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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
   CRM Benefits for Customers : Literature Review (2005-2012)
      Nastaran Mohammadhossein*, Dr.Nor Hidayati Zakaria Author**
              *(Department Of Computer Science And Technology, UTM University, Malaysia)
             ** (Department Of Computer Science And Technology, UTM University, Malaysia)

                                                       technology tools for enterprises that enable the firm
ABSTRACT                                               to expand its customer relationship management
          CRM is a strategic approach that             [3]. It will raise the firms‟ ability to earn profits and
integrates people, business and technology to          generate higher-quality products or services. Based
understand the needs of customers to be more           on Gartner explanation, CRM is a business strategy
satisfied. Customers are the vital key for each        designed and implemented to help the firms and
business and company to help them to grow. So,         companies to know and foresee the requirements of
implementing CRM applications is one of the            their potential and obtainable customers. Discover,
important tools that will help managers and            attract, and find new clients and customers are the
companies to increase the satisfaction and loyalty     vital aim of the CRM. Pay attention and be
of customers more than before. Beside this, there      responsible about those customers which are the
are some benefits which will affect on customers       loyal customers, attract previous customers for
after implementing CRM. These benefits will            come to the company again, and lessen the cost and
help the customers to become happy and                 money of promotion; marketing and customer
pleasant of using the companies that is offering       service are also goals of the CRM [4]
their product and services from using CRM              According to Winer [5] “this revolution in customer
facilities. In this study, we find eight benefits of   relationship management…has created a worldwide
CRM which are important and beneficial for             market for CRM products and services of $34
customers such as improve customer services,           billion in 1999, a market that is forecasted by IDC
increased personalized service, responsive to          to grow to $125 billion by 2004.” While there is a
customer’s needs, customer segmentation,               huge investment in CRM implementation , still
improve        customization      of     marketing,    there are many CRM initiatives that fail to
multichannel integration, time saving, and             understand their proposed benefits [6] .
improve customer knowledge. We reviewed                          Although CRM has a huge impact on the
previous studies, and identify these benefits          firms and organizations, there are some advantages
which will affect on customers. Our result will        and benefits of implementing CRM which have a
help the managers and companies to know and            direct impact on the customers, and will bring
recognize the factors and benefits of CRM which        customer‟s satisfaction and improving retention of
are more significant for their customers. So they      customer. Assessing and finding the benefits of
can increase their customer’s satisfaction and         CRM is a vital aspect of managing [7]. These
retention by more attention to these benefits.         benefits will help the firms to find out the way that
                                                       increase effective relationship with customers and
Keywords - CRM, BENEFITS, CUSTOMER                     finally will profit firms. Some studies classified the
                                                       benefits of CRM in terms of operational,
I. INTRODUCTION                                        organizational, strategic, IT infrastructure, and
         Customers are the critical factors in each    managerial. In our study, we want to find out the
business. In all companies, the loyal and the fixed    benefits of CRM for the customers. Since the
customers are expecting more level of service          customers are the critical key for each organization,
qualifications, suitable transaction, and customized   they will have a huge impact on making profit and
products. So it means that the companies should be     sales.
informed of each customer to increase the loyalty                Considering that some of the effects of
and effectiveness. For this reason, CRM systems        CRM are multi-dimensional faceted, the objective
can help to change the way that each company is        of this paper is to have literature review about the
treated with customers and employees, to promote       CRM benefits. The CRM benefits will affect on the
its revenue and obtain higher final profit.            customer‟s needs and acquiescence that could be
Nowadays, organizations are implementing               extensible. Also the results can be comparable
Customer Relationship Management (CRM)                 across time, different systems and contexts.
applications more and more because CRM will help       .
them to achieve a range of business benefits [1-2].    II. CUSTOMER                          RELATIONSHIP
         Moreover, Implementing CRM will               MANAGEMENT (CRM)
consider as a set of information processes and                 In a general Customer relationship
                                                       management (CRM) is a business strategy, which
                                                       aims is acquiring new customers and retaining

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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
current customers to increase competitive                improving customer‟s satisfaction. There are a
advantages. CRM helps firms preserve relationships       numbers of studies which have explored the
with customers that are directly connected               different aspect of CRM, such as CRM benefits.
competitive compensation. The basis of CRM is            Recently, some researchers are classified the CRM
relationship marketing, which aims are improving         benefits based on Shang and Seddon „s (2002)
the long-term profitability of customers through         enterprise systems benefit frameworks [6-7].
moving away from product-centric marketing to            Although this studies are very efficient in extracting
customer-centric.                                        the benefits of CRM, but still there is a lack of
          More and more, firms understand the            CRM framework benefits which present the CRM
worth of establishing close relationships with           benefits from customer‟s point of view. Considering
customers to growing retention. According to             customer as an end user who is interacting as an
Khalid Rababah [8] Knowing customers, will               external user with CRM applications, will help to
enable firms to serve them better and keep them          take out those benefits which are related to
loyal forever. This is the main theme of Customer        customer. Therefore, through reviewing the past
Relationship Management (CRM). Therefore ,               literatures, it is possible to find and extract those
Defining CRM is necessary for increasing and             benefits that are important for customers.
developing a clear perceptive and vision of what
CRM means to a business and organization while           III. CRM BENEFITS
the lack of such obvious understanding is                          There are some problems regarding the
considered as an obstacle to successfully implement      benefits of CRM ,David [21] , as Managers did not
CRM [9].                                                 know what kind of advantages the CRM system will
          The CRM concept is used widely in              brings to a company. So management should have
cooperation of perform and research, while not for       at least the basic understanding or knowledge about
all time without fail [6] and also , Rigby [10]          CRM‟s benefit. The following lists of CRM benefits
[10][9][9][9] states that the majority of executives     are selected and minimized from a wide range of
can not immediately define CRM. Therefore, here          survey from latest CRM studies.
we present some definition to describe the meaning                 With CRM systems customers are served
of CRM.                                                  better on day to day process and with more reliable
          In the other definition ,CRM is the            information their demand of self service from
combination        of marketing efforts, business        companies will decrease. Therefore if there is less
processes and technology which will lets the firm        need to contact with the company for different
to know and recognize its customers from numerous        problems, customer satisfaction level increases [22].
perspectives [11].                                       Through Implementing CRM Companies can
          In addition, a number of studies define        remove confusion that exists in the productivity,
CRM more holistically and they attempt to define         efficiency and control and every level through
CRM through its association with technology, and         appropriate use of CRM (Rushforth, 2007).
