Crm Handout Hnd II (Otm) Mkt 315

CUSTOMER RELATIONSHIP MANAGEMENT (MKT315) HND II (OTM) FULL TIME
YABA COLLEGE OF TECHNOLOGY

SCHOOL OF MANAGEMENT AND BUSINESS STUDIES
DEPARTMENT OF OFFICE TECHNOLOGY AND MANAGEMENT
CUSTOMER RELATIONSHIP MANAGEMENT (MKT 315) HANDOUT

COURSE OUTLINES
DIGITAL MARKETING & CUSTOMER RELATIONSHIP MANAGEMENT

❖ Definition, Concept, Nature & Effect of CRM on Customers and Organization
❖ How relationship marketing brought new approach to relations with customers
❖ Ways of Building Value for the Company and Customer
❖ Procedures of Implementing CRM in your Business/Company
❖ Different Levels of Investment in Building a Relationship with the Customer (Porter stated three
main strategies)
❖ Advantages of Management of Customer Relations
❖ Principles, Process & Strategies of CRM
DATABASE MARKETING
❖ Definition, Classification, and Types of Database Marketing
❖ Importance of Database Marketing
❖ How to build a Marketing Database and Advantages of Database Marketing
❖ Challenges of Database Marketing
CUSTOMER DATA MINING

❖ Definition of Data Mining
❖ Roles and Process of Data Mining
❖ Customer Data Mining for Customer Retention
DIGITAL MARKETING
❖ Definition and Importance/Relevance Digital Marketing
❖ Tools, Levels and Types of Customer Relationship Management
❖ How to Design an Effective CRM Framework
CUSTOMER FEEDBACK SYSTEM

❖ Concept and Importance of Customer Feedback
CUSTOMER EXPERIENCE MANAGEMENT

❖ Introduction and Definition of Customer Experience Management
❖ Components of Customer Experience Management
❖ Causes of Bad Customer Experience
❖ Ways to Inform Customer Experience
❖ Stages, of Customer Experience
❖ Five E’s Customer Experience
❖ Pillars of Customer Experience
❖ Elements of Customer Experience
❖ Methods of Measuring Customer Experience Management
CUSTOMER RELATIONSHIP & LOYALTY PROGRAMS

❖ Characteristics/Qualities of Customer Relation Manager
❖ Forms of Customer Relationship & Loyalty Programs
❖ Types of Loyalty Programs
CUSTOMER EXPECTATION
❖ Definition of Customer Expectation
❖ Types of Customer Expectation
❖ How firms can measure & manage customer expectation
COURTESY BY: PHEMIGHT14 Page | 1

DIGITIAL MARKETING & CUSTOMER RELATIONSHIP MANAGEMENT
DEFINITION OF CUSTOMER RELATIONSHIP MANAGEMENT
Customer Relationship Management is the process of managing all aspects of interaction, a

company has with its customers and to improve the relationship/interactions. i.e. to better their
needs.
Customer Relationship Management is an integrated approach to identifying, acquiring and

retaining customers.
According to Wikipedia, CRM (Customer Relationship Management) can be defined as the

combination of practices, strategies and technologies that companies use to manage and
analyze the customer interactions and data throughout the customer lifecycle.
NATURE OF CUSTOMER RELATIONSHIP MANAGEMENT
Customer Relationship Management involves using technology to gather the intelligence you
need to provide improved support and services to your customers.
➔ It collects information about your customers

➔ Analyze the information
➔ Establish a database
➔ Making each and every customer feel like they have a one to one relationship with you.
➔ You care about their need’s questions and concerns
➔ You want to deliver services and product they need the most
➔ You appreciate their patronage
➔ An approach to manage a company’s interaction with current and potential customers.
➔ Customer history with a company
➔ Improving sales growth
CONCEPT OF CUSTOMER RELATIONSHIP MANAGEMENT
Relationship Marketing
Customer Orientation
Customer Relationship Measurement & Evaluation

Management

HOW RELATIONSHIP MARKETING BROUGHT NEW APPROACH TO RELATIONS WITH CUSTOMERS?
➔ Creating at the Same Time New Market Assumptions: Relationship marketing challenged
old market assumptions, resulting in a new approach to consumer connections. It
prioritized long-term client connections above transactional sales. This mental
adjustment led to the awareness that customer loyalty and satisfaction are critical
drivers of corporate success.
➔ Maximizing Shareholder Value: Relationship marketing realizes that by concentrating on

developing great connections with consumers, businesses may optimize shareholder
value. Companies may grow their market share and profitability by maintaining loyal
customers and recruiting new ones through favorable word-of-mouth and
recommendations.
➔ Concentrating on Customers: Understanding consumer requirements, tastes, and habits

is emphasized heavily in relationship marketing. It entails actively listening to clients,
receiving feedback, and adapting products and services to their unique requirements.
This customer-centric strategy assists businesses in establishing trust, loyalty, and long-
term connections with their consumers.
➔ Retaining Long-Term Relationship with Them: Relationship marketing seeks to retain

clients over time by providing outstanding customer experiences. This includes offering
individualized service, immediately addressing customer problems and difficulties, and
consistently meeting or surpassing customer expectations. Companies may reduce
customer churn and enhance customer lifetime value by concentrating on maintaining
existing customers.
➔ Acquiring and Retaining New Customers: Relationship marketing understands the need
of obtaining and maintaining new consumers in order to continue corporate
development. It entails putting in place efficient client acquisition methods such as
focused marketing campaigns, lead creation, and customer referral programs.
Furthermore, relationship marketing focuses on developing strong ties with new clients
from the outset in order to drive loyalty and repeat purchases.
WAYS OF BUILDING VALUE FOR YOUR COMPANY
➔ Anticipating you existing customer needs: Understanding your clients' preferences,

trends, and changing demands allows you to offer relevant products or services in a
proactive manner. This proactive strategy can boost client satisfaction and loyalty.
➔ Identify your best customers: Identifying your most valued and loyal clients helps you to
prioritize them for customized offers, special privileges, and tailored marketing activities.
This might improve their loyalty and boost their lifetime worth.
➔ Identify potential customers: Market research and segmentation analysis may help you
uncover potential clients that fit your target market. You may extend your client base
and boost revenue by properly targeting these prospects.
➔ Identify complementary products your can sell to your customers: Analyzing your
consumers' purchasing patterns and preferences might help you uncover complementary
items or services that meet their demands. Cross-selling or upselling these
complimentary items can increase sales and income.
➔ Targeting marketing, campaign/materials for promotion: By segmenting your target

audience and personalizing marketing campaigns or promotional materials to their
individual requirements and preferences, you may enhance the efficacy of your
marketing efforts and boost consumer engagement.
WAYS OF BUILDING VALUE FOR THE CUSTOMER
➔ Make ordering or buying easier: This might include simplifying the shopping process,
creating clear and user-friendly interfaces, and giving many payment choices.
➔ Tailor the shopping experience for your customers: Personalizing the purchasing
experience based on the preferences, prior purchases, and demographic information of
the client can increase happiness and loyalty.
➔ Allow self-service: Giving clients the flexibility to perform some chores themselves, such
as online order monitoring or refunds, can help them save time and money.
➔ Develop an e-newsletter/online forum, reviews and feedback: Providing opportunities for

customers to communicate with the business, exchange reviews and feedback, and
interact with other customers may promote a feeling of community while also providing
vital information for development.
➔ Respond to comments/feedback from customers through social media channels:

Maintaining an active presence on social media platforms and responding to consumer
comments and feedback in a timely manner may indicate responsiveness and concern.
➔ Free products to your best customers: Giving complementary items or unique discounts
to loyal consumers not only builds the relationship but also drives repeat purchases.
PROCEDURES OF IMPLEMENTING CRM IN YOUR BUSINESS/COMPANY
➔ The business should identify customer needs: Conducting market research, surveys, and
customer interviews to learn what customers want and what difficulties they have.
➔ Their level of satisfaction: Obtaining feedback from customers through surveys, reviews,
and customer service encounters in order to gauge satisfaction and find areas for
improvement.
➔ What impacts their purchasing decisions: Recognize the aspects that influence clients'
purchasing decisions, including as price, product quality, convenience, and brand
reputation.

