Customer relationship management (Source: Philip Kotler), Made by Saksham Duggal, CRM

1. Customer Relationship
Management

2. Introduction
 Changes in customer expectations can be
identified throughout the world. CRM
strategies have become increasingly
important worldwide due to these changes
in expectations from customers as well as
changes in the nature of markets.
 Customer Relationship Management
(CRM) is a managerial philosophy that
seeks to build long term relationships with
customers.

3. Meaning
 This is a process of managing detailed
information about individual customers and
carefully managing all the “touch points” to
maximize customer loyalty.
 Touch Points are the time of direct contact
with customer.

4. Four-step framework
 Don Peppers and Martha Rogers outline
four-step framework that can be adapted in
CRM marketing :
 Identify your prospects and customers
 Interact with individual customer to know about
individual needs
 Differentiate customers as per their needs and
their value to your company
 Customize products, services and messages to
each customer

5. Increasing the value of your
company’s customers base
 Reducing the rate of customer
defection
 Increasing the life of customer
relationship
 Enhancing the growth potential of
each customer through “share of
wallet,” cross-selling, and up-selling.
 Making low profit customers more
profitable

6. Attracting, Retaining, and
Growing Customers
 Search for new customers.
 Identify actual prospects.
 Retain the customers
 Emphasis on customer after sales
 Complaints and suggestion.

7. How to handle customers
complaints
 Set up 7 day, 24 hour toll-free “hotline” (by
phone, fax, or e-mail)
 Revert back as quickly as possible.
 Empathy, Sympathy and apologize
 Resolve the complaint swiftly.

8. Customer Development
process

9. Building Loyalty
 Basic marketing
 Reactive marketing
 Accountable marketing
 Proactive marketing
 Partnership marketing

10. Levels of relationship
marketing

11. Examples
 Apple
Apple encourages owners of its computers
to form local Apple-user groups which
keeps a contact with management of the
company so that it may help them in
correcting the faults. By 2009 there were
more then 600 groups.

12. Examples
 Harley-Davidson
The world famous motorcycle company
sponsors the Harley Owners Group (HOG),
which now numbers 650,000 members.
The first time buyer of the bike gets
benefits like free one year membership of a
magazine (Hog tales), a touring handbook,
emergency road service, insurance
program, discount on hotel rates etc.

13. CRM software

14. References
Book :
Marketing management (Philip kotler)

15. Questions??

16. Thank You!
 By : Saksham Duggal