Concept, Objectives, Evolution, Types, Architecture & Future of CRM

1. Customer Relationship
Management
BY
SAVITA GOYAL
ASSISTANT PROFESSOR
ADVANCED EDUCATIONAL INSTITUTIONS
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2. CRM: A customer-focused business
strategy designed to optimize the
revenue, profitability, and customer
loyalty.
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3. Flow of The PPT
CRM Concept
CRM Features
Objectives of CRM
Evolution of CRM
Types of CRM
Future of CRM
CRM Architecture
Conclusion
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4. CRM Concept:
Customer Relationship Management is a business philosophy towards customers to focus on
their needs and improve customer relationships, with a view to maximize customer satisfaction.
It encompasses the variety of technology employed to streamline customer interaction to find,
acquire and retain customers. It is “an integrated effort to identify, maintain and build up a
network with individual consumers and to continuously strengthen the network for mutual
benefit of both sides, through interactive, individualized and value added contacts over a long
period of time”.
We can define CRM as Customer Relationship Management as a comprehensive marketing
strategy to improve marketing productivity which can be achieved by increasing marketing
efficiency and enhancing marketing effectiveness through a process of acquiring, retaining and
partnering with selective customers to create superior mutual value for the parties involved.
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5. CRM Features:
• It is an integrated information system.
• It is a customer-focused business strategy.
• It is art as well as science.
• It is a comprehensive marketing strategy.
• Anytime-anywhere.
• It creates a business web.
• It works on multi-way communication.
• Discovery of price replaces fixed 'price‘.
• Experience replaces 'product'.
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6. Objectives Of
CRM
 To simplify marketing and sales process.
 To make call centers more efficient..
 To provide better customer service.
 To discover new customers and increase customer revenue.
 To aid marketing department
 To cross sell & up sell the products more effectively.
 To acquire new customers.
 To increase efficiency & effectiveness.
 To increase customer loyalty.
 To lower operating cost.
 Finally, To retain the customers
A primary objective of
CRM is to provide the
entire organization with
a complete, 360-degree
view of the customer,
no matter where the
information resides or
where the customer
touch-point occurred.
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7. Evolution of CRM:
Year Era Approach
1960 The Era of Mass Marketing Transactional marketing
1970 The Era of Segmentation Transactional Marketing
1980 The Era of Niche Marketing Transactional marketing
1990 The Era of Relationship Marketing Relationship Marketing
As it is implicit that up to 1980’s the firms were focused towards Transactional Marketing, which is wholly concerned about the
promotion and selling of the product with little or no concentrationover customer value and satisfaction and try to make new
customers everytime. But the present scenario is totally changed; there is paradigm shift from Transactional Marketing Approach
to Relationship Marketing Approach which is all about building and maintaining the long termcustomer relationship, creatinga
sense of loyalty by providing the value product and service for mutual benefit.
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8. Types of CRM
Operational CRM
• focused on the automation of the customer-facing parts of businesses like
marketing, selling and service
• Include applications like: Marketing, Sales-force & Service automation
Analytical CRM
• Focused on intelligent mining of customer data for various strategic & tactical
purposes.
• It can deliver better, timelier, even personally customized, solutions to the
customer's problems, thereby enhancing customer satisfaction.
Collaborative CRM
• It allows the company to synchronize and manage efficient, productive interaction
with customers, prospects, partners, and internal associates across all
communication channels.
• Collaborative CRM also reduces web service costs by enabling web collaboration.
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9. Future of CRM
CRM is here to stay and will evolve. The desire to improve customer satisfaction and retention of
customers will constantly drive the need to improve CRM systems.
Economy is now driven by customers and not by sellers as in the past. There are different type of
customers, different types of business models, and selling strategies. And it is a matter of time
when there will be different types of CRM software to support these models.
Technology will improve to put more functionality tools in CRM applications as there is more
demand for knowledge management systems, sales coaching systems, and service intelligence
systems. Information today is in the form of maps, charts, and graphs generated by report
writers and visual profiling programs. These will give way to voice activated and speech feed-
back tools and other elaborate visual aids using 3-D and CAD style graphics
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10. CRM Architecture
This is the basic architecture of a customer relationship management system, This structure is also invaluable for identifying
changes in the industry as a whole, so that businesses remain agile and respond quickly to changing market demands.
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11. Conclusion
The underlying aim of a well-structured CRM system is to provide an enhanced customer experience and
enable businesses to gain valuable information as their customers shop. Business owners can use this
data to increase sales and boost their bottom line, analyzing marketing campaigns, and offering added
value to existing and potential customers. The key word in CRM is integration – integration of data so that
it can be put to use in a way that benefits not only the business, but also customers, suppliers and the
workforce.
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12. Contact Information
Savita Goyal
Assistant Professor
libran.savita@gmail.com
Advanced Educational Institutions,
70 km Milestone,
Delhi-Mathura Road, Dist. Palwal, Haryana-121105
+91–1275–398400, 302222
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