Showing papers on "Customer relationship management published in 1997"

Closeness, strength, and satisfaction: Examining the nature of relationships between providers of financial services and their retail customers

Abstract: This article presents the results of the analysis of data collected in a telephone survey of retail customers of banks and other financial institutions. The objective of the research is to identify various dimensions of the customers' relationships with their principal financial institution and to ascertain the factors that contribute to the types of close relationships that are likely to lead to customer retention, referrals, and long-term profitability. A survey of 400 adult retail bank customers provided data for analysis. The results indicate that the factors that contribute most to the establishment of close, satisfying customer relationships are affective variables, rather than situational or behavioral variables. The results also point to the existence of quite different segments of the retail bank market as defined by the type of relationship the customer wishes to have with his or her main bank. © 1997 John Wiley & Sons, Inc.. Inc.

Customer relationship management: creating competitive advantage through win-win relationship strategies

Abstract: To develop the long-term relationships necessary to survive the intense global competition of the modern era, businesses must strive to meet customers needs as never before. This book is a result of an extensive research project that studied new ideas in marketing, and how these strategies are being applied throughout the US and Europe. The case studies provided demonstrate the ability of effective CRM programmes to refine customer relationships and increase their value.

Customer management and control of broadband VPN services

Abstract: We present an architecture for customer management and control of a broadband VPN service. The architecture is aimed at giving the VPN customer a high level of control over the traffic on the VPN, such that end-to-end requirements for the customer’s enterprise network can be met. We describe how different control and management objectives can be achieved with this architecture. Its design includes a generic resource controller, which can be specialized in order to realize a large class of control schemes, following a customer’s specific requirements. We have implemented a prototype of this architecture on a high-performance emulation platform. The prototype allows us to validate the management and control functionality of the customer control system and to demonstrate the performance characteristics of different realizations of the architecture.

The Total Customer Relationship in Health Care: Broadening the Bandwidth

Abstract: Article-at-a-Glance Background The health care system is in the midst of a market revolution, driven by cost containment but also fully charged by the idea that competition among providers will lead to reforms that neither the government nor the professions have been able to achieve by themselves. An agenda of "reports to consumers" has been advanced as a bright new hope for improving the health care system. An alternative to this notion of consumerism is far broader—that is the concept of total relationship. The bandwidth of total relationship In the hands of masters outside the health care domain, the total customer relationship embraces several elements that can be imported into health care and that offer more promise than "report cards," including the following: ■Customers as assistants in decreasing waste; ■Mass customization and stratification of need; ■Shaping demand; ■Immediate recovery; ■Delight as the objective; and ■Customer knowledge and innovation. A credo The next phase of development of total customer relationship might well be guided by a credo including several tenets about the wisdom of those the health care system serves and the nature of its purpose: 1.In a helping profession, the ultimate judge of performance is the person helped. 2.Most people, including sick people, are reasonable most of the time. 3.Different people have different, legitimate needs. 4.Pain and fear produce anxiety in both the victim and the helper. 5.Meeting needs without waste is a strategic and moral imperative.

Retail Banking: Caught in a Web?