➔ Identify the goal of your company with customers: Creating a customer-centric strategy
by aligning the company's objectives with the requirements and expectations of the
target client group.
➔ Company’s capabilities, technology, human resources, skills: Evaluating the company's

resources, technology, human resources, skills, and infrastructure in order to determine
its capacity to effectively satisfy consumer demands.
DIFFERENT LEVELS OF INVESTMENT IN BUILDING A RELATIONSHIP WITH THE CUSTOMER
(1). Basic Marketing (2). Reactive Marketing

(3). Accountable Marketing (4). Proactive Marketing
(5). Partnership Marketing
(1). Basic Marketing: This level includes general marketing activities aimed at acquiring
clients and generating knowledge about the items or services supplied. There may be
some customer relationship management efforts in place.
(2). Reactive Marketing: At this level, businesses concentrate on resolving specific consumer
concerns and difficulties. They may have customer care teams and protocols in place to
handle customer problems, but their approach is primarily reactive.
(3). Accountable Marketing: Companies at this level actively assess customer satisfaction,
track customer interactions, and manage customer data. They set performance criteria
and responsibility for customer relationship management tasks.
(4). Proactive Marketing: Companies at this level look for opportunities to connect with
consumers rather than just fixing complaints. They anticipate the wants and preferences
of their customers, tailor messages and products, and use data analytics to improve the
customer experience.
(5). Partnership Marketing: At this level, businesses make alliances with important customers
to co-create value and collaborate on product development, marketing activities, and
long-term plans. This level of commitment focuses on developing long-term, mutually
beneficial client connections.
PORTER STATED THREE (3) MAIN STRATEGIES
(1). Low Cost Strategy: Where the company’s strategy is to reduce the cost while
maintaining an acceptable level of quality like many Chinese products.
(2). Differentiation Strategy: Where the company strategy is to provide excellent product or
service than twice from other competition companies, then the customer accepts to pay
a higher price than usual.
(3). Focus Strategy: In this strategy, an organization focuses on certain segment of the
market and tries to meet their demands. In the case, organization aims to achieve
excellence in product, price or both children’s shop.
ADVANTAGES OF MANAGEMENT OF CUSTOMER RELATIONS
➔ Increasing the opportunity to keep customers.

➔ Achieve satisfaction through quick response.
➔ Focus on customers differentiation more profitable 50% - 80% customers.
➔ Reducing the marketing cost to the minimum.
➔ Increasing the sales, profits and achieving the highest return on investment (R.O.I).
➔ Reducing or limiting the possible mistakes in its relations with the customers.
➔ For the future planning e.g. sales production.
PRINCIPLES OF CUSTOMER RELATIONSHIP MANAGEMENT
1). Start with a Vision: Define what you want from a CRM system. What are your current
business processes? Who will be the CRM and for what purpose? How do you expect a
CRM solution to affect your customers?
2). Know Thy Customers: You need to first know what exactly they aspire, for the market is
volatile and things can change over night service, that were once valued could become
obsolete in a moment. Therefore, you need to keep a constant track of your customer’s
requirements and needs.
* You can keep a track of their movements on your website
* You can hold surveys that might give you direct insight into their needs.
3). Have a better Interaction: In order to manage profitable customers relationship, you
have to interact with your customer social media, is often a great platform to do so,
make sure you have a strong presence there. The previews principle of “know thy
customers” could be easily achieved if you have a good interaction with them.
4). Prepare for Growth: You need software that can meant your current needs and can also
meet future needs as your business grows. When establishing your CRM strategy, make
sure it allows the flexible to deal with the changes in your business and in the market
that will surely come.
5). Respect Customer Individuality: Customer are individuals and that’s how you must treat
them. One marketing strategy never works for all customers.
6). Focus on Alignment: To maximize the value of your CRM and streamline company-wide
processes, consider how CRM will align and integrate with one critical business systems.
7). Balance Between Customer and Your Interact: Sometimes too much pleasing of
customers may result in losses for you. Such cases result in a conflict of interest and
make you wonder if incurring losses for the sake of keeping customers happy is of worth
it. Strike a balance between the two.
8). Keep it Simple: Only the most important details about each contact or opportunity is
required, with the option for users to add more detailed information which is necessary.
9). Use a Step at a Time Approach: A step by step CRM launch will deliver high value in a
short amount of time and help you achieve a better return on your investment.
10). Focus on Sales, Not Discounts: One common trap most business fall into is over using
the concept of discounts. They believe that reduced costs would be the best way to
make customers happy. However, this is not really true while discounts do have their
benefits, they cannot replace the importance of customer relationship. Apple remains a
favourite with customers despite its high prices because they have excellent customer
relations.
PROCESS OF CUSTOMER RELATIONSHIP MANAGEMENT
The CRM process is a five-step technique for making every customer connection customized and
meaningful.
A CRM system delivers the data and functionality your team requires to carry out this approach
and eventually convert leads into clients.
The CRM process is an example of this principle in action. It is the concrete measures that an
organization must take to guide clients through the cycle of learning about your brand and
eventually becoming repeat customers.
1. GENERATE BRAND AWARENESS: The first step to acquiring now customers is to introduce
them to your business. The marketing team typically takes on this task through a number
of measures.
➔ Learning about your target audience: Marketers will conduct research to identify your
audience’s target demographics, interest, preferred channels of communication what
messaging they respond most to, and what they care about.
➔ Segmenting your target audience: Audience personnel are created to segment a brand’s
target audience into similar groups based on similar interest or demographics. This helps

marketers identify which types of people are most likely to become customers and who
their campaigns should target.
➔ Creating marketing campaigns that speak to those target demographics: Marketing

automation can be used to identify what works and what doesn’t to create unique
campaigns for unique customer segment such as on social media, or email, and to create
changes for level acquisition.
2. ACQUIRE LEADS: Introducing your brand to a potential customer is just the beginning of
the CRM process. You have to encourage them to learn more about your business and
engage with it. This lead acquisition step could be a marketing or sales team responsibility
or both. They could set up live chat on your site and encourage website visitors.
3. CONVERT LEADS INTO CUSTOMERS: Now, it’s time to turn those leads into customers;
sales representative must be skilled at identifying how interested leads are and specifically
whether they are interested enough to make a purchase. If leads do seem likely to make a
purchase, reps must then be able to nurture them further and build their trust enough to
convert.
4. PROVIDE SUPERIOR CUSTOMER SERVICE: At this stage, you have successfully converted
lead into a customer. You need to retain customers and keep that customers coming back.
You need customers service. Poor customer service can cost you customers and negatively
impact your reputation.
5. DRIVE UPSELLS: By upgrading to more expensive products. How do you convince

customers to switch products? Personalized recommendations. Your objective is to reduce
your attrition rate (loss of customers) to a minimum by offering customer support:
➔ You must be responsive. Request are well managed and prompt.

