Advances in technology have led to the majority of companies investing in "off-the-shelf" solutions to support their communications and reduce their overheads. However, there are serious dangers in taking this approach especially when we consider how important CRM has become to many organisations and brands.
In preparation for writing this article, I did not delete emails sent to my personal and work email addresses for one day. I wanted to see how many messages I would receive in any given day from brands. Almost 200 emails were received into my mailboxes. Only 5% of the emails sent to my personal mailbox actually grabbed my interest.
Clearly there's something wrong here. When done well, CRM helps to build a profitable relationship with your customers for the long-term. It's the perfect blend of using the customer data fused with branded communications to deliver your bespoke message straight to your customers. This is complemented by being able to immediately evaluate and measure your effectiveness.
Yet when CRM is managed poorly it can do more harm than good for your brand. The widespread adoption of "DIY" packages can cause issues for brands because most CRM systems don't fit seamlessly into organisations due to:
• Limited consideration given to how the platform will form part of an organisation's integrated offering and what contribution it makes to the strategic direction.
inherent challenges with integrating legacy systems, data warehouse and existing platforms.
• Potential for human error during integration efforts.
• Perceptions that this "off-the-shelf" approach will solve all of the current business challenges including reducing costs of communications.
• Unexpected costs, as many businesses realise the need to buy additional plug-ins or software either to address extra capabilities or help with integration.
CRM packages can't manage your customer relationship for you. They provide the technology that will deliver the message to your customers but marketers still require a strategic ambition. Thought must be given to the message an individual will receive, how this correlates with what we know about that customer and with the overall brand experience.
Off-the-shelf programs, when used well, can support a clever multi-channel approach with data supporting the brand to allow you to speak directly to your customers. However, we need to remember that technology is a tool and only as effective as the information we put into it.
By Lorraine Tabet, planning director, JWT London.
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