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tion Risks Technology inpatibility Poor business requirements definition Poor training / rollout Weak sponsorship / lack of sustained support Lack of linkages to business and market strategies ? Barriers to Success Poor user – developer interface Organizational misalignment Dysfunctional incentives Lack of clear customer champion ? 2022 Quaero LLC 31 Building a prehensive case for CRM ? CRM is Critical to Business Success ? Context Determines Business Case ? Key Elements of a Business Case ? Barriers to Success Are Daunting ? Results Are Worth It ? 2022 Quaero LLC 32 Barriers to Success Are Daunting True CRM requires a multichannel interface, …but customers often encounter a fragmented experience Companies interact with customers inconsistently across channels Customers want a consistent highquality experience Fact: Only 48% of firms know about a problem before a customer does Fact: Only 43% alter service based on a customer ’ s profitability Fact: Only 42% would sell something during a service call Fact: Only 37% know if they share a customer with another division Fact: Only 20% know if a customer has visited the Web site Fact: Only 23% of telephone agents can see customers ’ Web activity Percentage of 60 Global 2,500 panies Source: Forrester Research, Inc. 33 Barriers to Success Percent of 50 interviewees from 25 large panies who handle either traditional or online channels Critical 44% Very important 48% Not at all important 2% Somewhat important 6% “How important is a single, integrated view of the customer across your pany?” Somewhat 10% Not really 52% Not at all 36% Yes 2% Probably 40% Unlikely 22% Yes 38% Now 2022 “Do you have a single, integrated view of the customer today? Will you in two years?” Source: Forrester Research, Inc. Companies want, but don’t have a single customer view 34 The major phases of CRM execution are tough ? Extracting, synchronizing and delivering data ? Aligning people and processes ? Optimization through learning and refining ? 2022 Quaero LLC 35 “If you can get somebody to shop with you in multiple channels, they will spend more money than if they just shop in one channel” Jonathan Bulkeley, Barnesand 7 Habits of Highly Effective CRM ? Engaging in twoway conversation with customers ? Observing and documenting customer interactions ? Complete, realtime understanding of the customer ? Sharing customer information with sales and service personnel ? Sharing decisionmaking information within the anization ? Organizing internal information around the customer ? Designing the anization around the customer ? 2022 Quaero LLC 36 Amid the hype, it is easy to fet the simple mon sense principles at CRM’s core ? The customer is the core of any successful business ? What you know can help you ? You learn more by listening than by talking ? It helps to think about what you want to acplish before you try to acplish it ? You manage what you measure ? Over time, relationships prove their value ? 2022 Quaero LLC 37 Results Are Worth It META Group findings reveal 80% of anization report success even though majority (70%) have not integrated across channels. ? Retention and Loyalty have dramatic, shortterm impact on bottom line ? CRM can sustain larger revenue increases ? Wall Street is watching IT IS FUN! ? 2022 Quaero LLC Naras V. Eechambadi, PhD CEO