CRM aims to understand customer needs to manage relationships and maximize lifetime value. It integrates marketing, sales, service, and support through people, processes, and technology. CRM focuses on retaining existing customers in addition to gaining new ones, shifting from traditional marketing. Maintaining long-term customer relationships is critical to business performance. The purpose of CRM is to create value for both customers and the company over time by providing quality service. This competitive advantage helps with customer retention and building relationships.