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Loyal customers can not only give operational companies sustained revenue but
also advertise for new marketers. To reinforce the reliance of customers and create
additional customer sources, firms utilize CRM to maintain the relationship as the
general two categories B2B(Business-to-Business) and B2C(Business-to-
Customer or Business-to-Consumer). Because of the needs and behaviors are
different between B2B and B2C, so that the implementation of CRM should come
from respective viewpoints.[7]
CONCEPT OF E-CRM
The main difference between RM and CRM is that the first does not acknowledge
the use of technology, where the latter uses Information Technology (IT) in
implementing RM strategies.[3]
Together with the creation of Sales Force Automation (SFA), where electronic
methods were used to gather data and analyze customer information, the trend of
the upcoming Internet can be seen as the foundation of what we know as E-CRM
today.
CONCEPT OF E-COMMERCE
Interconnectivity signifies that people connected to the Internet can interact and
communicate with each other. As a result, there is trade and exchange of new
products and ideas at a very low cost.
The World Wide Web, introduced in the year 1991, made it possible to search
for information effectively over the Net. This created a paradigm shift in the
manner information was presented.
BENEFITS
• Lower cost
2) Enterprise : through E-CRM the company gains the mean to touch and
shape a customers experience through sales, services and corners offices
whose occupants need to understand and assess the customers behavior.
Retention (increase the amount of time in which the customers stays with
company, making a long-term relationship)
features
Ecrm assessment
Customer contacts
CRM- contact with customer made through the retail store, phone, and fax.
eCRM- all of the traditional methods are used in addition to Internet,
email, wireless, and PDA technologies
System Interface
CRM- the client must download various applications to view the web-
enabled applications. They would have to be rewritten for different platform.
eCRM- doesn't have these requirements because the client uses the
browser
Customization and Personalization of Information
CRM- views differ based on the audience, and personalized views are not
available. Individual personalization requires program changes
eCRM- Personalized individual views based on purchase history and
preferences. Individual has ability to customize view.
System Focus
CRM- System (created for internal use) designed based on job function
and products. Web applications designed for a single department or business
unit
eCRM- System (created for external use) designed based on customer
needs. Web application designed for enterprise-wide use.
System Maintenance and Modification
Some enterprise CRM in cloud systems like eSalesTrack and Cloud 9 analytics
etc. are web-based customers don’t need to install an additional interface and the
activities with businesses can be updated real-time. People may communication
on mobile devices to get the efficient services. Furthermore, customer/case
experience and the interaction feedbacks are another way of CRM collaboration
and integration information in corporate organization to improve businesses’
services, like Pega and VeraCentra etc.[21]
There are multifarious cloud CRM services for enterprise to use and here are some
hints to the your right CRMsystem:[22]
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Foundational services:
This includes the minimum necessary services such as web site effectiveness and
responsiveness as well as order fulfillment.
Customer-centered services:
These services include order tracking, product configuration and customization as
well as security/trust.
Value-added services:
These are extra services such as online auctions and online training and education.
[29]
Many factors play a part in ensuring that the implementation any level of eCRM is
successful. One obvious way it could be measured is by the ability for the system
to add value to the existing business. There are four suggested implementation
steps that affect the viability of a project like this:
[edit]Mobile CRM
eCRM allows customers to access company services from more and more places,
since the Internet access points are increasing by the day. mCRM however, takes
this one step further and allows customers or managers to access the systems for
instance from a mobile phone or PDA with internet access, resulting in high
flexibility. An example of a company that implemented mCRM is Finnair, who
made it possible for their customers to check in for their flights by SMS.[35] Since
mCRM is not able to provide a complete range of customer relationship activities
it should be integrated in the complete CRM system.[36]
There are three main reasons that mobile CRM is becoming so popular. The first
is that the devices consumers use are improving in multiple ways that allow for
this advancement. Displays are larger and clearer and access times on networks
are improving overall. Secondly, the users are also becoming more sophisticated.
The technology to them is nothing new so it is easy to adapt. Lastly, the software
being developed for these applications has become worthwhile and useful to end
users.[37]
There are four basic steps that a company should follow to implement a mobile
CRM system. By following these and also keeping the IT department, the end
users and management in agreement, the outcome can be beneficial for all.
Step 1 - Needs analysis phase: This is the point to take your times and understand
all the technical needs and desires for each of the users and stakeholders. It also
has to be kept in mind that the mobile CRM system must be able to grow and
change with the business.
Step 2 – Mobile design phase: This is the next critical phase that will show all the
technical concerns that need to be addressed. A few main things to consider are
screen size, device storage and security.
