PRESENTED BY

OVER VIEW Introduction of CRM Definition Need of CRM Importance of CRM Process Requirement for effective CRM ECRM Problem definition What is ECRM ? Need of ECRM Difference between CRM and e-CRM. How it actually takes place ? Benefits Pitfalls Failure of ECRM in e-business Reasons Solutions Proven Success & Conclusion

Introduction of CRM

Definition

Need of CRM

Importance of CRM

Process

Requirement for effective CRM

ECRM

Problem definition

What is ECRM ?

Need of ECRM

Difference between CRM and e-CRM.

How it actually takes place ?

Benefits

Pitfalls

Failure of ECRM in e-business

Reasons

Solutions

Proven Success & Conclusion

Introduction of CRM Customer Relationship Management is a concept that gives a wider idea about how companies manage their relations with customers. It includes capture ,storage & analysis of customer information.

Customer Relationship Management is a concept that gives a wider idea about how companies manage their relations with customers.

It includes capture ,storage & analysis of

customer information.

NEED FOR CRM To meet the changing expectations of customer due to: (a) social and demographic factors. (b) economic situations. (c) educational standards. (d) competitors product (e) experience. To manage the dissatisfied customers.

To meet the changing expectations of customer due to:

(a) social and demographic factors.

(b) economic situations.

(c) educational standards.

(d) competitors product

(e) experience.

To manage the dissatisfied customers.

CRM involves Shifting the focus from product to customer Considering the offer to what the customer require, not what the organization can make. Integrating the customers.

Shifting the focus from product to customer

Considering the offer to what the customer require, not what the organization can make.

Integrating the customers.

IMPORTANCE OF CRM PARETO’S LAW 80:20 RULE 20% of customer account for 80% of turn over 20% of customer account for 80% of profit 20% of customer account for 80% of all your problems

PARETO’S LAW

80:20 RULE

20% of customer account for 80% of turn over

20% of customer account for 80% of profit

20% of customer account for 80% of all your problems

PROCESS Whenever there is sales or service related interaction with customers, all of these information are collected ,stored in appropriate place and then analyzed properly to take decisions . whenever there is a opportunity Sales team collects the relevant data regarding that perspective deal and draw their own conclusions about : Perspective customer Expected budget Total spending Product interested in Key players in the deal & their key characteristics Important dates etc.

Whenever there is sales or service related interaction with customers,

all of these information are collected ,stored in appropriate place and

then analyzed properly to take decisions .

whenever there is a opportunity Sales team collects the relevant data regarding that perspective deal and draw their own conclusions about :

Perspective customer

Expected budget

Total spending

Product interested in

Key players in the deal & their key characteristics

Important dates etc.

REQUIREMENTS Requirements for effective CRM Service order management Service contract management Planned service management Warranty management Knowledge management

Requirements for effective CRM

Service order management

Service contract management

Planned service management

Warranty management

Knowledge management

Electronic Customer Relationship Management Latest paradigm in the world of CRM

Latest paradigm in the world of CRM

NEED OF e-CRM Due to the introduction of new technology Due to globalization (to satisfy the customers at global level) Sometimes customer itself prefer to do online purchasing. Basically ECRM is concerned with attracting & keeping economically valuable customers & eliminating less profitable ones.

Due to the introduction of new technology

Due to globalization

(to satisfy the customers at global level)

Sometimes customer itself prefer to do online purchasing.

Basically ECRM is concerned with attracting & keeping economically valuable customers & eliminating less profitable ones.

DIFFERENCE BETWEEN CRM AND e-CRM CRITERION CRM eCRM CUSTOMER CONTACTS TRADITIONAL MEANS-RETAIL STORE,TELEPHONE OR FAX THROUGH INTERNET,E-MAIL,WIRELESS,MOBILE AND PDA TECHNOLOGIES SYSTEM INTERFACE WORKS WITH BACKEND APPLICATION THROUGH ERP SYSTEM DESIGNED FOR FRONTEND AS WELL AS BACKEND APPLICATIONS THROUGH ERP, DATA WAREHOUSE, DATA-MART SYSTEM IT REQUIRES PC CLIENTS TO DOWNLOAD VARIOUS APPLETS AND APPLICATIONS. HERE, BROWSER IS THE CUSTOMERS PORTAL TO eCRM

