Lai Zhe Fan 20WBR07883 RMK3S3 Individual

You might also like

Download as pdf or txt
Download as pdf or txt
You are on page 1of 17

KOLEJ UNIVERSITI TUNKU ABDUL RAHMAN

FACULTY OF ACCOUNTANCY, FINANCE AND BUSINESS

ACADEMIC YEAR 2021/2022

BBDT3203 CRM
E-ASSESSMENT COURSEWORK SPECIFICATIONS

Bachelor of Business (Honours) in Marketing

No. Students’ names Students’ ID No.

1. Lai Zhe Fan 20WBR07883

LECTURER / TUTOR : Mr Lim Chow Yeng

DATE OF SUBMISSION : 4 March 2022

TUTORIAL GROUP : RMK 8

1
BBDT3203 CUSTOMER RELATIONSHIP MANAGEMENT

FACULTY OF ACCOUNTANCY, FINANCE AND BUSINESS

COURSEWORK FEEDBACK FORM FOR WRITTEN REPORT

COURSE CODE/ COURSE TITLE: BBDT3203 Customer Relationship Management


NAME OF STUDENT(s): ID No:
1) Lai Zhe Fan 20WBR07883
2)
3)
4)
5)
6)
PROGRAMME: Bachelor in Business (Honours) in Marketing
YEAR OF STUDY: 3 SEMESTER: 3 ACADEMIC YEAR: 2021/2022
GROUP NO:
COURSEWORK NO: NATURE OF MARKS ALLOCATED:
COURSEWORK:
/50 (individual),
1/ 2 Individual /50 (group)
assignment.
Group assignment.

COMMENTS :

Student’s Acknowledgement: Date: Lecturer/Tutor’s Signature: Date:

Note: This form must be submitted together with the assessment grid/grading criteria and Turnitin report
for
the coursework.

2
BBDT3203 CUSTOMER RELATIONSHIP MANAGEMENT

ASSESSMENT CRITERIA AND GRADING SHEET (Individual assignment)

Group No.: RMK 8


Name of student: Lai Zhe Fan
Student’s ID No.: 20WBR07883

Assessment criteria Very Good Good Average Poor Very Poor Marks
awarded
1 Introduction (5%) 5 4 3 2 1
 An overview Introduction Introduction Introduction Introduction Introduction
of assignment tasks. well written. clearly fairly briefly poorly
 CRM research written. written. written. written.
topics.
 The research
objective.
2 Section 1: Literature 17 – 20 13 9 – 12 5–8 1–4
review (20%) Provide a – 16 Provide an Very brief or Poorly or
 Well comprehensive Provide a adequate in-adequate incoherent
researched on the review and good review review and review. review.
theories. well written. and well fairly
 Comprehensiv written. written.
eness of elaborating
the research
findings.
 Well presented.
 Correct use of
citation and
referencing.
3 Section 2: Examine 9 – 10 7–8 5–6 3–4 1–2
service-chain model Provide an Provide a Provide an Very brief or Little
(10%) excellent in- good adequate in-adequate theoretical
 Well depth theoretical theoretical theoretical concepts.
researched on the theoretical concepts. concepts. concepts.
theories. concepts.
 Comprehensiv
eness of explaining
theories.
 Has depth of
discussion
4 Section 3: Evaluate 9 – 10 7–8 5–6 3–4 1–2
service quality Provide an Provide a Provide an Very brief or Little
delivery (10%) excellent in- good adequate in-adequate application
 Comprehensiv depth application application application of
eness of exploring application of of theoretical of of theoretical
the concepts. theoretical concepts. theoretical theoretical concepts.
 Has depth of concepts. concepts. concepts.
discussion.
5 Conclusion (5%) 5 4 3 2 1
 Has An excellent A good A fair A poor Incoherent
conceptualised the summary of the summary of summary of summary of summary of

3
key findings. key findings. the key the key the key the key
 Reflection of findings. findings. findings. findings.
the learning.

TOTAL MARKS
(50%)

KOLEJ UNIVERSITI TUNKU ABDUL RAHMAN

FACULTY OF ACCOUNTANCY, FINANCE & BUSINESS

ACADEMIC YEAR 2021/2022

PLAGIARISM STATEMENT

Semester: 3

Course Code & Title: BBDT3203 Customer Relationship Management

Declaration
I/We confirm that I/we have read and shall comply with all the terms and conditions of TAR College’s
plagiarism policy.

