Showing papers on "Customer relationship management published in 2018"

A fuzzy TOPSIS method for performance evaluation of reverse logistics in social commerce platforms

Abstract: Reverse logistics initiatives with social commerce not only provide opportunities for firms to create new sources of revenue but also demonstrate their corporate social responsibility via social, green, and environmental activities. Thus, a growing number of companies are attempting to streamline their social commerce platforms to effectively handle reverse logistics. The purpose of this study is to identify the criteria that should be used in designing and evaluating social commerce based reverse logistics processes by firms. We tested the effectiveness of the identified criteria by using them to evaluate the reverse logistics practices of three major global firms that use social commerce platforms. First, we identified the criteria from a thorough review of the literature. Then, we invited five experts to provide (linguistic) ratings of these firms on the selected criteria, using a fuzzy Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) technique with FLINTSTONES (a software tool) to generate aggregate scores for the assessment and evaluation of reverse logistics practices in social commerce platforms. Sensitivity analysis was also provided to monitor the robustness of the approach. The results of the study identified that four dominant criteria (reverse logistics performance indicators) in the social commerce platform: Customer relationship, Usage risk, Reviews, and Quality control.

Linking social media to customer relationship management (CRM): a qualitative study on SMEs

Abstract: Australian small and medium-sized enterprises (SMEs) owner-managers were interviewed to understand the underpinning factors of social customer relationship management (social CRM), customer engagem...

Machine-Learning Techniques for Customer Retention: A Comparative Study

Abstract: Nowadays, customers have become more interested in the quality of service (QoS) that organizations can provide them. Services provided by different vendors are not highly distinguished which increases competition between organizations to maintain and increase their QoS. Customer Relationship Management systems are used to enable organizations to acquire new customers, establish a continuous relationship with them and increase customer retention for more profitability. CRM systems use machine-learning models to analyze customers’ personal and behavioral data to give organization a competitive advantage by increasing customer retention rate. Those models can predict customers who are expected to churn and reasons of churn. Predictions are used to design targeted marketing plans and service offers. This paper tries to compare and analyze the performance of different machine-learning techniques that are used for churn prediction problem. Ten analytical techniques that belong to different categories of learning are chosen for this study. The chosen techniques include Discriminant Analysis, Decision Trees (CART), instance-based learning (k-nearest neighbors), Support Vector Machines, Logistic Regression, ensemble–based learning techniques (Random Forest, Ada Boosting trees and Stochastic Gradient Boosting), Naive Bayesian, and Multi-layer perceptron. Models were applied on a dataset of telecommunication that contains 3333 records. Results show that both random forest and ADA boost outperform all other techniques with almost the same accuracy 96%. Both Multi-layer perceptron and Support vector machine can be recommended as well with 94% accuracy. Decision tree achieved 90%, naive Bayesian 88% and finally logistic regression and Linear Discriminant Analysis (LDA) with accuracy 86.7%.

Big Data-enabled Customer Relationship Management: A holistic approach

Abstract: This paper aims to figure out the potential impact of Big Data (BD) on Critical Success Factors (CSFs) of Customer Relationship Management (CRM). In fact, while some authors have posited a relationship between BD and CRM, literature lacks works that go into the heart of the matter. Through an extensive up-to-date in-depth literature review about CRM, twenty (20) CSFs were singled out from 104 selected papers, and organized within an ad-hoc classification framework. The consistency of the classification was checked by means of a content analysis. Evidences were discussed and linked to the BD literature, and five propositions about how BD could affect CRM CSFs were formalized. Our results suggest that BD-enabled CRM initiatives could require several changes in the pertinent CSFs. In order to get rid of the hype effect surrounding BD, we suggest to adopt an explorative approach towards them by defining a mandatory business direction through sound business cases and pilot tests. From a general standpoint, BD could be framed as an enabling factor of well-known projects, like CRM initiatives, in order to reap the benefits from the new technologies by addressing the efforts through already acknowledged management paths.

