L4: Customer Experience and CRM in the digital age Flashcards
What is Costumer Journey?
the process a customer goes through, across all stages and touch points, that make up the customer experience.
What is customer experience?
a multidimensional construct focusing on a customer’s cognitive, emotional, behavioral, sensorial, and social responses to a firm’s offerings during the customer’s entire purchase journey.
Which 4 social media touchpoints in social media?
Brand-owned, partner-owned, customer-owned, social/external
Why is social media important for customer experience management?
Customers now interact with firms through myriad touch points in multiple channels and media, resulting in more complex customer journeys.
· More complexity; Explosion in potential customer touch points and reduced control of customer experience
· Omnichannel-management of different touchpoints (e.g., different social media platforms)
More social: Customer-to-customer interactions through social media customer experiences are more social in nature, and peer customers are influencing experiences as well.
What is CRM?
CRM is an ongoing process that involves the development and leveraging of market intelligence for the purpose of building and maintaining a profit-maximizing portfolio of customer relationships.
What is difference between effort aimed acquisition and retention?
In allocating marketing effort, distinguish between effort aimed at acquisition (building relationships) and effort aimed at retention (maintaining relationships)
Describe CRM as a process
CRM is a macro-process that encompasses all the activities for pursuing a long-term, profitable, and mutually beneficial customer relationships; from a narrower perspective, it is a process limited to the management of customer interactions to establish and maintain durable worthwhile relationships.
Describe CRM as strategy
Firms should design and prioritize the investment of resources on relationship building and maintenance in line with the customer’s lifetime value.
Describe CRM as a philosophy?
Customer loyalty, and thus profitability, requires a continuous understanding of customers’ evolving needs for the best value delivering.
Describe CRM as capability?
The potential, additional competitive advantage that CRM can provide is tied to the capacity of gathering knowledge on current and prospective customers, and to act upon it, for instance by proactively reshaping customer interactions.
Describe CRM as technology?
Technologies for managing knowledge and interaction, linking front- and back-office functions, play a non-negligible role in firms’ relationship management efforts.
What is social CRM?
A social CRM strategy is a form of collaborative interaction, including firm– customer, inter-organizational, and intercustomer interactions, that are intended to engage and empower customers, so as to build mutually beneficial relationships with the firm and lead to superior performance.
Why is social media important for CRM?
- Connection: Social media enable firms and customers to connect in ways that were not possible in the past.
- Interaction and Influence: Social media have transformed the way firms and customers interact and influence each other. Social interaction involves “actions,” whether through communications or passive observations, that influence others’ choices and consumption behaviors.
Data: Social media data has made it increasingly possible for companies to better manage customer relationships and enhance decision making in business important source of customer analysis, market research, and crowdsourcing of new ideas
Which challenges are there in online CRM?
· Lower search costs
· global competition
· anonymity due to a lack of interpersonal interactions
· Very complex relationships
Customer spreading their dissatisfaction and complaints through social media
Evolution of online CRM
· Seamless relationships
· Networked relationships
· Omnichannel relationships
· Personalized relationships
Anthropomorphized relationships