Electronic Customer Relationship Management Strategy and Organizational Performance of Associated Motors Limited (K) Ltd

Abstract

E-CRM systems provide customers with added brand value through time savings, provide convenience and allow customization .Firm’s need to develop techniques to monitor customer use of their website and deliver content depending on the client’s needs. Cross functional teams are becoming more important in all aspects of corporation & activities but e-CRM remains dominant. Cross functional e-CRM teams deal with diverse issues such as hardware technology, business systems, managing acquisition, retention, development, migration, loyalty, win-back and privacy strategies. The study’s objective was to establish the electronic customer relationship management strategy on organizational performance of Associated motors (K) Ltd. The study undertook a case study approach whereas five managers were interviewed. The study findings indicated that e-CRM is critical for firm’s growth and performance. The e-CRM practice is a business strategy which utilizes information technology (IT) to provide an enterprise with comprehensive, reliable and integrated view of its customer base to enable processing and customer interactions. It also enhances beneficial a relationship to both parties. E-CRM is thus a technique or set of processes designed to collect data and provide information that enables the firm to evaluate strategic options. The e-CRM utilizes various modern channels of communications to enhance its effectiveness the preferred medium include the mobile phones, e-mail, social media networks. Benefits arising out of the practice are; enhanced productivity across key marketing areas relative to client identification, development of client information, managing migration, retention and loyalty programmes. Another notable benefit is increase of relationship(s) from acquaintance to friendship to partnership. Finally, e-CRM has encouraged firm’s to adopt online marketing for transactions using various channels thus a reduction of costs. Challenges also abound in any practice. This included; inconsistent training of service personal on e-platforms, lack of support beyond implementation phase and long time period is required to establish the processes. Popular retention strategies adopted include; financial bonds, customization bonds, social bonds. The study revelations indicated increase of performance of firm’s operations, sales and marketing due to customer acquisition, customer retention, efficiency, improved employee behaviour and cost reduction measures.