1) Customer expectations are higher than ever, and companies lack integration between sales and service data to meet customer needs. 2) CRM combines business processes and technology to create value for customers through timely delivery of excellent service across all channels. 3) Leading CRM capabilities include operational excellence, analytical insights, and collaborative optimization to enhance the customer experience.

1. Jitendra Tomar, Amity School of Business, AUUP Page 1
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
Introduction to CRM
Customer dissatisfaction is widespread because:
 Expectations of customers higher than ever.
 The customers are more analytical then ever and always ask “Does your company
deserve my patronage and loyalty?”
 Starting point today: What was exceptional yesterday.
Organizations with long-standing customer bases find they lack the info and data to make
good service decisions
 90% companies don’t have sales and service integration.
Companies must view their service encounter through the eyes of their customers and
should not proceed only with their perception of market sentiments. This is important
keeping in view the below points:
 To maintain ongoing relationships strong.
 Acquisition and selling costs of new customer very high.
 Dissatisfied customers exists primarily due to lack of customer service.
 70% of complaining customers will do business again if their complaint is quickly
addressed.
Basics of CRM
Timely delivery of excellent service
Combination of business process and technology
When competition is fierce, companies go back to basics: create value for customer
Execs must ask
– Can their companies’ infrastructures allow value creation?
– Can their companies’ existing CRM infrastructures support doing business in the e-
world
Only by integrating sales and service infrastructure with all aspects of operations can
management see change in customer relationships
Top Demand Drivers in CRM Verticals
Telecommunications – Primary CRM applications include:
– Multi-channel contact centers
– Business intelligence
– Customer data integration and analysis
– Web-based billing systems

2. Jitendra Tomar, Amity School of Business, AUUP Page 2
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
– Marketing automation/campaign management systems
– Mobile CRM
Banking and Financial Services – Primary CRM applications include:
– Profitability analysis
– Target marketing
– Data mining
– Product personalization
Retail – Primary CRM applications use e-commerce transaction and point-of-sale data to
drive:
– One-to-one marketing
– Cross selling
– Personalized content management and merchandizing
Strategic Business Drivers
Are these “hot buttons” that influence your business?
– Customer-driven businesses
– 360-degree customer view
– Personalization/one-to-one marketing
– Complex and more diverse channels
– Automated sales
– Shrinking margins due to product commoditization
– Scattered global customers
The organizations are working on various dimensions as given:
– On the concept of multi-channel organization
– Use of apps supporting customer-focused business model
– Strategize how marketing practices and systems must be reworked to support
ecommerce environment
Service levels on the Web today often leave a lot to be desired. As buyers jump from site
to site -- only to ultimately abandon the shopping cart without buying anything from
anyone -- revenues slip away.
Defining CRM
Integrated sales, marketing, and service strategy
– precludes lone showmanship
– depends on coordinated enterprise-wide actions

3. Jitendra Tomar, Amity School of Business, AUUP Page 3
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
CRM software suite
– Helps better manage customer relationships by tracking customer interactions of all
types
– Automates selling and customer service cycle
– direct-mail marketing campaigns, telemarketing, telesales, lead qualification,
response mgmt, lead tracking, opportunity mgmt, quotes and order
configuration
Business Goals
– Using existing relationships to grow revenue
– Using integrated information for excellent service
– Introducing consistent, replicable channel processes and procedures
CRM is an integrated framework and strategy, not product
Managing the Customer Life Cycle:
The Three Phases of CRM

4. Jitendra Tomar, Amity School of Business, AUUP Page 4
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
The New CRM Architecture: Organizing around the Customer
To determine how CRM and supporting tech will work together for your firm, ask these
questions
– Are most of company’s apps designed simple to automate existing departmental
processes?
– Are these apps capable of identifying and targeting best customers, those who
are the most profitable?
– Are these apps capable of real-time customization of products and services?
– Do these apps track when the customer contacts the company, regardless of the
contact point?
– Are these apps capable of creating a consistent user experience across all contact
points the customer chooses?
If answers to each is no, seriously consider CRM architecture
Features of the New CRM Architecture
• Integrates solutions spanning entire customer life cycle
– Proactive marketing
– Customer care
– Call centers
• Automated transaction management capabilities
• Personalization and one-to-one marketing
• Customer analytics and business intelligence
• Field sales automation

5. Jitendra Tomar, Amity School of Business, AUUP Page 5
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
Portfolio of CRM Process Competencies
How it Fits Together

6. Jitendra Tomar, Amity School of Business, AUUP
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
What Capabilities Make Up Leading Edge CRM?
Operational excellence
– Ensuring responsiveness and
accurate delivery
– Providing seamless
Analytical insight
– Sales planning and forecasting
– Analyzing, predicting and driving customer value and
– Identifying the right time
– Consistently enhancing the customer experience in virtual channels
Collaborative optimization
– Involving customer
better accommodate
– Demand driven supply chain and fulfillment integration
Integration Requirements of Next Gen CRM Infrastructure
Closed loop CRM infrastructure must integrate
– Customer content
– Customer contact information
– End-to-end business processes
– The extended enterprise or partners
– Systems
Jitendra Tomar, Amity School of Business, AUUP
Robinson & Dr. Ravi Kalakota
What Capabilities Make Up Leading Edge CRM?
Ensuring responsiveness and
accurate delivery
Providing seamless interactions across all interaction channels
Sales planning and forecasting
Analyzing, predicting and driving customer value and behaviour
Identifying the right time to make the right offer to the right market
Consistently enhancing the customer experience in virtual channels
Involving customers to
better accommodate their needs
Demand driven supply chain and fulfillment integration
Integration Requirements of Next Gen CRM Infrastructure
Closed loop CRM infrastructure must integrate
Customer content
contact information
end business processes
The extended enterprise or partners
Page 6
channels
behaviour
to the right market
Consistently enhancing the customer experience in virtual channels
Integration Requirements of Next Gen CRM Infrastructure

