1. “I know who you are, I remember you. I get you to
talk to me. And then, because I know something
about you, my competitors don't know, I can do
something for you my competitors can't do - not for
any price” -NEWELL, 2000

3. Group-III
Sunanda Sarker (161201)
Iftekhar Alam (161202)
Md. Foysal Ahmed (161204)
A.S.M. Misbaul Islam (161220)
Md. Ataur Rahman (121621)
Md. Shakhawat Hossain Dhali (161231)
Shilpi Rani Das (161240)
A. B. M. Kalim Ullah (161245)
Johary Bin Akhter (161246)
Partha pratim Debnath (161255)

4. Customer Relationship Management (CRM):
“Customer relationship management is the commitment of the company to
place the customer experience at the center of its priorities and to
ensure that incentive systems, processes and information resources
leverage the relationship by enhancing the experience”
-----Peter Keen(1997)
Figure: CRM Strategies Three phases of CRM

5. Electronic Customer Relationship Management (e-CRM):
Old CRM + Internet = e-CRM
Components of e-CRM

6. Goals & Objectives of e-CRM
Goals
• Reduce : Costs of marketing
• Improve :
– Accuracy and relevancy of
recommendations
– Customer satisfaction
• Increase :
– Conversion rate, i.e., Turn browsers
into buyers
– Customer retention and frequency
– Order size
– customer response
– competitiveness through
differentiation
– Profitability.
Objectives
– To provide good customer
service
– To discover new customers
– To enhance customer
loyalty/retention
– To help sales staff close deals
faster
– To simplify marketing and sales
processes.
– To reduce the costs (like
administrative)
– To increase the goodwill
profitability etc. by increasing
the customer satisfaction level.

7. Movement of CRM towards the e-CRM
Evolution of CRM and e-CRMEvolution of E-CRM

8. Levels of e-CRM
Foundational services
Customer-centered services
Value-added services
Customer retention and referrals
Leveraging customer equity through cross-selling and up-selling
Customer development through personalization and customization
Customer requisition through referrals
Four stages of Customer Life-Cycle

9. Differences between CRM and e-CRM

10. Need for E-CRM implementation
• Information integration application
– An incomplete view of customers reduces their loyalty and trust
– Consolidating customer data and information from different sources
– To keep up with every customer’s interaction
• Customer analysis application
– Measures, predicts, and interprets customer behaviors
– Predictive models to identify the customers most likely to perform a
particular activity
– Online analytical processing, data mining and statistics
• Real-time decision application
– To coordinate and synchronize communications across disparate customer
– An effective real-time decision application promotes information exchange
between the company and every customer
• Personalized messaging application
– Building customer profiles and enables customized product and service
offerings based on the information integration application.

11. Technology Adoption in case of e-CRM
Figure: An overview of the components of e-CRM technologies

12. Steps to e-CRM Success
 Knowledge Management
What actions to take as a result of this knowledge.
 Database Consolidation
Re-engineering the business process around the customer.
All interactions with customers recorded in one place.
 Integration of Channels and Systems:
Respond to customers through their channel of choice E-mail, phone, chat line,
etc.
 Technology and Infrastructure:
Organization and scalability of technology must be able to handle increased
volume of customers.
 Change Management
More than a change in technology is required
Change in attitude and philosophy is key Product centric focus vs. customer
centric focus

13. Benefits of e-CRM
 Bank’s Perspective
Increased sales revenues
Increased convenience
Improved customer service rating
Decreased administrative costs
Ability to introduce new schemes at a faster
rate.
Facility to the customer in his mobile
business life
Improved speed of dissemination of
information
Reduced subjectivity in operations.
 Customer Perspective
Easy Customer Interaction with the banks
which will cause for satisfaction. The
interaction process may include three
major factors: information
exchange, business or financial
transaction, and social exchange.
Speedy processing of transaction through e-
response.
E-CRM improves and maintains transactions
security of the customers.
Trust and Convenience is a major benefit
provided to the customers of the banks.
Increasing the rate of accuracy of the
transactions via e-CRM that is
improvement of service quality.

14. E-CRM in Banks
MARKETING :
Marketing was the most often function associated with CRM.
Ling and Yen (2001) had described the evolution of CRM from
direct sales to mass marketing, target marketing and then to
customer relationship. Thus marketing emphasizing that
marketing and CRM were inseparable.
SALES :
The sales function is direct interaction with customer which
made up CRM (Kin caid 2003) it was important to develop sales
strategies at customer level to achieve revenue goals .With
technologies emerging for sales function it was possible to
make the sales process more efficient and automated to
increase sales
SERVICE AND SUPPORT:
High quality customer service and support was the key to
improve retention rates and maintaining good customer
relations. In today’s competitive environment, companies pay
more attention to fulfill the needs of customers. Customer
service personnel providing support to customers require
operational integration with field service personnel and the
sales force. E-CRM can help in integrating these groups with
operational organization as a whole and the sales force. Hence
e-CRM is significantly applicable for banks all over the world.

