attention. Their CRM system also collects and organizes a vast amount of data about the individual and the customer groups which helps them to know about customer interest and choice. And thus they speed up their service of customer
CRM is a philosophy and a researcher wants to determine the critical success factors activate this philosophy in Pizza Hut. Three components including people, processes and technology, and these three elements should act interactively to ensure the success of CRM in any business CRM.
1. Issues 2. American Airlines’ objectives 3. The airline industry 4. Market 5. Consumer needs 6. Brand image 7. Distribution system 8. Pricing 9. Marketing related strategies 10. Assumptions and risks
When a business aims to be as successful as possible in selling its products and services, it must examine in detail whether or not the products will be attractive and necessary; if the price is optimal; if the product is being distributed in the best locations; and finally, how interest and awareness can be created for the products. In order for a business to target all of these elements to the right people at the right time, it must employ the right type of marketing mix: Product, Price, Place and Promotion. In a dysfunctional time for the airline industry, most airlines, especially major carriers, are adapting the concept of "doing less with more." One low-cost carrier, JetBlue, is changing the domestic aviation landscape in this regard and is defying the odds. Here is a company that has examined each marketing mix elements carefully, has adapted them to its customer’s needs, and is succeeding because of this approach.
Richards, K., & Jones, E. (2008). Customer relationship management: finding value drivers. Industrial Marketing Management, 37, 120-130.
Consumers desire timely, resourceful help at their fingertips. Plus, the cost of call centers can be expensive and difficult to manage.
Product Strategy of the British Airways 1.1 Introduction to product strategy Product is the most important component in an organization. Without a product there is no place, no price, no promotion, and no business. Product is anything that can be offered to a market to satisfy a want or a need. It is the core ingredient of the marketing mix and is everything favorable and unfavorable, tangible and intangible received in the exchange of an idea, service or good (Kotler 11th edition, 2003). British Airways is a business offering service products, flights across destinations, in the transportation industry.
Within the airline industry currently the airlines can be divided into low cost airlines and full service airlines. The low cost airlines targets customers that are seeking no frills connectivity between cities at low ticket prices. The full service airlines provide several add-ons like free meals, on plane entertainment, and communication facilities. The target market for full service airlines are customers who are willing to spend extra for the services that the airlines provides.
Customer relationship management is a cross-functional process to achieve a continuing dialogue with customers, across all their contact and access point, with personalized treatment of the most valuable customers and to ensure customer retention and the effectiveness of marketing initiatives. It is also provide the chance for customers to interact with the brand.