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Step 3 – Mobile application testing phase: This step is mostly to ensure that the
users and stakeholders all approve of the new system.
Step 4 – Rollout phase: This is when the new system is implemented but also
when training on the final product is done with all users.[38]
1. The mobile channel creates a more personal direct connection with customers.
3. Typically it is an opt-in only channel which allows for high and quality
responsiveness.
4. Overall it supports loyalty between the customer and company, which improves
and strengthens relationships.[39]
[edit]Failures
Designing, creating and implementing IT projects has always been risky. Not only
because of the amount of money that is involved, but also because of the high
chances of failure. However, a positive trend can be seen, indicating
that CRM failures dropped from a failure rate of 80% in 1998, to about 40% in
2003.[40] Some of the major issues relating to CRM failure are the following:
Statistics on privacy:[47]
38% of retailers don't talk about privacy in their sign up or welcome email
About 50% of major online retailers discuss privacy concerns during the
email subscription process
As the use of the Internet, electronic CRM solution and even the existence of e-
business is rising, so are the efforts in order to further develop the systems used
and increase their safety for customers in order to further reap the benefits of their
use.
Mobile crm
(a) using conceptual CRM to develop and then build the input, process, and
output of e-CRM theory;
Mobile marketing
Founded in 1960, Domino's Pizza is the recognized world leader in pizza delivery
operating a network of company-owned and franchise-owned stores in the United
States and international markets. Domino's Pizza's Vision illustrates a company of
exceptional people on a mission to be the best pizza delivery company in the
world.
Objective
Solution
Domino’s serves hundreds of thousands of customers all across the U.S. every
day. In order to further connect and maintain quality customer service, the
company needed a way to keep its customers updated in real-time. Mobile
-------------------- White Paper – What is eCRM? --------------------
marketing was just the solution that Domino’s was looking for. To provide
customers with additional ways in which to place their orders and receive updates
on their orders Domino’s partnered with Air2Web to implement a mobile
marketing campaign.
Results
By highlighting the mobile marketing capability via the Domino’s web site, the
company was able to provide customers with additional ways in which to place
their order and keep updated on the time of delivery. Through Air2Web's leading
mobile marketing technology Domino’s was able to further connect with
customers and provide them with real-time updates.
"As a pizza company, you only have the opportunity to connect with customers
when they place and receive their order
In order to reconnect
wanted to be able to offer real-time updates on the delivery time and order
confirmation
Air2Web has allowed them to increase customer relations and provide the
customers with valuable information regarding their order.
What is eCRM?
C onsider the following progression
for a moment, and let's see where
eCRM can lead:
Therefore, eCRM, well implemented,
leads to Growth in Revenues & Profits,
a bold assertion? This paper offers a
definition of eCRM and explains why
1. eCRM provides Access this progression is a valid.
2. Access creates Information
3. Information enables
Measurement
4. Measurement is an imperative Everywhere CRM Evolution
for Process Improvement you look Cost Reduction Strategy Growth Strategy
When embarking on any project there What about the reseller channel; the
are always budget constraints. As with dealers – why can’t they use the same
any investment, CRM systems should system? We could really keep track of
be deployed to meet priority items all those leads we send them and get
first. For example, a typical roll out feedback without the continual
may be managed in phases. Phase 1 chasing.
may include most of the sales team
plus a bit of marketing; phase 2 may
bring on board the rest of marketing Let’s not forget our customers – we
and customer service; phase 3 may could give them partial access to the
include remote field sales users who CRM system – they could look up
were not part of phase 1, plus an product details, request information,
interface to accounts; phase 4…. I'm log support calls, check delivery
sure you get the picture. progress etc. This would be more
convenient for them and lower cost for
us.
Key issues dictate the rollout
A number of issues of course will
dictate the rate of a rollout and who is
After all, the idea of tracking every
or is not included. For example, a key
contact and transaction with prospects
issue is change-management, i.e. not
and customers was the original idea
wanting to do too much, to too many,
behind Database Marketing - the pre-
too quickly.
cursor to, and philosophy behind
CRM. Unfortunately due to limited
access by the wider population this
Another common issue of course is level of contract tracking could never
cost. How are we going to afford the be achieved – until now… Enter
new kit and the licences for all these eCRM.
extra users, particularly those who
don’t need to use it everyday, the
What eCRM’s all about
occasional users - it would be nice to
Put simply, eCRM means CRM-
have them included.
database access via the Web. It means
Intranet access for internal users,
extranet access for business partners
What about our business partners? We and customers and of course, Internet
would like to include our external access for the market at large.
