Page 23 - DMGT308_CUSTOMER_RELATIONSHIP_MANAGEMENT

Customer Relationship Management

Notes  CRM creates a mutually beneficial relationship with your customers. In the rapidly
expanding world of e-Commerce, there is a new generation of empowered customers
emerging who demand immediate service with the personalized touch.
 Customer relationship management does not enable a quick win. It is a long-term approach
that has to be adopted at a strategic level. However, the journey of understanding the
strategic benefits of relationship management has just begun.
 To a greater degree, companies have understood the implications of customer relationship
management and have identified the risk to their business of not doing so, namely loss of
customers and competitive attack. They are yet to look at the bigger picture and understand
all of the associated benefits that would enable their business strategies to be successful.
 The competencies required to deliver these customer benefits are: to deliver on its service
promise, integrate products and service channels effectively, customize products, services
and their respective prices, create opportunities for cross selling and delivery mechanisms
for the onward promotion of these products and services and reduce the gestation period
to market by allowing quick and effective introduction of new products and services.
 Customer Relationship Management (CRM) is a business strategy to select and manage
customers to optimize long-term value.
 CRM requires a customer centric business philosophy and culture to support effective
marketing, sales, and service processes.

 CRM applications can enable effective Customer Relationship Management, provided
that an enterprise has the right leadership, strategy, and culture.

1.6 Keywords

Active Listening: Active listening is a communication technique. Active listening requires the
listener to understand, interpret, and evaluate what they hear.
Behaviour analysis: Behavior analysis is a science concerned with the behaviour of people, and
it attempts to understand, describe and predict their behaviour.
Body language: Body language is the person’s expressions, behaviour, body movement, etc.,
through which you can judge that a person is tense, relaxed, worried, happy, restless, etc.
CLTV: It is a reflection of the possible future business a company can expect from a loyal
customer.

Continuity Marketing: These programs are generally aimed at retaining customers and enhancing
their loyalty.
Cross-selling: Cross-selling is the act of selling a product or service to a customer as a result of
another purchase.
Customer Relationship Management (CRM): Customer Relationship Management (CRM) is a
business strategy to select and manage customers to optimize long-term value.

Event-based Marketing: The best definition of event-based marketing is a time-sensitive
marketing or sales communication reacting to a customer-specific event.
Verbal Behaviour: Verbal Behaviour, a detailed behavioural analysis of what constitutes as
language is provided.

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