Abstract: New web-based competitors are positioning themselves as trusted, objective intermediaries Most bank executives are following a "fortress" strategy - defending themselves while they wait for clarity in the online world As electronic networks become more robust and widespread, they are beginning to attract the attention of retail banks. Like ATMs and phone banking before them, however, they tend to be seen as merely one more cheap distribution channel. Accordingly, banks are replicating the branch banking experience on line - even to the extent of creating 3D virtual branches for their customers to navigate through. Such an approach is characteristic of early attempts to use any new technology platform. Consider the first television programs: people stood around microphones in what were essentially radio broadcasts with visuals awkwardly added on. Efforts like these miss the opportunity afforded by the new medium to rethink the entire value proposition of a retail bank. Some non-bank entrants into the online world are experimenting with an altogether different business model. They are exploiting the unique capabilities of electronic networks and leveraging their own resources through web-based strategies. These strategies unbundle the financial services business and mobilize a broad array of specialized providers to deliver increased consumer value through more innovative products, wider choice, reduced complexity, and lower prices. These new entrants could pose a threat to retail banks, targeting their most profitable product lines and customer segments. On the other hand, the same approaches are available to retail banks themselves, should they choose to pursue them. However, to do so will not be easy. It will demand a profound shift in mindset and the development of new organizational capabilities. New entrants, new business models New entrants into the financial services arena vary in their focus, but all are pursuing a business model unlike that of the traditional retail bank. In general, these new entrants fall into two groups: those that are focusing on a specific customer segment and those that are focusing on a specific transaction category. Both are mobilizing a "web" of participants to deliver key elements of an unbundled business system. Targeting customer segments One category of new players, represented in particular by software companies like Microsoft and Intuit, is targeting specific groups of customers, most notably affluent households that are early adopters of new computing and online technologies. Their goal is to develop a trust-based relationship with these customers in helping them obtain a wide range of financial services. Banks that fear these entrants are seeking to enter the retail banking business miss the point. The new players are not interested in providing specific financial services; rather, they want to focus on the acquisition and management of customer relationships. In essence, they are becoming a new form of intermediary that "unbundles" the customer relationship management element of the retail banking business from the product manufacturing and processing elements. Their distinctive value proposition will be to develop a deep understanding of a specific customer's needs and to provide access to the best mix of financial services from a multitude of "manufacturers" (banks and other providers). Banks have, of course, been trying to do this themselves for quite some time, but their information system architectures and organizational structures tend to emphasize products, making an integrated customer focus difficult to adopt. Even if a bank does manage to make the shift, it is hampered by being able to "see" customers only through their use of its products and channels. Unless customers rely on this bank for all their financial service requirements - an increasingly rare eventuality, especially among affluent households - it cannot attain an integrated perspective on the full range of its customers' transactions and needs. …

Two essays in direct marketing

Abstract: Essay 1: Direct marketer vs. retailer: A strategic analysis of competition and market structure. This essay is a first effort towards understanding the strategic interaction between direct and traditional retail channels, within a formal game theoretic framework. First, we describe two equilibria which relate existing retail structure to the nature of competition between sellers. Market entry is then considered. The analysis indicates that markets which are closed to retail entry may yet be accessible to direct channels, suggesting that the growth of direct marketing may be interpreted as a reaction to saturated retail markets. However, the retail sector can use structural adjustments to deter or soften the impact of entry. The joint ownership of physically different channels is then modeled. The competition between sellers in a catalog marketing scenario is studied in an imperfect information setting. The market coverage decision of the catalog marketer is shown to have strategic implications. An aggressive expansion of the mailing list may sometimes hurt the catalog marketer. Empirical work analyzes the strength of retail and direct channel presence across product categories. The variation in this strength is explained using consumer level measures of shopping attitudes, providing an understanding of the forces which influence channel choice by sellers. Finally, competition between multiple direct marketers and retailers is modeled in an electronic marketing scenario. The analysis indicates that electronic markets can be extremely competitive, but a combination of product differentiation and market coverage decisions can help maintain profitability. Essay 2: Customer equity and relationship management for a catalog marketing firm. Reductions in catalog production and mailing costs have a significant positive impact on the profits of catalog marketers. Towards this end, the customer is evaluated as an investment opportunity in this essay. A probabilistic model of customer purchase behavior is presented. Using a state space representation of purchase histories, this model is then integrated with a dynamic programming framework and applied to model customer equity. Customers to be deactivated from the mailing list are demarcated, and optimal customer base management policies are detailed. Empirical work calibrates the model using data from a direct marketing firm.

Concepts and Cases in Retail and Merchandise Management

Abstract: Contents: Merchandise Management, Roles and Responsibilities Retailing Formats and Structures Merchandise/Store Positioning Merchandise Characteristics Merchandise Planning, Buying, Control and Profitability Sourcing Buyer/Vendor Relationships Sales Promotion, Advertising and Visual Merchandising Personal Selling and Customer Relations Entrepreneurship and Small Business Ownership Ethics and Legal Behavior in Merchandise Management

Taking customer relations to the next level

Abstract: Companies are forging more intimate bonds with both suppliers and customers, to everyone's benefit.