also as a business strategy [12-15].                               In recent findings, the list of benefits will
          On the other definitions , Kincaid [16]        be considered as a critical connection among CRM
defined CRM as a strategic tool that use of              initiatives and growth of customer equity. These
information, processes, technology, and community        central benefits of CRM will be connected
to handle the customer‟s relationship with the           hypothetically to the three kind of equity that are
company departments such as marketing, sales,            relationship, value and brand, and in the end to
services, and support, during the customer life          customer equity[2]. Eight core benefits were
cycle, and Buttle [17] quoted that “CRM is an            recognized to provide value drivers.
integration of technologies and business processes       1. Enhanced ability to target profitable customers
used to satisfy the requirements of a customer           2. Integrated assistance across channels
throughout any given interaction. CRM involves           3. Enhanced sales force efficiency and effectiveness
achievement, analysis and exploit of knowledge           4. Improved pricing
about a customer to sell more goods more                 5. Customized products and services
efficiently”.                                            6. Improved customer service efficiency and
          In the other literatures , CRM is defines as   effectiveness
an opportunity to increase profit, attracting and         7. Individualized marketing messages
retaining “economically valuable” customers
though removing “economically invaluable” ones           CRM system helps companies to keep and record
[18-20].                                                 the customer information, like their goals, needs
Consequently, by looking towards the CRM                 and events. Moreover, saved knowledge is updated
definition, it is clear that satisfying the needs and    into the CRM system, so that the customer‟s
requirements of customer is an important and             information will be up to date without being
significant part of CRM. Also, one of the vital          outdated. With these connections the information is
goals of firms through implementing CRM is               always expands in the CRM system that enhances

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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
the profile data for customers and works like a        Dimension                        Reference     year
strong instrument in making business decisions          Improves         customer      [27]          2005
[23].                                                  segmentation and assessment
                                                        Enable      communication
          Greenberg [24] stated that through           through multiple selling
developing the total lifetime value of customer,       channels
CRM can raise the true economic worth of a              The ability to gather          [28]          2005
business. Moreover successful CRM strategies           customer data
promote customers to purchase more products, stay       identify the most valuable
loyal for longer periods and be in touch effectively   customers     and   increase
with a company.                                        customer retention is highly
Curry and Kolou [25] quoted some benefits and          desirable
reasons for adoption of CRM :
                                                        learning             from
          Customers from the competition will
                                                       customers(customer
desire come your organization, Simplify customer-
                                                       knowledge)
focused internal organization will make simpler the
infrastructure, decrease the workflow and remove
                                                        Deliver the right product      [29]          2005
non-productive information process, and Profits will
                                                       and service in the right time
increase from more satisfied customers and more
                                                       from the right channel
integrated focused company.
          Since adopting CRM will provide a lot of      Channels for customers to
benefit in firms and their process, it would be        give feedback
helpful to clarify results and benefits of              Produce personalized and
implementing CRM for them. Therefore, they will        customizable product and
have a good background about the results and           services
incomes from using CRM applications.                    Institution of customer
          As we mentioned above, most of the           trust in CRM systems
previous studies on customer relationship               Information use and            [6]           2005
management (CRM) focused mainly on exploring           capture
CRM benefits from organizational and managerial         Better         personalized
point of view, and there is a few studies that         service
specifically concentrate on customer‟s point of         Being more responsive to
view. However, finding this benefits and reinforcing   customer requirements
them in the company will affect on the satisfaction     Closer relationship to its     [30]          2006
of the customers. We had reviewed some of the          customers and offer phone
previous research and studies since 2005 to 2012       services
which were about the CRM and its benefits. It will      Servicing customers and
help to find the benefits which are critical for       receive     information     to
customers. For this reason we reviewed around 60       develop the level of service
papers and select those studies that were mentioned    offered to customers
benefits of CRM for customers too. Because of the       Target           commercial    [2]           2006
limitation of our domain search, only 15 papers        customers
were recognized that were exactly mentioned and         Offerings from different
discussed about the CRM benefits from customer‟s       channels
sides. Of course, these studies and others had          Enhanced            customer
mentioned some other benefits of CRM form other        service
views but, here we focused on the benefits which        Customized products and
are for customers only.                                services
                                                        Advance responsiveness         [31]          2009
                                                        Accelerate delivery lead-
                                                       times
                                                        Enable              customer
                                                       knowledge management
                                                        Develop             customer
Table1 : CRM customer‟s benefits                       segmentation
Dimension                     Reference      year       Targeting       the     most
 Enhanced customization [26]                2005      profitable customers
of services and product                                 Improve product and
offerings                                              business innovations


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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
Dimension                          Reference   year   Dimension                        Reference    year
 Enhance customization of                            communication
marketing       efforts     and                        Customized products and
messages      to     individual                       services;
customers                                              Improved           customer
 Permit         multi-channel                        service     efficiency    and
integration                                           success
 Allow          multi-channel                         Identify and target their      [38]         2012
communication                                         best customers
 Enable          personalized                         Allowing the formation of
products and services                                 individualized relationships
 Improve               product                       with customers
separation                                             Identifying the most
 Focus on customers and                              profitable customers and
their needs                                           providing them the highest
 Provide customers a                                 level of service
“one-to-one” skill                                     Understand and identify
 Personalized services            [32]        2009   customer needs and
 Customers         knowledge
and experience empowered
 Deliver       high quality                          IV. CRM BNENEFITS FOR CUSTOEMRS
service                                               According to the above table, and reviewing the
 Meet                customer                        previous studies, we selected some of this benefits
needs(personalization)                                which are more significant in customer‟s
 Employee empower more                               satisfaction. We summarize them into the following
time to serve up customers                            cases:
 Advanced          satisfaction                       Improve customer services
ratings                                                Increased personalized service or one to one
 Targeted product and                                    service
service contributions can be                           Responsive to customer‟s needs
timed     to     match      with                       Customer segmentation
customer       actions      and                        Improve customization of marketing
requirements                                           Multichannel integration
 Individualization           of   [33]        2010    Time saving
market                                                 Improve customer knowledge
 Customization of product
and services                                          According to table1 this benefit‟s rate and
 Improved responsiveness          [34]        2010   frequency can be seen in the following fig1 .
 Valuable time savings
during reduction of the
search effort
 Seamless communication
 Enhancing         customer‟s     [35]        2011
attentiveness
 Consolidating          helpful
services
 Describe               diverse   [36]        2011
customer groups that will be
served in different ways
 Customer service and
support service operations
 Predict potential and                               Figure1 : CRM customer‟s benefits frequency
personal customers‟ behavior                          Based on table1, we find the most repeated benefits
 Improved capability to           [37]        2011   for customers and tried to show the frequency of
target profitable customers                           these benefits in fig 1. Based on this classification
 Integrated contributions                            we can see these eight benefit‟s frequency and
across channels                                       numbers of repeat in these fifteen studies from
 Individualized marketing                            customer‟s point of view. So it is important to

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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
know and discuss about the vital benefits of CRM        produce a more satisfactory transaction, and over
that will impact on customers. For this reason,         time, a more satisfactory relationship. Personalized
having an overview about these dimensions will          service should simply be better service than routine
help the companies to know this importance.             service that does not take the individual’s needs into
                                                        account.”
