Customer Relationship Management

Prof. Shainesh.G
Marketing Benefits

Marketing Benefits

One of the biggest investments that organizations make is in acquiring customers. It starts
with segmenting, targeting and positioning the offering, based on a value proposition that is
potentially attractive for the prospects. Customer acquisition is a long process. It involves
awareness creation and educating the prospects about the offering. Mass media was the
primarily used earlier to create awareness but now many businesses leverage digital media.
However, it is not good enough for prospects to know about the product. It is equally
important for managers to leverage their marketing communication for prospects to
develop a positive attitude towards the firm’s product or service.

Awareness and positive attitude may not necessarily translate into sales. A large part of the
marketing effort goes into encouraging prospects to buy the product through the sales team
and partners.

Organizations will want to reach out to the right customer, at the right time at the lowest
possible cost. Based on the organization’s experiences with CRM or relationship marketing,
one can have better information on profiles of prospects who would be interested in the
organization’s offering, and those who are not likely to buy the product, but are a part of
the target group. This in-turn will help managers create better leads and identify qualified
prospects who can be reached out by the sales team.

Customer related information gets converted into knowledge based on a combination of

actual purchases, transactions, surveys, interactions, etc. This knowledge can potentially
result in productivity gains, as firms can use low cost media due to their direct connect with
customers. Targeting is now more focused, and the conversion rates are higher.

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Relationship Management, delivered in the online course format by IIM Bangalore. No part of this document, including any logo, data,
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