Customer Relationship

Management
Ed Peelenand Rob Beltman
PEARSON
H arlow , England L ondon New Y o r k Boston SanF ranc isc o Toronto Sy dney
Auc kland Singapore H ongK ong Toky o Seoul Taipei New D elhi
CapeTow n S oPaulo Mex ic oCity Madrid Amsterdam Munic h Paris Milan
Contents
Prefac e x iii
Ac know ledgements x v
About theauthors x vi
Publisher'sac know ledgements x vii
Part I Introduc tion
1 Customer-supplier relationships 3
1.1 H istory 4
1.2 D esc riptiono f c ustomer-supplier relationships 5
1.3 Thedy namic inrelationships 15
1.4 Netw orks 19
1.5 Conc lusion 26
Casestudy : Collateral trust obligations 26
Questions 28
Referenc es 29
2 Customer relationshipmanagement 32
2.1 Thedefinitionof CRM 33
2.2 CRMbuildingbloc ks 36
2.3 Entranc e, applic ationsand suc c essof CRM 40
2.4 Contentsof thisbook 41
2.5 Conc lusion 43
Casestudy : CRMat C. F unParks 43
Questions 45
Referenc es 46
Part II Strategy and organisation
V J
3 CRMasanintegral businessstrategy 49
3.1 Thenatureof theCRMstrategy 50
3.2 Thec ontex t of theCRMstrategy 56
3.3 Theresultsof asuc c essful CRMstrategy 59
3.4 Conc lusion 63
Casestudy : Starbuc ksintheUS 63
Questions 65
Referenc es 65
vii
Therelationship-oriented organisation 67
4.1 Thec hallengeand leadership 68
4.2 Mission 69
4.3 Culture 71
4.4 Struc ture 73
4.5 People 76
4.6 Communic ationand information 78
4.7 Sy stems 79
4.8 Wheredow estand? 83
4.9 Conc lusion 85
Casestudy : A personal ex perienc e: c ustomer foc usinhealthc are
insuranc e 86
Questions 88
Referenc es 88
f Part III Intelligenc e
5 Customer know ledgestrategy 93
5.1 Thevalueof c ustomer know ledge 94
5.2 Theutilisationof dataasanasset 98
5.3 F romdatatoc ustomer know ledge 101
5.4 Privac y 107
5.5 Personal D ataProtec tionAc t 108
5.6 Informationpolic y 111
5.7 Conc lusion 112
Casestudy : Customer know ledgeat Center Pares:
alife-longholiday I 113
Questions 115
Referenc es 115
6 Customer datamanagement 117
6.1 Customer identific ation 118
6.2 Ex pandingthesizeof thec ustomer database 122
6.3 Customer profiling 124
6.4 Customer dataintegration 130
6.5 Conc lusion 131
Casestudy : Optimisationof addressesfor Europeanfootball 132
Questions 133
Referenc es 134
7 D ataanaly sesand datamining 135
7.1 Ex perienc esw ithdataanaly sis 136
7.2 Theanaly sisproc ess 137
7.3 D atamining 141
7.4 Conc lusion 144
Contents
Casestudy : SNS Bank w insCRMInnovator Aw ard 144
Questions 145
Referenc es 146
8 Segmentationand selec tion 147
8.1 Segmentationstudy asinput for theformulationof marketingstrategy 148
8.2 Segmentationresearc hused inc ompilingthelist 152
8.3 Conc lusion 157
Casestudy : Alped'H uZes 158
Questions 159
Referenc es 159
9 Retentionand c ross-sell analy ses 161
9.1 Retention 162
9.2 Cross-selling 167
9.3 Conc lusion 174
Casestudy : Cross-sellingw ithinafully automated c onvenienc estore 174
Questions 176
Referenc es 177
10 Management reporting: measuring,
learningand optimising 178
10.1 Evaluatingtheeffec t of marketingac tivities
onthec ustomer value 179
10.2 Relatingmarketinginvestmentstolife-timevalue 185
10.3 Ex periments 190
10.4 Thelearningorganisation 193
10.5 Conc lusion 196
Casestudy : Carglassw insCRMAw ard 197
Questions 199
Referenc es 199
Part IV Marketing(Managingtheex c hangesintherelationship)
11 Thec ustomer proposition 203
11.1 Customisation 204
11.2 Co-c reation 208
11.3 Thelongtail: thec ompleteassortment 213
11.4 Individualisationof theproduc t offering 216