A. Improve Customer Services                                      With a Personalize service companies
          Customer Service is a communication           concentrate on what the customer desires to buy
among a customer and the company, frequently by         more than what the company wants to purchase.
usual channels like phone or email. Regularly the       Therefore, one to one service is a strategy to meet
customer will have a concern or request that wants      the customer‟s needs and helps them to become
resolving. CRM services provide a business with         happy through providing personalize service.
the ability to produce, allocate and manage requests
made by customers. For example, Call Center             C. Responsive to Customer’s Needs
software, which helps to connect a customer to the                CRM is not only application of
manager or person who can best assist them with         technology, although it is a strategy to study more
their existing problem, is one of the CRM abilities     about customers' needs and requirements to
that can be implement in the firms and                  implement powerful relationships with them.
organizations. Recognizing and using of this type of    Customer responsiveness is providing customers
service can help to the companies to improve their      what they deal to obtain, nothing more, and nothing
clients‟ knowledge to improve customer services         less. CRM is a strong tool to help the companies to
and also can increase efficiency and minimize costs     focus more proactive on their customer
[39].                                                   responsiveness.       CRM     contains     gathering
          Personalized services, identify and reward    information about customers to discover better ways
profitable customers, creating and scheduling           to satisfy their needs.
appointments with customer, customization of                      Focusing on customer needs and
marketing efforts and sending messages to               requirements, take the relationship one step further.
individual customers , providing multi-channel          It shows that companies can understand their
communication , and More responsive to customer         customers‟ situations and needs [42]. It‟s the right
needs are some of the CRM applications ability          of each customer to want the companies for foresee
which can impact on customer service quality [6-7,      what will bring value to them through finding and
40].                                                    addressing their unknown wants and needs. And,
          A business with high service quality will     these unknown wants and needs must then be
satisfy customer needs while is remained                changed into new products and services. For this
economically competitive. Improving customer            reason, CRM is a significant tool that will help to
service quality is one of the important achievements    the companies to know and find the needs of their
of using CRM in each company. Based on Freeman          customers, and be responsible about them [43-45].
& Seddon [6] the major reasons for these
improvements were; information access and capture       D. Customer Segmentation
,increased personalized service , and being more                  Segmentation is in center the process by
responsive to customer needs.                           which objects or items are categorized or classified
                                                        into groups that split similar characteristics.
B. Increased Personalized Service (one to one           Although these characteristics, can be one or more
service)                                                attributes. It can be defined as a subdividing the
          One-to-one service is about individuals       popularity based on already known good
and personalization. Communicating with, selling,       discriminator. In CRM , segmentation is used to
and servicing individuals by providing a particular     categorize customers according to some similarity ,
and significant personal experience can be              such as industry [46].
considered as personalize services. One-to-one                    There are many techniques for classifying
service is an ability and skill of understanding a      and segmentation, but in this research we just want
customer‟s needs and requirements by asking             to focus on the benefits of segmentation for
questions and listening to their answers, in addition   customers. Three ordinary group of segmentation
to observing their actions.                             variables in consumer markets are demographics,
          Therefore, personalize customer service or    psychographics and behavioral characteristics, like
one to one service provides companies to improve        loyalty status or benefits required.
understanding and knowledge about the customers         Segmentation or target marketing moved a
that the company cares about them and also to have      company‟s attention to balancing products and
better    knowledge      about    their    customers'   marketing efforts to be according customer needs.
preferences, requirements and wants.                    Firms need to describe slighter and smaller
According to Dwayne Ball [41] “ The rationale           segments to find customer needs and preferences
makes common sense: personalization should              [47]. Therefore, customers can be segmented to


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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
groups based on ages, gender, demographic and etc.        channels and incorporate it with other related
Though this, CRM will provide a capability of             information [52].
dividing customers based on their needs. It will help
companies to categorize their customers according         G. Time Saving
to their requirements into similar groups. CRM                      Faster and quicker time to market is
application will facilitate the process of                significant to organizations looking for a
segmentation for companies.                               competitive edge. It is also critical for customers to
                                                          have a fast respond in sale process from the
E. Improve Customization of Marketing                     company and do not waste their time in buying
         Customization of marketing means that,           process or product delivery. Organizations can take
the company or organization adapt and change its          benefit of CRM capabilities that simplify the
services or products based on presenting a unique         development and deployment cycle to respond to
product or services for each customer.                    the customers. CRM systems bring in functionality
With the purpose of ensuring that customer needs          and enhancements, more quickly, at lower cost and
and requirements are met Customization is used by         enabling IT to be more responsive to business
the organization[48]. Firms can invest in                 needs.
information gaining about customers and then                        One of the useful benefits of using a CRM
customize their products as best as they can to           system is reduction in using paper in the company
contest customer interests.                               or during interacts with customers. All processes
         Moreover,      communication     can     be      that were done by forms and paperwork can be
customized with customers for improving the               virtualized and mechanized within a CRM solution.
product or services for a specific customer. As the       Not only this process can save time and money
ability of CRM to customization of the services,          spent on paper, but it also makes a firm more
Customization of services and products is one of the      environmentally-friendly with customers.
benefits of CRM for customers [49].                                 CRM systems can store and organize every
                                                          detail of each individual and customer and easily
F. Multi Channel Integration                              retrieval them. Sell person or employee can save the
          Nowadays, the range of Customers channel        time of themselves and customers for searching
choice is changed and therefore, a winning CRM            about the information. In addition managers and
need to more efficiently manage customer                  marketers of the company can better analyze
relationships inside a multichannel environment.          customer behaviors and trends in less time and then,
Technology, customer potential, and competitive           perform more systematic research about the
forces, are more and more convincing local                company‟s       customer     base      and     product
companies and firms to support customer service           offerings. CRM will let companies to interact with
operations from some delivery channels as much of         customers more frequently, by personalized
the customer knowledge occurs within this channel         massage and communication way which can be
environment.                                              produced rapidly and matched on a timely basis,
          The multichannel integration development        and finally they can better understand their
has a important responsibility in CRM since it takes      customers and therefore look forward to their needs
the result of the business strategy and value-creation    [53].
