analyze here the reasons for which, very often, the CRM does not work.
E 'should make a point: today, the activities' relationship marketing are generically referred to as "CRM". So, I will continue 'to use "CRM" without distinction.
In two articles (which has taken in his later books), Hughes explains why ', in his opinion, the premises upon which the CRM are wrong.
- recording enough data, the company will be able to 'do the right offer, to the right person at the right time
Hughes says that you will not have enough data to know what the customer wants it, because' choices' s acquisition change for reasons that are not recorded in a database.E 'objection to the right, albeit on Amazon.com, 1to1 marketing works. But it is' unthinkable generalize this example?
- Companies must move from product-centric to customer-centric
Hughes says that companies never change their whole organization, because it 's good that there are marketing and product manager.Anche and this' objection right,' cause the work positioning brand and the acquisition of new customers to be done. But it 's also true that without a customer manager who gets paid to retain customers, CRM is the son of nobody.
- The operation 'success, but the customer and' dead
The "traditional" methods of CRM (large data warehouse for billionaires and investment management and data analysis) the cost of the solution exceeds the profits Add taken from the solution.
A simple simulation that compares a CRM system with a more 'limited' marketing database (archive that contains only the best customers and less information than the data warehouse) shows that - assuming similar results - the CRM system reduces profits, both with respect to the marketing database, which compared to the same business activities without any 'of CRM!
The problem, according to Hughes, and 'that the CRM industry tends to be unnecessarily complicated (and expensive). In our view, that 'comes from the fact that the CRM and' became a hot topic "putting in the wake of the Internet and the business with the suffix" e ", which has inherited business objectives often non-existent or ridiculous, unjustifiable investments by the rules of proper management, jargon and abstruse prose.
Do not confuse the means with the end. Ask yourself how could the CRM increase your profits and give yourself clear and measurable responses. Only if you can find answers soddifacenti you can think of technological solutions, and there will be 'spoiled for choice.
And if you can not find it? Well, the CRM is not for you.
REFERENCE
Why CRM is failing
The Failure of CRM Mathematics
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