Different Levels of e-CRM

Three different levels can be distinguished in defining the scope of e-CRM:

  • 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.

Self-services are becoming increasingly important in CRM activities. The rise of the Inter­net and e-CRM has boosted the options for self-service activities. A critical success factor is the integration of such activities into traditional channels. An example was Ford’s plan to sell cars directly to customers via its Web site, which provoked an outcry among its dealers network. CRM activities are mainly of two different types—reactive service and proactive service.

Reactive service is where the customer has a problem and contacts the company. Proac­tive service is where the manager does not to wait for the customer to contact the firm. The manager contacts the customer directly to establish a dialogue and solve problems.

Benefits of CRM

The benefits of adopting CRM processes are:

  • Develop better communication channels
  • Collect customer related data
  • Create detailed profiles of individual customers
  • Increased customer satisfaction
  • Access to customer account history, order information and customer information at all touch points
  • Identify new selling opportunities
  • Increased market share and profit margin and revenues
  • Reduced costs of buying and using product and services

Better stand against global competition

Source: Poornima M. Charantimath (2017), Total Quality Management, Pearson; 3rd edition.

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