What is CRM?

Always remember customer delight is a must to be created rather than just satisfying the customer.

External marketing occurs between a company and its customers, internal marketing occurs between employers and employees, and the last one is interactive marketing which occurs between the employees and the customers.

SFA is Sales Force Automation. Understanding SFA begins with the study of basic selling process and importance of Features, Advantage and Benefit (FAB) approach to selling. It then moves into the technology of automating Sales Process.

SFA is a technological tool which helps to acquire and retain customers. It also helps in reducing administrative cost. It increases better selling chances for the Sales Person and consequently better business for the company.

SFA is initially implemented with a goal to improve sales and help sales manager to have a better control over the sales team. However, SFA today increasingly focuses on cultivating customer relationship and improving customer satisfaction leading to increased customer loyalty.

The toughest part of CRM is implementing it. One can say that CRM has been implemented only when:

• A customer is not just satisfied, he/she is delighted.

• The customer attrition rate is at minimal (It means the ability of retaining select customers is great).

• The bottom line improves and consequently the profits multiply.

Hence implementing CRM is about creating a change and an urge in the organization to become customer centric.

Evolution of Marketing:

• Production(Quantity)

• Product(Quality)

• Selling(Push)

• Marketing(Pull)

• Database Marketing(Reach)

• Relationship Marketing(Dialogue)

• CRM(Dialogue + Technology)

• CEM(Customer Experience Management)

There are four levels of customer bonding:

• Financial Bonds

• Social Bonds

• Customer Bonds

• Structural Bonds

What is CLV? CLV is the acronymn of Customer Lifetime Value - CLV is the total that can be generated over his/her purchasing lifetime. Therefore,

CLV = Average annual purchase by a customer x number of active purchasing years