Merchants and traders have been practicing CRM for centuries. Their business was build on trust. They could customise the products, paid personal attention to customers, knew details regarding their customers tastes and preferences an had personal rapport with most of them Industrial era: : The industrial revolution changed the relationship orientation practices. Manufacturers focused on manufacturing and efficient operations to cut cost. Intermediaries like distributors, whole sales and retailers took on the responsibilities of warehousing, transportation, distribution and sale to the final customers.
Evolution of crm
The Evolution of CRM
Is CRM really a new concept?
Relationship with the customer has existed since
the advent of trade and business.
Customized product Age
Mass Production Age
Customer: Purchaser of goods/Service and not necessarily the one
consuming them, e.g. dealer / retailer/ wholesaler
Consumer: One who utilizes the goods/services to fulfill his need
The Evolution of Relationship Marketing
practiced by merchant and traders.
business was build on trust.
interactions transcended the commercial
transaction and involved social interaction
relationship exists in pre-industrial
Mass production, mass distribution and mass
Intermediaries took on the responsibilities of
warehousing, transportation, distribution and
final sale to the customer.
Greater efficiencies' and lower cost.
Reduced direct contacts and negative impact
on the relationship.
JAGDISH SETH and ATUL PARVATIYAR has identified the
following factors for this shift in orientation:
Advances in technology
Growing importance of service sector
Adoption of TQM programs