The document discusses Customer Relationship Management (CRM). It defines CRM and explains why businesses use it. CRM helps businesses understand customers, target new customers, and serve existing customers more efficiently. The summary discusses the key phases of CRM implementation, benefits of CRM like increased customer satisfaction and revenue, and common causes of CRM failures like lack of communication and buy-in.

1. SASMIRA’S Institute of Management Studies and
Research
Customer Relationship Management
(CRM)
Group Members:
• Santosh Katke
• Sonia Dongrikar
• Dhvani Nagda
• Siddhesh Karane
• Mahesh Dongre
• Khiren Gosar
• Vishal Yadav
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2. Outline Presentation
• Definition of CRM and Why CRM?
• Determinants of CRM
• Objectives and Benefits of CRM.
• Role of salespeople as relationship developers.
• Types and Strategies of CRM
• How to implement CRM?
• Key point to Successful Implementation of CRM
• Causes for CRM failure.
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3. What is CRM?
• CRM stands for Customer Relationship Management.
• It is a process or methodology used to learn more about customers'
needs and behaviors in order to develop stronger relationships with
them.
• It is a strategy used to learn more about customers needs and
behaviors in order to develop stronger relationships with them.
• It involves using technology to organize, automate, and synchronize
business processes—principally sales activities, but also those for
marketing, customer service, and technical support.
• The overall goals are to find, attract and win new clients, nurture and
retain those the company already has, entice former clients back into
the fold, and reduce the costs of marketing and client service.
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4. Why is CRM?
CRM are used to help business
• Understand their customer
• Understand their customers wants and needs
• Target new customers
• Help the business serve them more efficiently
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5. Determinants of CRM
Trust
The willingness to rely on the ability, integrity, and motivation of one
company to serve the needs of the other company as agreed upon
implicitly and explicitly.
Value
The ability of a selling organisation to satisfy the needs of the customer at
a comparatively lower cost or higher benefit than that offered by
competitors and measured in monetary, temporal, functional and
psychological terms.
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6. Determinants of CRM
In addition to Trust and Value, Sales person must -
• Understand customer needs and problems
• Meet their commitments
• Provide superior after sales support
• Make sure that customer is always told truth (must be honest)
• Have passionate interest in establishing and retaining a long term
relationship. (Eg. Have long term perspective)
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7. Goal of CRM
The idea of CRM is that it helps businesses use technology and human
resources to gain insight into the behavior of customers and the value of
those customers. With an effective CRM strategy, a business can increase
revenues by -
•Providing services and products that are exactly what your customers
want
•Offering better customer service
•Cross selling product more effectively
•Helps sales staff close deals faster
•Retaining existing customers and discovering new ones. 7

8. Phrases in CRM
The three phases in which CRM support the relationship between a
business and its customers are to:
•Acquire
•Enhance
•Retain
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9. Role of Salesperson
• Identifying potential customers and their needs.
• Approaching key decision makers in buying business.
• Negotiating and advancing dialogue and mutual trust.
• Coordinating the cooperation between the customers and their
company.
• Encouraging the inter - organizational learning process.
• Contributing to constructive resolution of existing conflicts.
• Leading to customer relationship development team.
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10. Types of CRM
• Operational
• Analytical
• Collaborative
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11. Benefits of CRM
An excellent customer relationships management is at the heart of
every business success.
With CRM, you will easily understand customer requirements, meet those
needs effectively, predict market trends and enhance your bottom line.
Specifically, your business will have the following benefits:
•Customer Satisfaction
•Increased Revenue
•Reduced Cost
•Increases Profit
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12. Strategies of CRM
•Customer Acquisition.
•Customer Retention.
•Customer Loyalty.
•Customer to be potential sales force.
•Cost Reduction.
•Improve Productivity Enhance your e-business
strategies.
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13. Implementation of CRM
It doesn't happen by simply buying software and installing it. For CRM to
be truly effective, an organization must first understand who its customers are and
what their value is over a lifetime. The company must then determine what the
needs of its customers are and how best to meet those needs. For example, many
financial institutions keep track of customers' life stages in order to market
appropriate banking products like mortgages or IRAs to them at the right time to fit
their needs.
Next, the organization must look into all of the different ways information
about customers comes into a business, where and how this data is stored and how
it is currently used. One company, for instance, may interact with customers in a
myriad of different ways including mail campaigns, Web sites, brick-and-mortar
stores, call centers, mobile sales force staff and marketing and advertising efforts.
CRM systems link up each of these points. This collected data flows between
operational systems (like sales and inventory systems) and analytical systems that
can help sort through these records for patterns. Company analysts can then comb
through the data to obtain a holistic view of each customer and pinpoint areas where
better services are needed. For example, if someone has a mortgage, a business
loan, an IRA and a large commercial checking account with one bank, it behooves
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the bank to treat this person well each time it has any contact with him or her.

14. Keys to Successful CRM Implementation
• Develop your customer-focused strategy first before considering what
kind of technology you need.
• Break your CRM project down into manageable pieces by setting up
pilot programs and short-term milestones. Start with a pilot project that
incorporates all the necessary departments but is small enough and
flexible enough to allow tinkering along the way.
• Make sure your CRM plans include a scalable architecture framework.
Think carefully about what is best for your enterprise: a solution that
ties together “best of breed” software from several vendors via Web
Services or an integrated package of software from one vendor.
• Don't underestimate how much data you might collect (there will be
LOTS) and make sure that if you need to expand systems you'll be
able to.
• Be thoughtful about what data is collected and stored. The impulse will
be to grab and then store EVERY piece of data you can, but there is
often no reason to store data. Storing useless data wastes time and
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money.

15. Causes of CRM Failure
Many things. From the beginning, lack of a communication
between everyone in the customer relationship chain can lead to an
incomplete picture of the customer.
Poor communication can lead to technology being implemented without
proper support or buy-in from users. For example, if the sales force isn't
completely sold on the system's benefits, they may not input the kind of
demographic data that is essential to the program's success.
One Fortune 500 company is on its fourth try at a CRM implementation,
because it did not do a good job at getting buy-in from its sale force
beforehand and then training sales staff once the software was available.
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16. Summary
• CRM is a new business philosophy based on trust and value.
• The core function of CRM is the value creation process.
• Customer relationships develop over time.
• The role of global salespeople in the process is that of both
relationship builders and relationship promoters.
• The basic premise of CRM is to offer superior value to customers in
an effort to turn prospects into customers, customers into loyal
customers, and loyal customers into partners.
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17. Thank You
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