WHAT IS E-CRM
E- CRM is the process of maximizing sales to the existing customer,
encouraging continuous relationships through the use of digital
communications technologies such as operational
databases, personalized web messages, Customer Service, Email and
Social Media Marketing.
What is e CRM about?
 Customer Selection
• Customer Acquisition
• Customer Retention
• Customer Extension
Customer Selection
 • Who do you target?
• What value do they bring to your objectives?
• What is their lifecycle?
• Where do we find these customers?
Customer Acquisition
 • Focus on the right segments and target them
• Minimize acquisition costs
• Make customer relationship and service quality a priority
• Approach the appropriate platforms
Customer Retention
• Know customers’ needs individually in order to develop a good e CRM strategy
• Offer value continuously in order to retain online interest and improve
customer relationship
• Focus on delivering service quality to the utmost standard
• Choose the right channels for your strategy
Customer Extension
 • Recognize the customer’s relationship interest and respond
• “Cross Sell” and “Up Sell”
• Service Quality
• Use appropriate platforms/channels
Benefits of e CRM
 Reducing costs in customer targeting (customizing emails on large scale
therefore reducing costs for direct mail)
 Service level improvements
 Revenue growth
 Productivity
 Customer satisfaction
Difference between CRM AND
E- CRM
 CRM uses phone, fax and retail store for contacting customers while eCRM
uses wireless, PDA technology, internet and email.
 The design of CRM system is related to job products and functions while the
design of eCRM system is related to customer needs.
 The maintenance of CRM is very expensive while the maintenance of eCRM is
less expensive and requires only less time
WHY E- CRM
 Gather and combine customer information into a unified picture
 Response faster and accurately
 Build customer loyalty
 Due to the introduction of new technology
 Due to globalization
 Changing customer attitudes and expectations
 To gain competitive advantage
 To measure, create and increase income for the business
 To reduce costs
DIFFERENT LEVELS OF E-CRM
Foundational services: This includes the minimum necessary services such as
web site effectiveness and responsiveness as well as order fulfillment.
 Customer-centered services: These services include order tracking, product
configuration and customization as well as security/trust.
 Value-added services: These are extra services such as online auctions and
online training and education
DIFFERENT EXAMPLES OF E-CRM
 Here are examples of how technology can be used to create personalized
services to increase loyalty in customers:
 Phone calls, emails, mobile phone text messages.
 Having access to customers contact details and their service or purchase
preferences through databases etc. can enable organizations to alert
customers to new, similar or alternative services or products
 When tickets are purchased online via Lastminute.com, the website retains
the customers details and their purchase history. The website regularly send
emails to previous customers to inform them of similar upcoming events or
special discounts. This helps to ensure that customers will continue to
purchase tickets from Lastminute.com in the future.
DIFFERENT EXAMPLES OF E-CRM
 The online store, Amazon, uses “cookies” to provide a personalized service
for its customers. Amazon requires customers to register with the service
when they purchase items. When registered customers log in to Amazon at a
later time, they are ‘greeted’ with a welcome message which uses their name
(for e.g. “Hello John”). In addition, their previous purchases are highlighted
and a list of similar items that the customer may wish to purchase are also
highlighted.
DIFFERENT EXAMPLES OF E-CRM
 Loyalty cards
 “ the primary role of a retailer loyalty card is to gather data about customers.
This in turn leads to customer comprehension and cost insights (e.g. customer
retention rates at different spending levels, response rates to offers, new
customer conversion rates, and where money is being wasted on circulars),
followed by appropriate marketing action and follow-up analysis” (6)
 The supermarket chain, Tesco, offers loyalty cards to its customers. When
customers use the loyalty cards during pay transactions for goods, details of
the purchases are stored in a database which enables Tesco's to keep track of
all the purchases that their customers make. At regular intervals, Tesco sends
its customers money saving coupons by post for the products that the
customers have bought in the past. The aim of this is to encourage customers
to continually return to Tesco to do their shopping
DIFFERENT EXAMPLES OF E-CRM
 CRM software- “Front office” solutions
 “Many call centers use CRM software to store all of their customer's details.
When a customer calls, the system can be used to store information relevant
to the customer. By serving the customer quickly and efficiently, and also
keeping all information on a customer in one place, a company aims to make
cost savings, and also encourage new customers”
E CRM

E CRM

  • 1.
