Published on February 14, 2014
CRM and 4 P’s of Marketing Dr Ramakrishnan firstname.lastname@example.org
In today's highly competitive business world CRM can be considered as the ultimate solution for both customers as well as organizations. CRM considers customers not as outsiders but as insiders to the business and aims to build a long-term relationship with them. A high degree of customer contact, commitment and services are therefore essential features of CRM
Quality is defined, not by internal perceptions, but by the standards and expectations of the Customer. Quality is Conformance to Customer requirements. Quality is vital to keep Customers, sustain profitability and gain market share for all types of organization.
CRM is an on-going process of identifying and creating new value with individual customers and then sharing the benefits of this over a lifetime of association. Involves the understanding, focusing and management of On-going Collaboration between Suppliers and Selected Customers for Mutual Value Creation & Sharing through Interdependence and Organizational Alignment.
The ideas and ideals of CRM can be traced to the fundamental concept of Customer Focus of TQM. Customer is thus the Business. Focusing on Customer Relationships is thus an Investment.
Customer Relationship Management Commitments to Customers Training and Empowerment Service Standard Complaint Management
Gordon’s 11C’s of CRM • Customer • Categories • Capabilities • Cost, Profitability and Value • Control of the Contact to Cash Processes • Collaboration and Integration • Customization • Communications, Interaction & Positioning • Customer Measurements • Customer Care • Chain of Relationships
Gordon’s 11 C's of Relationship Marketing • Relationship marketing implies that individual objectives will be Customer formulated for each customer, and that strategies for dealing with each will be developed Categories Capabilities Cost, profitability and value Control of the contact to cash processes Collaboration and integration Scope of product and service offerings that will be provided to the customer Range of capabilities that must exist within the company in order to generate mutual benefit Understanding and Improving Profitability to the Customer, and then sharing this value Ensure that processes perform effectively and efficiently in the mutual interest of the Customer and Company, Some degree of integration of the customer's business processes with those of the company's, it requires a collaborative approach at the highest levels
Gordon’s 11 C's of Relationship Marketing Continued Customer Products or services are to be tailored to the needs and expectations of the customer, to create maximum value to the customer Categories Communications, interaction and positioning Customer measurements Customer care Scope of product and service offerings that will be provided to the customer Customer relationships are based on communication. Hence communications with the customer must be highly interactive and meaningful to them. One must have almost obsessive concern with customer measurement, There must be genuine concern for the customer's business. That would ensure a relationship that creates mutual value. The entire chain of relationships of those involved in the creation of Chain of value from company to customer, including suppliers, relationships intermediaries, employees, etc are to be maintained.
Key Business aspects of CRM Customer Value, Customer Care, and Customer Retention
The "4 Ps of CRM Success" are Planning, People Process Platform
Customer Relationship Management or CRM is 80 per cent internalization and only 20 per cent technology.
At Maruti, customer complaints per 10,000 vehicles serviced is one of the most important measures of customer care and forms a significant aspect of dealer performance monitoring and rating.
Key factors for success in Indian Conditions Providing customer a product, which is more acceptable to him Affordability of the product Available nearest to consumers Awareness among consumer Relevance to Consumer Returns to Consumers Response generation through promotion Relationship through product and service
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