processes and change them into value adding
communications with customers [50]. Multi-                H. Improve Customer Knowledge
channel integration can maintain all three phases of               Tracking customer behavior to customer
CRM which are acquisition, extension and                  tastes and needs is a motivation for a firm to
retention. According to Goersch [51] multi-               implement CRM systems. Firms can make and
channel customers are more loyal and spend more           develop enhanced products and services through
than other customers. It is also valuable for retailers   using this information [54].Since       Customer
that connect in CRM. Multi-channel integration is         knowledge is changing rapidly CRM applications
good for a transactional marketing approach, where        help organizational improve their knowledge about
retailers are just interested in effective customer       the customers by analyzing purchase behavior
achievement. Therefore, CRM strategy may needed           through different channels      of the customers
all three phases to be implemented, multi-channel         customer [55]. CRM systems give a competitive
integration residue valuable although just one or         advantage in improving firm‟s collection of
two goals are obtained [51].                              customer information to customize product and
          Multichannel integration shows the point        services according to customer needs.
of co creation of customer value in CRM. On the           According to Sunil Mithas [55] “Customer
other hand, a company‟s skill to perform                  relationship management applications help firms
multichannel integration successfully , is heavily        gather and use customer knowledge through two
dependent on the organization‟s ability to collect        mechanisms. First, CRM applications enable
and bring together customer information from all          customer contact employees to record relevant


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Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
           Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                 Vol. 2, Issue 6, November- December 2012, pp.1578-1586
information about each customer transaction. After             Marketing Management, 2008. 37(2): p.
this information is captured, it can be processed              120-130.
and converted into customer knowledge on the basis      [3]    3.       Rogers, M., Customer strategy
of information-processing rules and organizational             observation from trenchesmarketing, 2005.
policies.”                                                     69: p. 262-263.
          Customer knowledge also can benefits          [4]    Gartner, What's 'Hot' in CRM Applications
customers through enabling the company to respond              in 2009. 2009.
their needs based on their purchasing behavior and      [5]    Winer, R.S., A framework for customer
their suitable services. By this reason finding the            relationship      management.       California
taste of the customers and personalize the products            Management Review, 2001. 43(4): p. 89-
can be the result of customer knowledge.                       105.
                                                        [6]    Freeman, P. and P.B. Seddon, BENEFITS
V. CONCLUSION                                                  FROM CRM-BASED WORK SYSTEMS, in
          New technologies affects on companies by             Conference on Information Systems
accelerating the speed of knowledge and                        (ECIS), 2005 - csrc.lse.ac.uk. 2005.
information through them. Nowadays, managers            [7]     Darshana Sedera and W. Wang, Towards
and owners are gradually convinced about using of              a CRM and SCM Benefits Measurement
CRM in their company to improve the revenue and                Model, in International Conference on
profit, quality of product and services, customer‟s            Information Systems (ICIS) at AIS
retention and satisfaction. By implementing a                  Electronic Library (AISeL). 2009.
successful CRM, the benefits are emerging and the       [8]    Khalid Rababah, H.M., and Huda Ibrahim,
companies are more interested in using CRM                     Customer        Relationship    Management
systems. Although there are so many benefits for               (CRM) Processes from Theory to Practice:
companies which are the result of implementing                 The Pre-implementation Plan of CRM
CRM but there are some benefits that will have a               System. International Journal of e-
positive impact on customers too. So it would be               Education, e-Business, e-Management and
beneficial to classify and group those benefit that            e-Learning, 2011. 1(1).
can affect customers. It is clear that using and        [9]    9.       Nguyen, J. Sherif, and M. Newby,
implementing CRM will have an impact on                        Strategies       for     successful      CRM
customers, since they are using CRM applications               implementation. InformationManagement
indirectly.                                                    & Computer Society,, 2007. 1(15): p. 102-
                                                               115.
         These study and its classification shows       [10]   Rigby, D.K., F.F. Reichheld, and P.
the most important benefits of CRM from                        Schefter, Start with customer strategy..
customer‟s point of view, through reviewing limited            Harvard Business Review, 2002. 80(2): p.
previous researches. Since our domain is limit, there          103.
can be others benefits that are missed to consider      [11]   Chang, H.H., Critical factors and benefits
here. According to our review companies and                    in the implementation of customer
managers can have a better guideline to know which             relationship management. Journal of Total
factors are more important for their customers and             Quality Management and Business
invest time and attempt on them. It is obvious that            Excellence, 2007. 18(5): p. 483-508.
enhance and improve these benefits will have a          [12]   Bose , R., custoemr relationship
positive impact on customer‟s satisfaction and                 management , key component for IT
retention. So satisfying the customers means                   success. industrial management and data
increasing revenue and income for business.                    systems, 2002. 102(2): p. 89-97.
Consequently it is in imperative part on the policy     [13]   Sathish, S., Pan, S. L., & Raman, K. S.,
makers and strategist of each company to                       Customer relationship management (CRM)
understand and improve the benefits of CRM from                network: A new approach to studying
customer‟s viewpoint which can finally lead to                 CRM. , in Eighth Americas Conference on
customer‟s satisfaction.                                       Information Systems (AMCIS),Dallas, TX.
                                                               2002.
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                                                                                            1584 | P a g e
Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
          Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                Vol. 2, Issue 6, November- December 2012, pp.1578-1586
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       management: A case study of a Greek


                                                                                         1585 | P a g e
Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering
          Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com
                Vol. 2, Issue 6, November- December 2012, pp.1578-1586
       OBSESSION? The Australasian Powder                   management (CRM) on repurchase: A case
       Coater Painter-Fabricator, 2000. 29(2).              study of (GOLDEN TULIP) hotel
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[44]   Jonghyeok Kim , E., Suh , Hyunseok,                  Marketing Management, 2004. 33.
       Hwang, A MODEL FOR EVALUATING                 [51]   Daniel     Goersch       MULTI-CHANNEL
       THE EFFECTIVENESS OF CRM USING                       INTEGRATION AND ITS IMPLICATIONS
       THE        BALANCED         SCORECARD.               FOR RETAIL WEB SITES ECIS, 2002.
       INTERACTIVE MARKETING, 2003.                  [52]   Adrian Payne , P.F., A Strategic
       17(2).                                               Framework for CustomerRelationship
[45]   Mark Xu, J.W., Gaining customer                      Management. Journal of Marketing, 2005.
       knowledge through analytical CRM.                    69.
       Industrial Management & Data Systems,         [53]   Corie. The Top 5 Time-Saving Benefits of
       2005. 105(7).                                        CRM.           2011;     Available     from:
[46]   Collica, R.S., CRM Segmentation and                 http://www.articlesbase.com/small-
       Clustering Using SAS Enterprise Miner.               business-articles/the-top-5-time-saving-
       2007.                                                benefits-of-crm-4068287.html.
[47]   Injazz J. Chen, K.P., Understanding           [54]   Nambisan, S., Designing Virtual Customer
       ustomer      relationship     management             Environmentfor          New          Product
       (CRM):People, process and technology.                Development:       Toward      a     Theory.
