In my previous post, I presented what I consider the 4 dangers to be avoided during the implementation of a CRM system (Customer Relationship Management), and I am taking it a step further today.
Once we have pinpointed what should not be done, we will on this occasion proceed to analyse what should be done to obtain the benefits of a strategy of customer relationship management.
Revising different studies on companies that have focused on analysing and implementing a CRM system, 9 imperatives are identified in the following stages: before, during and after the implementation of a CRM system.
- Identify the most strategic processes of the company: the best way to efficiently spend a business’s limited resources is to implement a CRM system only in those processes vital or the competitiveness of a company;
- Identify the most ailing points of the processes: the points within the cycle of the customer relationship that have the biggest problems must be chosen.
- Establish the data quality required in each process: obtaining perfect and updated data is not inexpensive and, above all, not necessary, as not all of the processes require perfect and real-time data.
- Acquire the right customer: this means that the most profitable customers must be identified and the amount they are willing to spend for the company’s services calculated.
- Create the right value offer: this is achieved by analyzing the products and services that the customer needs and will need and the ones the competition offers and will offer in the future, this way establishing which products and services the company should offer.
- Establish the best processes: identify the best way to reach the customer and distribute the products.
- Motivate the personnel: it is paramount to know which instruments the employees need to put up an efficient relation with the customer and to identify a human resources system that will enhance customer loyalty.
- Learn to keep customers loyal: in order to achieve this, employees need to learn how to motivate customers and how to prevent them from going over to the competition. What the competition does to win over high value customers should also be analyzed and the data of customers who are lost to other companies controlled constantly. Constantly monitoring these data will allow a company to be more and more proactive in terms of “desertion” prevention.
- Identify opportunities apart from implementation: once a CRM system is implemented, at some points in the cycle of the customer relationship, it might be possible to expand the system and grab important opportunities.
This post presents the most traditional part of CRM. Next week we will analyse the new tendencies and opportunities that the social CRM offers companies.