Chapter 11, Problem 1OC

Program Plan Intro

Customer relationship management (CRM):

This concept came into frame to manage a company’s interaction with current and potential customers. This approach uses data analysis about the customer’s history with a company so as to improve business relationships with customers and it specifically focuses on customer retention and ultimately driving sales growth. It is also useful to learn more about the company’s target audiences and how to fulfill their needs.

Explanation of Solution

Importance of customer relationship management:

• Customer relationship management (CRM) manages all the aspects of a customer’s relationship with an organization so as to increase the customer loyalty and retention and an organization’s profitability.
• Customer relationship management (CRM) also lets an organization to gain insights into customer’s shopping and buying behaviors.
• Whenever a customer communicates with a company, the firm gets the chance to build a trusting relationship with that particular customer.

Improving sales with the use of Customer relationship management (CRM):

• Customer relationship management concentrates on maintain the customer retention which helps the organization to work according to the customer needs are attain growth in sales.
• It is necessary to know everything about the customers so as to provide great customer service, which always leads to increase in sales and fortunately customer relationship management (CRM) helps in tracking it.
• Continuous interaction that is facilitated by customer relationship management (CRM) lets the organization to know the current trend and need of the customers which helps to produce the products accordingly which ultimately increases the sales.