Benefits Of Customer Relationship Management

993 Words4 Pages
Customer Relationship Management (CRM) is an enterprise approach to understanding and influencing customer behavior through meaningful communication in order to improve customer acquisition, customer loyalty and customer profitability. The aim of the study is to understand customer relations in the selected industries and also to identify and summarize the benefits in the selected industries.
Key words
CRM, Benefits, Acquisition, Loyalty, Profitability etc
Definition of CRM
CRM is defined as the overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction.
The 1990s have been a dynamic period within the information systems field. One of the most exciting uses of new technologies
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They are making those decisions on the basis of the relationships that they have with their suppliers.
*Dr.A.Sakunthala, Assistant Professor, GITAM Institute of Management, G.U Visakhapatnam.

Enabled by IT, CRM helps to identify ways to bring occasional customers into the tier of more valued and more profitable customers. It also helps to identify those who do not fit the profile of present or potentially profitable customers, enabling businesses to essentially fire them as customers.
CRM is viewed as the overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction. The aim of CRM is to build long-term, mutually satisfying relations with customers in order to earn and retain business by delivering high quality products and services at reasonable prices over the time. In other words, instead of trying to maximize profits from each and every transaction, CRM focuses on maximizing profits over the lifetime value of the customer by creating and maintaining relationships.
Benefits of
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Some of them are interviewed to get their opinions and inputs to what extent the CRM strategies influence the company in which they are working at present.
Secondary Data
Information about the customer relationship management, performance and benefits of CRM is gathered from various books, magazines, journals and websites.
Choice of Organizations
In the current study manufacturing and service sectors are selected. The data was collected from Visakhapatnam, Hyderabad and Bengaluru based companies in South India according to researcher’s convenience and familiarity with the organizations.

Sampling
The questionnaire was pre-tested using a sample of 306 respondents. It was revised and validated. The samples were selected by using quota sampling technique among the target sectors. Within the sectors convenience sampling method was used.
Profile of Respondents
The sales and marketing departments are usually the initiators and planners for the implementation of CRM as part of their marketing plans. The respondents from the IT department are the facilitators for the implementation and functionality of the
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