Contemporary Sales Force Management

Abstract: Contents Foreword * Preface * Section I. Introduction to Contemporary Sales Force Management * Chapter 1. The Role of the Sales Force Manager in Organizations * Contemporary Sales Force Management * Difficulty in Sales * Motivation and Morale * Management Efforts to Ensure Good Sales Performance * Incentive Plans and Motivation * Leadership * Effective Organizational Communication * Informal Networks * Sales Feedback and Monitoring * Other Methods * Summary * Case Study: Lillian Spirits * Case Study: Tellco Management, Inc. * Case Study: Palin Electronics and the 'Pay at Risk Compensation Program.' * Section II. Automation and Sales Force Management * Chapter 2. Sales Force Technology * Technology and the Sales Force * The Virtual Mobile Sales Force * Electronic Commerce * Virtual Mobile Office * Sales Force Technology Suggestions * Practical Applications of Sales Force Technology * Contact Management * Multimedia Presentation * Database Sales * The Internet * Selling On-Line * Cultivating Customers on the Web * Some Suggestions for Selecting Sales Force Technology Vendors * Summary * Case Study: Kontac Information Resources Company (KIRC) * Section III: Globalization * Chapter 3. Strategic Issues for an International Sales Effort * Global Sales Environment * International Sales Techniques * How to Select Target Countries * How to Enter Target Markets * International Sales Opportunities * Some Reasons to Select China * Summary * Case Study: Monahan's Candy * Section IV. Effective Sales Force Management in a Volatile Business Environment * Chapter 4. Reengineering * Sales Management and Reengineering * Shift of Opportunities * Restructuring the IBM Sales Force * Hewlett-Packard and Reengineering * Personal Restructuring * Outsourcing * Summary * Case Study: Copeland Corporation * Chapter 5. Crisis Management * Introduction * The Consequences of Crisis * Union Carbide * Sears * Causes of Crisis * A Framework for Crisis Solutions for Sales Force Managers * A Sales Manager's Preventive Framework for Crisis * Some Success Stories * Other Tools Sales Managers Use to Deal with Crisis * System Checklist * Summary * Case Study: Global Optics * Chapter 6. Legal, Regulatory, and Ethical Matters * Legal Issues in Sales * Regulatory Issues in Sales * Ethics in Sales * Sales Situations Involving Ethical Issues * Summary * Case Study: Krol LTD * Chapter 7. Sales Force Management and Diversity * Sales Force Diversity Issues * Impact of Litigation on Sales Managers * Attacking the Problem * Women in Sales Management * Summary * Case Study: Boston Trust * Case Study: Hunter Corporation * Section V. Current Selling Skills and Tools * Chapter 8. Sales Planning * Management Function of Sales Planning * Market Dynamics * Competition Analysis * Financial Condition * Sample Sales Plan * Defining the Market * Price Determination * Summary * Case Study: Sales Management of Drug Products * Chapter 9. Personal Selling * Importance of Selling * Selling Skills * The Mechanics of Selling * Consultative Selling * Listening * Team Selling * Negotiation * Summary * Case Study: Richmond Corporation * Case Study: (Role Play): Livingston Carpet * Chapter 10. Customer Relationship Building * What Is Customer Relationship Building? * Relationship Selling * What Should Be Done to Build? * Team Building * Repeat Sales * Customer Advisory Boards as a Sales Tool for the Customer Relationship-Building Process * Trust Building * Evaluating Board Members * Summary * Case Study: Thames International, Inc. * Case Study: Global Optics * Case Study: Hendricks Insurance Company * Chapter 11. Total Quality Management * Intro

IBM's Journey Towards a Market-Driven Process-Managed Business Model

Abstract: in 1994, the IBM Corporation undertook several massivereengineering projects with the objective of dramatically changingthe way we do business around the world. One of these initiatives,the Customer Relationship Management (CRM) reengineering project,was intended to support our evolution to a market-oriented customer-focusedorganization. It was clear that we had lost touch with our customers,and had become an inward-focused organization mired in our owninternal policies, procedures and systems—radical changewas required. The driving force behind the reengineering of ourCustomer Relationship processes was a clear set of customer prioritieswhich formed the basis for the major design principles guidingthe project. This article provides a glimpse into this reengineeringeffort, with a focus on the business drivers as well as somekey issues and obstacles to both the design and deployment ofCRM.

