CRM focuses on optimizing profitability through enhanced customer satisfaction and loyalty by automating and enhancing customer-centric processes. It evolved from cost reduction strategies in the 1980s to growth strategies and marketing led approaches in the 2000s. Electronic CRM (eCRM) expands traditional CRM techniques by integrating electronic channels like web and wireless technologies into the overall enterprise CRM strategy to measure, create, and increase income while reducing costs for each customer segment to generate greater lifetime value. eCRM systems use customer analytic software, data mining software, campaign management software, business simulation, and a real-time decision engine to achieve these goals.

2. Customer Relationship
Management
 CRM is a strategy by which companies optimise
profitability through enhanced customer satisfaction.
 CRM is about automating and enhancing the customer-
centric business processes of Sales, Marketing, and
Service.
 CRM also focuses on added customer loyalty that
directly affects the organization’s bottom line.

3. Customer Relationship
Management

4. CRM Evolution
CRM Evolution
BPR ERP SFA CRM eCRM
Cost Reduction Strategy Growth Strategy
IT LedBusiness Led Marketing Led
1980s 1990s 2000s

5. ECRM is the customer focussed management of the
whole eBusiness relationship with each customer, in
order to measure, create and increase income and
reduce costs for each customer & segment and thus to
generate greater positive lifetime value.
Electronic CRM (eCRM)
ECRM is the customer focussed management of the
whole eBusiness relationship with each customer, in
order to measure, create and increase income and
reduce costs for each customer & segment and thus to
generate greater positive lifetime value.

6. Electronic CRM (eCRM)
e-CRM expands the traditional CRM
techniques by integrating new electronic
channels, such as Web, wireless, and voice
technologies and combines it with e-business
applications into the overall enterprise CRM
strategy.
Traditional CRM + Internet = e-CRM

7. Why eCRM?
 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

8. e-CRM System Architecture
Technical e-CRM Capabilities
Customer
Analytic
Software
Data Mining
Software
Campaign
Management
Software
Business
Simulation
Real Time
Decision
Engine

9. e-CRM System Architecture
Technical e-CRM Capabilities
 Customer analytic software predicts, measures, and interprets
customer behaviors, allowing companies to understand the
effectiveness of e-CRM efforts.
 Data mining software builds predictive models to identify
customers most likely to perform a particular behavior.
 Campaign management software leverages the data
warehouse to plan and execute multiple, highly targeted
campaigns overtime, using triggers that respond timed events
and customer behaviour.
 Business simulation used in conjunction with campaign
management software optimises offer; messaging and channel
delivery prior to the execution of campaigns, and compares
planned costs and ROI projections with actual results.
 A real time decision engine coordinates and synchronises

10. FEW EXAMPLES OF eCRM
Oracle
Demand Products
Sage
MS Dynamics
CRM
SAP CRM
India’s
Top 5
e-CRMs
2
1
5
3
4

11. e-CRM : The Closure
Get a ‘360—degree’ view of your
customer