Factors Influencing Customers

 

What makes Customer Relationship Management successful?

 

Answer

Factors making CRM a success are:

1.                  Customer value

2.                  Customer behavior

3.                  Customer satisfaction      

Customer Value

It is the bundle of benefits, which customers expect from a given product.

Implications of Delivered value

1.                  The seller must look at the total customer value and total customer cost and compares it with the offer of other competitors to know where his offer stands.

2.                  The seller has a choice to either increase total customer value or decrease total customer cost.

How to measure customer value

The following parameters help to measure customer value:

·                     Profit per customer

·                     Customer lifetime value

·                     Net present value