       Business Process Management Journal,                 Academyof Management Review,, 2002.
       2003. 19(5).                                         27(3).
[48]   Adele Berndt, F.H., and Lindie Roux,          [55]   Sunil Mithas, M.S.K., & Claes Fornell,
       IMPLEMENTING           A      CUSTOMER               Why       Do     Customer      Relationship
       RELATIONSHIP               MANAGEMENT                Management Applications Affect Customer
       PROGRAMME IN AN EMERGING                             Satisfaction? Journal of Marketing, 2005.
       MARKET ©Journal of Global Business and               69: p. 201-209.
       Technology, 2005. 1(2).
[49]   George K. Amoako*, E.A., Christiana
       Bandoh and Rachel Kafui Katah, The
       impact of effective customer relationship




                                                                                        1586 | P a g e

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CRM Benefits for Customers Literature Review (2005-2012

  • 1. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 CRM Benefits for Customers : Literature Review (2005-2012) Nastaran Mohammadhossein*, Dr.Nor Hidayati Zakaria Author** *(Department Of Computer Science And Technology, UTM University, Malaysia) ** (Department Of Computer Science And Technology, UTM University, Malaysia) technology tools for enterprises that enable the firm ABSTRACT to expand its customer relationship management CRM is a strategic approach that [3]. It will raise the firms‟ ability to earn profits and integrates people, business and technology to generate higher-quality products or services. Based understand the needs of customers to be more on Gartner explanation, CRM is a business strategy satisfied. Customers are the vital key for each designed and implemented to help the firms and business and company to help them to grow. So, companies to know and foresee the requirements of implementing CRM applications is one of the their potential and obtainable customers. Discover, important tools that will help managers and attract, and find new clients and customers are the companies to increase the satisfaction and loyalty vital aim of the CRM. Pay attention and be of customers more than before. Beside this, there responsible about those customers which are the are some benefits which will affect on customers loyal customers, attract previous customers for after implementing CRM. These benefits will come to the company again, and lessen the cost and help the customers to become happy and money of promotion; marketing and customer pleasant of using the companies that is offering service are also goals of the CRM [4] their product and services from using CRM According to Winer [5] “this revolution in customer facilities. In this study, we find eight benefits of relationship management…has created a worldwide CRM which are important and beneficial for market for CRM products and services of $34 customers such as improve customer services, billion in 1999, a market that is forecasted by IDC increased personalized service, responsive to to grow to $125 billion by 2004.” While there is a customer’s needs, customer segmentation, huge investment in CRM implementation , still improve customization of marketing, there are many CRM initiatives that fail to multichannel integration, time saving, and understand their proposed benefits [6] . improve customer knowledge. We reviewed Although CRM has a huge impact on the previous studies, and identify these benefits firms and organizations, there are some advantages which will affect on customers. Our result will and benefits of implementing CRM which have a help the managers and companies to know and direct impact on the customers, and will bring recognize the factors and benefits of CRM which customer‟s satisfaction and improving retention of are more significant for their customers. So they customer. Assessing and finding the benefits of can increase their customer’s satisfaction and CRM is a vital aspect of managing [7]. These retention by more attention to these benefits. benefits will help the firms to find out the way that increase effective relationship with customers and Keywords - CRM, BENEFITS, CUSTOMER finally will profit firms. Some studies classified the benefits of CRM in terms of operational, I. INTRODUCTION organizational, strategic, IT infrastructure, and Customers are the critical factors in each managerial. In our study, we want to find out the business. In all companies, the loyal and the fixed benefits of CRM for the customers. Since the customers are expecting more level of service customers are the critical key for each organization, qualifications, suitable transaction, and customized they will have a huge impact on making profit and products. So it means that the companies should be sales. informed of each customer to increase the loyalty Considering that some of the effects of and effectiveness. For this reason, CRM systems CRM are multi-dimensional faceted, the objective can help to change the way that each company is of this paper is to have literature review about the treated with customers and employees, to promote CRM benefits. The CRM benefits will affect on the its revenue and obtain higher final profit. customer‟s needs and acquiescence that could be Nowadays, organizations are implementing extensible. Also the results can be comparable Customer Relationship Management (CRM) across time, different systems and contexts. applications more and more because CRM will help . them to achieve a range of business benefits [1-2]. II. CUSTOMER RELATIONSHIP Moreover, Implementing CRM will MANAGEMENT (CRM) consider as a set of information processes and In a general Customer relationship management (CRM) is a business strategy, which aims is acquiring new customers and retaining 1578 | P a g e
  • 2. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 current customers to increase competitive improving customer‟s satisfaction. There are a advantages. CRM helps firms preserve relationships numbers of studies which have explored the with customers that are directly connected different aspect of CRM, such as CRM benefits. competitive compensation. The basis of CRM is Recently, some researchers are classified the CRM relationship marketing, which aims are improving benefits based on Shang and Seddon „s (2002) the long-term profitability of customers through enterprise systems benefit frameworks [6-7]. moving away from product-centric marketing to Although this studies are very efficient in extracting customer-centric. the benefits of CRM, but still there is a lack of More and more, firms understand the CRM framework benefits which present the CRM worth of establishing close relationships with benefits from customer‟s point of view. Considering customers to growing retention. According to customer as an end user who is interacting as an Khalid Rababah [8] Knowing customers, will external user with CRM applications, will help to enable firms to serve them better and keep them take out those benefits which are related to loyal forever. This is the main theme of Customer customer. Therefore, through reviewing the past Relationship Management (CRM). Therefore , literatures, it is possible to find and extract those Defining CRM is necessary for increasing and benefits that are important for customers. developing a clear perceptive and vision of what CRM means to a business and organization while III. CRM BENEFITS the lack of such obvious understanding is There are some problems regarding the considered as an obstacle to successfully implement benefits of CRM ,David [21] , as Managers did not CRM [9]. know what kind of advantages the CRM system will The CRM concept is used widely in brings to a company. So management should have cooperation of perform and research, while not for at least the basic understanding or knowledge about all time without fail [6] and also , Rigby [10] CRM‟s benefit. The following lists of CRM benefits [10][9][9][9] states that the majority of executives are selected and minimized from a wide range of can not immediately define CRM. Therefore, here survey from latest CRM studies. we present some definition to describe the meaning With CRM systems customers are served of CRM. better on day to day process and with more reliable In the other definition ,CRM is the information their demand of self service from combination of marketing efforts, business companies will decrease. Therefore if there is less processes and technology which will lets the firm need to contact