The Importance Of Customer Needs

Customer needs are “problems that customers intend to solve with the purchase of a good or service”. (Business Dictionary.com)

Customer wants, needs and expectations differ from one customer to another. The level of satisfaction or dissatisfaction depends on the service received from the organization. Customer relationship management helps in meeting these needs and wants and creating customer satisfaction and even to go beyond satisfaction and delight the customers. But when satisfying customer needs, it is important to meet both internal and external customer satisfaction. As it is believed that, the employees will provide a better service for the customers only if they are satisfied.

Figure 1.1 Buying Cycle Source: from Jonathan

It is an important part of a business because unlike other departments customer service department maintains a close relationship with customers. CRM stores customers’ personal and sensitive data, preferences, history of packages and services used, complaints and requests etc. These stored data is useful when making decisions regarding the services and products offered, meeting customer expectations, identifying buying patterns and trends, to deliver an efficient service and for marketing purposes etc. Also it is easy to approach customers and make suggestions in choosing packages and other additional services of their choice. Most importantly, it helps to increase customer

(Matteson, L 2013)

Components of CRM are,

 Information

 Process

 Technology

 People (Kincaid 2002)

 Information- Mackinnons travels collect marketing and personal data which are helpful for the business and as well as in anticipating guests’ needs and expectations.

 Processes- Designed as customer centric processes to approach customers. Customers are kept in contact through telephone, e- mail and social media etc.

 People- The employees are given a thorough knowledge of CRM through training. In order to deliver a successful CRM and to motivate the employees, performance level are measured and rewards are given.

 Technology- At present, software is used by the company which is helpful when analyzing data and in automation.

3.2 Managing a responsive customer relationship management

Tourism and hospitality being a service industry has lot of interactions with customers. Therefore the organizations in the industry should maintain the customer satisfaction level to the fullest because if not it will be difficult to survive in the industry with the presence of other strong