Customer Relationship Management CRM - PowerPoint

							Customer Relationship
Management (CRM)
                  &
   Customization vs. Personalization
What is CRM?

  “It is a business strategy to select and
   manage customers to optimize long-
   term value.”
  “It requires a customer-centric business
   philosophy and culture to support
   effective marketing, sales, and service
   processes.”
What is CRM?                            (continued)

  “CRM applications can enable effective
   Customer Relationship Management,
   provided that an enterprise has the right
   leadership, strategy, and culture.”
  This the official CRMGURU.com
   definition.
    http://www.crmguru.com/content/answers/whatiscrm.html
What are the benefits of CRM?

  Instill greater customer loyalty
  Increased efficiency through automation
  Deeper understanding of customers
  Increased marketing and selling
   opportunities
  Identifying the most profitable customers
CRM Benefits                             (continued)

  Receiving customer feedback that leads
   to new and improved products or
   services
  Obtaining information that can be shared
   with business partners
    http://www.ittoolbox.com/help/crmoverview.asp
CRM Application Companies

  Siebel
  Peoplesoft
  Teradata
  TJ Group
TJ Group’s CRM Suite

  Sales Automation
  Marketing Automation
  Campaign Management
  Business Management
  Knowledge Management
  Service Automation
Implementation Experiences

  Upper Management Support
  Salesperson Buy-in
  Upgrade Issues
  Technology Issues
  Nit-Picking
Customization

  Customization is the modification of
   software to reflect an organization’s
   environment.
  Customization may involve the addition,
   modification, or deletion of fields,
   screens, databases, and logic in a
   software package.
Customization Benefits

  Encourages user adoption
  Fixes poor design on the part of the
   vendor
  Better reflects the needs of the business
  May allow access to other applications
   used by the business
Customization Problems

  Future upgrades
  On-going maintenance
  IT staffing
  May cost three to five times the cost of
   the software
  May unwittingly void the terms of a
   maintenance contract
Personalization

  “Personalization now includes anything
   from a simple mail merge to extending
   specific sales and promotional offers
   based on extensive customer profiling.”
  Collaborative Filtering
  Segmentation
  Rules Based Personalization
  http://www.crmdaily.com/perl/story/17396.html
Personalization Benefits

  Resolve complaints more efficiently
  Boost customer loyalty
  Make relationships more profitable
  Result in greater online spending by
   consumers
Personalization Problems

    Data Integration – Data is contained in many
     databases.
    Translating customer information into the right
     decision or recommendation for the customer.
    Misconceptions that personalization leads to
     predictions about a customer’s future
     behavior. It can only make correlations.
    Privacy Issues
    http://www.crmdaily.com/perl/story/17396.html
Summary
  Customer Relationship Management is a
   business methodology that is supported by a
   CRM application package.
  Customization is the process of modifying a
   software package to fit the needs of the
   business.
  Personalization is the process of modifying the
   sales and marketing processes to fit the needs
   of the individual customer or a group of
   customers.