How to rescue CRM

4 december 2002, 09:45

Many large companies?more than half in some industries?have invested big money in customer-relationship-management (CRM) software. A few have even seen the promised benefits, such as increased customer retention and higher revenues. Most, however, are still waiting for positive results. It is possible to turn around a faltering CRM initiative if you step back and look for the root cause of the breakdown, which usually occurs in one of three areas: poorly defined business logic, organizational misalignment, or technological constraints.

Every turnaround effort must begin by revisiting (and usually narrowing) the business goals for a CRM initiative. Without clear objectives, IT departments and vendors are apt to develop unnecessary and overly complex and expensive features that can work against a well-designed, cost-effective CRM system.

Marco Derksen
Partner bij Upstream

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