Customer Relationship Management (CRM) is one of those outstanding perceptions that developed the business world in the 1990’s with the pledge of evermore altering the approach by means of their customer. Customer Relationship Management (CRM) is the core business strategy that integrates internal processes and functions, and external networks, to create and deliver value to targeted customers at a profit. It’s a competitive world for every business. It doesn’t matter whether an organization is manufacturing, service sector company or even a trading; client acquisition is becoming an expensive affair. The importance of retaining customer and customer satisfaction is the new buzzword for business. Organization’s customer retaining percentage is a major aspect of your company’s evaluation.
A CRM strategy has two major components i.e. technology and communication. While the technology (CRM Applications) will help you to create a customer database along with the customer behavior pattern, the communication strategy will help you in interacting with the customer as and when you want it. Today’s CRM strategy is not just about birthday and anniversary wishes or giving loyalty points, an ideal CRM strategy have to have a 3 pronged approach; i.e. to convert a detractor to an ambivalent customer and an ambivalent customer to a loyal customer. So the ultimate objective of a CRM strategy is to create loyal customers to your business.
A good example of CRM comes from Amazon – world’s biggest shopping platform. If you start to looking for a book to buy, then amazon makes a suggestion to you about what others have bought and reviews about the product. Then after six months when you already read the book amazon will send you an notifications ‘Resell the book on amazon’ so they coming back and relating you with the help of their ‘Big Data’ that they have about the your purchase details.
Another example of CRM is Bharti Airtel launches “Open Network”. The open Network makes available to users information about network coverage and signal strengths across the country, in addition to network site deployment status. This initiative has been positioned as an effective CRM tool to establish transparency with customers and to gather customer feedback and scrutiny
Customer relationship management has become very popular now a day due to increase in competition among all type of business. Customer relationship management always demands from the companies to create the values for the customers by delivering them the products and should expect the profitable returns in exchange.