telemarketing company – it would be
great if we could send them list to call
and have them enter results and set
As well as this wider accessibility,
follow-up actions for our sales team,
eCRM enables new marketing
using the same CRM system.
opportunities. Web marketing, Web
self service, automated response to
-------------------- White Paper – What is eCRM? --------------------
email requests, remote data warehouse ever before. Do it right and you can
access, integrated marketing channels, become the easiest company to do
etc – lets look at some of the business with – which brings us back
advantages… For example, the Web to the original objectives of CRM -
offers an additional marketing channel. customer acquisition, customer
For marketers the Web is quite retention, customer development.
different to other channels in an
important way – everything can be
captured and tracked, because by From a marketing-measurement point
definition every request, response, of view, all this is very exciting
contact, transaction is carried out on indeed. Consider some of the leading
the system – potentially nothing is lost. Database Marketing literature of the
late 1980s (e.g. Rapp and Collins;
Shaw and Stone; Moriarty and
Another important difference is that Schwartz). Their premise was that
Web marketing can be focused more marketing Campaign Management was
on the needs of the buyer. You can all about capturing every point of
build a Web environment based on the dialogue with the market, prospects
way the customers prefer to do and customers to enable accurate
business – indeed if you don’t they measurement of marketing
will pass you by! A further example is effectiveness and to use this to plan
the ability to offer self-service. future campaigns and events,
Prospects and customers can access continuously improving their
product details, prices, delivery, they effectiveness – doing more of what
can place an order; they can book onto worked and avoiding what didn’t.
a seminar or training course. They can
request information, access a bulletin
board, log a support call, access a self- This vision has never really been
support database, and check progress realised because much of the
of an action previously logged. information in more traditional direct
marketing campaigns is lost along the
process.
Plan to do eCRM right
The Web is offering the customer an
additional way of contacting the Studying a campaign for guidance
enterprise and doing business. Contrast the following extract from a
Customers will choose which contact Web campaign with a traditional direct
channel is most effective for them - mail event.
eCRM means greater efficiency, you
don’t waste their time and they don’t
waste yours. But, and it’s a big but, the
First, we advertise our Web site
system is capturing far more
through focused media and direct mail.
information about the customer than
-------------------- White Paper – What is eCRM? --------------------
Do we move to eCRM
now?
You may be asking
yourself at this point
“Should I be replacing
my current ‘conventional’ CRM competence in CRM.
system with eCRM?” or if you are
considering CRM for the first time,
you may be thinking, “Should I not
You may be shown an attractive front-
bother with CRM but jump straight to
end but what’s behind it? Is there a
eCRM?” Wait! Let’s look at the pros
-------------------- White Paper – What is eCRM? --------------------
· Content management
· Product and pricing models
· Support for customer service including technical support, problem resolution, and automated response agents
· Marketing automation tools
· Campaign management functions
An e-commerce sell-side platform allows enterprises to interact in Web-based business-to-business (B2B) and business-to-
consumer (B2C) relationships.
With these components in place, e-CRM applications can provide managers and executives with real-time, online access to
customer databases, along with Web-supported customer service.
Whether you're a newbie or an experienced Internet Marketing manager, we think you'll find internet
marketing best practices and eCRM tips and links of interest on this page that will cover all aspects of
building and managing an eCRM/Internet marketing solution.
As much of what is done in the online world was originally conceived in the offline world, we suggest that
you also visit our traditional Direct Marketing section as well when considering eCRM best practices as
some of the best internet marketers we know, are classically trained direct marketers.
The online channel should be considered a prong in an integrated, multi channel strategy designed to
improve not only your company's bottom line, but also its relationships with its customers. After all, we
take the point of view that marketing is a profit center, and it's open for business! And what's a business
without customer relationships?
Basics
"Basics" as a title of a section is probably not the best - given the fact that most people think that they do the basics quite well. While that maybe true
for you, in our opinion, it is not necessarily true for most. For this reason, we encourage you to read this section. If you feel compelled to skip this
section, scan the synopsis below; consider it a reinforcement for what you already know, and continue on.
A synopsis of what you'll read below in eCRM Best Practices "Basics:"
- Keep download times as low as possible
- Simpler is better
- Test your design on all browser/platform configurations your audience will use
Mobile applications, when they were first introduced, were going to revolutionize our lives. Well, as it turns out, it has been a slow transformation.
When Palm introduced the wireless Palm VII in 1999, the entire market for wireless and mobile data was approximately 2 million subscribers -
predicted to grow, at the time, to 21 million by 2002. Those numbers never materialized. Palm VII's membership tapped out at 190 thousand
subscribers.
