CRM (customer relationship management) aims to retain existing customers and attract new ones by providing a good customer experience. For non-profits, CRM has additional goals like furthering the organizational mission and includes a wide variety of stakeholders as "customers". Developing an effective CRM strategy involves understanding customers, mapping customer journeys, and establishing processes and technologies to support relationships. Key challenges are overcoming cultural resistance to change and ensuring proper implementation of new systems and processes.

1. by Dr Peter Flory
Director – Athena Consultants Limited
Visiting Research Fellow – Brunel University

2. Customer Relationship Management

3. What is CRM?
 You have all heard the following:
 “The customer is always right”
 “Keep the customer satisfied”
 “Customers are our business, without them we have no
business”
 “Your best future customers are your current customers”
 “Look after your customers and the £££s will look after
themselves”
 That is CRM. It is not rocket science, it is common sense!
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4. A simple definition of traditional CRM:
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CRM was originally developed in the commercial /
business / private / “for profit” sector, consequently:
“CRM is the process of making more money
by keeping existing customers, attracting new
ones, being nice to them and giving them
what they want!”

5. So, who is the traditional CRM
customer?
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If we extend the definition of
“customer” to include other
stakeholders in Private sector
organisations then we get:
- Customers
- Prospective customers
- Shareholders
- Partners
- Suppliers
- Lenders
- Press
- Agencies

6. CRM in the NfP sector
 CRM is all about making money, so that means:
 Fundraising, Membership, Sales
 Plus; non-monetary items:
 GIKs , services, time, awareness, influence
 Plus; the importance of MISSION
 Money is a means to an end
 More customers to be nice to
 Plus; the multi-role customer
 Therefore; far more complexity
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7. NfP/Third Sector “customers”
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8. So, to simplify things
 Our customers are every person and every organisation we
come into contact with plus more nebulous things such as
Projects
 “Customers” = Contacts and Contact Points, therefore …
 Remember the 8 different stakeholder groups in the Private
sector? Well, in the NfP sector we have ……
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9. NfP sector stakeholders (“customers”)?
2 December 2014 CharityComms 9Can you think of more?
Academics Eventers Project Workers
Agencies Families Prospects
Alumni Funders Religious Establishments
Areas/Branches/Regions Government Departments Service Units
Associates Health Establishments Service Users
Beneficiaries Health Professionals Special Interest Groups
Celebrities Individuals Sponsors
Clients Influencers Staff
Collectors Legators Students
Committee Members Lenders Subsidiaries
Community Organisations Media Suppliers
Companies Members Supporters
Customers Opt Outs Support Groups
Detractors Organisations Teams
Departments Politicians Trusts
Donors Partners Trustees
Educational Establishments Projects Volunteers

10. A simple definition of NfP CRM:
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“Third Sector CRM is the process of doing
good by attracting and keeping customers
(funders, service users, volunteers and
suppliers alike), being nice to them and
giving them what they want! (Money comes
into it but only as a means to an end).”

11. The 8 Principles of CRM
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Visibility
Integration
Relationships
Quality
Knowledge
Planning
Analysis
- record every customer interaction
- make the interactions available to all staff
- link all systems; computer and procedural
- mutually beneficial customer dialogue
- highest quality products and services
- customer information, opinions, likes, etc
- analyse information to predict behaviour
- campaign planning, customer journeys
Inclusiveness

12. So whose responsibility is it?
 The Chief Executive
 CRM is organisation wide
 It is not just an IT thing
 If delegated then Communications/Marketing are ideally
placed
 Overview of the whole organisation
 Relationship people
 Problem - Do they/you have the authority to make
organisation-wide decisions?
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14. You need a CRM strategy because…
 CRM is a complete organisational philosophy
 People
CRM involves you and everyone you come into contact
with
 Processes
CRM encompasses everything you do
 Technology
CRM needs tools to be effective (…and the database is just
one tool!)
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15. What is a strategy?
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"A strategy is an integrated set of plans in order
to achieve a stated objective."
Common theme
Where are we now?
Where do we want to be?
What is happening in the
marketplace?
What are our options?
How do we get there?
… and strategy objectives must be:
Clear and concise
Consistent with the mission
Consistent within themselves
Acceptable by everyone
A basis for action
Achievable
Measurable
Flexible
Lots for you to think about!

16. So what is your CRM strategy?
 Start with something simple
 Who are your customers?
 How do you currently serve them?
 How can you serve them better?
 Then consider:
 Understanding your customers
 Touch points
 Customer experience
 Customer journeys
 How to measure success?
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… and remember
the 50+ different
types of customer,
each one has
different needs!

17. Some useful strategy questions
 What are you going to do to:
 Acquire new customers?
 Retain existing customers?
 Find out more about them?
 Keep them happy?
 Provide them with what they want?
 Get them to buy/give/interact more?
 Treat them like individuals?
 Maintain/improve the quality of your products and services?
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19. CRM strategy challenges
 Understanding what CRM really is (we’ve done that bit)
 Adopting the principles of CRM
 Practical, nuts and bolts issues
 Implementation issues (and it’s just as much about
working practices as it is about CRM computer systems)
 People
 Processes
 and finally, technology
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20. CharityComms 20
Principle challenges
This means dramatic
cultural change
This means high skill
levels
This
means
being
nice to
people
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21. Practical challenges
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Functionality
Security
Compliance
Confidentiality
Configuration
Reporting
Data
- What do you want CRM to do for you?
- Who can see what, who can do what?
- Legal obligations and codes of practice
- Data Protection Act
- What should your system/s look like?
- What data do you keep and why? Silos!
- What do you want to know?

22. Implementation challenges
(CRM implementations are PAINFUL)
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Politics
Arrogance
Incompetence
Nearsightedness
Fear
Lethargy
Unfamiliarity
- in-fighting, status, “my customers”
- I know best, you can’t teach me anything
- there is a lot to learn, you may need help
- inability to see the “big” picture
- results in “too busy” or non-cooperation
- it’s all new and it causes the fear above
- inclination to do as little as possible

23.  Firstly, get the right people doing the right job
 Project Sponsor
 Project Manager
 Project Team
 External support
 Organisational inertia
 People fear and resist change
 Vision, enthusiasm, involvement, manage expectations
 Avoid boredom and disillusionment
 Communicate, communicate, communicate
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The biggest Problem – People!
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24.  Process review
 Always, always, always do a review of current processes
 Work with system supplier/s to map them onto the new system/s
in the most effective manner
 Be prepared to change!
 Document, document, document
 Change management
 New systems ALWAYS mean new and changed processes
 This is a whole subject in itself and it must be handled sensitively
 Encouragement, enthusiasm, support and training
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Processes
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25.  Get the requirements right, priorities, detail, detail, detail
 Get the selection right, don’t just buy the cheapest
 Make infrastructure changes if required
 Effective project management
 Testing, testing, testing
 Training, training, training
 Proper change control procedures
 Manage your supplier – don’t let them manage you!
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Technology
Supplier?You?
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26.  Review your strategy constantly
 Remember the 8 principles of CRM
 Get the details right
 People are your biggest challenge
 Processes will change
 Technology rarely fails
GOOD LUCK!
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And finally….
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27. Comments and Questions
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28. Peter Flory e-Mail: peter@athena.org.uk
Tel: 0118 986 6623
Mob: 07860 451 830
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29. Visit the CharityComms website to view
slides from past events, see what
events we have coming up and to
check out what else we do.
www.charitycomms.org.uk

30. CRM for charity
communicators:
developing excellent customer
experience
Conference
2 December 2014
London
#charityCRM