I/We declare that this assignment is free from all forms of plagiarism and for all intents and purposes is
my/our own properly derived work.

I/We further confirm that the same work, where appropriate, has been verified by anti-plagiarism software
________________________ (please state).

No. Student name Student ID No. Signature


1.
Lai Zhe Fan 20WBR07883 ZHEFAN

2.

3.

4.

5.

6.

Date: 4/3/2022

4
Table of contents

Table of Contents

No. Title Page Number

1.0 Introduction 6

2.0 Literature Review 7-11

3.0 Examine the service-profit chain 12


model

4.0 Evaluate how internal operation 13


delivers service quality

5.0 Conclusion 14

References 15

Appendices 16

5
1.0 Introduction

Customer relationship management (CRM) is a system that enables large and small businesses to
organize, automate, and synchronize all aspects of customer engagement. Marketing, sales, customer care,
and support are all examples of CRM systems. The majority of CRM platforms are used by businesses to
analyse customer interactions and improve customer relationships. More than that, Customer relationship
management (CRM) is a tool for managing all of your company's customers and potential customer
relationships and interactions. The objective is straightforward: to improve commercial relationships. A
customer relationship management system (CRM) aids businesses in staying in touch with customers,
streamlining procedures, and increasing profits.

In addition, a CRM solution enables you to focus on your company's relationships with individual
people — such as customers, service users, colleagues, or suppliers — throughout the relationship's
lifecycle, which includes finding new customers, winning their business, and providing support and
additional services. CRM will be the single most profitable area of enterprise software spending. We
already know that if our company is going to last, we will need a long-term strategy. We will set sales,
business, and profit goals for yourself. However, collecting accurate, up-to-date information on our
development can be difficult. A customer relationship management system (CRM) can provide us with a
detailed picture of our customers. Everything is in one place: a simple, customizable dashboard that tells
us about a client's previous interactions with us, the progress of their orders, any remaining customer
support issues, and more. We may even incorporate data from their public social media activity, such as
their likes and dislikes, as well as what they're saying and posting about me and our competition. A CRM
solution can help marketers better understand the sales or prospect funnel, making forecasting easier and
more accurate. Every chance or lead will be clearly visible, allowing us to follow a clear path from
inquiry to sales. Despite the fact that CRM systems have generally been utilised for sales and marketing,
customer service departments are getting significant benefits from them. Today's client might raise a
complaint on one channel — say, Twitter — and then settle it privately via email or phone. A CRM
software allows us to manage inquiries across channels without losing track of them, and it provides a
single view of the customer to sales, service, and marketing.

6
2.0 Literature Review

2.1 Customer Experience


According to Martin Sykora (2022), this research paper studied the power of emotions -
leveraging user generated content for customer experience management. The main purpose of the study in
the social media age, customer experience management (CEM) must adapt to a quickly changing digital
environment, necessitating the development of creative digital data analysis tools. This paper provides a
digital innovation for better emotion analytics on user generated content (UGC) and behaviour (UGB),
based on an action case study of a large global automotive manufacturer, to increase customer insights for
CEM in the United Kingdom. The digital invention records consumer experience in real time, allowing
for the measurement of a wide range of discrete emotions on the examined social media platform, going
beyond existing technologies that simply record positive or negative sentiment. Unbeknownst to the case
organisation, a significant number of inauthentic and bot-like behaviours were identified during the digital
intervention. These accounts were discovered to be spreading extremely emotional and potentially
harmful information about the case brand and its products. Given the complexity of human emotion, the
study shows how emotion in the context of customer experience should go beyond traditional
categorisations, while a differentiation between bot and legitimate users is critical for CEM.

This article explains how companies can focus on the human experience by combining both
systematised and non-systematized knowledge to discover pain areas and obtain insights. The survey
conducted in the USA for the companies has installed chief experience officers, whose job it is to
champion the customer experience throughout the organization and address any gaps between the
customer and the company or across different functions within the company, as they recognise the
importance of the customer experience to their ultimate success. As a result of the present literature's false
assumption that higher scores on customer experience scales invariably imply better customer
experiences. However, more experience does not always equal greater experience, and excellent
experiences do not always have to be memorable or spectacular. Instead, businesses must provide
customers with the experiences they desire. A human experience can be created by meeting the client in a
way that reacts to the customer's objectives, beliefs, values, and/or feelings.