➔ Making the customer feel valued.
➔ Focus on upgrading their purchasing order by switching their shopping habits to more
luxury products or services. This way you are offering the users a unique and valued
experience while increasing customer spending.
STRATEGIES OF CUSTOMER RELATIONSHIP MANAGEMENT
1). Set a destination: This method entails identifying specific goals and objectives for your
customer relationship management (CRM) operations. It is critical to have a clear vision of
what you want to achieve as well as a strategy for achieving those goals. This might
involve increasing client happiness, retention, or sales.
2). Prioritize your customers: Identifying and prioritizing your most valued clients is critical for
good CRM. You may target your resources towards consumers who are valuable to your
organization by segmenting your customer base based on variables such as profitability,
loyalty, or potential. permits you to personalize your marketing service efforts to their
individual needs.

3). Communicate with your employees: Effective communication with employees is critical for
effective CRM adoption. Employees must grasp the CRM objectives and strategies, as well
as their roles and responsibilities in providing exceptional customer service. Regular
communication and training sessions may help keep personnel informed and engaged,
resulting in improved client experiences.
4). Stagger your changes: Implementing CRM improvements all at once might overwhelm
both staff and customers. Staggering changes helps for a smoother transition and reduces
interruption. You may offer employees more time to adjust and adapt by gradually
introducing new CRM procedures, technology, or practices. This decreases opposition and
enhances the possibilities of effective adoption.
5). Start tracking your customers before first contact: Building solid connections requires
implementing CRM activities from the start of the customer journey. You may personalize
and modify your approach from the outset by collecting relevant data and tracking
consumer interactions, preferences, and requirements before their first encounter. Create
a good, personalized experience that will lead to long-term consumer loyalty.
6). Synchronize everything to your CRM: It is critical for complete and effective management
to integrate all customer information and operations into your CRM system. This
comprises transferring consumer information from many sources, such as sales,
marketing, and customer support, to a consolidated database. A single picture of each
customer's interactions and history enables smarter decision-making, better customer
care, and overall CRM performance.
7. Evaluate and Improve: In order to find opportunities for improvement, you must regularly
review the effectiveness and impact of your CRM projects. This includes customer analysis,
key performance indicator monitoring, and frequent evaluations. Customer happiness,
loyalty, and, eventually, business development may be increased by continuously
analyzing your CRM methods and making appropriate improvements.
DATABASE MARKETING (DEFINITIONS)
Database Marketing is a form of directing marketing, using databases of customer or potential

customer to generate personalized communication in order to promote a product or service for
marketing purpose.
Database Marketing is a recognition of treating each customer individual of treating each

customer individual regardless the numbers of customer to be addressed.
CLASSIFICATION OF DATABASE MARKETING
(1). Changing Role of Direct Marketing (2). Changing Course Structures

(3). Changing Technology (4). Changing in Market Condition

1. Changing Role of Direct Marketing: This focuses on the evolving role of direct marketing
in database marketing. Direct marketing has shifted from traditional direct mail
campaigns to online marketing strategies such as email marketing, social media
advertising, and personalized web content. The emphasis is on building relationships
with customers through targeted communication channels.
2. Changing Course Structures: This refers to the changes in educational courses and
programs related to database marketing. As the field evolves, academic institutions and
training providers have adapted their courses to cover topics such as data analytics,
customer segmentation, marketing automation, and CRM (customer relationship
management) systems. The aim is to equip professionals with the skills needed to excel
in the database marketing industry.
3. Changing Technology: This classification highlights the impact of technological

advancements on database marketing. With the rise of big data, artificial intelligence,
and machine learning, marketers have access to advanced tools and platforms for data
collection, analysis, and automation. Technology enables marketers to gather and utilize
customer information more effectively, delivering personalized and targeted marketing
campaigns.
4. Changing Market Conditions: This classification focuses on the changes in the overall
market environment that influence database marketing strategies. Factors such as
economic conditions, consumer behavior, competition, and regulatory policies can
significantly impact the way marketers collect, manage, and utilize customer data.
Adapting to these changing market conditions is crucial to stay relevant and successful
in the database marketing field.
1. Changing Role of Direct Marketing

a. Relationship Marketing for competitive
b. Decline in the traditional media
c. Overcrowding of existing sales channel
2. Changing Courses Structures

a. Declines in electronic process cost
b. Increase in marketing cost
3. Changing Technology
a. New method of shopping and paying
b. Development of economical method for differentiating customer communication
4. Change in Market Condition

a. Desire to measure the impact of marketing effort.
b. Fragmentation to customers and business.

TYPES OF DATABASE MARKETING
1. Customers Database Marketing: These are strategies adopted by customer when

organizing give away, discount, sponsors, content etc.
2. Business Database Marketing: This is to take care of the needs of company that are
business with other companies. The data collection involves gathering data from
numerous sources like industry report, event registration etc.
IMPORTANCE OF DATABASE MARKETING
1. Optimizing the customer segmenting process by separating existing customers.

2. Prioritize your most valuable account.
3. Ability to predict customer behavior.
4. Testing ideas and product communication.
5. Process of gathering feedback and understanding your customer needs.
6. Optimizing customers retentions by building relationship.
7. Optimizes the organizational brand infirmity.
HOW TO BUILD A MARKETING DATABASE
1. Collecting customers data (Website, Portrait, History, Correspondent).

2. Businesses can compel their users to share some basic details.
3. Marketers should incorporate mechanism to collect customers information.
4. The organization can use the online cookies for collecting the data of website vision.
5. You can create a chat box on your business page.
ADVANTAGES OF DATABASE MARKETING
1. It helps and identify the best channels.

2. Increase customer retention.
3. Ability to identify first timers.
4. It allows relevant messages targeted to individual customers.
5. Understanding customers behaviour.
6. It enables to gather feedback.
CHALLENGES OF DATABASE MARKETING
(1). Loss of Data (2). Inaccurate to update data

(3). Inability to update data (4). Database collection manager
(5). Cost of data maintenance
1. Loss of Data: One challenge of database marketing is the risk of losing data. Data loss
can occur due to technical issues, human errors, or cyber-attacks. Losing valuable
customer data can hinder marketing activities and disrupt decision-making processes.

2. Inaccurate or Outdated Data: Keeping customer data accurate and up to date is essential
for effective database marketing. However, maintaining accurate data can be
challenging as customer information changes over time, and individuals may provide
incorrect or incomplete data. Inaccurate or outdated data can lead to wasted efforts and
ineffective targeting.
3. Inability to Update Data: Database marketing relies on the ability to collect and update
customer data regularly. However, some customers may resist providing updated
information or may not respond to requests for updated data. The inability to update
data can limit the effectiveness of marketing campaigns and hinder personalization
efforts.
4. Database Collection Management: Managing a database effectively requires proper

organization, segmentation, and categorization of customer data. The challenge lies in
creating and implementing efficient processes for collecting, organizing, and
maintaining customer data. Without proper management, database marketing efforts
may be inefficient or ineffective.
5. Cost of Data Maintenance: Maintaining a database and ensuring data accuracy can be
costly. It involves investments in technology, data storage, security measures, and
personnel. The cost of data maintenance can pose a challenge, especially for small
businesses or organizations with limited budgets.
DATA MINING
CONCEPT/DEFINITIONS OF DATA MINING
Data Mining is an interacting process that involves assembling the data into a format,
conducive and analysis and analysis. The data must be cleaned from error and flaws. The aim of
data mining is defined as the discovering links between customers behaviour and any variable
that might potentially be useful. Once the data are mined to establish patterns and make
prediction the result must be tested are verified. There is great deal of intersection between
data mining and statistics. Statistical models do usually make strong assumption about the data
which also induces strong statement about the result.
Data mining and functions can be categorized into two (2):
(1). Supervised Learning (2). Unsupervised Learning
(1). Supervised Learning: These are also known as directed learning. This is where the
learning process is directed by the known dependent attributes. This is to explain the
behaviour of the target. This type of data mining function can be used for customer
segmentation, churn prediction, cross-selling, and upselling.
(2). Unsupervised Learning: This is the used of patterned detention. This can help in
identifying different customer segments or personas for targeted marketing strategies.