with the company for different to know and recognize its customers from numerous problems, customer satisfaction level increases [22]. perspectives [11]. Through Implementing CRM Companies can In addition, a number of studies define remove confusion that exists in the productivity, CRM more holistically and they attempt to define efficiency and control and every level through CRM through its association with technology, and appropriate use of CRM (Rushforth, 2007). also as a business strategy [12-15]. In recent findings, the list of benefits will On the other definitions , Kincaid [16] be considered as a critical connection among CRM defined CRM as a strategic tool that use of initiatives and growth of customer equity. These information, processes, technology, and community central benefits of CRM will be connected to handle the customer‟s relationship with the hypothetically to the three kind of equity that are company departments such as marketing, sales, relationship, value and brand, and in the end to services, and support, during the customer life customer equity[2]. Eight core benefits were cycle, and Buttle [17] quoted that “CRM is an recognized to provide value drivers. integration of technologies and business processes 1. Enhanced ability to target profitable customers used to satisfy the requirements of a customer 2. Integrated assistance across channels throughout any given interaction. CRM involves 3. Enhanced sales force efficiency and effectiveness achievement, analysis and exploit of knowledge 4. Improved pricing about a customer to sell more goods more 5. Customized products and services efficiently”. 6. Improved customer service efficiency and In the other literatures , CRM is defines as effectiveness an opportunity to increase profit, attracting and 7. Individualized marketing messages retaining “economically valuable” customers though removing “economically invaluable” ones CRM system helps companies to keep and record [18-20]. the customer information, like their goals, needs Consequently, by looking towards the CRM and events. Moreover, saved knowledge is updated definition, it is clear that satisfying the needs and into the CRM system, so that the customer‟s requirements of customer is an important and information will be up to date without being significant part of CRM. Also, one of the vital outdated. With these connections the information is goals of firms through implementing CRM is always expands in the CRM system that enhances 1579 | P a g e
  • 3. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 the profile data for customers and works like a Dimension Reference year strong instrument in making business decisions  Improves customer [27] 2005 [23]. segmentation and assessment  Enable communication Greenberg [24] stated that through through multiple selling developing the total lifetime value of customer, channels CRM can raise the true economic worth of a  The ability to gather [28] 2005 business. Moreover successful CRM strategies customer data promote customers to purchase more products, stay  identify the most valuable loyal for longer periods and be in touch effectively customers and increase with a company. customer retention is highly Curry and Kolou [25] quoted some benefits and desirable reasons for adoption of CRM :  learning from Customers from the competition will customers(customer desire come your organization, Simplify customer- knowledge) focused internal organization will make simpler the infrastructure, decrease the workflow and remove  Deliver the right product [29] 2005 non-productive information process, and Profits will and service in the right time increase from more satisfied customers and more from the right channel integrated focused company. Since adopting CRM will provide a lot of  Channels for customers to benefit in firms and their process, it would be give feedback helpful to clarify results and benefits of  Produce personalized and implementing CRM for them. Therefore, they will customizable product and have a good background about the results and services incomes from using CRM applications.  Institution of customer As we mentioned above, most of the trust in CRM systems previous studies on customer relationship  Information use and [6] 2005 management (CRM) focused mainly on exploring capture CRM benefits from organizational and managerial  Better personalized point of view, and there is a few studies that service specifically concentrate on customer‟s point of  Being more responsive to view. However, finding this benefits and reinforcing customer requirements them in the company will affect on the satisfaction  Closer relationship to its [30] 2006 of the customers. We had reviewed some of the customers and offer phone previous research and studies since 2005 to 2012 services which were about the CRM and its benefits. It will  Servicing customers and help to find the benefits which are critical for receive information to customers. For this reason we reviewed around 60 develop the level of service papers and select those studies that were mentioned offered to customers benefits of CRM for customers too. Because of the  Target commercial [2] 2006 limitation of our domain search, only 15 papers customers were recognized that were exactly mentioned and  Offerings from different discussed about the CRM benefits from customer‟s channels sides. Of course, these studies and others had  Enhanced customer mentioned some other benefits of CRM form other service views but, here we focused on the benefits which  Customized products and are for customers only. services  Advance responsiveness [31] 2009  Accelerate delivery lead- times  Enable customer knowledge management  Develop customer Table1 : CRM customer‟s benefits segmentation Dimension Reference year  Targeting the most  Enhanced customization [26] 2005 profitable customers of services and product  Improve product and offerings business innovations 1580 | P a g e
  • 4. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 Dimension Reference year Dimension Reference year  Enhance customization of communication marketing efforts and  Customized products and messages to individual services; customers  Improved customer  Permit multi-channel service efficiency and integration success  Allow multi-channel  Identify and target their [38] 2012 communication best customers  Enable personalized  Allowing the formation of products and services individualized relationships  Improve product with customers separation  Identifying the most  Focus on customers and profitable customers and their needs providing them the highest  Provide customers a level of service “one-to-one” skill  Understand and identify  Personalized services [32] 2009 customer needs and  Customers knowledge and experience empowered  Deliver high quality IV. CRM BNENEFITS FOR CUSTOEMRS service According to the above table, and reviewing the  Meet customer previous studies, we selected some of this benefits needs(personalization) which are more significant in customer‟s  Employee empower more satisfaction. We summarize them into the following time to serve up customers cases:  Advanced satisfaction  Improve customer services ratings  Increased personalized service or one to one  Targeted product and service service contributions can be  Responsive to customer‟s needs timed to match with  Customer segmentation customer actions and  Improve customization of marketing requirements  Multichannel integration  Individualization of [33] 2010  Time saving market  Improve customer knowledge  Customization of product and services According to table1 this benefit‟s rate and  Improved responsiveness [34] 2010 frequency can be seen in the following fig1 .  Valuable time savings during reduction of the search effort  Seamless communication  Enhancing customer‟s [35] 2011 attentiveness  Consolidating helpful services  Describe diverse [36] 2011 customer groups that will be served in different ways  Customer service and support service operations  Predict potential and Figure1 : CRM customer‟s benefits frequency personal customers‟ behavior Based on table1, we find the most repeated benefits  Improved capability to [37] 2011 for customers and tried to show the frequency of target profitable customers these benefits in fig 1. Based on this classification  Integrated contributions we can see these eight benefit‟s frequency and across channels numbers of repeat in these fifteen studies from  Individualized marketing customer‟s point of view. So it is important to 1581 | P a g e