Jump ahead to 2010. There were over 270 cell phones sold in the U.S. per minute. To put that into context, there are approximately 7.5 babies born in
the U.S. per minute.
Of the approximate 220 million wireless subscribers in the United States, 76% of these mobile subscribers have access to the Web on their mobile
device, and one-third (32%) access it via their wireless devices.
While those numbers may not seem impressive, consider this: five months after Apple launched the iPhone in the US, the iPhone went on sale in
Europe. One year later, the iPhone 3G was introduced. 1 million units were sold in three days in 22 countries. 10MM apps were downloaded over the
same period. Two years after the introduction of the iPhone, it is available in 81 countries. Mobile internet is evolving very quickly. The proper question
we should be asking now is: "How will that affect my business?"
Consider this, as reported by Fast Company: The iPhone accounts for fully 50% of all mobile browser traffic for U.S.-based smartphones, and 33% of
global smartphone site visits. While it is still early in the 3G+ ramp up, Morgan Stanley is calling 2010 as the inflection point in terms of global 3G+
penetration at approximately 22% of subscribers (projected to be just shy of 40% by 2012 - The U.S. and Europe hit the inflection point in 2007/2008).
Layer on, according to Harris Interactive, 25% of Smartphone or iPhone users are more likely to "occasionally" use their device to make purchases,
compared with 17% of mobile or cellular phone users. As the iPhone and its successors' penetration increases, those number are only going to go up.
Aside from the iPhone phenomenon, data connections for phones have been getting faster. As the industry moves toward fourth-generation (4G)
networks that carry both voice and high-speed data, marketers are now being presented with real opportunities to reach customers, particularly the
young and socially connected.
While watching ads in exchange for free mobile content is one thing, conducting commerce is another. There is a growing group of startups and
established players like PayPal, MasterCard, Visa, and Cingular who are betting that the cell phone is about to become king of small cashless
transactions. According to Celent, total worldwide mobile payments will reach $55 billion by the end of 2008. You're right if you think you've heard the
idea before. Mobile commerce was indeed a buzzword in the late '90s. But as with a lot of ideas from that era, its time has finally come.
While it is true that both MasterCard and Visa have enabled mobile phones as payment vehicles, it is interesting to note Visa's almost obsessive focus
on mobile banking and mobile commerce as a strategy. In early 2007, as it continued to push its own mobile payments system, Visa USA invested in
the Ireland-based mobile domain name provider dotMobi (DotMobi, which launched in September 2006, is a consortium backed by Ericsson, Microsoft,
Vodafone, and other major vendors and operators. The group's main purpose is to push the .mobi domain name). And in early 2010, Visa purchased
CyberSource, not only for its gateway but also for its mobile commerce possibilities.
While the ecosystem is set, that does not mean there will not be up hill struggles. Like Internet security, mobile security is not something that Marketers
should be blind to. A recent study of cell phone owners by Harris Interactive forBilling Revolution found that 26% of cell phone owners feel that mobile
shopping is "completely safe," and 45% think that shopping it is "somewhat safe." WIth that said, 46% said that they would be willing to shop using their
cell phone even if safety was not an issue. Attitudes vary based on age and sex as you'd expect. 59% of the 18-34 crowed felt that mobile shopping is
somewhat safe, versus 34% of adults over 55. Half of men found the concept of cell phone shopping somewhat safe versus 39% of women. Given
these differences, Harris found that entertainment was the key mobile commerce opportunity - including movie tickets, music, mobile video and games.
Opportunities
Texting is as stong as ever. Look no further than American Idol. The winner of Season 6 received 74 million votes with609 million votes cast over the
course of the TV season for various candidates. That is more people than voted in the last U.S. election.
We are seeing new engagement models develop. Already, radio stations have started "text clubs" that allow listeners to receive mobile alerts and
promotions, and use text to interact with disc jockeys during broadcasts. Shazam allows radio listeners to acoustically identify songs via their iPhones
and Blackberrys - allowing users to download the song or ringtone.
Consumers see SMS promotions on billboards for the likes of Nike's New York mobile scavenger hunt and Crest's"Irresistible IQ" club-focused
campaign that blended SMS and social networking.
In the UK, SatLav allows mobile users to send a text message with the word 'toilet' to 80097, and a satellite pinpoints their location. The satellite picks
up the mobile phone's signal and uses it to find the location of the nearest phone tower. The database then automatically finds a toilet that matches the
postal code of that phone tower - charging users 25 pence for each text.
Broadway Marketplace, a small grocer in Massachusetts replaced its card-based loyalty program with one that uses mobile phones to identify the
shopper.
