Based on the chapters from A South Asian Perspective by Philip Kotler Marketers maintain database of customers. Learn how marketers use the customer database to maximize their profit and its pros and cons.

1. Customer Database and
Database Marketing

2. Successful must
build, maintain, and use
customer database to transact
customer relationships

3. A Customer database
contains information
about the customer
accumulated through
transactions, registrations
info, telephone queries,
and customer contact

4. A Customer database
contains information
about the customer
accumulated through
transactions, registrations
info, telephone queries,
and customer contact

5. A Customer database
contains information
about the customer
accumulated through
transactions, registrations
info, telephone queries,
and customer contact
A business database contains
business customer’s past
purchases; past volumes, prices
and profits etc…

6. A Customer database
contains information
about the customer
accumulated through
transactions, registrations
info, telephone queries,
and customer contact
A business database contains
business customer’s past
purchases; past volumes, prices
and profits etc…
These data are collected
by company contact
center and organized into
a data mining house
where marketers capture,
query and analyze them
to draw inferences

7. Through Data Mining Company
can:
• Identify prospects
• Decide on customers who
receive special offers
• Deepen customer loyalty and
enthusiasm by remembering
customer preferences
• Reactivate customer
purchases
• Avoid serious customer
mistakes

8. Database marketing
is used when business
markets that easily
collect information from
customers
e.g. hotels
Customer relation
managements
by companies with lot of
cross-selling and up selling
e.g. Amazon and GE

9. • Some situations are not conducive to database management
• The product is once in a lifetime
• Customers have little loyalty
• The unit for sale is very low, so that CLV is low.
• The cost to gather info is high
• There is no contact between final buyer and seller
• Building and maintaining database requires large investments
• Nearly 70% CRM systems are poorly designed
• It is hard for everyone in the company to be customer oriented
• Employees still prefer the old transaction marketing
• Not all customers want a relationship with the company
• The assumptions behind CRM may not always hold true.
• Loyal customers may expect or demand more and resent to
paying full price of product or services

10. Special thanks
• https://www.flickr.com/photos/sean-b/
• https://www.flickr.com/photos/danielygo/
• https://www.flickr.com/photos/68751915@N05/
• https://www.flickr.com/photos/kimberlynmerrill/
• https://www.flickr.com/photos/griddlecakes/
• https://www.flickr.com/photos/darwinbell/
• https://www.flickr.com/photos/whyld/
• https://www.flickr.com/photos/59937401@N07/
• https://www.flickr.com/photos/dahlstroms/
• https://www.flickr.com/photos/franganillo/
• https://www.flickr.com/photos/122969584@N07//

11. Thank you!

12. Created by :
Ashwin Sasikumar
Govt. Model Engineering College, Kochi
Prof. Sameer Mathur
IIM Lucknow
www.IIMinternship.com
During an internship under :