  • 5. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 know and discuss about the vital benefits of CRM produce a more satisfactory transaction, and over that will impact on customers. For this reason, time, a more satisfactory relationship. Personalized having an overview about these dimensions will service should simply be better service than routine help the companies to know this importance. service that does not take the individual’s needs into account.” A. Improve Customer Services With a Personalize service companies Customer Service is a communication concentrate on what the customer desires to buy among a customer and the company, frequently by more than what the company wants to purchase. usual channels like phone or email. Regularly the Therefore, one to one service is a strategy to meet customer will have a concern or request that wants the customer‟s needs and helps them to become resolving. CRM services provide a business with happy through providing personalize service. the ability to produce, allocate and manage requests made by customers. For example, Call Center C. Responsive to Customer’s Needs software, which helps to connect a customer to the CRM is not only application of manager or person who can best assist them with technology, although it is a strategy to study more their existing problem, is one of the CRM abilities about customers' needs and requirements to that can be implement in the firms and implement powerful relationships with them. organizations. Recognizing and using of this type of Customer responsiveness is providing customers service can help to the companies to improve their what they deal to obtain, nothing more, and nothing clients‟ knowledge to improve customer services less. CRM is a strong tool to help the companies to and also can increase efficiency and minimize costs focus more proactive on their customer [39]. responsiveness. CRM contains gathering Personalized services, identify and reward information about customers to discover better ways profitable customers, creating and scheduling to satisfy their needs. appointments with customer, customization of Focusing on customer needs and marketing efforts and sending messages to requirements, take the relationship one step further. individual customers , providing multi-channel It shows that companies can understand their communication , and More responsive to customer customers‟ situations and needs [42]. It‟s the right needs are some of the CRM applications ability of each customer to want the companies for foresee which can impact on customer service quality [6-7, what will bring value to them through finding and 40]. addressing their unknown wants and needs. And, A business with high service quality will these unknown wants and needs must then be satisfy customer needs while is remained changed into new products and services. For this economically competitive. Improving customer reason, CRM is a significant tool that will help to service quality is one of the important achievements the companies to know and find the needs of their of using CRM in each company. Based on Freeman customers, and be responsible about them [43-45]. & Seddon [6] the major reasons for these improvements were; information access and capture D. Customer Segmentation ,increased personalized service , and being more Segmentation is in center the process by responsive to customer needs. which objects or items are categorized or classified into groups that split similar characteristics. B. Increased Personalized Service (one to one Although these characteristics, can be one or more service) attributes. It can be defined as a subdividing the One-to-one service is about individuals popularity based on already known good and personalization. Communicating with, selling, discriminator. In CRM , segmentation is used to and servicing individuals by providing a particular categorize customers according to some similarity , and significant personal experience can be such as industry [46]. considered as personalize services. One-to-one There are many techniques for classifying service is an ability and skill of understanding a and segmentation, but in this research we just want customer‟s needs and requirements by asking to focus on the benefits of segmentation for questions and listening to their answers, in addition customers. Three ordinary group of segmentation to observing their actions. variables in consumer markets are demographics, Therefore, personalize customer service or psychographics and behavioral characteristics, like one to one service provides companies to improve loyalty status or benefits required. understanding and knowledge about the customers Segmentation or target marketing moved a that the company cares about them and also to have company‟s attention to balancing products and better knowledge about their customers' marketing efforts to be according customer needs. preferences, requirements and wants. Firms need to describe slighter and smaller According to Dwayne Ball [41] “ The rationale segments to find customer needs and preferences makes common sense: personalization should [47]. Therefore, customers can be segmented to 1582 | P a g e
  • 6. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 groups based on ages, gender, demographic and etc. channels and incorporate it with other related Though this, CRM will provide a capability of information [52]. dividing customers based on their needs. It will help companies to categorize their customers according G. Time Saving to their requirements into similar groups. CRM Faster and quicker time to market is application will facilitate the process of significant to organizations looking for a segmentation for companies. competitive edge. It is also critical for customers to have a fast respond in sale process from the E. Improve Customization of Marketing company and do not waste their time in buying Customization of marketing means that, process or product delivery. Organizations can take the company or organization adapt and change its benefit of CRM capabilities that simplify the services or products based on presenting a unique development and deployment cycle to respond to product or services for each customer. the customers. CRM systems bring in functionality With the purpose of ensuring that customer needs and enhancements, more quickly, at lower cost and and requirements are met Customization is used by enabling IT to be more responsive to business the organization[48]. Firms can invest in needs. information gaining about customers and then One of the useful benefits of using a CRM customize their products as best as they can to system is reduction in using paper in the company contest customer interests. or during interacts with customers. All processes Moreover, communication can be that were done by forms and paperwork can be customized with customers for improving the virtualized and mechanized within a CRM solution. product or services for a specific customer. As the Not only this process can save time and money ability of CRM to customization of the services, spent on paper, but it also makes a firm more Customization of services and products is one of the environmentally-friendly with customers. benefits of CRM for customers [49]. CRM systems can store and organize every detail of each individual and customer and easily F. Multi Channel Integration retrieval them. Sell person or employee can save the Nowadays, the range of Customers channel time of themselves and customers for searching choice is changed and therefore, a winning CRM about the information. In addition managers and need to more efficiently manage customer marketers of the company can better analyze relationships inside a multichannel environment. customer behaviors and trends in less time and then, Technology, customer potential, and competitive perform more systematic research about the forces, are more and more convincing local company‟s customer base and product companies and firms to support customer service offerings. CRM will let companies to interact with operations from some delivery channels as much of customers more frequently, by personalized the customer knowledge occurs within this channel massage and communication way which can be environment. produced rapidly and matched on a timely basis, The multichannel integration development and finally they can better understand their has a important responsibility in CRM since it takes customers and therefore look forward to their needs the result of the business strategy and value-creation [53]. processes and change