Customer Relationship. Management. Ed Peelen and Rob Beltman
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1 Customer Relationship Management Ed Peelen and Rob Beltman PEARSON Harlow, England London New York Boston San Francisco Toronto Sydney Auckland Singapore Hong Kong Tokyo Seoul Taipei New Delhi Cape Town Säo Paulo Mexico City Madrid Amsterdam Munich Paris Milan
2 Preface Acknowledgements About the authors Publisher's acknowledgements xiii xv xvi xvii Part I Introduction 1 Customer-supplier relationships History Description of customer-supplier relationships The dynamic in relationships Networks Conclusion 26 Case study: Collateral trust obligations 26 Questions 28 References 29 2 Customer relationship management The definition of CRM CRM building blocks Entrance, applications and success of CRM Contents of this book Conclusion 43 Case study: CRM at C. Fun Parks 43 Questions 45 References 46 V Part II Strategy and organisation 3 CRM as an integral business strategy The nature of the CRM strategy The context of the CRM strategy The results of a successful CRM strategy Conclusion 63 Case study: Starbucks in the US 63 Questions 65 References 65 J vii
3 The relationship-oriented organisation The challenge and leadership Mission Culture Structure People Communication and information Systems Where do we stand? Conclusion 85 Case study: A personal experience: customer focus in healthcare insurance 86 Questions 88 References 88 f Part III Intelligence 5 Customer knowledge strategy The value of customer knowledge The utilisation of data as an asset From data to customer knowledge Privacy Personal Data Protection Act Information policy Conclusion 112 Case study: Customer knowledge at Center Pares: a life-long holiday I 113 Questions 115 References Customer data management Customer identification Expanding the size of the customer database Customer profiling Customer data integration Conclusion 131 Case study: Optimisation of addresses for European football 132 Questions 133 References Data analyses and data mining Experiences with data analysis The analysis process Data mining Conclusion 144
4 Case study: SNS Bank wins CRM Innovator Award 144 Questions 145 References Segmentation and selection Segmentation study as input for the formulation of marketing strategy Segmentation research used in compiling the list Conclusion 157 Case study: Alpe d'huzes 158 Questions 159 References Retention and cross-sell analyses Retention Cross-selling Conclusion 174 Case study: Cross-selling within a fully automated convenience store 174 Questions 176 References Management reporting: measuring, learning and optimising Evaluating the effect of marketing activities on the customer value Relating marketing investments to life-time value Experiments The learning organisation Conclusion 196 Case study: Carglass wins CRM Award 197 Questions 199 References 199 Part IV Marketing (Managing the exchanges in the relationship) 11 The customer proposition Customisation Co-creation The long tail: the complete assortment Individualisation of the product offering Individualised pricing policy Conclusion 225 Case study: Nike+ 225 Questions 227 References 228 X
5 12 The relationship policy 12.1 Customer asset management: improvement in the size and quality of the customer database 12.2 Acquisition policy 12.3 Relationship policy by segment 12.4 Relationship policy and life events 12.5 Relationship policy by relationship phase 12.6 Translating the relationship policy into contact moments 12.7 Conclusion Case study: The relationship between a logistics service provider and its new client Questions References Part V Channels 13 Multichannel management The multichannel challenge The key questions underlying a multichannel strategy Should the multichannel strategy be adapted? What is the right channel combination? Translating the channel combination into an integrated multichannel strategy The business case for a multichannel strategy Building a multichannel organisation Performance measurement in the multichannel environment Stimulating customers to use the channel mix Conclusion 273 Case study: KPN business portal 273 Questions 275 References Personal selling The role and function of personal sales Customer selection and customer value The sales process Managing the sales process Information technology and sales Conclusion 290 Case study: Secrets of success for going mobile: Agrifirm wins the CRM Award 291 Questions 294 References The online environment 15.1 The evolution of the web 15.2 Marketing on the social web 15.3 Mobile marketing
6 15.4 Marketing on the commercial web Measuring results Conclusion 321 Case studies: Albert Heijn: where off- and online meet each other; Harry Potter: a magic brand 321 Questions 323 References Contact centre management Contact centres described Determining the service level Capacity planning Managing contact satisfaction Key performance indicators Managing the development of contact centres Conclusion 344 Case study: Zappos 345 Questions 346 References 347 Part VI CRM systems and their implementation 17 CRM systems An overview of CRM systems The contact centre The internet (web 2.0) Data warehouses and datamarts Campaign management systems Content management system Selecting CRM software package(s) Conclusion 371 Case study: Canada Post delivers on its CRM strategy 371 Questions 373 References Implementation of CRM systems Reasons for disappointing results An initial exploration with CRM and how companies handle this The CRM road map CRM project management A different approach to CRM project management International or cross-division projects (Gentle, 2002) Conclusion 391 Case study: Shell and CRM: one database for 20 million customers 392 Questions 394 References 395 xi
7 19 The future Factors which influence the future of CRM The journey continues Conclusion 403 Questions 403 References 404 Index 405 Lecturer Resources ÜfHH For password-protected online resources tailored to ### 0 support the use of this textbook in teaching, please % visit ^.li m m in. i. mi nuiiwiu UN.! HI,, um«xii
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