CRM--the Right Way, 3rd Edition (HBR Article Collection)

Few companies could resist the lure of customer relationship marketing (CRM) when the technology first emerged. But hardly any companies reaped CRM's promised benefits. Why? Some launched full-scale, expensive CRM implementations instead of applying the technology to solve specific customer service problems or support strategic goals. Others used CRM to barrage customers with telemarketing and direct-mail campaigns--without offering them anything in return or tailoring their communications to individual customers' changing needs. Results? Skyrocketing costs, shrinking profits, and defecting customers. Today, some organizations are applying CRM in more disciplined, focused ways, extracting impressive value from it. New technologies that track individual customers' interactions with your company and initiate responses tailored to those interactions have further boosted CRM's value. How to ensure your company gets the most from CRM? Clarify your strategy before implementing CRM. Use CRM to contact individual customers who want to hear from you--in ways that engage them with your company. Gradually extend CRM's power by applying lessons learned from small-scale initial implementations to new, well-defined opportunities.