CRITERION CRM eCRM CUSTOMIZATION AND PERSONALIZATION DIFFERENT PEOPLE REQUIRE DIFFERENT INFORMATION BUT PERSONALIZED VIEWS FOR DIFFERENT AUDIENCE ARE NOT POSSIBLE HERE. PERSONALIZED VIEWS BASED ON PURCHASE AND PREFERENCE ARE POSSIBLE SYSTEM FOCUS SYSTEM IS DESIGNED AROUND PRODUCT AND JOB FUNCTIONS. HERE,APPLICATIONS ARE DESIGNED AROUND ONE DEPARTMENT OR BUSINESS UNIT. SYSTEM IS DESIGNED AROUND THE CUSTOMERS NEED. ENTERPRISE WIDE PORTALS ARE DESIGNED AND NOT LIMITED TO A SINGLE DEPARTMENT. SYSTEM MAINTENANCE AND MODIFICATIONS IMPLEMENTATION IS LONGER AND COSTLY SYSTEM IMPLEMENTATION REQUIRE LESS TIME AND COST

Process of eCRM

BENEFITS OF e-CRM Convenience Improvement in overall quality of customer experience Increased profitability According to Anderson consulting a typical $1b company can gain up to $130 million through ECRM. Another study shows that 10% gain in repeat customers can add about 10% in the company’s profit. Increased customer loyalty It include personalization concept of time saving. collaborative filtering personalization s/w

Convenience

Improvement in overall quality of customer experience

Increased profitability

According to Anderson consulting a typical $1b

company can gain up to $130 million through ECRM.

Another study shows that 10% gain in repeat

customers can add about 10% in the company’s profit.

Increased customer loyalty

It include personalization concept of time

saving.

collaborative filtering personalization s/w

More effective marketing. Improved customer service and support. Through ECRM right tools helps sending right orders to right customers at right time. Greater efficiency and cost reduction.

More effective marketing.

Improved customer service and support.

Through ECRM right tools helps sending right orders to right customers at right time.

Greater efficiency and cost reduction.

PITFALLS Huge money is required to implement ECRM. Highly knowledge requiring process. Results are not according to expectations. Sales and Marketing are reluctant to adopt new automated CRM system.

Huge money is required to implement ECRM.

Highly knowledge requiring process.

Results are not according to expectations.

Sales and Marketing are reluctant to adopt new automated CRM system.

FAILURE OF e-CRM IN BUSINESS REASONS Quick implementation of e-CRM without proper study. Initial scope too broad. Complexity of system. Lack of user-friendliness. e-CRM fails if implementation takes more than 90 days.

REASONS

Quick implementation of e-CRM without proper study.

Initial scope too broad.

Complexity of system.

Lack of user-friendliness.

e-CRM fails if implementation takes more than 90 days.

EXAMPLES OF FAILURES Cisco Bain & Co. Report of Forrester Research Berkeley Enterprise Partners warns that 70% of projects don’t produce + ve returns 2 out of 5 respondents said –e CRM projects are “potential flops” according to Data Ware House Institute Survey.

Cisco

Bain & Co.

Report of Forrester Research

Berkeley Enterprise Partners warns that 70% of projects don’t produce + ve returns

2 out of 5 respondents said –e CRM projects are “potential flops” according to Data Ware House Institute Survey.

SOLUTIONS Developing customer focused business strategy BPR (Business Process Reengineering) By: outsourcing changing work process Training Change in Technology Providing security

Developing customer focused business strategy

BPR (Business Process Reengineering)

By: outsourcing

changing work process

Training

Change in Technology

Providing security

CONCLUSION CRM is- to listen and learn, not tell and sell. ECRM boosts the energy in company. Strongest tool in retaining the customers

CRM is- to listen and learn, not tell and sell.

ECRM boosts the energy in company.

Strongest tool in retaining the customers

Websites : wikipedia.org ephany.com Books : CRM made easy(CIO magazine) The truth about CRM CRM makes online shopping easy(magazine)

Websites :

wikipedia.org

ephany.com

Books :

CRM made easy(CIO magazine)

The truth about CRM

CRM makes online shopping easy(magazine)