StoreXperience is allowing consumers to communicate with brands and stores through a simple application download to your mobile phone via a text
message - allowing consumers to price check on the fly by "scanning� 2D tags with the phone's camera while shopping. Scanning one of the tags
allows consumers to receive in-depth product information instantly to the phone from the retailer or brand.
ShopSavvy for Android and iPhone allows a user to scan product barcodes to find the best online and local prices.
Location-based services such as Dodgeball and Loopt are social networking tools that allow users to announce their whereabouts and invite friends to
join them.
Mini USA introduced RFID-enabled billboards that "talk" to Mini motoristsis. Mini drivers in select US cities can utilize RFID key fobs to initiate
personalized messages on billboards containing LED displays.
While mobile marketing is going mainstream, global mobile commerce, or m-commerce, is expected to grow steadily to an estimated US$88 billion
industry by 2009 - mobile entertainment - ringtones, games, iTV, wallpaper, gambling etc - will continue to be the largest application for buying and
selling via the mobile phone. Having taken root in Asia, m-commerce will continue its spread westward and once all of the players have agreed upon
the rules, the m-commerce channel will be key to marketers.
Marketers are treading slowly into the m-commerce pool, as the coordination between all involved parties will
greatly impede its adoption. While the switch of technology from the operator's wireless network to near field
communication slowly takes place, banks, credit card companies (e.g. MasterCard's PayPass), merchants and
service providers will all be vying for control of the consumer relationship. It will need to be established that the
cost of coordinating all of these parties doesn't trickle down to the consumer and that adequate security
measures are in place before the widespread adoption of wireless payment and the value of m-marketing can
take effect.
M-commerce is already widespread in Asia, where users primarily connect to the Internet via cell phone, and
telecom companies with monopolies make it easier to create nationwide infrastructures. The footprint of m-
commerce becomes less visible as it moves west.
Even before the universal adoption of m-commerce, mobile media buying is quickly becoming a new marketing
channel where marketers can use context, time, location and interest when targeting consumers. For example,
timed messages would allow a movie studio to send announcements about a new movie on Friday afternoon
when people are making weekend plans. Interactive communication could provide customers with real time
rewards or instantaneous promotions.
As marketing continues to be viewed as a nuisance, the importance of giving consumers relevant and valuable
messages will be critical. Similar to the format used with PBE (permission-based emails), SMS (Short Message
Service or text message) lists can be created as consumers respond to opt-ins offered via mobile media content.
The value of SMS over PBE is that the messages are sent with the timing accuracy only available on a mobile
device.
One company, Ipsh.net, is a pioneer in the area of mobile marketing. Ipsh sends text messages to thousands of
opt-in cell-phone users in the U.S. about the latest music, store discounts or movie updates. Warner Bros.
launched such a campaign in advance of pop singer Madonna's latest album. Users gave their number and that
of a friend and received a text message about the album. With the push of a button, they dialed in to receive a
sound clip. The potential of this type of marketing is not lost on advertisers. Universal Records used text
messaging to increase airplay for hip-hop artist Nelly's video. Shoemaker Reebok launched a marketing
campaign that mixed clues, teasers, tips and testimony for its "WhoDunit?" campaign. For the Nelly campaign
(which included Nelly's voice message), it resulted in 67.8% of users receiving the text message, dialing in to
listen to Nelly's message. Then, more than half of those fans called BET to vote for his video. Reebok's campaign
resulted in a 41% response rate.
From a pure mCRM perspective in the B2C world, Starbucks and retailers as a whole, have the opportunity to implement the smartest application to
date with in store high speed wireless Internet access through Wi-Fi hot spots. Though this is not a mobile phone based system, companies such as
Starbucks, McDonalds and Borders in the US have an enviable and unique opportunity to communicate with its customers in store. Through its
partnership with T-Mobile, Starbucks can become the gateway to the Internet by launching customers from a store specific Starbucks home page -
which presents incredible opportunities for CRM - limited only by imagination. In fact Wi-Fi has become so popular that Zagat Survey, which rates
restaurants in various cities, now offers a guide to Wi-Fi hotspots.
Interestingly enough, while we've been touting this Wi-Fi opportunity for years - many years later, on March 16th 2006, two patents were published by
the US Patent & Trademark office, granting Google:
1. A patent on a "method and system for dynamically modifying the appearance of browser screens on a client device" -
Patent #20060058019 - "Identifying a connection of a client device to a wireless access point; and causing an appearance of a screen
presented on the client device to be modified to reflect a brand associated with a provider of the wireless access point."
2. A patent on a "method and system to provide advertisements based on wireless access points" - Patent#20060059044.