According to Sebastian Molinillo (2022), this study aims at the customer retail app experince.
The main purpose of study is one of the most important retail purchase and information search channels is
retailer mobile applications. The success of a retail app is determined by the customer experience.
However, just a few researches have looked into its dimensions and implications on retailer success. This
study adds to the existing literature on customer retail app experience by looking at four factors as
predictors of satisfaction with the retailer's app and customer loyalty (cognitive, affective, relational and
sensorial). PLS-SEM was used to analyse data collected from 545 users of store apps. The findings show
that the emotive dimension has the greatest impact, and they emphasise the importance of the sensory

7
experience, which even outweighs the cognitive experience. Meanwhile, the impact of the relational
dimension on consumer satisfaction could not be conclusively shown. The study of the moderating effects
of gender, age, and the type of equipment utilised uncovers effects that have never been shown before in
the literature.

This article aims to influence the customer experience with automated games and social social
interaction on customer engagement. This study explores the relationship for the USA between casino
consumers' experiences with automated gaming and their engagement and loyalty reactions to casinos,
based on experiential marketing theory. Social contact is modelled as a moderator in the connection as a
proxy for visiting motivation. Word-of-mouth, frequency of visits, and average spending are all examples
of customer behaviours. The study focuses on members of Australian land-based casinos who have played
automated games. Consumer experience with some elements of automated games had a good and
significant impact on customer engagement with the casino, leading to positive loyalty, according to the
findings. Customer loyalty was also influenced indirectly by the automated game experience. The
association between consumer engagement and number of visits was significantly moderated by social
interaction. This research was conducted by Joseph Mike (2021).

8
2.2 Customer Satisfaction
According to Xu Xun (2022), this research is looking for the impact of linguistic qualities of
online management responses on repeat customers' satisfaction with hotels is being investigated in China.
Hotels can improve their financial performance by developing their interactions with consumers in order
to build loyalty and encourage them to return. Hoteliers can use online managerial response (MR) to
connect with clients and encourage them to return. This study looks into how the five language features of
MRs—sentiment polarity, subjectivity, diversity, length, and readability—affect return customers'
satisfaction changes. We discovered that MR diversity and sentiment polarity reduce customers'
incremental satisfaction during their second visit for initial unsatisfied customers. The readability of MRs
has a beneficial impact on customers' second-time incremental satisfaction, whereas sentiment polarity
has a negative impact. The subjectivity and duration of MRs have little bearing on the change in return
customers' happiness. Our findings give hotel managers guidance on how to respond to customer reviews
in a linguistic style that increases customer retention and satisfaction when they return.

According to Xu Xun (2022), this research aims for using online reviews to link time to customer
satisfaction. This study investigates the relationship between time and customer satisfaction through
online hotel customer reviews in China. Customers' online review activity and degree of satisfaction can
fluctuate depending on how long they've been with the service providers, as authors categorise the
characteristics into distinct sorts. When compared to chain hotels and hotels with lower star levels,
independent hotels and hotels with higher star levels magnify the impact of many features on satisfaction
over time. The author discusses the consequences for businesses in terms of increasing customer
satisfaction by improving attribute-level performance over time. More than that, time-related
considerations are a significant part of the variables impacting the influence of various attributes on
customer satisfaction. Customers' ages mitigate the association between transportation services and
customer happiness, according to this study. According to Lai and Hitchcock (2018), the determinants of
customer satisfaction are affected by new versus recurrent customer attributes.

This article aims to the use of information and communication technology (ICT) as a tool for
cost-effective innovation to meet client needs. The survey is conducted in Spain for the mediating effect
of frugal innovation. The goal of this study is to assess whether frugal innovation has a mediating role in
the relationship between information and communication technologies (ICTs) adoption and customer
satisfaction among small and medium-sized (SMEs) Colombian businesses. Structural Equation Modeling
was used to apply a quantitative methodology and a cross-sectional design. Data was collected from a
sample of 145 business owners in the Department of Bogota, Colombia, using a simple random sampling
technique and a self-administered questionnaire. The findings show that ICT adoption has a big impact on
both frugal innovation and consumer satisfaction. Furthermore, more frugal innovation leads to higher
levels of customer satisfaction. Furthermore, it was discovered that frugal innovation had a significant

9
partial mediation influence on the relationship between ICT adoption and consumer happiness. This
research was conducted by Mark Henry (2020).