THE ROLES OF DATA MINING
1. It helps in market segmentation.

2. It is an integral part of every business.
3. It helps to retain old customers and acquire new ones.
4. It helps in making quick and smart business decision.
5. To help drive more sales.
6. To act as a central database whereby all the information is kept.
7. It is a combination strategies, practices and technology that allows companies to
manage customer interaction and data throughout the customer life.
8. It helps in sales forecasting.
9. To ensure that there is a best relationship with customers.
10. To process right information and group it correctly.
11. To helps improve customer retention.
PROCESS OF DATA MINING
PROBLEM DEFINITION
DATA GATHERING
PREPARATION
• Data Access
• Data Gathering
• Data Transformation
MODEL BUILDING &

EVALUATION
• Create Model
• Test Model
• Evaluate & Interpret Model
KNOWLEDGE
DEPLOYMENT
• Model Apply
• Custom Reports
• External Application
CUSTOMER DATA MINING FOR CUSTOMER RETENTION
Customer Retention represent a modern approach quality in enterprises and organization and
series the development of a fully customer focused management and culture. Customer
Retention measures a meaningful and objective feedback about client’s preferences and
expectation.

DIGITAL MARKETING (DEFINITION)
Digital marketing is the promotion of products, services, and brands using digital channels such
as email, social media, search engines, websites, and mobile applications. It includes a variety of
methods and approaches for connecting with and engaging target audiences online.
IMPORTANCE/RELEVANCE OF DIGITAL MARKETING
Due to customers' increased usage of the internet and digital gadgets, digital marketing has
emerged as a critical component of contemporary organizations. Digital marketing is crucial for
a number of reasons, including the following:
1. Wide Audience: Since a significant section of the world's population has access to the
internet, digital marketing enables companies to communicate with a big number of
people regardless of location. This helps them to grow their consumer base and raise the
profile of their business.
2. Targeted Marketing: Businesses may use digital marketing to focus on certain

demographics, interests, and consumer habits of their target market. This gives
companies the ability to develop customized marketing efforts that are more likely to
connect with and win over new clients.
3. More Cost-Effective: Digital marketing is typically more economical when compared to

traditional marketing strategies. It offers a number of tools and platforms that let
companies contact their target audience for a fraction of the price of conventional
advertising methods.
4. Measurable Outcomes: With the help of digital marketing, firms can monitor and assess
the efficacy of their advertising initiatives in real-time. In order to maximize their
marketing strategy and get better outcomes, they might use data analysis to make
defensible judgments.
5. Increased Consumer Engagement: Through different digital channels such as social

media, email marketing, and chatbots, firms can create direct connection and engage
with customers in real-time. This helps them to create tailored experiences, respond
quickly to consumer enquiries and issues, and develop deeper relationships with their
target audience.
6. Increased Brand Awareness and Exposure: Digital marketing assists firms in increasing
their brand's visibility and recognition online. Businesses may increase brand exposure
and familiarity among their target audience by leveraging platforms such as social
media, search engine optimization (SEO), content marketing, and online advertising.
7. Adaptability and Flexibility: Digital marketing enables organizations to swiftly adjust and
respond to shifting industry trends and consumer preferences. It allows you to test and
modify marketing ideas in real time, making it easier to pivot and optimize campaigns as
required.

TOOLS OF CUSTOMER RELATIONSHIP MANAGEMENT
Customer Relationship Management, technologies are software that allow teams to manage
their contacts with customers, provide them with relevant information and statistics, and
optimize their company operations. In other words, a customer relationship management
solution is software that assists organizations in reaching out to present or future consumers.
Customer Relationship Management (CRM) tools are software solutions that help businesses
manage and maintain relationships with their customers. These tools provide functionalities for
sales automation, marketing automation, customer service, and analytics. CRM tools centralize
customer data, improve communication, and streamline various business processes.
1. Salesforce: This is a cloud-based CRM tool that offers a wide range of features for sales,
marketing, customer service, and analytics. It provides tools for managing customer
interactions, tracking leads, automating sales processes, and providing personalized
customer experiences.
2. HubSpot CRM: This is a free CRM tool with a user-friendly interface. It enables businesses
to track customer interactions, manage leads and deals, automate sales processes, and
integrate with other HubSpot tools. It also offers contact management, email
integration, and analytics features.
3. Zoho CRM: This is a comprehensive CRM tool that provides sales, marketing, customer
service, and inventory management modules. It offers features such as lead
management, contact management, pipeline management, and analytics. Zoho CRM
integrates well with other Zoho products and third-party applications.
4. Microsoft Dynamics 365: This is a cloud-based CRM tool with sales, marketing, customer
service, and field service modules. It offers functionalities like lead management,
opportunity management, contact management, and analytics. Integration with
Microsoft Office applications is one of its key advantages.
5. Pipedrive: This is a CRM tool designed specifically for sales teams. It focuses on pipeline
management and provides features like lead generation, deal tracking, email
integration, and activity reminders. Pipedrive offers visual sales pipelines, reporting
dashboards, and sales automation features.
6. Freshworks CRM: This (formerly Freshsales) is a user-friendly CRM tool that helps
streamline sales processes and customer relationships. It offers functionalities like lead
management, contact management, deal management, email integration, and analytics.
Freshworks CRM also provides AI-powered lead scoring and email tracking capabilities.
7. SugarCRM: This is an open-source CRM tool that offers customization options and
flexibility. It provides modules for sales, marketing, and customer service. SugarCRM
offers features like lead management, contact management, opportunity tracking, and
advanced reporting.

8. Insightly: This is a CRM tool designed for small businesses. It provides features such as
lead management, contact management, project management, and email marketing.
Insightly also offers integrations with popular third-party tools and allows for
customization.
9. Oracle CX Sales: This is a CRM tool that focuses on sales automation and intelligence. It
offers functionalities like lead and opportunity management, sales forecasting, and sales
performance tracking. Oracle CX Sales also provides AI-powered insights and integrates
with other Oracle CX applications.
10. Copper: This (formerly ProsperWorks) is a CRM tool designed for Google Workspace
(formerly G Suite) users. It offers features like contact management, email integration,
sales pipelines, and analytics. Copper also provides integrations with other Google
Workspace applications.
11. Sales Flare: This seamlessly combines and organizes information from emails, meetings,
calls, social media, email and web monitoring, business databases, bespoke reports, and
then leverages that information to help you successfully follow up with your prospects.
12. Monday.Com: This values customer satisfaction because it cares about managing
contacts with consumers. Everyone understands that you should prioritize your clients in
order to acquire, convert, and retain them as long as possible in order to ensure
business success.
13. Fresh Sales: This is a CRM with comprehensive features that might be the answer you're
looking for. Fresh sales manage to bring all channels together to create the ideal
customer journey, all with the goal of increasing sales. It prioritizes automations while
designing the sales sequence, which includes the management of present and potential
clients, to reduce manual labour.
14. BIG Contacts: This has become one of the top-rated CRMs for small businesses for
simple reasons, simplicity and ease of use. BIG Contacts by Proprofs is an excellent
option for small to medium-sized organizations. It streamlines the contact management
process and keeps you up to date with automatic tasks and reminders.
15. Mailchimp: This was designed primarily as an email automation tool, may be a powerful
CRM provided it meets your demands. Although Mailchimp's strong suit is, well, emails,
it can also be used to segment, analyze, and communicate with your audience.
LEVELS OF CUSTOMER RELATIONSHIP MANAGEMENT
Higher level does more of co-ordination is a relationship that has to do with software. It can
help businesses grow by giving them access to information to provide better service.
1. LEVEL 1: This level involves email, business card to contact customers and prospect kept
in a carboard. Making use of Microsoft to send mass Microsoft to send mass emails;
phone calls.
2. LEVEL 2: It makes use of email services, gives real time sales report, gives detailed report
and e-newsletter.
3. LEVEL 3: This invented a top-rated CRM with lots of features, google gmail, synchronized
together to improve productivity.
4. LEVEL 4: The company spend a significant amount of time planning and implementing
CRM.
5. LEVEL 5: Top executive are active CRM leaders for the company. You are to train your
team as part of the roll out and have an ongoing training program.
TYPES OF CUSTOMER RELATIONSHIP MANAGEMENT
1). Operational CRM: This refers to product and services that allows an organization to take
care of their customers. Operational CRM streamline the business that include:
a. Sales Automation: The main purpose of sales automation is to set standard within the
organization, to acquire new customers and existing customers.
b. Marketing Automation: This is the process of finding out the way to off product and
approach potential customers.
c. Service Automation: It enables business to retain customers by providing best quality of