    WHAT IS E-CRM E-CRM is the process of maximizing sales to the existing customer, encouraging continuous relationships through the use of digital communications technologies such as operational databases, personalized web messages, Customer Service, Email and Social Media Marketing.
  • 2.
    What is eCRM about?  Customer Selection • Customer Acquisition • Customer Retention • Customer Extension
  • 3.
    Customer Selection  •Who do you target? • What value do they bring to your objectives? • What is their lifecycle? • Where do we find these customers?
  • 4.
    Customer Acquisition  •Focus on the right segments and target them • Minimize acquisition costs • Make customer relationship and service quality a priority • Approach the appropriate platforms
  • 5.
    Customer Retention • Knowcustomers’ needs individually in order to develop a good e CRM strategy • Offer value continuously in order to retain online interest and improve customer relationship • Focus on delivering service quality to the utmost standard • Choose the right channels for your strategy
  • 6.
    Customer Extension  •Recognize the customer’s relationship interest and respond • “Cross Sell” and “Up Sell” • Service Quality • Use appropriate platforms/channels
  • 7.
    Benefits of eCRM  Reducing costs in customer targeting (customizing emails on large scale therefore reducing costs for direct mail)  Service level improvements  Revenue growth  Productivity  Customer satisfaction
  • 8.
    Difference between CRMAND E- CRM  CRM uses phone, fax and retail store for contacting customers while eCRM uses wireless, PDA technology, internet and email.  The design of CRM system is related to job products and functions while the design of eCRM system is related to customer needs.  The maintenance of CRM is very expensive while the maintenance of eCRM is less expensive and requires only less time
  • 9.
    WHY E- CRM Gather and combine customer information into a unified picture  Response faster and accurately  Build customer loyalty  Due to the introduction of new technology  Due to globalization  Changing customer attitudes and expectations  To gain competitive advantage  To measure, create and increase income for the business  To reduce costs
  • 10.
    DIFFERENT LEVELS OFE-CRM Foundational services: This includes the minimum necessary services such as web site effectiveness and responsiveness as well as order fulfillment.  Customer-centered services: These services include order tracking, product configuration and customization as well as security/trust.  Value-added services: These are extra services such as online auctions and online training and education
  • 11.
    DIFFERENT EXAMPLES OFE-CRM  Here are examples of how technology can be used to create personalized services to increase loyalty in customers:  Phone calls, emails, mobile phone text messages.  Having access to customers contact details and their service or purchase preferences through databases etc. can enable organizations to alert customers to new, similar or alternative services or products  When tickets are purchased online via Lastminute.com, the website retains the customers details and their purchase history. The website regularly send emails to previous customers to inform them of similar upcoming events or special discounts. This helps to ensure that customers will continue to purchase tickets from Lastminute.com in the future.
  • 12.
    DIFFERENT EXAMPLES OFE-CRM  The online store, Amazon, uses “cookies” to provide a personalized service for its customers. Amazon requires customers to register with the service when they purchase items. When registered customers log in to Amazon at a later time, they are ‘greeted’ with a welcome message which uses their name (for e.g. “Hello John”). In addition, their previous purchases are highlighted and a list of similar items that the customer may wish to purchase are also highlighted.
  • 13.
    DIFFERENT EXAMPLES OFE-CRM  Loyalty cards  “ the primary role of a retailer loyalty card is to gather data about customers. This in turn leads to customer comprehension and cost insights (e.g. customer retention rates at different spending levels, response rates to offers, new customer conversion rates, and where money is being wasted on circulars), followed by appropriate marketing action and follow-up analysis” (6)  The supermarket chain, Tesco, offers loyalty cards to its customers. When customers use the loyalty cards during pay transactions for goods, details of the purchases are stored in a database which enables Tesco's to keep track of all the purchases that their customers make. At regular intervals, Tesco sends its customers money saving coupons by post for the products that the customers have bought in the past. The aim of this is to encourage customers to continually return to Tesco to do their shopping
  • 14.
    DIFFERENT EXAMPLES OFE-CRM  CRM software- “Front office” solutions  “Many call centers use CRM software to store all of their customer's details. When a customer calls, the system can be used to store information relevant to the customer. By serving the customer quickly and efficiently, and also keeping all information on a customer in one place, a company aims to make cost savings, and also encourage new customers”