According to Stephen Littlechild (2021), this research paper studied exploring customer
satisfaction in Great Britain’s retail energy sector. This includes the proposed overall customer
satisfaction score. To summarise information about suppliers' performance and enable customers to
engage more effectively in the market, an Overall Customer Satisfaction (OCS) score is proposed. It's the
average of ratings from Ofgem, the Consumers' Association (Which? ), Citizens Advice, and the
Trustpilot consumer review site. From 2018 to 2021, the index is calculated for over 30 energy suppliers.
The greatest score goes to medium suppliers, although large suppliers have improved significantly, albeit
from a poor base. Small businesses have more erratic scores. Suppliers with a score of less than 60 did not
make the cut. Low tariffs have been offered by medium suppliers with high OCS scores, rather than
higher tariffs.

2.3 Customer Loyalty


According to Kayhan Tajeddni (2022), this research is studied for how self-gratification and
social values influence Airbnb users' revisit intentions and customer loyalty in the United Kingdom.
Although the interrelationships between customer perceived value, revisit intention, and customer loyalty
have been extensively researched in other travel and hospitality settings, the Airbnb context has yet to be
completely explored. Our study provides a theoretical framework based on the value-attitude-behavior
hierarchy for measuring the influence of self-gratification and social values on building revisit intention
and customer loyalty among Airbnb users. Self-gratification value influences revisit intention and
customer loyalty of Airbnb customers, according to an analysis of empirical data derived from two focus
group talks, eight in-depth interviews, and a survey of 192 Airbnb users. However, the findings show that,
while social value is important in generating revisit intentions, it has a negligible impact on customer
loyalty to Airbnb.

This article studied the quality of channel integration and customer loyalty in omnichannel
retailing. They are also researching the mediating role of customer engagement and relationship program
receptiveness. The goal of this study was to determine how omnichannel integration quality affects
customer loyalty through customer engagement and relationship programme receptiveness in
omnichannel commerce, as well as to confirm the relationship between customer engagement and
relationship programme receptiveness. A questionnaire was used to collect data, and 378 people
responded. The model was examined using PLS-SEM. The findings revealed that omnichannel
integration quality has a favorable impact on customer engagement and relationship programme
receptivity, which in turn has an impact on customer loyalty. Customer engagement has also been shown
to have a favorable impact on relationship programme receptivity. The role of mediators in consumer
engagement and receptiveness to relationship programmes was also investigated. This study conducted by
Gao MengJia (2021) in Japan added to the omnichannel literature by confirming the importance of
psychological and behavioural customer engagement in omnichannel retailing. This research also showed
that creating a seamless, consistent, and reassuring experience can assist omnichannel retailers increase
consumer engagement and loyalty.

According to Gu Wei (2022), this research is studying seasonal items with important customers
and the impact of loyalty programme investment on business performance in China. Retailers frequently
employ customer loyalty programmes as a key marketing tactic. The amount of money invested in a
loyalty programme (LP) by the business is frequently linked to the retailer's profit and customer
behaviour. We consider a shop who sells a specific product to strategic clients twice a year. Inventory
ordering and loyalty programme investment decisions are made by the store. Customers must choose
between receiving the product and reward right away (in period 1) or waiting for a markdown discount

10
and the danger of stockout (in period 2). The author has focused on three main questions. What influence
does the decision to invest in loyalty rewards have on strategic customers' behaviour? When it comes to
investing in a loyalty programme, what are the best decisions and profits for the retailer? What elements
influence the decision to invest in a reward? We discovered that investing in a loyalty programme
encourages customers to buy early, resulting in a larger inventory ordering decision and more profit for
the merchant. The value of the product and the cost of the product have a major impact on the rewards
from reward investments. Our findings give light on how LPs make reward investing decisions. To
increase earnings, the store should invest in a loyalty programme for products with large profit margins
and market-determined prices (value approximates price).

