Customer Relationship Management (CRM) involves understanding customers and managing relationships to maximize customer lifetime value. It has evolved from mass marketing in the 1960s to focus on customer retention and relationship building. CRM uses integrated software and databases to support customer-focused processes across acquiring, retaining, and understanding customers. The objectives of CRM are to create value for both customers and the company through competitive advantage, increased customer service, and lower marketing costs.

1. CUSTOMER RELATIONSHIP
MANAGEMENT (CRM)

2. CRM EVOLUTION
 1960 - Mass marketing
 1970 - Segmentation
 1980 - Rapid shifts in business that changed
customer power
 Supply exceeded demands
 Sellers had little pricing power
 Only protection available to suppliers of goods
and services was in their relationships with
customers

3. DEFINE CRM
‘Integrated system of web enabled software tools and
databases accomplishing a variety of customer-focused
business processes that support the three phases of the
relationship between a business and its customer’

4. CRM
 CRM is a Business strategy
 To understand, anticipate
customers
 Retention of customers in
and manage current and potential
addition to the acquisition of new
customers (maximizing total customer life-time value)
 Customer focused and relationship marketing or Customer delight
 Market research - To assess customer needs and satisfaction
 Software-based approach to handling customer relationships

5. OBJECTIVES OF CRM
 Creating value for the customer
 Creating value company over the longer term
 Organisations to gain competitive advantage
 Increase in customer service
 Increase efficiency
 Lowering marketing cost
 Aiding the department

6. TRADITIONAL VS CRM

7. STRATEGIC CRM
 Building relationships with customers that will provide
little value could result in a loss of time, staff and
financial
 3 conditions - High life-time values
- Serve as benchmarks for other customers
- Inspire change in the supplier

8. THE DIFFERENCE : CRM AND ECRM
 Take care of your customer via Internet
 Customers being able to take care of
themselves online
 Systematic process functional are minimal
 Engineering and architecture for their
execution

9. INFORMATION TECHNOLOGY AND CRM
 Involving the use of databases, data mining and one-to-
one marketing can assist organisations to increase
customer value and their own profitability
 Used to keep a record of customers names and contact
details in addition to their history of buying products or
using services
 Used to target customers in a personalised way
 Personalised communication provides value for the
customer and increases customers loyalty

10. INFORMATION TECHNOLOGY AND CRM:
EXAMPLES
 Phone calls, emails, mobile phone text messages
etc…
 Enable organisations to alert customers to new,
similar or alternative services or products
 EXAMPLE : Purchasing of online tickets , Cookies
(Online store), Loyalty cards, CRM software -
“Front office” solutions

11. INTERNET, INTRANET & EXTRANET
INTERNET
Customers,
Competitors,
General public
EXTRANET
Vendors,
Distributers, Banks,
Consultants
INTRANET
Management,
Employees,
Production centres

12. PHASES OF CRM
CRM
Acquire &
Retain
Understand &
Differentiate
Develop &
Customize
Interact &
Deliver

13. CRM PYRAMID
Customer
Product/Program
offerings
Marketing, Sales,
Support
Technology

14. IMPLEMENTING CRM
A strategic review of the organisation’s current position
should be undertaken
1. What is our core business and how will it evolve in the
future?
2. What form of CRM is appropriate for our business now
and in the future?
3. What IT infrastructure do we have and what do we
need to support the future organisation needs?
4. What vendors and partners do we need to choose?

15. MEASUREMENT BASED FRAMEWORK
COLLECT CUSTOMER
DATA
ANALYZE CUSTOMER
DATA
FORMULATE INFORMATION
BASED HYPOTHESIS
COLLECT DATA ON
PERFORMANCE OF
HYPOTHESIS

16. 8 BUILDING BLOCKS OF CRM

17. CRM SOFTWARE

18. PRESENCE OF CRM
 Promotion Campaign
 Feedback Services
 Upgrade Services
 Brand
 Events

19. BENEFITS OF CRM
 Effective and efficient operation
 Reduced costs
 Increased customer satisfaction
 External growth in numbers of customers
 Increased access to a source of market and competitor information
 Long term profitability and sustainability
 Increased Revenue
 Expect immediate, high quality, personalized 24-7 service

20. IMPORTANCE OF CRM
 Foresee Customer Needs
 Details Of A Customer
 Grouping Customers
 Acquiring New Customers
 Cost Effective
 Handy Details
 Customer Satisfaction
 Customer Loyalty

21. FUTURE OF CRM
 Retention Rate
 Increased Sales
 Reduced Costs
 Significant Role
 Technology
 Customer Information
 Interactive
 Customer Individuality
 Globalization

22. CAUSES OF FAILURE
 Lack of understanding and
preparation
 Lack of business process changes and
change management programs
 Lack of participation by stakeholders
and thus lack of preparedness for
new process

23. TYPES OF CRM
 Analytical CRM
 Collaborative CRM
 Operational CRM
 Geographic CRM
 Sales Intelligence CRM

24. ANALYTICAL CRM
Analytical CRM is designed to analyse deeply the customer’s information and
data and unwrap or disclose the essential convention and intension of
behaviour of customers on which capitalization can be done by the
organization
COLLABORATIVE CRM
Collaborative CRM deals with synchronization and integration of customer
interaction and channels of communications like phone, email, fax, web etc.
with the intent of referencing the customers a consistent and systematic way.
OPERATIONAL CRM
Operational CRM is mainly focused on automation, improvement and
enhancement of business processes which are based on customer-facing or
customer supporting.

25. GEOGRAPHICAL CR
Combines geographic information system and traditional CRM.
Geographic data can be analysed to provide a snapshot of
potential customers in a region or to plan routes for
customer visits.
SALES INTELLIGENCE CRM
Top-performing sales organizations are meeting the challenges of
identifying the most likely buyers of their products and services
through the deployment of sales intelligence solutions that introduce
a wide variety of data streams to their front-line staff.

26. INDIAN COMPANIES ADOPTING CRM
& Many More….

27. CHALLENGES IN CRM
 Richness of customer data
 Integrated view of customer information
 Feedback mechanism from customer
 Intelligence at operational touch points
 Consistence of communication
 Convenience of interacting with insurer

28. APPLICATIONS

29. CRM IN BANKS AND FINANCIAL
SERVICES
 Evolving Customer Profiles – Web landing pages and site
visitors
 Connecting the Dots – Marketing initiatives and pricing
strategies, social media listening tools
 Responding Appropriately - T
roubleshooting customer
problems
 Security Considerations
 Integration with other banking system

30. CRM IN ICICI BANK

31. CRM IN JETHUB
JETHUB - Charter service which saves information in online quoting system
CHALLENGES
 Quoting system was “wide open” to anybody
 Finding a way to support the distributed workforce
ADVANTAGES AFTER ADOPTING CRM
 Complete visibility of clients and client interactions
 Easy way to follow up on the leads
 Customizing CRM to mimic the
presented by the quoting system
same industry-specific form layout
 Can set up automated processes, like alerts and tasks

32. REFERENCES
 Manchester Business School. 2003. Customer Relationship Management:
Where do you start?
 BusinessBalls. Customer Relationship Management. [Online] [Accessed
November 2008]
 http://www.managementstudyguide.com/origin-of-crm.htm
 Liz Shahnam. What’s really CRM? CRM Today. [Online] [Accessed November
2008]
 http://henysunshine.blogspot.com/2010/12/customer-relationship-
management-crm-at.html

33. THANK YOU