Managing system for computer for customer

Abstract: PROBLEM TO BE SOLVED: To improve customer management by inputting the visit information, history information, information by services and information by areas or the like of customers to a computer as data, storing the information and classifying it for each customer or issuing direct mail based on various kinds of information. SOLUTION: Concerning the customer management, the notes of name, birthday, age, address, introducer, main person in charge, telephone number and peculiar customer information are inputted to the computer. Concerning visit management, the date of visit, the contents of service, the price of service, person in charge of service, the contents of sale at shop and the amount of sale at shop are inputted to the computer. Concerning reservation management, the reservation information of customer is inputted to the computer every time of generation. Concerning business management, a daily job report, monthly job report, detailed business statement, monthly transition table by services, monthly visit transition table and customer rank are respectively prepared and inputted for customer information and visit information. For example, the direct mail is issued while extracting relevant customers within a period set range. Besides, the direct mail is issued for the unit of a visiting month or by services by visiting months.

Customer management system using business card

Abstract: PROBLEM TO BE SOLVED: To easily input base information related to customer, to simply manage who and when in the company meets a customer and to manage, retrieve and display also a business card picture. SOLUTION: A picture signal from a business card is obtained by a business card reader 4 and basic information such as the name, section name, address, and telephone number of a customer and the picture data of the business card are acquired by a business card recognizing means 16 and picture data generating means 18. These information and data are stored in a 1st storage means 24 through an information storing means 22 together with the identification(ID) number and a meeting date of an interviewer corresponding to the owner of the business card which is inputted by an interviewer input means 20. When a customer's name is inputted from a name input means 28, an information reading means 30 reads out relational information from the means 24 and 1st to 3rd information display means 32, 34, 36 display the basic information, the interviewer, the meeting date, and the picture of the business card on a monitor 10.

Creating value-focused healthcare delivery systems: Part three--Core competencies.

Abstract: Value is created through the delivery of high-quality, cost--effective healthcare services. The ability to create value from the providers' perspective is facilitated through the development and implementation of essential, customer-focused core competencies. These core competencies include customer relationship management, payer/provider relationship management, disease management, outcomes management, financial/cost management, and information management. Customer relationship management is the foundation upon which all core competencies must be built. All of the core competencies must focus on the needs of the customers, both internal and external. Structuring all processes involved in the core competencies from the perspective of the customer will ensure that value is created throughout the system. Payer/provider relationship management will become a crucial pillar for healthcare providers in the future. As more vertical integration among providers occurs, the management of the relationships among providers and with payers will become more important. Many of the integration strategies being implemented across the country involve the integration of hospitals, physicians, and payers to form accountable health plans. The relationships must be organized to form "win/win" situations, where all parties are focused on a shared vision of creating value and none of the parties benefits at the expense of the others. Disease management in creating value requires that we begin examining the disease process along the entire continuum. Not only must providers be able to provide high-quality acute and chronic care, but they must also begin to focus more heavily on programs of prevention. Value is created throughout the system through reducing the prevalence and incidence of disease. Only through managing the full continuum of health will value be created throughout the healthcare delivery system. Outcomes management ensures that the outcomes are the highest quality at a cost-effective price. Outcomes must not only be compared to best practices, but to what is possible. Providers must constantly strive to enhance the quality of the services. Financial/cost management ensures that care is cost-effective and that a marginal profit is maintained to allow continued investment in new technology and continuing medical education to enhance the quality of care and lifestyles for all stakeholders. Information management is the binding element, or keystone, in providing value-focused care. Through the collection, storing, transfer, manipulation, sorting, and reporting of data, more effective decision-making can occur. Integrated MIS allows information to be generated about the cost-effectiveness of treatment regimens, employee productivity, physician cost-effectiveness, supply utilization, and clinical outcomes, as well as patient information to be readily available throughout the healthcare system. Having this information available will allow providers to become more cost-effective in the delivery of care, which results in perceived higher value for the services. Customers demand value. Value is created by meeting the needs and demands of the customers through the delivery of cost-effective, high-quality healthcare services that are easily accessible and meet with high patient satisfaction. Providers who can demonstrate their ability to provide the services in this manner will create a competitive advantage in the marketplace and will be perceived as the value provider of choice by loyal customers.

