Important answers: CRM Structures

1. What is meant by customer acquisition?

Customer acquisition management is a term used to describe the methodologies and systems to manage customer prospects and inquiries, generally generated by a variety of  marketing techniques. It can be considered the connectivity between advertising and  customer relationship  management. This critical connectivity facilitates the acquisition of targeted customers in an effective fashion.

2. Write a note on customer defection?

Customers often take their business to competitors when they feel that their needs or wants are not met or if they encounter breakdown in customer service or poor quality products.

3. What is meant by sales force automation?

The company‘s sales department is constantly new customers. The sales force automation functionality of CRM software allows the sales teams to record each contact with customers, the details of the contact and if follow up is required. This can provide a sales force with greater efficiencies as there is little chance for duplication of effort.

4. What is meant by campaign management?

The approach taken by the sales team is often focused in a campaign, where a group of specific customers are targeted based on a set of criteria. These customers will receive targeted marketing materials and often special pricing or terms are offered as an inducement. CRM software is used to record the campaign details, customer responses and analysis performed as part of the campaign.

5. What is meant by CRM formulation process?

The formation process of CRM refers to the decisions regarding initiation of relational activities for a firm with respect to a specific group of customers or to an individual customer with whom the company wishes to engage in a cooperative or collaborative relationship. Hence, it is important that a company be able to identify and differentiate individual customers.

6. Write a note on Customer Retention?

Customer retention is the activity that a selling organization undertakes in order to reduce customer defections. Successful customer retention starts with the first contact an organization has with a customer and continues throughout the entire lifet ability to attract and retain new customers, is not only related to its  product or services, but strongly related to the way it services its existing customers and the reputation it creates within and across the  marketplace.

7. What is customer defection rate?

Customer defection is the rate at which customers defect or stop the usage of products of a company. Business with high defection rate would be losing their existing customers. in order to overcome this they use another term of customer retention, in simple words its to retain or prevent the existing customers to defect the product.

8. Write a note on Customer Interaction management?

Customer Interaction Management (CIM) refers to a type of  Enterprise Software Application which is responsible for managing the interaction between an organisation and its customers. Normally, a CIM application will be deployed in a  contact centre and used by the agents while communicating with customers of the organisation. Customer Interaction Management systems handle communication across multiple different  channels, such as  e-mail, SMS, telephone,  Instant Messaging, whitemail  (scanned documents), and so on.

9. What do you mean by customer attrition?

Attrition is a process of gradually weaving down. Customers question the benefits they would accure from this continued relationship with the company in question. Attrition may lead to defection if not arrested at the earlier stage. therefore, the organizations must carefully observe attrition signals and enforce preventive measures.

10. Explain sales force automation?

Sales force automation (SFA) guide covers the most critical components of building and managing a successful and effective sales force. Learn how to get started with a sales strategy, the most important things to evaluate in sales force automation software, the latest on the mobile CRM trend and tips for effective sales management. Read comprehensive articles and expert advice to get your sales team heading in the right direction.