1- Explain the various steps in developing the CRM strategy.
Identify your customers by individual or household name and address and/or
address.
Differentiate them according to their needs and their actual or potential value
Interact with customers based on their own needs. From the organization's
perspective, the interactions should become more cost effective. Each interaction
should be used as an opportunity to increase the store of data aboutthe individual or household.
Customize at least some aspects of the organization's dealings with the customer.
This could be things like tailored communications and specialized offers that
allow the enterprise to recognize the customer as a valued supporter and
that present opportunities for growing the value of the individual customer.
2- Website development process. Discuss
The Website Development Process:
1. Establish site objective-marketing
2. Identify and describe target market-market
3. Design site content and navigation structure-marketing with the aid of information architects
4. Conduct usability tests-a marketing task in cooperation with the technicians.
5. Deploy and tune site-a technical task
6. Measure and evaluate site effectiveness-marketers are responsible for the business effectiveness of the site; technicians for its smooth functioning
Refine and improve site effectiveness-both marketers and the technical experts should be engage in a program of continuous improvement of site effectiveness
3- Do you believe good customer service has a direct impact on the profitability on a business?
An older study of the impact of CRM on the profitability of high technology
firms provides additional detail and insight into the importance of customer service
in the B2B (business-to-business) space. Another study by Accenture found
that excellent CRM performance could improve a company's return on sales by
as much as 64 percent over merely average performance. Ten CRM capabilities
accounted for fully half the improvement in return on sales. Of those, five are
clearly customer service capabilities:
? Strategically manage large account customers (ranked number 4).
? Develop effective customer service systems (ranked number 6).
? Proactively identify customer problems and communicate resolution options
(ranked number 7).
? Leverage customer information from the service process (ranked number 8).
? Prevent customer problems via customer education (ranked number 9).
For each billion dollars in sales, Accenture estimated impact on increased
profitability as follows:
? Customer service-$42 million
? Sales and account management-$35 million
? Marketing-$34 million.9
4- Elucidate the various pillars of strategic customer care.
The Pillars of Strategic Customer Care
PWC concludes that there are three stages, each with substages, in the process of
developing strategic customer care (see Figure 13.10). In Stage I, companies focus
on customer acquisition and learning about their customer base. Stage II represents
CRM strategies of ever-increasing intensity. Stage II companies place
emphasis on segmenting the customer base and learning to serve each segment
more effectively. In Stage III, companies are able to use technology to offer consistent
customer care at all times and at all customer touch points. PWC
describes organizations that have achieved customer care excellence as follows:
Stage III organizations have realized that they cannot be all things to all people.
While most customers are potentially profitable, some customers offer more long-term
promise than others. The ability to predict who these customers are is a necessary
skill on the upward path to strategic customer care. By wisely applying the right
technology and information tools (remember, technology is not a solution in its own
right), companies at the strategic level of customer care exercise a core level of service
for all their customers and a distinctive, optimized level of care for their best customers.