Study On The Implementation Process Of Crm

Customers are the basic foundation for a firm to survive the fierce market competition, and also its most valuable assets which, owing to their intangibility, do not permit handling it the way the tangible assets, for example, fixed assets, current assets, are dealt with. Therefore, the most effective way of proceeding for the firm to handle the intangible assets is to enhance the satisfaction of customers and create higher loyalty to the firm in the customers and achieve higher profitability by customer relation management (CRM). Customer relation, as a firm's lifeline of survival and development involves tremendous business opportunities, hence becoming the focus which attracts the global attention. Yet how to manage customer relationship effectively ? How to conduct customer relation management successfully? And what are the determining factors in succeeding in customer relation management? Such questions have become major subjects explored by the business world and the academic circles.Today, in the conduct of CRM by domestic firms, there is no universally applied flow of proceedings for implementing it yet, due to the lack of uniformity in the perception of the core concept of CRM and the inadequacy of research into the key factors behind the success of CRM implementation. In view of the above, the dissertation proper tries here to produce a perspicuous elaboration upon three crucial subjects in a firm's implementation of CRM through systematic analysis of three fields of CRM, i.e. the concept, flow, and key factors. To begin with, relationship marketing is dissected is its origin, classification and evolvement, with a differentiation drawn between relationship marketing(RM) and exchange marketing(EM) and, an analysis of the conceptual identity of CRM with RM is given to bring the related concepts of them under the same framework; then comes the improvement of the implementation flow of CRM of Winer, and a five-step implementation flow is presented, which consists of establishment of databank, data analysis, selection of customers, customer retaining initiative, and performance evaluation of CRM. And the part of data analysis focuses on customer lifetime value(CLV) and the calculation model for customer equity, the part of performance evaluation introduces an evaluation method with its basis on balanced scorecard; finally, five key factors behind the successful implementation of CRM are elaborated, which are perceived benefits, indirect and direct perceived benefits, institutional preparation(financial preparation and technical preparation), top managements support and knowledge and management capacity, followed by a proposal for implementation.