service and building strong relationship.
2). Analytical CRM: This addresses the analysis of customers data for a host of different
purpose. It is used to design and execute targeted marketing campaigns that optimism
marketing effectively. It takes into account of product and service, decision making,
pricing and new product development.
Features of Analytical CRM
i. Gather customers information coming from different channel and analysis data in a
structure way.
ii. It helps organization to set up a support center and improve relationship and loyalty.
iii. Improve the CRM system effectiveness and analysis key performance indicator set by
business.
3). Collaborative CRM: This is a communication with customers and cover direct interactions
with customers including feedback and issue reporting. i.e. webpage or email, it can eb
by automated voice record.
4). Strategy CRM: This has to do with identify customer needs his mission critical for
business. Customers needs are the named and unnamed need that your customer had
when they come in contact with your business or when they search for the solution you
provide.

HOW TO DESIGN AN EFFECTIVE CRM FRAMEWORK
There are numerous crucial elements involved in designing an efficient CRM (Customer
Relationship Management) architecture. To assist you, consider the following advice:
1. Establish your CRM objectives: Clearly state the goals you hope to accomplish with your
CRM system. This can entail better customer service, optimizing sales procedures, or
increasing client loyalty, among other things.
2. Identify your Consumer Segments: Decide which customer groups to target and learn
about their traits, preferences, and requirements. This will let you adjust your CRM
tactics properly.
3. Map Consumer Touchpoints: List every point at which customers come into contact with
your company. Calls, emails, social media posts, website visits, and other channels are
included in this.
4. Gather and Examine Client Information: Compile pertinent information about your
customers and examine it to learn more about their preferences and behavior.
Demographic data, shopping patterns, correspondence patterns, customer reviews, etc.
5. Implement CRM Technology: Opt for CRM software that matches your needs and
ambitions. You may use this technology to manage customer data, automate
procedures, and keep track of client interactions. Ensure that it functions effectively with
the other systems you employ, such as the sales and marketing software.
6. Define Procedures and Workflows: Create efficient processes and workflows for handling
customer contacts. This comprises lead management, sales pipeline management,
customer service procedures, and post-sales support operations.
7. Train and Empower your Team: Ensure that your staff is well-trained in utilizing the CRM
software and adhering to the specified protocols. Provide continuing training and
assistance to assist them in properly utilizing the CRM system.
8. Measure and Optimize: Constantly evaluate the effectiveness of your CRM framework
and make appropriate adjustments. Monitor KPIs such as customer satisfaction, sales
conversion rates, client retention, and customer lifetime value.
9. Implement Feedback Loops: Encourage customer feedback and actively listen to their
suggestions and concerns. Incorporate customer feedback into your CRM strategies to
enhance customer satisfaction and loyalty.
CUSTOMER FEEDBACK
Customer feedback is a marketing term that describe the process of obtaining about the
business, product or services.

Customer feedback is so important because it provide marketer and owners with insight that
they can use to improve their business, product and overall customer experience. It provides
you with valuable insight to what customer think about your product or service. This insight can
help you to create a product or service that customer wants to buy and create an experience
that exists expectation and keep customers, for customer coming back for more.
IMPORTANCE OF CUSTOMER FEEDBACK
1. It can help to improve product or services.

2. It offers the best way to measure customer satisfaction.
3. It provides actionable insight to create a better customer experience.
4. It helps to improve customer retention.
5. It delivers tangible data that can be used to make better business decision.
6. It can be used to identify customer advocate.
CUSTOMER EXPERIENCE MANAGEMENT
Customer Experience Management often called CXM or CEM is a system of marketing strategies
and technology that focus on customer engagement, satisfaction and experience. The goal of
customer experience management is to drive customer engagement, increase customer
satisfaction and ultimately boost customer loyalty turning existing customers into brand
advocate. Customer Experience Management is the process of managing the interaction
between a brand and its customers in other to improve satisfaction and strengthen customer
loyalty. CXM is the discipline of understanding customers and deploying strategies plans that
enable cross functional effort and customer centric culture to improve satisfaction, loyalty, and
advocacy.
CXM programs rely on customer programs that qualify customer sentiment about their
experiences with a company, over a time a CX management program will adjust element of the
customer experience that generate negative feedback to correct those perception. CXM is about
knowing your customers so completely that you can create and deliver personalize experience
that will entices them to not only remain loyalty to you but also inform others about you. A
personalize experience is much easier when you have access to detail customer and their data at
your fingertips.
COMPONENTS OF CUSTOMER EXPERIENCE MANAGEMENT
1. A Customer-Centric Culture: This refers to the mindset and values that prioritize the
needs and preferences of the customer. It involves understanding and empathizing with
the customer, providing personalized experiences, and making customer satisfaction a
top priority throughout the organization.
2. Well-Designed Touchpoints: These are the various interactions and encounters that a
customer has with a company. These touchpoints can occur across multiple channels
such as in-store experiences, customer service interactions, website visits, or social media
interactions.

3. Consistent Quality: This refers to delivering a consistently high level of service and
product quality to customers across all touchpoints and interactions. It involves meeting
or exceeding customer expectations in terms of reliability, performance, and support.
4. Customer Satisfaction: This is the measure of how well a company's products, services,
and overall experience meet or exceed customer expectations. It is a reflection of how
happy and content customers are with their interactions, purchases, and overall
relationship with the company.
CAUSES OF BAD CUSTOMER EXPERIENCE
(1). Difficult purchasing processing

(2). Negative Experiences with customer support
(3). Compromising a customer’s personal information
(4). Waiting too long on hold.
(5). Ignoring customer’s feedback
1. Difficult purchasing processing: When the purchasing process is complicated, confusing,

or time-consuming, it can frustrate customers and hinder their ability to complete a
transaction. This can include issues with website navigation, unclear instructions, or a
lack of payment options.
2. Negative experiences with customer support: Poor customer service or unhelpful

interactions with customer support representatives can leave a lasting negative
impression. This can happen when customers receive rude or unresponsive service, have
difficulty reaching support, or when their issues are not resolved in a satisfactory
manner.
3. Compromising a customer's personal information: Instances of data breaches or

mishandling of customer data can significantly harm a customer's trust in a company. If
personal information is exposed, misused, or stolen, it can result in severe consequences
for the customer, which can lead to a poor customer experience.
4. Waiting too long on hold: Lengthy wait times for assistance, whether it is on hold or
waiting for a response through other channels, can be frustrating for customers. This
can lead to a perception of poor service and a negative overall experience.
5. Ignoring customer feedback: When customers take the time to provide feedback or
share their experiences, it is important for companies to acknowledge and address their
concerns. Ignoring or dismissing customer feedback can make customers feel
undervalued and lead to dissatisfaction with the company.
WAYS TO INFORM CUSTOMER EXPERIENCE
1. Create a clear customer experience vision

