Varios definations of Customer Relationship Management
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What is CRM?
This is the most frequent question we are asked. Here is our own
definition of customer relationship management, along with 9 of the
best definitions published various experts..
| Our Defination: |
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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. |
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- Customer relationship management
is the
implementation of customer-centric business strategies; which
drives redesigning of functional activities; which demands
re-engineering of work processes; which is supported, not
driven, by CRM technology. I use this definition because it
reinforces the understanding that CRM is a "chain reaction"
triggered by new strategic initiatives rather than something
you can initiate at the work process, or worse yet, technology
level.
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Customer relationship management is the superset of
business models, process methodologies and interactive
technologies for achieving and sustaining high levels of
retention and referrals within identified categories of
valuable and growable customers. |
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CRM extends the concept of selling from a discrete
act performed by a salesperson to a continual process
involving every person in the company. It is the art/science
of gathering and using information about your customers to
build customer loyalty and increase customer value. With the
current state of information technology, and high customer
service expectations, it's practically impossible to consider
these process issues without addressing technology, but it's
important to remember that customer relationships—human
relationships—are the ultimate driving
force. |
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CRM is about developing and implementing business
strategies and supporting technologies that close the gaps
between an organisation's current and potential performance in
customer acquisition, growth, and retention.
What does it do for an organisation? CRM improves Return on
Assets. The asset in this case is the customer and potential
customer base. |
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...CRM isn't about technology any more than hospitality is
about throwing a welcome mat on your front
porch. |
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Customer Relationship Management should be exactly
that: the process of actively deepening the knowledge (not
data) you have of your customers over time, and then using
that knowledge gained to customise your business and
strategies to meet that customers individual needs.
It is important to stress this point simply because a large
percentage of the market's perception is that CRM is simply a
technological solution that does sales force automation or
call center. CRM is about an entire change of mindset to
become customer orientated; it is not simply a piece of
technology that will solve all your
needs. |
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CRM is a management approach or model that puts the
customer at the core of a company's processes and practices.
CRM leverages cutting-edge technology, integrated strategic
planning, up close and personal marketing techniques and
organizational development tools to build internal and
external relationships that increase profit margins and
productivity within a company. |
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2 definitions:
1. Customer Relationship Management refers to the
management of all interactions with the customer that an
enterprise indulges in. Its focus is on managing and
optimizing the entire customer life cycle.
The reason for the above definition is: The stated
objective and benefit of good CRM is to increase the customer
base by acquiring new customers and effectively serving the
needs of the existing customers.
2. Customer Relationship Management is an
information industry term for methodologies, software, and
usually Internet capabilities that help an enterprise manage
customer relationships in an organized way.
For example, an enterprise might build a database about its
customers that described relationships in sufficient detail.
Therefore, management, salespeople, people providing service,
and perhaps the customer directly could access information,
match customer needs with product plans and offerings, remind
customers of service requirements, and know what other
products a customer had purchased. |
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