In Pursuit of Enhanced Customer Retention Management: Review, Key Issues, and Future Directions

Abstract: In today’s turbulent business environment, customer retention presents a significant challenge for many service companies. Academics have generated a large body of research that addresses part of that challenge—with a particular focus on predicting customer churn. However, several other equally important aspects of managing retention have not received similar level of attention, leaving many managerial problems not completely solved, and a program of academic research not completely aligned with managerial needs. Therefore, our goal is to draw on previous research and current practice to provide insights on managing retention and identify areas for future research. This examination leads us to advocate a broad perspective on customer retention. We propose a definition that extends the concept beyond the traditional binary retain/not retain view of retention. We discuss a variety of metrics to measure and monitor retention. We present an integrated framework for managing retention that leverages emerging opportunities offered by new data sources and new methodologies such as machine learning. We highlight the importance of distinguishing between which customers are at risk and which should be targeted—as they are not necessarily the same customers. We identify trade-offs between reactive and proactive retention programs, between short- and long-term remedies, and between discrete campaigns and continuous processes for managing retention. We identify several areas of research where further investigation will significantly enhance retention management.

Consumer Participation in Cause-Related Marketing: An Examination of Effort Demands and Defensive Denial

Abstract: This article presents two studies that examine cause-related marketing (CRM) promotions that require consumers’ active participation. Requiring a follow-up behavior has very valuable implications for maximizing marketing expenditures and customer relationship management. Theories related to ethical behavior, like motivated reasoning and defensive denial, are used to explain when and why consumers respond negatively to these effort demands. The first study finds that consumers rationalize not participating in CRM by devaluing the sponsored cause. The second study identifies a tactic marketers can utilize to neutralize consumers’ use of defensive denial. Allowing the consumer to choose the sponsored cause seems to effectively refocus their attention and increases consumers’ threshold for campaign requirements. Implications for nonprofits and marketing managers include a tendency for consumers to be more likely to perceive a firm as ethical and socially responsible when they are allowed to choose the specific cause that is supported.

Implementing social customer relationship management: A process framework and implications in tourism and hospitality

Abstract: This paper aims to debate the technology-driven transformation of customer relationship management (CRM) into social CRM, which entails a shift from a transactional and automational solution to a customer experience management philosophy, reflecting high levels of customer empowerment.,A literature review provides a critical analysis of the concept, tenets, aims and implementation approaches of social CRM. Arguments are summarised by developing a process-based framework for implementing social CRM.,By adopting a value co-creation approach that recognises the technology-fostered customer empowerment, the social CRM highlights the need to immigrate from relationship management to relationship stewardship. In this vein, social CRM implementation should support and foster dialogue facilitation and customer engagement in co-creating customer experiences. To achieve these, five approaches for implementing social CRM are proposed: collecting, analysing and interpreting customer insight; monitoring and improving the performance of CRM; developing holistic and seamless personalised customer experiences; gamifying CRM and loyalty programmes; and nurturing community relationship management.,The five approaches to social CRM implementation are identified and validated based on current industry practices, theoretical arguments and anecdotal evidence of professionals’ perceptions about their outcomes. Future research is required to collect hard evidence showing the business and customer impacts of these approaches.,Social CRM immigrates relationship management from a transactional to a customer experience mindset that treats customers as co-creators of value and demands the tourism and hospitality firms to exploit the affordances of information and communication technologies to collect and analyse customer data for better understanding the customer; develop customer touch points that do not only aim to sell but also primarily aim to enhance the customer interactions and experiences; consider and treat the customers and the customer communities as co-creators, brand ambassadors and stewards of relations; and motivate and enable customer participation into value co-creation processes for developing customer experiences and building relationships.,Research in social CRM is emerging, but it mainly focusses on defining its scope and identifying the functionality and adoption of social CRM technology. The paper contributes to the literature by proposing five specific approaches and a process framework for implementing social CRM. Various directions for future research are also provided.