This article is the link between corporate social responsibility and customer loyalty and it is from
empirical evidence from the Islamic banking industry. This research was conducted by Muhammad
Muflih in Indonesia. Increased client support for Islamic financial services is critical for the Islamic
banking industry's sustainability and competitiveness. This article evaluates the importance of Islamic
banks' CSR in affecting customer loyalty, both individually and through the combined roles of image,
trust, satisfaction, and reputation, by highlighting key social activities. These courses look at how Islamic
banks can impress, persuade, satisfy, astound, and eventually retain consumers through CSR. CSR has a
direct and positive impact on loyalty, according to an empirical examination of partial least square
structural equation modelling (n = 283). Through the serial roles of image-reputation and satisfaction-
reputation, these two elements have an insignificant relationship, but they have a considerable
relationship through the single role of reputation and the serial role of trust-reputation. The necessity of
creating CSR to generate trust and reputation, which in turn increases client loyalty to Islamic banks, is
the practical implication.

11
3.0 Examine the service-profit chain model
Profitability, customer loyalty, and employee satisfaction, loyalty, and productivity are all linked
by the service-profit chain. The following are the links in the chain (which should be considered
propositions): Customer loyalty is the primary driver of profit and growth. Customer pleasure is a direct
effect of loyalty. The value of services supplied to customers has a big impact on customer satisfaction.
Employees that are happy, loyal, and productive provide value to the company. Employee happiness is
based on high-quality support services and rules that allow employees to deliver results to consumers. The
links in the service-profit chain which is shown in Appendix 1. The relationship between customer
satisfaction and customer loyalty is that customer satisfaction drives customer loyalty. Customer
happiness is currently being quantified by leading service companies. For example, Xerox has questioned
480,000 consumers per year for numerous years about their product and service satisfaction on a five-
point scale ranging from 5 (high) to 1 (poor) (low). Xerox's goal until two years ago was to obtain 100%
4s (satisfied) and 5s (very satisfied) by the end of 1993. However, a 1991 study of consumers who
awarded Xerox 4s and 5s on satisfaction found that the connections between the scores and actual loyalty
varied substantially depending on whether the customers were very satisfied or satisfied. Customers who
received Xerox 5s were six times more likely than those who received 4s to repurchase Xerox equipment.
Refer to Appendix 2, Xerox expanded its efforts to cultivate apostles, a phrase developed by Scott D.
Cook, CEO of software manufacturer and distributor Intuit, to describe customers who are so pleased
with a product or service that they convert the uninitiated. By the end of 1996, Xerox management hoped
to have achieved 100 percent apostles, or 5s, by improving service levels and ensuring client happiness.
But it's just as crucial for Xerox's bottom line to avoid generating terrorists: clients who are so dissatisfied
with their service that they complain about it at every chance. Terrorists have the ability to reach out to
hundreds of potential customers. They can even discourage acquaintances from trying a business or
product in some cases.

Furthermore, the relationship between service quality and customer satisfaction is that customers
today are mostly concerned with value. But what exactly does that imply? Customers tell us that value
refers to the outcomes they get compared to the total costs (both the price and other costs to customers
incurred in acquiring the service). Progressive, an insurance firm, provides this kind of value to its
customers by processing and paying claims swiftly and with little work on the part of policyholders.
Members of the company's CAT (catastrophe) team fly to significant accident scenes, offering support
services such as transportation and shelter, as well as quickly processing claims. The CAT team more than
makes up for the additional expenses the organisation incurs by keeping the team by decreasing legal fees
and actually placing more money in the hands of the affected parties. Furthermore, the CAT team adds

12
value to consumers, which is why Progressive has one of the greatest profit margins in the property-
casualty insurance business.