2. Understand who your customer are
3. Create emotion connection with your customer
4. Capture customer feedback in real time
5. Maintain Quality/Improve on your quality
6. Personalize the experience
1. Create a clear customer experience vision: Clearly define and communicate the desired
customer experience across the organization. This vision serves as a guiding principle for
employees to deliver consistent and exceptional customer service.
2. Understand who your customers are: Conduct market research and collect customer
demographics, behaviors, and preferences to gain a deep understanding of your target
audience. This knowledge can help tailor the customer experience to meet their needs
and expectations.
3. Create emotional connections with customers: Focus on building meaningful

relationships with customers by providing personalized and empathetic interactions. This
can be achieved through personalized communication, remembering customer
preferences, and offering genuine solutions to their problems.
4. Capture customer feedback in real-time: Implement mechanisms to collect customer

feedback in real-time, such as surveys or feedback forms. This allows businesses to
address issues promptly and make improvements based on customer input.
5. Maintain quality/improve on your quality: Continuously monitor and improve the quality
of products, services, and interactions with customers. Regularly assess performance
metrics, identify areas for improvement, and implement strategies to maintain high-
quality standards.
6. Personalize the experience: Tailor the customer experience to individual customers by

leveraging customer data and preferences. This can involve offering personalized
recommendations, targeted marketing campaigns, or customized offerings to enhance
the overall customer experience.
FIVE (5) STAGES OF CUSTOMER EXPERIENCE
(1). Awareness Stage (2). Consideration Stage

(3). Purchase/Decision Stage (4). Retention Stage
(5). Advocacy Stage
1. Awareness Stage: This is the stage where the customer becomes aware of the existence
of a product or service. It can be through marketing efforts, word-of-mouth, or other
channels.
2. Consideration Stage: In this stage, the customer evaluates the different options available
to them and compares them based on their needs and preferences. They may seek out
additional information, read reviews, or seek recommendations.
3. Purchase/Decision Stage: This is the stage where the customer makes a decision to
purchase a product or service. It involves the transactional aspect of the customer
experience, such as payment and delivery.
4. Retention Stage: After the purchase, the customer enters the retention stage. This stage
focuses on ensuring customer satisfaction, addressing any issues or concerns, and
providing ongoing support to keep the customer engaged and loyal.
5. Advocacy Stage: In this stage, satisfied customers become advocates for the brand. They
recommend the product or service to others, provide positive feedback and reviews, and
help in building brand loyalty and attracting new customers.
FIVE (5) E’S OF CUSTOMER EXPERIENCE
(1). Entice (2). Enter (3). Engage

(4). Exist (5). Extend
1. Entice: This refers to the initial attraction or interest created by the company to capture
the attention of potential customers. It involves marketing efforts, branding, and
creating a positive first impression.
2. Enter: Once the customer is attracted, the enter stage focuses on providing an easy and
seamless entry into the customer journey. This can involve user-friendly websites, clear
communication, and simple processes for signing up or making a purchase.
3. Engage: This stage focuses on actively involving the customer in the brand experience. It
can involve personalized interactions, relevant content, and opportunities for the
customer to actively participate and provide feedback.
4. Exist: The exist stage ensures that the customer feels supported and valued throughout
their journey. It involves providing various support channels, efficient problem
resolution, and ongoing communication to maintain a positive relationship with the
customer.
5. Extend: The extend stage focuses on extending the customer experience beyond the
initial purchase or interaction. It involves fostering long-term relationships, encouraging
repeat business, and providing incentives or rewards for loyalty.
SIX (6) PILLIARS OF CUSTOMER EXPERIENCE
(1). Personalization (2). Integrity (3). Expectation

(4). Resolution (5). Time (6). Effort & Empathy
1. Personalization: This refers to tailoring the customer experience to individual needs and
preferences. Offering personalized experiences and tailoring interactions to meet
individual customer needs.
2. Integrity: This refers to being honest, trustworthy, and transparent in all interactions
with customers. Building trust and maintaining ethical practices throughout the
customer journey.

3. Expectation: This refers to meeting or exceeding customer expectations and delivering
on promises. Setting clear expectations and delivering on promises made to customers.
4. Resolution refers to effectively and efficiently resolving customer issues or complaints.

Efficiently addressing and resolving customer issues or concerns.
5. Time refers to providing a fast and responsive customer experience, minimizing wait
times and delays. Valuing customers' time by minimizing wait times and providing quick
responses and solutions.
6. Effort and Empathy refers to making it easy for customers to do business with you and
showing genuine care and understanding for their needs and emotions. Making the
customer experience as effortless as possible and showing empathy towards customer
emotions and concerns.
ELEMENTS OF CUSTOMER EXPERIENCE MANAGEMENT
(1). Availability (2). Reliability (3). Convenience

(4). Simplicity (5). Accountability (6). Anticipation
(7). Personalized Communication
1. Availability: Making items or services available to customers when they need them. This
might involve keeping longer hours, having several channels of communication, and
responding quickly to consumer enquiries or requests. This refers to being accessible and
responsive to customers across various channels.
2. Reliability: Delivering high-quality products or services that meet or exceed client

expectations on a consistent basis. This includes keeping commitments made to
consumers and achieving delivery deadlines on a continuous basis. This refers to
consistently delivering products or services that meet or exceed customer expectations.
3. Convenience: Making it simple for customers to interact with a business by providing

user-friendly interfaces, simplified procedures, and quick access to information or help.
Self-service alternatives or mobile applications are examples of such functionality. This
refers to making it easy and effortless for customers to interact with your company.
4. Simplicity: Making the consumer journey simpler by removing needless complications or

impediments. This entails lowering the number of processes and consumer effort
necessary to conduct a transaction or communicate with the organization. This refers to
removing unnecessary complexity and making interactions with your company as
straightforward as possible.
5. Accountability: Accepting responsibility for faults or mistakes and resolving them

proactively to ensure customer satisfaction. This involves noticing and responding to
consumer complaints or issues as soon as possible. This refers to taking responsibility for
delivering a positive customer experience.

6. Anticipation: Anticipating client requirements or preferences and providing them before
they are requested. Based on client behavior and previous data, this might entail
providing customized suggestions or proactive support. This refers to proactively
identifying and addressing customer needs and preferences before they arise.
7. Personalized Communication: Communication that is tailored to the customer's

preferences and habits. This involves personalizing messaging based on client data,
offering relevant information, and connecting with consumers through their chosen
channels. This refers to tailoring communications to individual customers and their
preferences.
METHODS OF MEASURING (CXM)
(1). Customer Effort Score (CES) (2). Customer Satisfaction (CSTAT)

