The Importance Of Customer Relationship Management

942 Words4 Pages
These days all emphasis have been on customer relationships, but only a few large businesses truly understand how to mange them. Customer relationship management (CRM) is the practices, strategies, and technology that companies use to analyze and manage customer interactions and data throughout the customer life cycle. Companies are now expected to understand the type of relationship they want to have and respond coordinately. Many corporations lack “relational intelligence” which means they are not aware of the variety of relationships customer can have with a firm and do not know how to reinforce or change those connections (Avery, Fournier, & Wittenbraker, 2014). Whether a business is a corporation, government agency, or a non-profit organization,…show more content…
There are consequences that companies face from lacking relational intelligences. “Consumer companies often manage relationships haphazardly and unprofitably, committing blunders that undermine their connections with customer” (Avery, Fournier, & Wittenbraker, 2014). In other words, a business relationship should remain business. The customers are not your friends. When a company tries to treat a customer like a friend they tend to be treat them poorly. Resulting in customers frequently feeling frustrated by the company’s inability to meet their relationship standards and vice versa. Setting a vision for your relationship network. A great corporation should have a strong sense of purpose. Research has shown that customer relations have gotten lost in purpose setting. It is the CEO’s job to set a vision for the direction to take, and embed that vision within the organization (Brown, 2016). An organization that incorporates customer relationship visions and properly train employees relationship network will provide a better customer service experience than an organization that does…show more content…
Now that Big Data and the Internet of things have come along, firms can go beyond the transactions to every little detail of the customer’s actual experience. This allows firms to view data by customer’s age, gender, average spend, brand loyalty, and so on. A business knows when a customer enters their store, how long they are in there, what products they looked at, and for how long (Merrifield, 2015). Technology is rapidly changing the way people think, manage and measure a company’s customer relationships. The future of operations. For example, Disney has created My Magic+ MagicBand bracelet, which allows Disney to know where there guest is at, at all times, and allow the guest to plan bookable and non-bookable activities. This band is also used as an access key to the guest resort rooms as well as passes to get into the Disney theme parks. This is just one of many examples of Internet of Things adoption. It is important to assess customer experiences and how to properly engage customers differently. It is a lot easier to access this information with new technology adopted by Internet of things and big Data. This is an increasingly important method for getting a handle on documenting customer and employee experience journeys (Merrifield,
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