UNIT 2

CRM PROCESS
Introduction and objectives of CRM process
• The customer relationship management (CRM) process
is a strategy that helps businesses to build and maintain
relationships with customers. It involves collecting and
analyzing customer data, and using that information to
improve customer service and sales.
Objectives of CRM process
1. Improving customer satisfaction:
• Personalize services
• Use CRM tools to learn customer preferences and tailor
services to their needs
• Improve communication
• Use tracking and reminder tools to stay in touch with
customers and respond proactively
• Increase loyalty
• Happy customers are more likely to stay loyal and
recommend your business to others
• Increasing sales
• Automate tasks: Use CRM to streamline the sales
process and close more deals
• Design sales strategies: Use CRM to create targeted
marketing campaigns based on customer data
• Improve sales team performance: Use CRM to identify
the best talent to serve your customers
CRM Cycle
• The CRM (Customer Relationship Management) cycle
is a series of steps that help businesses guide potential
customers through the process of learning about their
brand and becoming repeat customers. The CRM cycle
involves marketing, sales, and customer service activities.
Stages of the CRM cycle
• Generate brand awareness: Introduce the business to
potential customers through marketing campaigns
• Acquire leads: Encourage potential customers to learn
more about the business and engage with it
• Convert leads into customers: Guide leads through the
sales funnel until they make a purchase
• Customer retention: Build strong customer relationships
through personalized experiences and superior customer
service
• Customer loyalty: Satisfied customers are more likely to
make repeat purchases and recommend the brand to
others
• Data collection: Gather customer data
• Customer entry: Add new customers to the system
• Customer interactions: Track how customers interact
with the business
• Analysis and strategy: Use the data to develop
strategies to improve customer service and sales
• Feedback and improvement: Use customer feedback to
improve the business
Phases of CRM cycle
CRM Cycle assessment phase
• The assessment phase of the Customer Relationship
Management (CRM) cycle is when a business creates a
model of its target customers' behavior. This model is
based on a combination of internal and external data.
What happens in the assessment phase?
• Identify customers: Determine who the customers are,
their demographics, and their lifestyle
• Understand purchasing patterns: Learn what and how
customers buy, and their purchasing patterns
• Evaluate profitability: Determine the profitability of
customers, and the risk associated with doing business
with them
• Determine how to reach customers: Learn how to reach
customers, and how they prefer to be contacted
CRM CYCLE PLANNING PHASE
• The CRM cycle planning phase involves reaching out to
potential customers and developing strategies to convert
them into customers. The CRM cycle is a process that
includes marketing, customer service, and sales
activities.
• CRM cycle planning phase
• Reach out to potential customers: Use marketing
campaigns to generate interest in your product or service
• Develop strategies: Create a plan to contact and engage
with potential customers
• Ensure a seamless purchasing experience: Make it
easy for customers to buy, from pricing to checkout
• Awareness
• Potential customers become aware of a brand, product, or
service. This can happen through digital marketing, word of
mouth, or search engines.
• Acquisition
• A brand introduces itself to potential customers and
encourages them to engage with the business.
• Conversion
• A casual browser decides to make a purchase, turning
interest into a transaction.
• Retention
• A business focuses on customer satisfaction to build
relationships and encourage repeat business.
• Loyalty
• A business rewards customers for their loyalty, such as
with point systems or exclusive discounts.
• Nurturing
• A business keeps the communication channel open with
new customers and prospects to develop loyalty and
upsell.
CRM Cycle execution phase
• The execution phase of the Customer Relationship
Management (CRM) cycle is one of the phases of the
CRM process. The CRM process is a series of steps that
businesses use to build and maintain relationships with
their customers.
• Marketing: Generate brand awareness and introduce
your business to potential customers
• Sales: Acquire leads and convert them into customers
• Product: Develop and provide products that meet
customer needs
• Support: Provide superior customer service and drive
upsells
• Retention: Keep customers engaged and prevent them
from switching to competitors
• Expansion: Maximize the value of existing leads through
various strategies
Modules in CRM
• Customer Relationship Management (CRM) modules help
businesses manage customer interactions and
data. Some common CRM modules include:
• Leads
• Captures leads from marketing campaigns and stores
their data in one place. This helps businesses direct leads
to the right representatives.
• Marketing
• Helps businesses organize and streamline their marketing
efforts. This can help maximize the impact of marketing
campaigns.
• Sales
• Helps businesses manage customer orders and
information. This can include quick links to customer order
information processing.
• Customer data management
• Helps businesses capture, store, and manage customer
information. This can include contact details, purchase
history, preferences, and communication records.
• Analytics
• Helps businesses make sense of large amounts of
data. This can help businesses discover insights, visualize
how their business is doing, and predict what might happen
in the future.
• Automation
• Helps businesses automate the sales process. This can
include using artificial intelligence (AI) to prompt sellers with
recommended next-best actions.
• Contact management
• Helps businesses maintain better, longer lasting relationships
with customers. This can also help businesses analyze what
customers want and how to get it to them.
• Workflow
• Helps businesses automate tasks and workflow
management. This can include scheduling follow-ups,
sending automatic responses, and launching activities based
on customer interactions.
Sales force automation
• Sales force automation (SFA) is a software that automates repetitive tasks
in the sales process. SFA is used in customer relationship management
(CRM) systems to help sales teams focus on closing sales and interacting
with customers.
• How does SFA work in CRM?
• SFA automates tasks like data entry, task management, and follow-ups
• SFA reduces the time and effort sales teams spend on administrative tasks
• SFA helps sales teams manage their sales pipeline and track sales and
activities
• SFA helps sales teams perform analysis like lead management, sales
forecasting, and performance analysis
Call center
• CRM (customer relationship management) in a call center
is a software tool that helps call center agents improve
customer experience and increase efficiency. CRM
systems store customer records, such as contact history
and account information.
How CRM works in a call center?