7. Jitendra Tomar, Amity School of Business, AUUP
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
– Less than 2% of companies provide on
website and call center
– 42% of top-ranked Web sites took longer than five days to reply
emails or never replied at all
Next Generation CRM Trends
The multi-channel integrated experience
The rise of the call center as a multipurpose customer contact point
Listening portals: Next-generation CRM capabilities
CRM portals, sales force ASPs, and hosted applications
Multi-Channel CRM
Multi-channel shopping behavior has become mainstream; yet widespread retailer
excellence remains elusive ( some catalog retailers are exceptional)
Women and young adults are multi
The role of the catalog has never been more important (Sears recently bought Lands
Analytical CRM -- Segmentation and personalization capabilities are becoming more critical
Jitendra Tomar, Amity School of Business, AUUP
Robinson & Dr. Ravi Kalakota
Less than 2% of companies provide on-demand cross-channel integration of
website and call center
ranked Web sites took longer than five days to reply to customer
emails or never replied at all
Next Generation CRM Trends
channel integrated experience
The rise of the call center as a multipurpose customer contact point
generation CRM capabilities
ASPs, and hosted applications
channel shopping behavior has become mainstream; yet widespread retailer
excellence remains elusive ( some catalog retailers are exceptional)
Women and young adults are multi-channel shoppers
role of the catalog has never been more important (Sears recently bought Lands
Segmentation and personalization capabilities are becoming more critical
Page 7
channel integration of
to customer
channel shopping behavior has become mainstream; yet widespread retailer
role of the catalog has never been more important (Sears recently bought Lands-End)
Segmentation and personalization capabilities are becoming more critical

8. Jitendra Tomar, Amity School of Business, AUUP Page 8
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
Multi-Channel Shopper Profiles
• Tri-Channel Shoppers are demanding (well-informed) consumers;
• Servicing Tri-Channel Shoppers is very challenging-requires high-levels of
coordination!
Primary Reasons for Tri-Channel Shopper Displeasure
• Late delivery
• Poor product information
• Product out-of stock
• Product misrepresentation
• Website performance issues
• High shipping and handling charges
The current integrated CRM applications can help address these issues.
Roadmap for Managers
• Involve top management
• Define a vision of integrated CRM
• Establish the CRM strategy and specify its objectives
• Understand the customer
• Review cultural changes that will need to occur
• Develop a business case
• Evaluate current readiness
• Evaluate appropriate applications with an uncompromising focus on ease of doing
business
• Identify and target quick wins

9. Jitendra Tomar, Amity School of Business, AUUP Page 9
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
• Put ownership of the end-to-end project in the hands of a single manager
• Implement in stages
• Be sure to create a closed-loop CRM environment
• Create concrete measurement goals
Anticipate Organizational Changes
Organizational resistance to CRM inevitable
– Current incentive systems work against CRM as they reward performance
that deals with only part of the customer’s relationship with organization
– Requires careful transition from existing silo-centric infrastructure to an
integrated customer-centric infrastructure
– Organizations with global operations must manage customer interactions in
different languages, time zones, currencies, and regulatory environments
Impact on corporation’s front line staff particularly evident
CRM Key Benefits
• Deeper understanding of customers
• Increased marketing and selling opportunities
• Identifying the most profitable customers
• Making it easier for sales and channel partners to sell
• Faster response to customer inquiries

10. Jitendra Tomar, Amity School of Business, AUUP Page 10
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
• Increased efficiency through automation
• Receiving customer feedback that leads to new and improved products or services
• Obtaining information that can be shared with business partners
Measuring Success or ROI
• Accelerated revenue growth
• Fewer product returns
• Increased sales conversion per sales channel (the ratio of leads to customer sales)
• Reduced cost per customer order
• Increased profit per sales person
• Reduced technical support time
CRM Assessment – Gather Information
• What do your customers expect from you?
• What percentage of product and services sales come from your current installed
base?
• How much do your customers know about the products and services you offer?
• Are your employees equipped with the information they need to understand your
customers’ preferences, needs and interests?
• How effective are your marketing efforts compared to your competitors?

11. Jitendra Tomar, Amity School of Business, AUUP Page 11
My Sincere Thanks to Marcia Robinson & Dr. Ravi Kalakota
What Businesses should ask themselves more often:
• Are your product life cycles shrinking and are you getting new products to market
faster?
• Can you provide real-time customer data to your sales force?
• Have you found a cost-effective method of converting prospects into profitable
customers?
• How do your customers prefer to be contacted?
• Are you prepared to support your customers if your customer base doubles?
• Is your sales force prepared to scale effectively as growth occurs?