The Impact of Customer Experience on Relationship Quality with Travel Agencies in a Multichannel Environment

Abstract: This article seeks to examine the impact of the customer experience (concept of THINK, FEEL, SENSE, ACT and RELATE developed by Schmitt in 1999) on relationship quality with travel agencies in a mu...

Service workers' chain reactions to daily customer mistreatment: Behavioral linkages, mechanisms, and boundary conditions.

Abstract: Drawing on the stressor-emotion model, we examine how customer mistreatment can evoke service workers' passive forms of deviant behaviors (ie, work withdrawal behavior [WWB]) and negative impacts on their home life (ie, work-family conflict [WFC]), and whether individuals' core self-evaluations and customer service training can buffer the negative effects of customer mistreatment Using the experience sampling method, we collect daily data from 77 customer service employees for 10 consecutive working days, yielding 546 valid daily responses The results show that daily customer mistreatment increases service workers' daily WWB and WFC through negative emotions Furthermore, employees with high core self-evaluations and employees who received customer service training are less likely to experience negative emotions when faced with customer mistreatment, and thus are less likely to engage in WWB or provoke WFC (PsycINFO Database Record

Friends with Benefits: Social Coupons as a Strategy to Enhance Customers’ Social Empowerment

Abstract: Businesses often seek to leverage customers’ social networks to acquire new customers and stimulate word-of-mouth recommendations. While customers make brand recommendations for various reasons (e.g., incentives, reputation enhancement), they are also motivated by a desire for social empowerment—to feel an impact on others. In several multi-method studies, we show that facilitating sharing of social coupons (i.e., coupon sets that include one for self-use and one to be shared) is a unique marketing strategy that facilitates social empowerment. Firms benefit from social coupons because customers who share spend more and report greater purchase intentions than those who do not. Furthermore, we demonstrate that social coupons are most effective when the sharer’s brand relationship is new versus established. For customers with an established relationship, sharing with a receiver who also has an established relationship maximizes potential impact. Together, these studies connect social empowerment to relationship marketing and provide guidance to managers targeting social coupons.

Examining social customer relationship management among Irish hotels

Abstract: Purpose The purpose of this study is to develop and test a model examining the key factors that emerge from the social customer relationship management (CRM) process. Specifically, the study aims to address the chain-of-effects that occurs as a result of the social CRM process, leading to superior levels of hotel performance. Design/methodology/approach Data was collected employing a quantitative approach. Using a mail and online questionnaire, data was gathered from 120 key informants in hotels in Ireland. The proposed model was tested using partial least squares structural equation modelling. Findings Results demonstrate that the social CRM activities of hotels enhance hotel service innovation activities. This positively impacts the ability to develop a customer-linking capability, resulting in higher levels of customer performance. In turn, higher levels of customer performance leads to higher levels of financial performance. Practical implications Service innovation and customer-linking capability are...

Lean Supply Chain Management Practices and Performance: Empirical Evidence from Manufacturing Companies

Abstract: The current study aims to investigate the effect of lean supply chain management practices on supply chain performance and market performance in manufacturing companies in Jordan. Five lean supply chain management practices were identified based on an extensive literature review, just-in-time system, flow of information, supplier relationship, customer relationship, and waste reduction. To achieve the study goals, a survey questionnaire was prepared and distributed to managers of 400 manufacturing companies from different sectors and sizes. The final number of returned usable questionnaires was 308, representing a response rate of 77%. The results revealed positive and significant effects of three lean supply chain management practices on market performance, namely, JIT system, flow of information, and customer relationship. In addition, all lean supply chain management practices showed positive and significant effects on supply chain performance. Furthermore, supply chain performance demonstrated a positive and significant effect on market performance.