them into value adding communications with customers [50]. Multi- H. Improve Customer Knowledge channel integration can maintain all three phases of Tracking customer behavior to customer CRM which are acquisition, extension and tastes and needs is a motivation for a firm to retention. According to Goersch [51] multi- implement CRM systems. Firms can make and channel customers are more loyal and spend more develop enhanced products and services through than other customers. It is also valuable for retailers using this information [54].Since Customer that connect in CRM. Multi-channel integration is knowledge is changing rapidly CRM applications good for a transactional marketing approach, where help organizational improve their knowledge about retailers are just interested in effective customer the customers by analyzing purchase behavior achievement. Therefore, CRM strategy may needed through different channels of the customers all three phases to be implemented, multi-channel customer [55]. CRM systems give a competitive integration residue valuable although just one or advantage in improving firm‟s collection of two goals are obtained [51]. customer information to customize product and Multichannel integration shows the point services according to customer needs. of co creation of customer value in CRM. On the According to Sunil Mithas [55] “Customer other hand, a company‟s skill to perform relationship management applications help firms multichannel integration successfully , is heavily gather and use customer knowledge through two dependent on the organization‟s ability to collect mechanisms. First, CRM applications enable and bring together customer information from all customer contact employees to record relevant 1583 | P a g e
  • 7. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 information about each customer transaction. After Marketing Management, 2008. 37(2): p. this information is captured, it can be processed 120-130. and converted into customer knowledge on the basis [3] 3. Rogers, M., Customer strategy of information-processing rules and organizational observation from trenchesmarketing, 2005. policies.” 69: p. 262-263. Customer knowledge also can benefits [4] Gartner, What's 'Hot' in CRM Applications customers through enabling the company to respond in 2009. 2009. their needs based on their purchasing behavior and [5] Winer, R.S., A framework for customer their suitable services. By this reason finding the relationship management. California taste of the customers and personalize the products Management Review, 2001. 43(4): p. 89- can be the result of customer knowledge. 105. [6] Freeman, P. and P.B. Seddon, BENEFITS V. CONCLUSION FROM CRM-BASED WORK SYSTEMS, in New technologies affects on companies by Conference on Information Systems accelerating the speed of knowledge and (ECIS), 2005 - csrc.lse.ac.uk. 2005. information through them. Nowadays, managers [7] Darshana Sedera and W. Wang, Towards and owners are gradually convinced about using of a CRM and SCM Benefits Measurement CRM in their company to improve the revenue and Model, in International Conference on profit, quality of product and services, customer‟s Information Systems (ICIS) at AIS retention and satisfaction. By implementing a Electronic Library (AISeL). 2009. successful CRM, the benefits are emerging and the [8] Khalid Rababah, H.M., and Huda Ibrahim, companies are more interested in using CRM Customer Relationship Management systems. Although there are so many benefits for (CRM) Processes from Theory to Practice: companies which are the result of implementing The Pre-implementation Plan of CRM CRM but there are some benefits that will have a System. International Journal of e- positive impact on customers too. So it would be Education, e-Business, e-Management and beneficial to classify and group those benefit that e-Learning, 2011. 1(1). can affect customers. It is clear that using and [9] 9. Nguyen, J. Sherif, and M. Newby, implementing CRM will have an impact on Strategies for successful CRM customers, since they are using CRM applications implementation. InformationManagement indirectly. & Computer Society,, 2007. 1(15): p. 102- 115. These study and its classification shows [10] Rigby, D.K., F.F. Reichheld, and P. the most important benefits of CRM from Schefter, Start with customer strategy.. customer‟s point of view, through reviewing limited Harvard Business Review, 2002. 80(2): p. previous researches. Since our domain is limit, there 103. can be others benefits that are missed to consider [11] Chang, H.H., Critical factors and benefits here. According to our review companies and in the implementation of customer managers can have a better guideline to know which relationship management. Journal of Total factors are more important for their customers and Quality Management and Business invest time and attempt on them. It is obvious that Excellence, 2007. 18(5): p. 483-508. enhance and improve these benefits will have a [12] Bose , R., custoemr relationship positive impact on customer‟s satisfaction and management , key component for IT retention. So satisfying the customers means success. industrial management and data increasing revenue and income for business. systems, 2002. 102(2): p. 89-97. Consequently it is in imperative part on the policy [13] Sathish, S., Pan, S. L., & Raman, K. S., makers and strategist of each company to Customer relationship management (CRM) understand and improve the benefits of CRM from network: A new approach to studying customer‟s viewpoint which can finally lead to CRM. , in Eighth Americas Conference on customer‟s satisfaction. Information Systems (AMCIS),Dallas, TX. 2002. REFERENCES [14] Buttle, F., customer relationship [1] Ballou, R.H., The evolution and future of management: Concepts and tools. Sydney. logistics and supply chain management. Elsevier., 2004. European Business Review, 2007. 19(4): p. [15] Goodhue, D.L., Wixom, B. H., & Watson, 332 - 348. H. J, Realizing business benefits through [2] 2. Richards , A. Keith, and E. Jones, CRM: Hitting the right target in the right Customer relationship management: way. 1(2), 79-94. MIS Quarterly Finding value drivers. Industrial Executive,, 2002. 1(2): p. 79-94. 1584 | P a g e
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  • 9. Nastaran Mohammadhossein, Dr.Nor Hidayati Zakaria / International Journal of Engineering Research and Applications (IJERA) ISSN: 2248-9622 www.ijera.com Vol. 2, Issue 6, November- December 2012, pp.1578-1586 OBSESSION? The Australasian Powder management (CRM) on repurchase: A case Coater Painter-Fabricator, 2000. 29(2). study of (GOLDEN TULIP) hotel [43] Chen, Q. and H. Chen, Exploring the (ACCRA-GHANA). African Journal of success factors of eCRM strategies in Marketing Management, 2011. 4(1). practice. Database Marketing and [50] Adrian Payne*, P.F., The role of Customer Strategy Management,, 2004. multichannel integration incustomer 11(4): p. 333-343. relationship management. Industrial [44] Jonghyeok Kim , E., Suh , Hyunseok, Marketing Management, 2004. 33. Hwang, A MODEL FOR EVALUATING [51] Daniel Goersch MULTI-CHANNEL THE EFFECTIVENESS OF CRM USING INTEGRATION AND ITS IMPLICATIONS THE BALANCED SCORECARD. FOR RETAIL WEB SITES ECIS, 2002. INTERACTIVE MARKETING, 2003. [52] Adrian Payne , P.F., A Strategic 17(2). Framework for CustomerRelationship [45] Mark Xu, J.W., Gaining customer Management. Journal of Marketing, 2005. knowledge through analytical CRM. 69. Industrial Management & Data Systems, [53] Corie. The Top 5 Time-Saving Benefits of 2005. 105(7). CRM. 2011; Available from: [46] Collica, R.S., CRM Segmentation and http://www.articlesbase.com/small- Clustering Using SAS Enterprise Miner. business-articles/the-top-5-time-saving- 2007. benefits-of-crm-4068287.html. [47] Injazz J. Chen, K.P., Understanding [54] Nambisan, S., Designing Virtual Customer ustomer relationship management Environmentfor New Product (CRM):People, process and technology. Development: Toward a Theory. Business Process Management Journal, Academyof Management Review,, 2002. 2003. 19(5). 27(3). [48] Adele Berndt, F.H., and Lindie Roux, [55] Sunil Mithas, M.S.K., & Claes Fornell, IMPLEMENTING A CUSTOMER Why Do Customer Relationship RELATIONSHIP MANAGEMENT Management Applications Affect Customer PROGRAMME IN AN EMERGING Satisfaction? Journal of Marketing, 2005. MARKET ©Journal of Global Business and 69: p. 201-209. Technology, 2005. 1(2). [49] George K. Amoako*, E.A., Christiana Bandoh and Rachel Kafui Katah, The impact of effective customer relationship 1586 | P a g e