CUSTOMER RELATIONSHIP

MANAGEMENT

D 30 – NAMRATA SHARAN
D 10 – ANIMESH
D 20 – GAURAV TIWARI
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 CONTENTS:

WHAT IS CRM
UNDERSTANDING CRM
 DETERMINANTS OF CRM
 COMPONENTS OF CRM
 CRM CYCLE
BENEFITS OF CRM
EXAMPLES
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 WHAT IS CUSTOMER RELATIONSHIP
MANAGEMENT:

“An integrated cross-functional focus on

improving customer retention and profitability for
the company.”

 Or in other words customer relationship

management is a process or methodology used to
learn more about customers' needs and behaviors in
order to develop stronger relationships with them.
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 UNDERSTANDING CUSTOMER
RELATIONSHIP MANAGEMENT (CRM) ?

CRM is a business philosophy based on upon individual customers

and customised products and services supported by open lines
of communication and feedback from the participating firms that
mutually benefit both buying and selling organisations.

The buying and selling firms enter into a “learning relationship”,

with the customer being willing to collaborate with the seller and
grow as a loyal customer. In return,, the seller works to maximize
the value of the relationship for the customer’s benefit.

In short, CRM provides selling organisations with the platform

to obtain a competitive advantage by embracing customer needs
and building value-driven long-term relationships
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 DETERMINANTS OF CUSTOMER
RELATIONSHIP MANAGEMENT:

TRUST
The willingness to rely on the ability, integrity, and
motivation of one company to serve the needs of the
other company as agreed upon implicitly and explicitly.

VALUE
The ability of a selling organization to satisfy the needs
of the customer at a comparatively lower cost or higher
benefit than that offered by competitors and measured in
monetary, temporal, functional and psychological terms.

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 DETERMINANTS OF CRM

In addition to trust and value, salespeople must:

 Understand customer needs and problems;

 Meet their commitments;
 Provide superior after sales support;
 Make sure that the customer is always told the truth
(must be honest); and
 Have a passionate interest in establishing and retaining
a long- term relationship (e.g., have long-term
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perspective).
 COMPONENTS OF CUSTOMER
RELATIONSHIP MANAGEMENT:

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 CUSTOMER:
The customer is the only source of the company’s present
profit and future growth. However, a good customer, who
provides more profit with less resource, is always scarce
because customers are knowledgeable and the competition is
fierce.
Components of crm Customer Relationship Management

“Businesses are not to paid to reform customers, they are paid

to satisfy customers” – Peter Ducker

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 RELATIONSHIP:

The relationship between a company and its customers

involves continuous bi-directional communication and
interaction .
The relationship can be short term or long term,
continuous or discrete, and repeating or one-time.
Even though customers have a positive attitude towards
company and its products , their buying behavior is highly
situational.
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 MANAGEMENT:
CRM is not an activity only within a marketing department.
Rather it involves continuous corporate change in culture and
processes. The customer information collected is
transformed into corporate knowledge that lead to activities
that take advantage of the information and of market
opportunities.

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 CUSTOMER RELATIONSHIP CYCLE:

Interact And Deliver: Interact with customers &

prospective customers Deliver increased value to
customers.

Acquire and Retain: Acquire customers & prospective

customers retain valuable customers.

Understand and Differentiate: Understand customer

needs Differentiate based on customer needs,
characteristics & behavior.

Deploy and Customize: Develop products, services,

channels to meet customer needs customize by customer
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segments.
 BENEFITS OF CRM

 Customers are motivated to return again and again as they

receive good customer service and continue to do business.
 CRM enables a company to target their audience more
precisely and gain customer retention, all at a lesser cost.
 CRM delivers company-wide access to customer information.
 Builds customer loyalty and decreases customer loss. It
enables an organization to create detailed profiles such as
customer likes/dislikes etc.
 CRM gains the trust of customers by meeting their needs in a
more personalized way. Companies opting for CRM find it
easy to identify new selling opportunities.

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 THE PROCESSES FOR DELIVERING CRM
• Customer application form
ICICI Bank collects all the data from customer application forms and
gets the personalized information to know which product to offer to
which customer. This process helps in collecting the data and
knowing what the customer wants and understanding his needs.

• CENTRALIZED SOFTWARE WHERE THE WHOLE DATA IS COLLECTED

The data collected through customer application forms is available at one
server and can be accessed anytime, anywhere. So, this helps in the further
process of customized offerings and cross –selling.

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• WIDE RANGE OF OFFERING

After collecting the data from the customer, team decides what product to offer
to which customer. In case the bank recognizes you as a valuable customer
then is offers a more customized service.

• CROSS – SELLING
It refers to offering another product from the service offering of the bank to the
customer which he has not gone for. This depends on the value of the customer to the
bank. It is not offered to every customer. It depends on how loyal the customer is
to the bank. The more business he gives to the bank, the more are his chances of
being special services offered.

•FEEDBACK FORMS
The bank distributes feedback forms at all its branches. The customer feedbacks
on the service, technology used, employee behavior and promptness in solving
customer’s problems, are taken and they are analyzed.

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•Avail the offers by using your debit
card:
To make purchases at merchant outlets.
To make purchases online at merchant websites.

•Bulk cheque printing:

Printing huge amount of cheques through ruuning
stationary and scanned signature.

•Doorstep banking
Cash / cheque pick-up and delivery on fixed beat.

• Roaming current account (RCA)

simplifies banking by offering smooth and seamless
transactions.

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 CRM in Indigo Airlines

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 Online reservation system
Separate accounts for
member, agency and corporate
Call Centre
Domestic Travinsure
Proper schedule available on
the website
Baggage Tracer
Well trained and groomed in-
flight crew and most importantly
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 Cheap Fares
Ancillary Services
Food and Beverages are allowed
inside the flight
Indigo offers new, comfortable,
air conditioned buses.
Notification by SMS in case of
flight delay
Refund is available in case the
flight is delayed by more than two
hours

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 They have complemented the fixing of prices for all items
on kilograms basis and purchased items are charged
accordingly. Thus making the customer to buy only required
quantity rather than whole lot.
Good and quick feedback is provided on problems raised
by any of the customers.

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Prices of items in shops are maintained at a lower price
than the present outside market.
Tags are provided on each items with price details with
discounts if provided.
Salesperson are provided in the shop to help customers in
locating required things with ease.
Trolleys of different sizes with wheels are provided to gather
goods.
Fast billing and delivery using modern computer application.
Carry bags of different size and good quality are provided to
deliver good to customer at free of cost.

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