CRMSession 3 - CRM Models

CRMSession 3 - CRM Models

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  - Prof. RohitaDwivedi
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  The IDIC modelwas developed by Peppers & Rogers and the model suggests that companies should take four actions in order to build closer one-to-one relationships with customers: •Identify who your customers are and build a deep understanding of them; •Differentiate your customers to identify which customers have most value now and which offer most for the future; •Interact with customers to ensure that you understand customer expectations and their relationships with other suppliers or brands; Customize the offer and communications to ensure that the expectations of customers are met. 1. The IDIC Model.
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  Francis Buttle’s 2004model has an end goal represented by enhanced customer profitability that can be attained by : •primary stages represented by customer portfolio analysis, customer intimacy, network development (SCOPE), value proposition development , and managing the customer lifecycle; •supporting conditions of leadership and culture, data and IT, people, and processes to enable CRM strategy to function effectively and efficiently 2. CRM Value Chain Model.
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  CRM Value ChainModel. • Strategically Significant Customers(SSC) – High LTV Customers – Benchmarks – Inspirations – Cost Magnets
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  The QCi model(shown in figure) is also a product of a consultancy firm as IDIC is. The model’s authors (Hewson et at, 2002) prefer to describe their model as a customer management model, omitting the word ‘relationship’. At the heart of the model they depict a series of activities that companies need to perform in order to acquire and retain customers. The model features people performing processes and using technology to assist in those activities. 3. The QCI Model.
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  The fourth comprehensivemodel was developed by Adrian Payne in 2006. This model clearly identifies five core processes in CRM: the strategy development process, the value creation process, the multichannel integration process, the performance assessment process and the information management process. The first two represent strategic CRM; the multichannel integration process represents operational CRM; the information management process is analytical CRM. 4. Payne’s Five-Process Model.
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  5. The Dasaiet at/ Conceptual Model The conceptual framework was developed by Dasai el al (2007) in which consideration is driven towards competitive CRM performance from both internal and external perspectives. The dynamic capability for CRM is the key source for competitive CRM performance considering the rapidly changing nature of the business environment today which erodes the values of existing competencies
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  6. The ForresterModel The Forrester CRM model 2008 is grouped into four types such as: Strategy; Process, Technology; and People. The model produced results in the findings on over hundreds of companies using CRM as strategically, thorough analysis of over number of vendors’ solutions providers and also with discussion with about numerous consultants. For firms willing to kick-start their CRM programs or for those that are finding it tough to get best out of their CRM programs after it has been launched. Also, the performance scorecard highlights the criteria used by companies to measure the overall performance using CRM.
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  The final comprehensiveCRM model comes from Gartner Inc. the leading IT research and advisory company that employs some 1200 research analysts and consultants in 75 countries, and has a significant place in CRM research. 7. The Gartner Competency Model.
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  8. Gartner’s CRMMaturity Model
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  Enterprise CRM suites(revenues > $1 billion/year and/or > 1,000 employees): - full range of functionalities; - can scale to serve large user populations; - offer support for multiple languages and countries. Almost of the leading players offers hosted and SaaS deployment options. CRM Suites
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  Midmarket CRM suites(SMB market - revenues < $1 billion/year and/or < 1,000 employees): - offer a breadth of CRM functionalities ( have more limited capabilities in specific areas); - simpler to use than solutions built for the enterprise market. - variety of deployment options (on premise license, hosted, and SaaS). CRM Suites
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  CRM specialty toolssolutions with specialty capabilities (enterprise + midmarket) such as: marketing automation, sales force automation (SFA), customer service, partner channel management and collaboration, customer analytics, and customer data management. CRM Suites