Customer Relationship Management Analysis

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In today’s global economy the desire of goods is always present. It is the purpose of a supply chain is simply to create a product for a consumer. This process includes the planning, development, making, delivery and possible return of the product. To reach the goals of an organization, which is typically centered on maximizing profit, different strategies are continuously being tested and implemented in order to boost selling potential. For example, the use of customer relationship management methods such as data mining or customer service is key in maximizing the effectiveness of a supply chain, restructuring the infrastructure and by creating a comprehensive database with customer information, patterns and market trends gives the organization…show more content…
This business strategy puts a focus on meeting the needs of the consumer by using three fundamental concepts, marketing, sales and customer service. “Customer relationship management (CRM) refers to building one-to-one relationships with customers that can drive value for the firm. Firms will increasingly be able to customize marketing messages to larger target audiences on the basis of the customer's expected response and the customer's value to the firm” (Kumar, 2010). This is an important strategy used because through a more comprehensive customer friendly approach, organizations are able increase their profit margin based on the sales data that is gathered. This data is shared throughout an organization in the three previously mentioned areas (marketing, sales and customer service). Each area is then uses the information to expand and diversify the customer based. CRM is used to fit the particular needs of each individual company based on their strengths, weaknesses and mission…show more content…
Customer service is the one of the most important concepts within CRM. In essence it is all the additional services an organization provides to their consumers. “Customer service is the management strategy that focuses on meeting the customers expectation. It is based on the concept that the organization will reach its goals effectively and efficiently through satisfaction of the customer” (Wagenheim& Reurink, 1991). It is tangible and intangible, tangible in the sense of giving your customer the product or help that they need. Intangible in the sense of the lasting feeling or bond that is created when a sales representative or customer service personnel helps a customer to the best of their ability to guarantee satisfaction. Customer service even extends beyond the purchasing the product as far as follow up questions or product returns. Poor customer service is detrimental to an organization because it causes a loss or business, customers and revenue. So it is imperative for an organization to always ensure their customer’s needs are met and they are left

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