Butterworths Financial Services Law Guide

Abstract: The Financial Services Act regime. Membership. Marketing and cold calling. Investment advertisements. Customer relations. Retail products. Clients' money. Financial rules. Enforcement. Solicitors and investment business. European law considerations.

The Case of Mercedes-Benz-Quality in Customer Retention Management

Abstract: To maintain a leading edge in the face of ever fiercer competition, effective customer retention management is clearly crucial. People in the automotive division of Daimler-Benz AG are aware of the central significance of this concept, viewing it therefore not merely as a starting point relevant only to the after sales sector but as a concept that must extend to all activities within the company. With reference to brand management, product development and customer service management, the authors illustrate the practical implications of this integrated concept.

Der Einfluß von Electronic Data Interchange auf die Kontrolle von Geschäftsprozessen

Abstract: Electronic data interchange (EDI) is becoming increasingly important for modern communication and information technology. EDI is the structured electronic interchange of business documents between companies, orders or invoices for example. By implementing EDI, the companies want to rationalize existing processes, shorten reaction times, increase flexibility and strengthen the supplier-/ customer relationship. This means they want to incease competitiveness. On the other hand companies need internal control systems to protect assets, to guarantee the reliability of accounting data, and to support business policy.

New management and information system infrastructure for cyberspace

Abstract: In industry, a policy of relationship management, which provides services in response to customers' individual needs, has become necessary. Also necessary is cooperation management, based on alliances, for the rapid creation of new markets. These can only function if there is a social system infrastructure, such as electronic commerce (EC), which supports sophisticated two-way communication among businesses, consumers and government. Currently, major new applications are appearing in two fields. The first is business-to-consumer EC, which includes Internet shopping and Internet banking, and the second is business-to-business EC. Auction and bidding systems, and open electronic data interchange (EDI), have also been proposed. In the future, there will be more EC applications to make living and working more convenient. Consequently, it will be necessary for business, consumers and government to participate in the development ofproducts and services, and the creation of markets.

Towards an understanding of marketing planning practices in indigenous small firms in the electronics sector in the republic of Ireland

Abstract: This thesis examines the role which marketing plays in the planning process of small indigenous companies in the electronics sector in the Republic of Ireland. In particular it attempts to identify the main influencing factors which shape the particular approach adopted by such firms. The research involved a comprehensive review of the literature on small business policy in Ireland, entrepreneurship, growth and the small firm, and also strategy and planning. A pluralistic approach to the design of the research programme was adopted. This involved three phases; consisting of in - depth interviews, telephone interviews and final seven detailed case studies of electronics firms. The quantitative phase showed that there was a strong relationship between the size of the customer base and the tendency to adopt an informal, intuitive approach to planning. Likewise there was evidence to suggest that the size of the company (defined as the number of employees) also influences the approach to planning. There was no evidence to suggest that the length of time a company was established, the propensity to export, or the category of product manufactured, had any significant impact on the approach to planning. The case studies identified a number of critical variables and influencing factors on the approach to planning. The most salient issues were the approach to customer management, the way in which relationships are managed, the ability to manage critical events effectively, the dichotomy between strategic decision - making and operational decision - making and the ability to delegate the latter decisions to other personnel in the company. The cases revealed that there is a strong tendency to formalise the annual plan; usually in the form of a budgetary exercise. The thesis concludes by noting that these issues need to be more fully understood before adopting a prescriptive approach to planning; as is the case in much of the extant literature.

Quality in Customer Retention Management

Abstract: To maintain a leading edge in the face of ever fiercer competition, effective customer retention management is clearly crucial. People in the automotive division of Daimler-Benz AG are aware of the central significance of this concept, viewing it therefore not merely as a starting point relevant only to the after sales sector but as a concept that must extend to all activities within the company. With reference to brand management, product development and customer service management, the authors illustrate the practical implications of this integrated concept.