2. IT-applications are used to manage customer
relationships and provide services – so called Social
CRM.
Strengthened emotional barriers by differentiation with
services – leads to increased profitability and loyalty.
Companies that use these medias to connect to
customers and build relationships is likely to positively
influence their revenues.
Introduction 1/2
3. Customer engagement leads to valuable collaborations
– co-creation for further differentiation (customer centricity).
E.g. see “My Starbucks Idea”
Co-creation influence Customer Lifetime Value (CLV)
by increased sales and enhanced competitive advantages.
Introduction 2/2
5. H1: Social CRM and Brand Equity 1/3
Step1: Medium-high knowledge about company´s width and
depth of services.
Step 2. PROVED: Satisfying service in Facebook can increase
loyalty and future revenue.
6. H1: Social CRM and Brand Equity 2/3
Step 3: Perception of “Secure” choice and personal affection
towards company.
Step 4: Customers perceive to have relations to company
(Medium to Strong).
7. H1: Social CRM and Brand Equity 3/3
Step 4: Customers activities have little impact on relationships
strength (comments and page-visits).
The emphasize lies primarily on company increased customer
centricity.
8. H2: Social CRM and customer
relationships
• PROVED: High service on Facebook can increase customer
relationships
– Strengthened customer relationships will lead to higher
loyalty.
9. Contributions 1/2
• Social medias can be useful for Brand Equity and customer
relationships.
Can increase revenue, loyalty and are suitable channels for
companies to use for relationship management.
Moment-of-truth very important!
• Hence, these medias reach more than just existing customers!
Social Relationship Management also convert prospects