Importance And Importance Of Customer Relationship Management

Title: CUSTOMER RELATIONSHIP MANAGEMENT:

ITS ROLE AND IMPORTANCE IN TODAY’S BUSINESS WORLD.

Name: Dr. Pooja H. Ramchandani,

Designation: Assoc. Prof. (Department of Commerce) and Vice Principal.

Mailing address: H.R. College of Commerce and Economics, 123, Dinshaw Wachha Road, Churchgate. Mumbai -400020

Mobile: 9892837112

Email: [e-mail]

Abstract:

 INTRODUCTION :

The progressive organizations who are customer oriented or customer centric consider Customer Relationship Management (CRM) as one of their key business philosophies. Many companies have now realized that to in order to

Due to increasing competition, along with product innovation and technical leadership, the companies also need to know how to reach out to their customers. Engaging the customer, understanding the customer and his needs as well as building relationship with them has become the need of the day. Therefore, almost every individual today is bombarded with calls, emails, personal visits, mailers and all sorts of marketing communications from different companies. Today’s consumers are more informed than you one imagine. Due to this, there has been a drastic shift in consumer power and it has altered the selling process as marketers are now placing a greater emphasis on the customer experience. Nowadays, most companies have some form of software or the other in order to help them keep track of their customers and manage all the information available with respect to their customers. Although it is important to have a system to maintain customer related data, however having a database comprising of customer names, contact information and purchase history is

Maintaining such information helps in reduced searching and correlating customers and also to foresee customer needs effectively, providing customized products and in turn, increase business.

2) Determination Of Profitable Customers :

CRM system contains all the significant details of a customer. Hence, it becomes very easy for an organization to track a customer accordingly and can also be used to determine which customers are profitable and which are not.

3) Helps To Focus On Customer Needs :

In a CRM system, customers are grouped according to different aspects. For instance, some organizations may group their customers according to the type of business they do while some other organizations may group their customers according to physical location. Some organizations may segregate the data in a number of groups. These groups are allocated to different customer managers who often called as account managers. Such segregation of customer data into various groups helps to focus and concentrate on each and every customer and his needs