The focus of CRM is to automate business processes such as; sales, marketing and customer services. CRM is not only a set of principles but also a set of software and technology. Its aim is to reduce the sales cycle and cost, increase profit, look for the new market and channels necessary , which will help the enterprises to increase customers’ values, satisfaction, profits, and loyalty. CRM is a combination of best practices and modern technology through which an enterprise may achieve its objectives (Powerise 2005).
CRM regards customers as the core of enterprise activity. CRM applications simplify and coordinate all business processes such as sales, marketing, service and support besides focusing on customer satisfaction. CRM applications also unite the various channels of customer communications, such as face-to-face contact, telephone, and web visit, in the process enabling enterprises to communicate with customers in appropriate and flexible ways.
The major functions of a customer relationship management system can be summarized as follows:
Establishing, improving and extending the enterprises networks
Enterprises can exploit both traditional and electronic ways along with the web to attract more customers who may be in need of their products and services. This also makes the products and services to be within easy reach for customers. Meanwhile, enterprises can better satisfy customers’ need on the strength of the extended service coverage.
Enhancing quick, accurate and reliable interaction with customers
Through CRM systems, enterprises can carry out customer-related activities such as marketing, sales and services efficiently, accurately and reliably. This establishes the customer-oriented enterprise, leveled coordination and interaction for product sales and services. On the strength of the controllable business flow, shared customer information, sales and service information, enterprises adopt the business coordination among the various customer-related organizations/departments throughout each transaction from production profile, sales, service and technical support in order to satisfy their customers’ needs fully. (Powerise 2005).
Increasing customer values through Business Intelligence analysis
Interaction between enterprises and customers will generate a huge amount of valuable
information that could be processed, handled and analyzed to produce information valuable for enterprise development, which will serve as the guideline of business operation and decision making. E- commerce is developing very fast to become a new business model and operation instrument, and shall be extensively applied in all industries. In the application of corporate E-commerce, market is the key, customer is the core, and the sound long-term customer relationship is a very important for the healthy development of all enterprises. Therefore, the customer-focused, market-oriented customer relationship management system is destined to become the core and the guideline of the enterprise E-commerce application systems.
Powerise CRM Department (2005), The Total Solutions for Customer Relationship Management. Retrieved October 27, 2008 from http://www.powercrm.com