Cypress Semiconductor and FleetBoston:
Benefits and challenges
Cypress Semiconductor Corporation is a Silicon Valleybased semiconductor design and manufacturing company
founded by T. J. Rodgers and others from Advanced Micro
The company initially focused on the design and
development of high speed CMOS SRAMs, EEPROMs, PAL
devices, and TTL logic devices.
FleetBoston Financial Corp. was a Boston, Massachusetts–
based bank created in 1999 by the merger of Fleet
Financial Group and BankBoston. In 2004 it merged
with Bank of America; all of its banks and branches were
given the Bank of America logo.
Cypress corp. : CRM
Cypress used the Internet technologies like web based
satisfactory surveys and social CRM to support marketing
and improve its business and customer value
Cypress real time customer satisfaction monitoring system
from Satmetrics systems triggers the local sales office and
the vice president of headquarters sales.
This improves the responsiveness of the employees to
customers and increase the customer satisfaction.
Traditionally, CRM served mainly to collate
customer data like profiles, order history etc. and
served to maintain a relationship with the customer
and the company.
A Customer Relationship Management system may
be chosen because it is thought to provide the
Quality and efficiency
Decrease in overall costs
FleetBoston Financial corporation
Fleet uses the Customer Segmentation to compute and track
profitability of every customer and Target its Marketing
efforts to individual customers based on their current and
Fleet also uses Artificial Intelligence systems to analyze
transactions in real time and spot the increase/decrease in
What is a Marketing?
“Getting the right goods, to the right people, in
the right place, at the right time, with the right level of
Marketing is a process of understanding what your
customers want and providing them with what they
want and communicating the factor that is available to
Market include people with needs, wants, purchasing
power and willingness to buy a certain product.
Market Segmentation is grouping a market
followed by various and distinct needs that require
different marketing strategy
After evaluating profitability of each segment marketer
choose one or more of the market segments to enter.
This action is called ‘Market Targeting’
Target market is a business term meaning the
market segment to which a particular good or service is
It is mainly defined by age, gender, geography, socioeconomic grouping, or any other combination of
Target Marketing involves breaking a market into
segments and then concentrating your marketing efforts
on one or a few key segments.
FleetBoston Financial corp. : Use of IT
By using Artificial intelligence the company analyze the
customer transactions in real time and stores the
information in the databases for future use.
It ensures that the most valuable customers get
preferential treatment based on the current and past
contributions to the company.
Target Marketing helps the employees, Putting the right
offer, in front of the right customer, at the right time
Pitfalls of Targeted Marketing
Some companies spends lot of time and millions
of dollars to build databases but unable to calculate
Since companies don’t convey the information
mined by analysts to the marketing, sales, and front-line
customer service people who use it.
One of the biggest pitfalls of customer databases is that
best customers are bothered endlessly
How does the use of Internet Technologies to support the
marketing function at Cypress Semiconductor improve
business and customer value?
The company has made a Web-based customer
satisfaction monitoring system (i.e. a customer satisfaction
questionnaire) by which the customers can give their
feedbacks. If a customer gives poor rating, it will
automatically trigger an e-mail to the Vice President of the
company which will help him to take immediate steps for the
It ensure that their customers have a positive
feeling towards the company.
surveys, segmentation, database analysis to target its
customers with right product at right time to improve the
What are the benefits and potential challenges of
FleetBoston’s use of IT to support their targeted marketing
• Use of IT boosted the yields of its marketing campaigns.
• They were able to calculate and monitor the profitability
of each customer and target its marketing efforts to
individual customers based on their current and past
contributions to the bottom line.
• Expensive and Time Consuming..
• Prediction of Human behavior is quite difficult
• Since they maintain databases and use internet
technologies there is threat from Hackers. Hence
maintaining firewall is a challenge for the companies..
Why so IT-based targeted marketing programs sometimes
produce negative business results? How can such results
IT based targeted marketing sometimes produce negative
business results due to Ineffective targeting which leads to
wrong product offers, inappropriate marketing
appeals, wrong pricing at wrong place. It will spoil the
company’s goodwill within no time.
Such negative results can be avoided through the
Companies should have the right idea about surveys
and use the database in effective manner.
Improved Customer Relationship Management(CRM)
should be there
Tools such as Statistical analysis, Data mining should
be done with outmost care.
Use of Artificial Intelligence to analyze the real time
YOU need Smart Thinking on top of the data base
Manoj Kumar K