Customer value co-creation over the relationship life cycle

Abstract: Purpose Drawing from the theory of relationship dynamics, the purpose of this paper is to investigate how the relationship life cycle moderates the link between relationship quality and customer value co-creation. As customer-firm relationships pass through different stages (exploration, buildup, maturity, and decline) characterized by distinct customer behaviors, this study proposes a dynamic conceptual framework. Design/methodology/approach A questionnaire was administered in financial services firms. The final valid sample comprised 2,000 individuals. Subjective customer information from the questionnaire was combined with objective data that the financial entity provided. Findings The results demonstrate that the relationship life cycle plays a key moderating role, revealing that, in the buildup and maturity stages, the influence of relationship quality on customer value co-creation is stronger than in the decline stage. However, for customers in the exploration stage, relationship quality does not lead to customer value co-creation behaviors. Practical implications As customer relationship stages are constantly evolving, this study provides companies with additional interesting tools to personalize business strategies and to adapt marketing investments to the specific situation of customers. Originality/value To the authors’ knowledge, this is the first study to consider how the relationship life cycle influences the strength with which relationship quality promotes customer value co-creation.

Open source ERP business model framework

Abstract: ERP systems became popular with large organizations in the 1990s. In the 21st Century, these products were expanded by addition of supply chain management (SCM) and customer relationship management (CRM), as well as access through the Web, creating the ERP II concept. Efforts to increase the market led vendors to serve not only large organizations, but also focus more on small-to-medium sized enterprises (SMEs).Open source software has become a player in the field of enterprise resource planning (ERP) systems. While it is still unclear to what extent it has diffused among organizations, it is clear that opportunities exist. New ways of delivering ERP software, such as software as a service (SaaS) have appeared. Some smaller vendors utilized a free distribution system (Free/Open Source ERP, FOS-ERP) for their source code, relying on various business models for corporate success. There also have been attempts to generate FOS-ERP components found on sites such as SourceForge.com that are not only distributed freely, but also were developed through community participation much as Linux has been developed. Some ERP vendors use community developed components for various purposes to support their proprietorial software. Thus one dimension of ERP systems is based upon who directs the development process. Proprietorial ERP refers to systems with closely held intellectual property rights, such as the leading market products by SAP and Oracle as well as many smaller proprietorial competitors. FOS-ERP can be community based, or sponsored by some organization.In this paper we present a framework that aims at analyzing FOS-ERP business models. Goals include discussing the differences between FOS-ERP and their proprietary equivalents (P-ERP) in terms of business models, selection, customization, and evolution. We will discuss challenges and opportunities that they offer to adopters and vendors. Description of open source ERP options.Framework of open source ERP models.Identification of tradeoffs in open source ERP options for small-to-medium enterprises.

Customer loyalty approach based on CRM for SMEs

Abstract: The purpose of this paper is to explore marketing analysis by developing a customer loyalty approach for small- and medium-sized enterprises (SMEs) in the service sector, based on customer relationship management (CRM) in the context of an emerging economy.,This study analyzes different models of CRM in the literature and defines a loyalty approach for SMEs in the service sector. It is characterized as exploratory research, with a qualitative approach. A systematic review of the literature is undertaken as the starting point for achieving the main objective of the study.,The need to develop a framework for an approach to customer loyalty for SMEs based on CRM and to make it operational.,It is a qualitative and exploratory study, applied only to a company’s two main clients.,The contribution of this study is that it offers SMEs consistent guidelines on how best to conduct relationship management with their customers by using a systemic methodology that can be adapted to the requirements of more effective interaction between a company and its customers. It also provides coherence to the purpose of meeting customers’ needs. This is an action strategy that focuses especially on the use of tools, such as SERVQUAL, Kano and SWOT analysis, and thereby increases the competitive profile of organizations in this sector.,This study is a new approach to customer loyalty for SMEs in the service sector, which integrates elements of CRM strategy and implementation.

Antecedents of Customer Loyalty in Banking Sector: A Mediational Study:

Abstract: Executive SummaryThe competition among the organizations is increasing continuously and there has been a rapid shift in the business process deliverance. Financial service firms are striving to imp...