(3). Net Promoters Score (NPS) (4). Customer Retention Rate (CRR)
(5). First Contact Resolution (FCR) (6). Average Resolution Time (ART)
(7). Monthly Active Users (MAN)
1. Customer Effort Score (CES): Determines how easily customers can execute their
intended activities or tasks. It estimates the amount of effort required from customers to
connect with a firm and is often quantified via surveys or feedback evaluations.
2. Customer Satisfaction (CSTAT): Assesses consumers' overall satisfaction with a company's
products, services, or interactions. It is frequently monitored through surveys or
feedback evaluations and aids in determining if consumers' expectations are being met.
3. Net Promoter Score (NPS): This metric assesses the possibility that a company's or its
products/services would be recommended to others. It is quantified through a poll that
asks consumers to score their likely to suggest a brand on a scale of 0 to 10, allowing
brand champions and detractors to be identified.
4. Customer Retention Rate (CRR): Calculates the proportion of customers who continue to
conduct business with a company over a given time period. It assesses the efficiency of
customer retention initiatives and the company's ability to retain and satisfy consumers.
5. First Contact Resolution (FCR): Determines the proportion of customer enquiries or

concerns that are handled in a single contact or engagement. It represents the
company's capacity to effectively handle customer complaints without the need for
additional encounters or escalation.
6. Average Resolution Time (ART): Calculates the average time it takes to address customer
complaints or questions. It aids in assessing the efficiency and efficacy of customer
support or service teams in giving timely answers to clients.
7. Monthly Active Users (MAU): The number of unique consumers or users who interact
with a company's products or services during a given month. It assists in determining
consumer interaction and usage patterns, which indicate the attractiveness and
stickiness of a company's service.
CUSTOMER RELATIONSHIP & LOYALTY PROGRAMS (INTRODUCTION)
Customer relations are the strategies that a firm use to interact with its customers and improve
the customer experience. This includes responding to short-term barriers as well as proactively
developing long-term solutions aimed at client success.
Customer relationship marketing is a product marketing approach in which businesses focus

their business and product marketing efforts on customer connections, needs, and loyalty.
Customer connection refers to how a company and its customers interact and behave toward
one another over time, and how this impacts the company. It entails increasing client pleasure
and loyalty, as well as assessing the same.
CHARACTERISTICS OF EXM or CRM
(1) Relationship Building Skills:

(a) Trust Building: The ability to establish trust and credibility with clients or customers,
which is essential for maintaining long-term relationships.
(b) Empathy: Showing understanding and compassion towards others, allowing for
effective communication and better understanding of clients' needs.
(2) Personal Network Development:

(a) Personal Brand: Building a strong personal brand and reputation within the industry,
which helps in attracting clients or customers and establishing credibility.
(3) Team Leadership:

(a) Right Team: Selecting and assembling a capable and diverse team, ensuring that the
right people are in the right roles.
(b) Coaching and Monitoring: Providing guidance and support to team members, helping
them develop their skills and achieve their goals.
(c) Delegation: Assigning tasks and responsibilities to team members based on their
strengths, allowing them to take ownership and contribute effectively.
(d) Accountability: Holding team members accountable for their actions and results,
fostering a sense of responsibility and commitment.
(e) Positive Experience: Creating a positive and motivating work environment for the team,
promoting collaboration and productivity.
(5) Firm Ambassador:

(a) The Organization First: Prioritizing the interests and reputation of the organization
above personal gain, acting as a representative and advocate for the firm.
(b) Relationship Management: Building strong relationships with key stakeholders, such as
clients, partners, and suppliers, to enhance the organization's reputation and foster
collaboration.
QUALITIES OF CRM MANAGER
1. Good knowledge of CRM tool.

2. Communication and Interpersonal Skills
3. Customer Created Attitude (Customer First)
4. Problem Solving Skills
5. Experience in Sales
6. Knowledge of company’s products and services
7. Interpersonal Relationship
8. Control
9. Conflicts Handling
10. Development and Implement CRM Strategies
1. Good Knowledge of CRM Tool: A CRM manager should have a strong understanding
and proficiency in using CRM software and tools to effectively manage and analyze
customer data.
2. Communication and Interpersonal Skills: Effective communication and interpersonal

skills are crucial for a CRM manager to interact with both internal teams and external
customers to understand their needs and provide excellent service.
3. Customer Created Attitude (Customer First): A CRM manager should have a customer-
centric approach, prioritizing the needs and satisfaction of customers throughout the
entire customer journey.
4. Problem Solving Skills: CRM managers should possess strong problem-solving abilities to
identify and resolve issues that may arise during customer interactions or within the
CRM system itself.
5. Experience in Sales: Familiarity with sales processes and techniques is essential for a CRM
manager to understand and improve customer acquisition and retention strategies.
6. Knowledge of Company’s Products and Services: A CRM manager should have a deep
understanding of their company's products and services to effectively align CRM
strategies with business goals.
7. Interpersonal Relationship: Building and maintaining strong relationships with

customers, stakeholders, and colleagues is essential in cultivating trust and collaboration
within the CRM ecosystem.
8. Control: A CRM manager should have the ability to oversee and manage the CRM
system, ensuring data accuracy, security, and compliance with relevant regulations.
9. Conflicts Handling: As CRM involves various stakeholders and potential conflicts, a CRM
manager should possess skills to handle and resolve any conflicts that may arise.
10. Development and Implement CRM Strategies: A CRM manager should be capable of
formulating and implementing effective CRM strategies to enhance customer
satisfaction, retention, and overall business growth.

LOYALTY PROGRAMS (MEANINGS)
Customer loyalty is a multi-dimensions concept which embraces attitudinal and behavioural

outcomes of a relationship between a company and its customers.
Consumer loyalty is a favorable relationship that exists between a consumer and a business. It is
what motivates repeat purchases and convinces existing clients to prefer your firm over a
competition offering comparable advantages.
Customer loyalty is a measure of a customer's proclivity to do business with a company or

brand again. It is the outcome of a business's customer happiness, great customer experiences,
and the total value of the goods or services it provides.
TYPES OF LOYALTY PROGRAMS
(1). Purely Point Base Loyalty System (2). Purely Lifestyle Loyalty Program
(3). Based Afflictive Programs (4). Community Based Program
(5). Membership Programs (6). Referral Programs
(7). Gamification
(1) Purely Point Base Loyalty System: This type of loyalty program rewards customers based
on the number of points they accumulate through their purchases. These points can be
redeemed for discounts, free products, or other rewards. The more a customer spends,
the more points they earn.
(2) Purely Lifestyle Loyalty Program: This loyalty program focuses on offering benefits and
rewards that align with a customer's lifestyle. It may include exclusive access to events or
experiences, personalized recommendations, or partnerships with other brands that
align with the customer's interests or values.
(3) Based Afflictive Programs: These loyalty programs are affiliated with specific industries
or organizations, such as airline or hotel loyalty programs. They offer rewards and
benefits based on the customer's affiliation or frequent use of those services. Customers
earn points or status based on their use of the affiliated services and can redeem them
for various perks.
(4) Community Based Program: Community-based loyalty programs focus on building a

sense of community among customers. They may include features like forums, social
networks, or online communities where customers can interact and share experiences.
Rewards and benefits in these programs are often centered around community activities,
such as member-only events or special promotions.
(5). Membership Programs: Customers who join membership programs receive special perks.
Early access to new items, member-only pricing, free delivery, and specialized services
are examples of these privileges. Membership programs encourage exclusivity and a
community of committed clients.

(6). Referral Programs: This program reward existing consumers for referring new clients to
the company. Existing customers are rewarded, given discounts, or receive other
benefits when their recommendations make a purchase or become clients. Referral
programs build on the trust and influence of current clients by using the power of word-
of-mouth marketing.
(7). Gamification: To engage and reward clients, gamification loyalty programs use game-
like aspects. Customers receive points, badges, or awards for completing specified tasks
or attaining certain goals.
CUSTOMER EXPECTATION (DEFINITIONS)
Customer Expectation are a collection of thoughts that a customer has about a product, service,
or brand. Customers who choose an Apple iPhone over another phone brand, for example, have
certain expectations regarding the device.
Customer Expectation are simply a set of behaviors that customers expect firms to exhibit
throughout each engagement. These expectations are based on prior experiences with the
consumer and will vary depending on the industry and company.
Customer Expectation are the expected perceived value, behavior, service, or advantages that
customers seek while purchasing a product or using a service. They are the consequence of the
'learning' process and may be created fast since first impressions are extremely important.
TYPES OF CUSTOMER EXPECTATION
(1). Implicit Expectation (2). Explicit Expectation

