Broadly, CRM can be looked at from:
• A marketing perspective – increasing the number of people who know about your service or product
• A cost perspective – decreasing the amount you spend on customers; it costs more to attract a new customer than maintain an existing one
• A sales perspective – turning the people who know about your service or product into people who have made a purchase
• A service perspective – ensuring people who have interacted with you are satisfied and delighted.
Effective CRM can also create a powerful new marketing and referral force for a company: its happy customers. Delighting customers fosters positive word of mouth.
The first step to any CRM initiative is to understand the value of a customer relationship to a business.
Relationship value = Revenue generated by customer – Cost
• A marketing perspective – increasing the number of people who know about your service or product
• A cost perspective – decreasing the amount you spend on customers; it costs more to attract a new customer than maintain an existing one
• A sales perspective – turning the people who know about your service or product into people who have made a purchase
• A service perspective – ensuring people who have interacted with you are satisfied and delighted.
Effective CRM can also create a powerful new marketing and referral force for a company: its happy customers. Delighting customers fosters positive word of mouth.
The first step to any CRM initiative is to understand the value of a customer relationship to a business.
Relationship value = Revenue generated by customer – Cost