11.5 Individualised pric ingpolic y 219
11.6 Conc lusion 225
Casestudy : Nike+ 225
Questions 227
Referenc es 228
X
Contents
12 Therelationshippolic y
12.1 Customer asset management: improvement inthesize
and quality of thec ustomer database
12.2 Ac quisitionpolic y
12.3 Relationshippolic y by segment
12.4 Relationshippolic y and lifeevents
12.5 Relationshippolic y by relationshipphase
12.6 Translatingtherelationshippolic y intoc ontac t moments
12.7 Conc lusion
Casestudy : Therelationshipbetw eenalogistic sservic e
provider and itsnew c lient
Questions
Referenc es
229
230
232
233
235
240
243
246
246
249
249
Part V Channels
13 Multic hannel management 253
13.1 Themultic hannel c hallenge 254
13.2 Thekey questionsunderly ingamultic hannel strategy 257
13.3 Should themultic hannel strategy beadapted? 257
13.4 What istheright c hannel c ombination? 262
13.5 Translatingthec hannel c ombinationintoanintegrated multic hannel strategy 266
13.6 Thebusinessc asefor amultic hannel strategy 268
13.7 Buildingamultic hannel organisation 269
13.8 Performanc emeasurement inthemultic hannel environment 271
13.9 Stimulatingc ustomerstousethec hannel mix 272
13.10 Conc lusion 273
Casestudy : K PN businessportal 273
Questions 275
Referenc es 275
14 Personal selling 277
14.1 Theroleand func tionof personal sales 278
14.2 Customer selec tionand c ustomer value 281
14.3 Thesalesproc ess 282
14.4 Managingthesalesproc ess 285
14.5 Informationtec hnology and sales 289
14.6 Conc lusion 290
Casestudy : Sec retsof suc c essfor goingmobile: Agrifirmw instheCRMAw ard 291
Questions 294
Referenc es 295
15 Theonlineenvironment
15.1 Theevolutionof thew eb
15.2 Marketingonthesoc ial w eb
15.3 Mobilemarketing
296
297
301
309
Contents
15.4 Marketingonthec ommerc ial w eb 310
15.5 Measuringresults 319
15.6 Conc lusion 321
Casestudies: Albert H eijn: w hereoff- and onlinemeet eac hother;
H arry Potter: amagic brand 321
Questions 323
Referenc es 323
16 Contac t c entremanagement 326
16.1 Contac t c entresdesc ribed 327
16.2 D eterminingtheservic elevel 329
16.3 Capac ity planning 333
16.4 Managingc ontac t satisfac tion 336
16.5 K ey performanc eindic ators 341
16.6 Managingthedevelopment of c ontac t c entres 341
16.7 Conc lusion 344
Casestudy : Zappos 345
Questions 346
Referenc es 347
Part V I CRMsy stemsand their implementation
17 CRMsy stems 351
17.1 Anoverview of CRMsy stems 352
17.2 Thec ontac t c entre 355
17.3 Theinternet (w eb 2.0) 358
17.4 D ataw arehousesand datamarts 362
17.5 Campaignmanagement sy stems 365
17.6 Content management sy stem 368
17.7 Selec tingCRMsoftw arepac kage(s) 369
17.8 Conc lusion 371
Casestudy : CanadaPost deliversonitsCRMstrategy 371
Questions 373
Referenc es 374
18 Implementationof CRMsy stems 375
18.1 Reasonsfor disappointingresults 376
18.2 Aninitial ex plorationw ithCRMand how c ompanieshandlethis 376
18.3 TheCRMroad map 378
18.4 CRMprojec t management 383
18.5 A different approac htoCRMprojec t management 386
18.6 International or c ross-divisionprojec ts(Gentle, 2002) 388
18.7 Conc lusion 391
Casestudy : Shell and CRM: onedatabasefor 20 millionc ustomers 392
Questions 394
Referenc es 395
x i
Contents
19 Thefuture 396
19.1 F ac torsw hic hinfluenc ethefutureof CRM 396
19.2 Thejourney c ontinues 399
19.3 Conc lusion 403
Questions 403
Referenc es 404
Index 405
L ec turer Resourc es fH H
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