(3). Interpersonal Expectation (4). Dynamic Expectation
(5). Static Expectation (6). Technological Expectation
(7). Situated Expectation
(1) Implicit Expectation: These are expectations that customers have but do not explicitly
communicate or express. They are based on assumptions or customary standards and
are influenced by the customer's past experiences and cultural background.
(2) Explicit Expectation: These are expectations that customers clearly communicate or
express. They are specific and directly stated by the customer, either verbally or in
writing.
(3) Interpersonal Expectation: These expectations are related to the customer's interactions
and experiences with the people they interact with, such as customer service
representatives or sales personnel. They include expectations of courteousness,
friendliness, and professionalism.
(4) Dynamic Expectation: These expectations change overtime and are influenced by various
factors such as advancements in technology, changes in market trends, and shifts in
customer preferences. Organizations need to continuously adapt and meet these
evolving expectations to stay competitive.
(5) Static Expectation: These expectations remain unchanged over time and are stable. They
are often related to fundamental aspects of a product or service and form the basic
requirements that customers expect to be met consistently.
(6) Technological Expectation: These expectations are related to the use of technology in
delivering products or services. Customers may expect features like fast and reliable
internet connection, mobile applications, or convenient online shopping experiences.
(7) Situated Expectation: These expectations arise from the specific context or situation in
which a product or service is being used. For example, customers may have certain
expectations when using a product in a professional setting compared to using it
casually at home.
HOW FIRMS CAN MEASURE & MANAGE CUSTOMER EXPECTATION
1. Customer Surveys: Companies may employ customer surveys to gauge and comprehend
customer expectations. Customers' requirements, preferences, and expectations
concerning product quality, service levels, and general satisfaction are often addressed
in these surveys.
2. Customer Feedback: Businesses should aggressively encourage their customers to submit

feedback, whether via internet platforms, feedback forms, or customer service channels.
This feedback assists businesses in identifying any disparities between client expectations
and actual experiences.
3. Social Media Monitoring: Many consumers discuss their expectations and experiences on
social media sites. Firms may listen in on these talks to obtain insights into client
expectations and find areas for development.
4. Customer Service Performance Metrics: Firms may track customer service performance
metrics such as response times, issue resolution rates, and customer satisfaction scores
to assess and manage customer expectations. Regularly analyzing these data may help
businesses find areas for development and verify that they are meeting client
expectations.
5. Competitive Benchmarking: Firms can compare themselves to their competitors to gain

an understanding of customer expectations within the industry. This can involve
analyzing customer reviews, market research, and conducting competitor analysis to
identify areas where they can differentiate themselves and meet or exceed customer
expectations.
Once firms have measured customer expectations, they can manage them by:
1. Setting Realistic Expectations: Firms should communicate clear and realistic expectations
to customers regarding product features, delivery times, and service levels.
Overpromising and underdelivering can lead to customer dissatisfaction.

2. Continuous Improvement: Firms should strive to continually improve and exceed
customer expectations. This can involve investing in employee training, process
improvement, and technological advancements to enhance the overall customer
experience.
3. Communication and Transparency: Firms should keep customers informed about any
changes, delays, or issues that may affect their expectations. Being transparent and
maintaining open lines of communication can help manage customer expectations and
build trust.
4. Personalization: Firms can tailor their products and services to meet individual customer
needs and preferences. By understanding customers' unique expectations, firms can
provide personalized experiences that exceed their expectations.
5. Proactive Problem Solving: Firms should anticipate and address potential issues before
they arise. By taking a proactive approach to problem-solving, firms can prevent
customer expectations from being negatively impacted and ensure a positive customer
experience.
GOOD LUCK!!!

Crm Handout Hnd II (Otm) Mkt 315

Uploaded by

Copyright:

Available Formats

You might also like

Crm Handout Hnd II (Otm) Mkt 315

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Crm Handout Hnd II (Otm) Mkt 315

Uploaded by

Copyright:

Available Formats

CUSTOMER RELATIONSHIP MANAGEMENT (MKT315) HND II (OTM) FULL TIME

YABA COLLEGE OF TECHNOLOGY

CUSTOMER RELATIONSHIP MANAGEMENT (MKT 315) HANDOUT

DIGITAL MARKETING & CUSTOMER RELATIONSHIP MANAGEMENT

CUSTOMER DATA MINING

CUSTOMER FEEDBACK SYSTEM

CUSTOMER EXPERIENCE MANAGEMENT

CUSTOMER RELATIONSHIP & LOYALTY PROGRAMS

COURTESY BY: PHEMIGHT14 Page | 1

DEFINITION OF CUSTOMER RELATIONSHIP MANAGEMENT

Customer Relationship Management is the process of managing all aspects of interaction, a

Customer Relationship Management is an integrated approach to identifying, acquiring and

According to Wikipedia, CRM (Customer Relationship Management) can be defined as the

NATURE OF CUSTOMER RELATIONSHIP MANAGEMENT

➔ It collects information about your customers

CONCEPT OF CUSTOMER RELATIONSHIP MANAGEMENT

Customer Relationship Measurement & Evaluation

COURTESY BY: PHEMIGHT14 Page | 2

➔ Maximizing Shareholder Value: Relationship marketing realizes that by concentrating on

➔ Concentrating on Customers: Understanding consumer requirements, tastes, and habits

➔ Retaining Long-Term Relationship with Them: Relationship marketing seeks to retain

WAYS OF BUILDING VALUE FOR YOUR COMPANY

➔ Anticipating you existing customer needs: Understanding your clients' preferences,

➔ Targeting marketing, campaign/materials for promotion: By segmenting your target

WAYS OF BUILDING VALUE FOR THE CUSTOMER

➔ Develop an e-newsletter/online forum, reviews and feedback: Providing opportunities for

➔ Respond to comments/feedback from customers through social media channels:

PROCEDURES OF IMPLEMENTING CRM IN YOUR BUSINESS/COMPANY

COURTESY BY: PHEMIGHT14 Page | 4

➔ Company’s capabilities, technology, human resources, skills: Evaluating the company's

DIFFERENT LEVELS OF INVESTMENT IN BUILDING A RELATIONSHIP WITH THE CUSTOMER

(1). Basic Marketing (2). Reactive Marketing

PORTER STATED THREE (3) MAIN STRATEGIES

ADVANTAGES OF MANAGEMENT OF CUSTOMER RELATIONS

➔ Increasing the opportunity to keep customers.

PRINCIPLES OF CUSTOMER RELATIONSHIP MANAGEMENT

PROCESS OF CUSTOMER RELATIONSHIP MANAGEMENT

COURTESY BY: PHEMIGHT14 Page | 7

➔ Creating marketing campaigns that speak to those target demographics: Marketing

5. DRIVE UPSELLS: By upgrading to more expensive products. How do you convince

➔ You must be responsive. Request are well managed and prompt.

STRATEGIES OF CUSTOMER RELATIONSHIP MANAGEMENT

COURTESY BY: PHEMIGHT14 Page | 8

DATABASE MARKETING (DEFINITIONS)

Database Marketing is a form of directing marketing, using databases of customer or potential

Database Marketing is a recognition of treating each customer individual of treating each

CLASSIFICATION OF DATABASE MARKETING

(1). Changing Role of Direct Marketing (2). Changing Course Structures

COURTESY BY: PHEMIGHT14 Page | 9

3. Changing Technology: This classification highlights the impact of technological

1. Changing Role of Direct Marketing

2. Changing Courses Structures

4. Change in Market Condition

COURTESY BY: PHEMIGHT14 Page | 10

1. Customers Database Marketing: These are strategies adopted by customer when

IMPORTANCE OF DATABASE MARKETING

1. Optimizing the customer segmenting process by separating existing customers.

HOW TO BUILD A MARKETING DATABASE

1. Collecting customers data (Website, Portrait, History, Correspondent).