15. Techniques of e-CRM used by the Banks
 Automated Teller Machines (ATMs)
 Telex
 Fax
 Internet
 Tele Banking / Phone Banking
 Electronic Clearing Services
 Online Banking
 Infinet
 Swift
 Mobile Banking
 Wireless Banking Services
 Electronic Fund Transfer (EFT)
 Total Branch Mechanization (TBM)
 Data warehousing and data mining.

16. Current Status of e-CRM in Banks of Bangladesh

17. E-CRM in Banks: Future Prospects
 To take advantage of this growing market, global giants like
PeopleSoft, SAP, Baan, Nortel, Talisma Corporation, Oracle Corp., Pivotal, and
Siebel Systems are planning to invest there so as to provide e-CRM softwares
and services to the companies including banks.
 On account of factors such as rise in the depositor base of banks and an
increasing tendency among the new generation banks to diversify into web-
enabled services, the number of net bank registrations has sky-rocketed. World-
wide trend shows that net banking is perceived as a convenient and fast way of
doing banking business and is fast gaining grounds.
 Once these issues relating to infrastructure and security are resolved IT-related
services will get a big boost in Bangladeshi Banks. Our government is aware of
the problems relating to e-transaction. The Government need to pass a bill
involves legal provisions relating to
piracy, defamation, advertising, taxation, digital signatures, copyrights and trade
secrets in the cyber-world and that bill will intend to facilitate e-business by
removing legal uncertainties created by new technologies.

18. Failures in e-CRM Implementation
e-CRM failure are the
following:
o Difficulty in
measuring and
valuing intangible
benefits.
o Failure to identify and
focus on specific
business problems.
o Lack of active senior
management
sponsorship.
o Poor user acceptance.
o Trying to automate a
poorly defined
process.
Failure rates in CRM from 2001-2009
 2001- 50% failure rate according to the
Gartner group
 2002- 70% failure rate according to
Butler group
 2003- 69.3% according to Selling
Power, CSO Forum
 2004- 18% according to AMR Research
group
 2005- 31% according to AMR Research
 2006- 29% according to AMR Research
 2007- 56% according to Economist
Intelligence Unit
 2009- 47% according to Forrester
Research.

19. Privacy Concern
 The more data, the better the service companies can deliver to
individual customers.
 Some known examples of these problems are conducting credit-card
transaction online of the phenomenon known as 'cookies' used on the
Internet in order to track someone’s information and behavior.
 The design and the quality of the website are two very important aspects
that influence the level of trust customers experience and their
willingness of reluctance to do a transaction or leave personal
information.
 Privacy policies can be ineffective in relaying to customers how much of
their information is being used.
 In a recent study by The University of Pennsylvania and University of
California, it was revealed that over half the respondents have an
incorrect understanding of how their information is being used. They
believe that, if a company has a privacy policy, they will not share the
customer's information with third party companies without the
customer's express consent.
 Statistics on privacy:
-38% of retailers don't talk about privacy in their sign up or welcome
email
-About 50% of major online retailers discuss privacy concerns during the
email subscription process

20. Challenges & Recommendations
 Challenges
• Creating an intelligent, unified view of customers and
their needs.
• Identify and cross-sell products, from multiple
repositories & systems.
• Assisting workforce in achieving higher
targets, reducing non-core workloads, minimizing
coordination efforts and provide actionable
intelligence.
• A single window to view end-to-end processes that
spans across systems and enforce TAT/SLA adherence.
• Converging multiple, disjoint, independent campaigns
across products, while providing visibility across
channels.
• Ensuring reliably coordinating, collaborating and
making action customer complaints across channels to
ensure fast & accurate resolutions.
• Reducing process cost and wastage while conforming
to compliance and audit standards.
• Real-time insights into processes with intelligent
reports & dashboards for pro-active actions.
 Recommendations
• First implementing may cause various troubles, but
considering positive impacts on the business, Banks
should adopt e-CRM.
• To keep symphony with the first world
countries, Bangladeshi banks introduce e-CRM as soon
as possible.
• Besides some private banks, public banks in
Bangladesh should also implemented e-CRM in their
operational business.
• Though implementing e-CRM in the operational
business, banks can improve their services to their
valued clients.
• Regulating and monitoring process can be more
improved through implementing e-CRM in banks.
• Ignoring complexity and cost, banks can get more
close to their customer through applied technological
applications.
• Banking business can expand its territory through e-
CRM.
“Banks can no longer rely on customer inertia in order to retain customer loyalty. Customers are
drifting away from inherited relationships to managed relationships, from face-to-face to virtual
banking and from branch specific to anywhere banking.”