Customer relationship management practices as recipeudfor customer loyalty: A literature reviewud1, 2, 3, and 4

摘要

According to empirical evidence the extent of Customer Relationship Management (CRM) benefits to anudorganization will vary depending on the nature of the business concerned. They are likely to be moreudsubstantial in the case of any organization that has some or all of the following characteristics: frequentudcustomer interactions and purchases, high cross-selling potential, perceived risks and involvement, andudprofitability. Findings from the empirical studies have grouped CRM benefits under two main paradigms:udoperational and strategic benefits. The review of literature provides insights into the operational and strategicudbenefits of CRM and how it can be used for strategic advantage of a business. It is advisable that organizationsudinclude in their strategic plans the CRM initiatives that they will use to ensure promotion of customer loyalty. Itudis one thing to plan for growth of business using data extrapolation and forecasting but it is equally importantudfor organizations to plan for ensuring customers are managed professionally. Competition for business hasudbeen in the front of financial performance. Majority of global performance rankings of companies are based onudfinancial performance. It is good if professionals and business experts can develop an index for CRM with veryudclear indicators and measurable processes. The index and its metrics can be used by firms to benchmark theirudCRM process and seek ways to improve in the areas which they have shortcomings. This will infuse a culture ofudfirm competition based on best practice CRM.