• CRM systems help call center agents manage customer

interactions and data.
• CRM systems help call center agents improve customer
service relationships.
• CRM systems help call center agents assist with customer
retention.
• CRM systems help call center agents drive sales growth.
4 C’s of CRM Process
• Customer data
• Collect contact information, demographics, and buying
habits
• Use data to create targeted marketing messages
• Customer interaction
• Communicate with customers through surveys, focus
groups, online chat, and email
• Use customer interaction to identify problems, get
feedback, and set up support processes
• Customer retention
• Encourage customers to return through incentives,
rewards, repeat business, referrals, and cross-selling
• Customer experience
• How a customer feels about the company and its
products
• Continuously monitor and enhance customer satisfaction
through feedback and interaction analysis
CRM Process for Marketing Organization
• The CRM (customer relationship management) process
for marketing organizations helps to attract and retain
customers. It involves generating brand awareness,
acquiring leads, and converting them into customers.
Steps in the CRM process
• Generate brand awareness: Use marketing efforts to
make your brand known.
• Acquire leads: Introduce your brand to potential
customers and encourage them to engage with it.
• Convert leads into customers: Use CRM data to qualify
leads and convert them into paying customers.
• Build customer relationships: Provide a good sales
experience and support to ensure customer retention.
• Sell more to existing customers: Offer additional
products or recommend relevant add-ons based on
purchase history.
CRM Affiliation in Retailing Sector.
• CRM affiliation in retailing is a partnership between
businesses to offer additional products or services to
customers. It's a key part of customer relationship
management (CRM) in retail, which helps businesses
improve customer loyalty and build strong relationships
with customers.
Key ways CRM is connected to retail:
• Customer Data Collection:
• CRM systems gather detailed customer information like
purchase history, browsing behavior, demographics, and
loyalty program details to create a comprehensive
customer profile.
• Personalized Marketing:
• By analyzing customer data, retailers can generate
targeted marketing campaigns, including promotions,
email newsletters, and product recommendations based
on individual needs and preferences
• Improved Customer Service:
• Access to customer data allows staff to provide tailored
support, quickly resolve issues, and address customer
concerns efficiently.
• Loyalty Programs Management:
• CRM systems can effectively manage loyalty programs,
tracking points, rewards, and customer tiers to incentivize
repeat purchases.
• Sales Analysis and Forecasting:
• By tracking sales data and customer interactions, retailers
can identify trends, predict future sales, and optimize
inventory management.
• Omni-channel Experience:
• CRM integrates with different retail channels like online
stores, physical locations, and mobile apps, providing a
consistent customer experience across platforms.