Customer Relationship Management (CRM) involves integrating sales, marketing, and customer service strategies using methodologies and software to efficiently manage customer relationships. CRM functions include operational CRM like marketing automation, sales force automation, and customer service, as well as analytical CRM like data warehousing and data mining. CRM aims to acquire customers, extend relationships through cross-selling and up-selling, and retain customers through understanding their needs. Key challenges are integrating customer information across channels and systems and ensuring end-to-end business process integration between departments like sales and service.

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Customer Relationship Management
(CRM)
Presented By:
JAYA IMB2014006
SONAM SHARMA IMB2014007

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CRM Definition:
 An integrated sales, marketing & service strategy
 “Methodologies, software and usually internet
capabilities that help an organisation manage customer
relationships in an efficient and organised manner”

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CRM Functions:

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Operational CRM
MARKETING
AUTOMATION
designed to get the right mix of the
company’s products and services in front
of each customer at the right time
SALES FORCE
AUTOMATION
Collaborative tools that enable all parties to
the transaction to interact with one another
CUSTOMER
SERVICE
AND
SELF-SERVICE
Serving existing customer base through
problem resolution systems, workflow
automation and field service dispatch systems
Capabilities that can be directly invoked by
the customer on the internet via PC and
wireless devices

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Analytical CRM
DATA
WAREHOUSE
A process of assembling disparate data from all
over the company transforming it to a consistent
state for business decision making and
empowering users by providing them with
access to this information from multiple
applications
DATA
MINING
The process of extracting and presenting new
Knowledge, previously unpredictable, selected
from databases for actionable decisions.

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CRM - Stages
1. Customer Acquisition:
Promotion of products – build a relationship – first date
2. Customer Extension:
An established relationship – cross-selling & up-selling
3. Customer Retention:
Adapt to customer requirements – requires a complex
understanding of customer needs.

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CRM Challenges
• Integrating customer content
All interactions and knowledge about customers must be synthesised and stored in a way
that anyone in the organization with a need to know can access that information in real-time
and in a way that supports that current problem. Currently most organizations
cannot do this or are even close to this
• Contact management
The channels that customers use to contact an organization are increasing –Web, call
centre, fax, email, voice message etc. These technologies must be integrated so that
staff can access the details regardless of channel.
Consistent business rules need to be applied across all channels of contact
• End-to end business processes
Business processes must be integrated and consistent e.g. sales and service. The
service staff must have access to sales details and commitments and apply
consistent rules of dealing with the customers. This requires much more
integration between processes than is current.

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CRM Difficulties
• CRM requires major integration of systems which
few companies have
• CRM requires turning round existing systems to
store, record and retrieve on a customer-centric basis
• CRM requires people to stop thinking about
departmental boundaries and to start thinking about
how as a team the company can help the customer

9. CRM: PROS and CONS
PROS CONS
 CRM offers the advantage of
gaining customer loyalty.
 A good CRM associated with a
good tool ensures companies to
have a good view over the list of
customers and ensures a better
and more targeted
communication.
 CRM also ensures enhanced
productivity. By fostering
customer's loyalty, the company
spends less time acquiring new
customers and saves time on other
projects.
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• CRM requires major integration of
systems which few companies have
• CRM requires turning round
existing systems to store, record and
retrieve on a customer-centric basis
• CRM requires people to stop
thinking about departmental
boundaries and to start thinking
about how as a team the company
can help the customer

10. BUSINESSES THAT USE CRM
 Any businesses that have a sales team –CRM can help salespeople to identify
various trends in their customers behaviour it can assist them when selling
products.
 Any businesses that use any form of marketing – when using a good business
CRM solution businesses can use sales information from customers records to
finely tune theirMARKETING campaigns.
 Any businesses that create quotes and invoices – having a built-in invoicing
tool in CRM software programs that is used daily can really speed up the
quality and invoicing process. Using just one software program to do
everything in a business can increase productivity dramatically.
 Any businesses that want to show their customers that they are a priority –
customers like to feel as though they are wanted, and using CRM can do this.
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11. Example: Marriott International
 A year into its implementation of Siebel Systems Inc.'s CRM
package, Marriott has put the tool in the hands of 2,000
salespeople and events-booking staffers.
 Marriott also relies on NetMarketplace sales and catering
software to link the inventory at its hotels into a single database
that allows for cross-selling and centralized account
management of business groups and meetings.
 It is also planning upgrades to central reservations, revenue and
property management, and CRM systems. For example, the
property-management system is used around the world to
manage everything from room inventory to kitchen supplies.
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The End