Topic: Reflection Paper
Why is technology useful to the customer relationship management (CRM) strategy and who should head the strategy and why?
Competition and other factors existing in the market environment have pushed organizations into seeking means through which they can improve on customer relationship. Competitive organizations are described by the ability to provide clients with the highest level of service and product quality, maintain their customer base and continue to build a healthy relationship (Abdul-Muhmin, 2012). Customer Relationship Management, commonly referred to as CRM, is a general description of efforts to achieve customer relationship, retain the customer base and build on loyalty and overall organizational profitability. CRM is defined as a business strategy of comprehending the complex nature of consumers, improving on customer experience and subsequently investing on a profitable customer loyalty (Erickson, 2009). In every aspect of CRM, technology has proven to be of great significance. As customer needs continue to be complex, the scope of data and analysis requirements continue to grow. The latter scenario pushes further the need for technological integration in CRM. Technology is a vast field. Thus, an organization ought to determine the form and type of technology that can be relied upon in making the customer-based decision within CRM. This discussion explores the need for technological approaches in the broader and specific aspects of Customer Relationship Management.
The Nature of Customer Relationship
The specific benefits of technology are better understood by first exploring the nature of customer relationship management. Depending on the needs of an organization, CRM can be deployed as an organizational strategy in varying approaches. Ideally, CRM is used to determine how customers behave concerning a particular product and service (Erickson, 2009). The increasing number of competitors is a factor that has dynamically affected customer behavior. For instance, consumers have attained a broad range of options to choose from. Hence, customer decision on what to consume is more rational than ever. There is also the aspect of various platforms from which customers can obtain products and service. Hence, CRM begs to understand how these and numerous other market forces and trends are influencing change in customer behavior…