4.0 Evaluate how internal operation delivers service quality


I will choose Microsoft Dynamic CRM software to enhance the service quality. Microsoft
Dynamics CRM enables mid-market businesses to better manage their connections with customers,
prospects, and employees. It contains a set of cloud apps for managing a number of corporate functions,
including sales, operations, and accounting. More than that, Employees may use Dynamics CRM to be
more productive, strengthen client connections, and gain more business. Its business intelligence tool also
provides executives with vital insights into performance and prospects. In addition, Organizations may
also easily streamline the way they communicate both internally and with customers using Dynamics
CRM, which combines CRM and ERP features. Microsoft Dynamic CRM is easy to use and deploy.
Microsoft Dynamics CRM can be used either in the cloud or in a hybrid cloud environment. It's easy to
manage and deploy in any way we want, depending on the budget and infrastructure. Because Dynamics
CRM is cloud-based, it's great for businesses that allow employees to use their own devices. Employees
can use Outlook, a web browser, or any mobile device to access their Dynamics 365 apps. Other than that,
this CRM software is fully integrated With Microsoft Products. Microsoft Dynamics CRM interacts
seamlessly with the rest of the Microsoft Office 365 package. Companies can transition from Dynamics
365 to Outlook for communication, Power BI for data analytics, or SharePoint for documentation thanks
to these interfaces. Employees will spend less time transferring data between apps and learning new
platforms if working and moving between apps is made easy.

In addition, this CRM software also reduces the sales cycle. Whether they're out in the field or in
the office, Microsoft Dynamic gives salespeople access to a variety of valuable client data. Without
needing to say, "Let me get back to you on that," our team will be able to develop quick responses and
offer information. Companies also gain a full view of each prospect's journey, allowing them to build
better focused sales experiences. Microsoft Dynamic CRM software is customizable. We may use this
software's modules and built-in workflow tools to automate tasks in sales, marketing, customer service,
field service, and project service. There's no need to be concerned if the pre-built tools don't quite meet
our requirements. We can also customize workflows in Microsoft Dynamic CRM to match our specific
requirements. Customize the system by adding new fields and objects with the customization tools. That
isn't the only thing we can change. This software also can enhance customer service experience. Each
customer's data is collected in vast numbers through Dynamics CRM. It examines which websites people
frequent, how they interact with brands, and which communities they belong to, among other things. Its
BI platform can also detect customer moods, purchasing patterns, and brand loyalty — non-quantifiable
data aspects that are crucial to the sales process. Lastly, this Microsoft Dynamic CRM software increases

13
productivity. With this software, the staff can get almost any kind of data they need, allowing them to
operate more efficiently and spend less time looking for information. Employees can make better, more
educated decisions because they have access to all of the tools and information they require. Users can
locate everything they need on one platform rather than needing to access ERP, CRM, data, and Office
apps separately.

5.0 Conclusion
To conclude, Customer Relationship Management allows a firm to match its strategy with its
customers' demands in order to better address those goals and secure long-term customer loyalty.
However, in order to achieve these goals, the various firm departments must collaborate and utilise
measures in a coordinated manner. This is accomplished by employing CRM software to evaluate and
update a customer database. This strategy will be particularly appealing to businesses operating in highly
competitive marketplaces where attracting new clients is challenging. Other than that, customer
relationship management (CRM) is a business approach that enables a company to maximise revenue,
customer satisfaction, and profitability by strategically mobilising, organising, and managing the interests
and aspirations of its customers. With a strong customer relationship that has promoted exceptional
product sales, the system has made a substantial contribution to the company's financial, operational,
management, and development efforts.

As we can see from the discussion, CRM is strategically used as a model mechanism for brand
development and consumer attraction to the business. The technology includes critical consumer analysis
measures that are implemented through technological systems for business organisation, automation, and
synchronisation of sales, customer care, marketing, and technical support. CRM has been used to elevate
the marketing endeavor by promoting local and internal customer connection. BMW was able to
determine the target customer base and competitive marketing tactics for client strengthening and
retention thanks to CRM data. The organization was able to determine the target customer base and
competitive marketing tactics for client strengthening and retention thanks to CRM data.

14
References

James L. Heskett 2008, Putting the service-profit chain to work, viewed 1 March 2022,
<https://hbr.org/2008/07/putting-the-service-profit-chain-to-work/>.

John Collins 2020, Definition of CRM, viewed 1 March 2022,


<https://www.salesforce.com/ap/crm/what-is crm/#:~:text=Customer%20relationship%20management
%20(CRM)%20is,streamline/>.

Kmicro 2021, Microsoft Dynamic CRM, viewed 1 March 2022,


<https://kmicro.com/benefits-of-microsoft-dynamics-365/>.

15
Appendices

Appendix 1: The Links in the Service-Profit Chain

16
Appendix 2: A satisfied custoemr is loyal
Turnitin Report

17

You might also like