The IDIC model suggests that companies take four actions to build closer relationships with customers: identify customers and understand them, differentiate customers based on value, interact with customers to understand expectations, and customize offers and communications. Buttle's 2004 model has the goal of enhancing customer profitability through steps like customer portfolio analysis, customer intimacy, and managing the customer lifecycle, supported by leadership, data/IT, people and processes. Payne's 2006 five-process model identifies the core CRM processes as strategy development, value creation, multichannel integration, performance assessment, and information management.

1. Session 8

2. The IDIC model was developed by Peppers & Rogers and
the model suggests that companies should take four actions
in order to build closer one-to-one relationships with
customers:
•Identify who your customers are and build a deep
understanding of them;
•Differentiate your customers to identify which customers
have most value now and which offer most for the future;
•Interact with customers to ensure that you understand
customer expectations and their relationships with other
suppliers or brands;
Customize the offer and communications to ensure that the
expectations of customers are met.
1. The IDIC Model.

4. Francis Buttle’s 2004 model has an end goal represented by enhanced
customer profitability that can be attained by :
•primary stages represented by customer portfolio analysis, customer
intimacy, network development (SCOPE), value proposition
development , and managing the customer lifecycle;
•supporting conditions of leadership and culture, data and IT, people,
and processes to enable CRM strategy to function effectively and
efficiently
2. BUTTLE’S Value Chain Model.
SCOPE consist of Supplier, Customer (belong to the focal firms), Owner and Investor, Partners, Employee.
Management in networks is both about managing individual relationships and managing clusters of
relationships. Partner in value delivery are agents, brokers, management contractors, consortia, franchisees,
licensees

5. The model’s authors (Hewson et at, 2002) prefer to describe their model as a customer
management model, omitting the word ‘relationship’. At the heart of the model they depict a
series of activities that companies need to perform in order to acquire and retain customers. The
model features people performing processes and using technology to assist in those activities.
3. The QCI Model: Quality
Competitive Index

6. The fourth comprehensive model was developed by Adrian Payne in 2006. This model
clearly identifies five core processes in CRM: the strategy development process, the
value creation process, the multichannel integration process, the performance
assessment process and the information management process. The first two represent
strategic CRM; the multichannel integration process represents operational CRM; the
information management process is analytical CRM.
4. Payne’s Five-Process Model.

7. 5. The Conceptual Model
The conceptual framework was developed by Dasai el al (2007) in which
consideration is driven towards competitive CRM performance from both
internal and external perspectives. The dynamic capability for CRM is the key
source for competitive CRM performance considering the rapidly changing
nature of the business environment today which erodes the values of existing
competencies

8. 6. The Forrester Model
The Forrester CRM model 2008 is grouped into four types such as: Strategy; Process,
Technology; and People. The model produced results in the findings on over
hundreds of companies using CRM as strategically, thorough analysis of over
number of vendors’ solutions providers and also with discussion with about
numerous consultants. For firms willing to kick-start their CRM programs or for
those that are finding it tough to get best out of their CRM programs after it has
been launched. Also, the performance scorecard highlights the criteria used by
companies to measure the overall performance using CRM.

9. The final comprehensive CRM model comes from Gartner Inc. the leading IT
research and advisory company that employs some 1200 research analysts and
consultants in 75 countries, and has a significant place in CRM research.
7. The Gartner Competency Model.

10. 8. Gartner’s CRM Maturity
Model

11. “70% of CRM initiatives fail”
Source: Cap Gemini Ernst & Young
“90% of enterprises cannot show a
positive return on CRM”
Source: META Group
“75% of CRM initiatives fail to substantially
impact the customer experience”
Source: Gartner