Crm Is Not a Process Technology Per Se
- Submitted by: klausklaus1990
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- Category: Science
- Date Submitted: 11/18/2014 02:11 PM
- Pages: 5
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CRM is not a process or technology per se; rather it is a way of thinking and acting in a customer-centric fashion. (Rainer, 2013).
Handling customers and building a positive two way relationship has become an important part for every businesses today. Far to often managers are blinded by the general assumption that an investment into CRM-systems and using the gained data would make their own business achieving a competitive advantage and therefore more profitable. Unfortunately CRM is more complex and not that easy to handle as I will state in the following.
The general concept is to manage a company’s interaction with current and future customers. To do so, there are different ways that I will survey.
Old concepts looked at customers as consumers, they monitored their purchase history and calculated the cost to serve them. But the first CRM attempts have overseen that their customers are first and foremost persons into whose life a meaningful brand may come. The solution is to focus more on the ´R´ in the term Customer Relationship Management´. Focusing on the relationship can improve the interaction with their customers and may turn bad relations into good ones. The text mentions three important points that businesses have to have in mind, which may sometimes overlap. First, their customers are human beings with lives that are rich and complicated. Secondly these people come in different shapes and sizes; therefore companies need to set up different ways for a relationship ( The Landscape of Brand Relationship). Finally they have to understand that a good relationship is a two-side relationship that evolves with interaction. Companies must be willing to look inward to understand why some relationships break up and others don’t. As soon as they stop treating relationship as a dynamic work in process, they will walk away from potential valuable relationships.
In a nutshell business can collect data but these data must be very precise and in depth to use...
Handling customers and building a positive two way relationship has become an important part for every businesses today. Far to often managers are blinded by the general assumption that an investment into CRM-systems and using the gained data would make their own business achieving a competitive advantage and therefore more profitable. Unfortunately CRM is more complex and not that easy to handle as I will state in the following.
The general concept is to manage a company’s interaction with current and future customers. To do so, there are different ways that I will survey.
Old concepts looked at customers as consumers, they monitored their purchase history and calculated the cost to serve them. But the first CRM attempts have overseen that their customers are first and foremost persons into whose life a meaningful brand may come. The solution is to focus more on the ´R´ in the term Customer Relationship Management´. Focusing on the relationship can improve the interaction with their customers and may turn bad relations into good ones. The text mentions three important points that businesses have to have in mind, which may sometimes overlap. First, their customers are human beings with lives that are rich and complicated. Secondly these people come in different shapes and sizes; therefore companies need to set up different ways for a relationship ( The Landscape of Brand Relationship). Finally they have to understand that a good relationship is a two-side relationship that evolves with interaction. Companies must be willing to look inward to understand why some relationships break up and others don’t. As soon as they stop treating relationship as a dynamic work in process, they will walk away from potential valuable relationships.
In a nutshell business can collect data but these data must be very precise and in depth to use...