Customer Relationship Management @ Big Bazaar & Reliance Mart
TABLE OF CONTENTS
CHAPTER NO. Chapter 1
CHAPTER NAME Introduction Meaning of CRM Goal of CRM Evolution & growth of CRM Options for implementing CRM Various aspects of CRM
PAGE NO. 1
Research methodology Objective of research
SUBMITTED BY: Deepak Majhi Nancy AritroMukherjee Raja Rowin Gunjan Parmar size Mukul Kindo Lalit Vijay Mishra Anuradha Anurag Singh Ritu Kumari -
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Chapter 3 Chapter 4 Chapter 5
Type of research Data collection technique Sampling procedures & sample
Limitations of the research CRM @ Reliance Mart CRM @ Big Bazaar
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Customers opinion about CRM @ Reliance Mart & Big Bazaar Sales persons assistance Expectation fulfilment2
Discounts & failures Product arrangement Accessibility preference Chapter 6 Chapter 7 Comparison between CRM @ Reliance Mart & Big Bazaar Conclusion & recommendation
CHAPTEINTRODUCTIONit is not enough to have great qualities, we should also have the abilities to manage them. The same concept can also be applied in an organization. For e.g. a company may produce a very high quality products but it wont be able to succeed if it fails to manage or satisfy their customers. According to Harward Business Review an exceptionally satisfied customer is 6 times more likely to buy again as one who is merely satisfied & only 5% increase in customer loyalty can boost profit from 25% to 85%. Thus all these quotes & experts opinion highlights the importance of Customer Relationship Management. Customers are considered to be king of every business enterprise and loyal customers are the backbone of their business. So customer satisfaction is the primary motive of every business which can be attained through effective CRM (Customer Relationship Management) policy
1.1 Meaning of Customer Relationship Management (CRM):CRM is a comprehensive strategy & process of acquiring & retaining customers to create superior value for the company as well as the customers. It consists of the processes a company uses to track and organize its contacts with its current and prospective customers. To support these processes, various CRM Software like SAP, ORACLE Sales force.com etc. are used. These software record and store information about customers, various customer interactions, their problems etc which can be accessed by employees in different departments of the company. These information are used by the organization to make future plans that can satisfy the customer on a better way and retaining them for a longer period.
1.2 Goal of CRM:The goal of CRM is to provide improved services to the customers, and to use customer contact information for targeted marketing.
1.3 Evaluation and growth of the CRM:CRM passes through three generations such as 1st generation in 1990, 2nd generation in 1996 and the 3rd generation in 2002. In 1st generation following systems were applied for CRM: Call centre managementIt is a web based CRM technology, the enables users browsing a companys web site to leave a phone number where company representative can call back with more information. Customer service supportIt is a part of a companys CRM department that interacts with a customer for their immediate benefits.
Sales force automationIt is software that automates business tasks like inventory control, sales processing, customer interaction, etc-. Campaign managementIt is a planning, executing, tracking and analyzing of direct marketing campaigns.
In 2nd generation following improved systems were used for CRM: Integrated customer facing front endIt is face to face interaction between the customers and sales man. This system is used for marketing, sales and services. ERP integrationsERP stands for Enterprise Resource Planning. It is a business management system that integrates all functions of the business. Customers analyticsIt comprises all the programming that analyzes data about an enterprises customers for business decision. Complete web integrationIt allows end users to have access the data function of a serve hosted application through internet browser window. In 3rd generation the strategic CRM was followed and is continuingStrategic CRM updates and expands the original content and combines into one, convenient value that guides users through the entire CRM implementation process, from strategic planning software.
Scope and goals of different generations:There is successful increment in the scope of CRM from 1st generation to 3rd generation. In 1st generation the scope consists of service function and sales function, in 2nd generation it includes another function i.e. marketing function and in 3rd generation it includes entire function of the organization.
Goals of the CRM have also changed with better customer service from 1 st generation to 3rd generation. In 1st generation the goals were improve service operation and increase sales efficiency, in 2nd generation reduce cost of interaction, improve customer experiences, and increasing the customer interaction; in 3rd generation cost reduction & revenue growth and competitive advantages.
1.4 Options for Implementing CRM:Increasing customer is not the ultimate objective of any organization but to retain customer and t build long term relationship with them is important. It is only through CRM that a prospect can be turn into customer and then finally into a client. But to achieve these any organization require proper implementation. But at the same time CRM implementation is a challenging task because it ties together many people, process, technologies within the organization which are separate from each other.
1) IN HOUSE DEVELOPMENT- This means all the strategies, processes are developed and implemented within the organization. Advantage1. It is tailored made according to organization needs and structure thus is flexible as compared to others. 2. Avoid dependency on others be it software or outsourcing. Disadvantage 1. It is at the same time expensive 2. And comparatively takes longer time depending on the organisation. 1) BUY LICENSED CRM SOFTWARE- This is purchasing software and implementing in organization. Advantage1. Usually the maximum chance of success. 2. It just need to install and trained the workforce accordingly. Disadvantage1. Again it is expensive because of many costs as license cost, renewal cost etc. associated with it. 2. Adding new software with change is a complex task.
1) OUTSOURCING A MANAGED SERVICE- This means hiring from outside. Advantage1. Most of the times lower cost. 2. Can adopt pay- as- you go approach with visible result. Disadvantage1. For any new requirement needs to contact the company and pay for the development. 2. Also there is a risk of losing CRM solution investment if outsourcing company goes out of business
ImSTAGEWISE- In this CRM software is offered in different, independent modules, according to specific department needs. Company buys sales automation software and contact management module from different providers. ENTERPRISE WISE CRM SOLUTION- This is composed of different modules from same providers; it is implemented as a whole by connecting different modules and existing database. 1.5 VARIOUS ASPECTS OF CRM CRM includes many aspects which relate directly to one another:
Front office operations Direct interaction with customers, e.g. face to face meetings, phone calls, e-mail, online services etc. Back office operations Operations that ultimately affect the activities of the front office (e.g., billing, maintenance, planning, marketing, advertising, finance, manufacturing etc.)
CHAPTERESEARCH METHODOLOGYResearch is a systematic and objective investigation of a subject or a problem in order to discover relevant information or principles. Research methodology is basically the method of how to collect data. The information regarding our research are as follows: 2.1 Objective of our research: We wanted to understand as well as compare the customer relationship management followed by the Reliance Mart and Big Bazaar.
2.2 Type of research: Our research was empirical kind of research since we were dealing with the behavioral or qualitative aspect of customers and not the quantitative datas.here we were not supported with any exterenal data nor were adopting any secndory data to do our reaserch.
2.3 Data collection and analysis: collection, and analysis of the information gathered by Interaction with employees and customers and also by observing activities of the employees. For better understanding of CRM in Big Bazaar and Reliance Mart we also had prepared a questionnaire for both customers and managers.
2.4 Sampling procedure and sample size:persons selected by us were randomely selected .and were from different age group,sex and educational backgroun .this diversification was done to measure the different choice and preferences prevailing in customers demographycally different.
2.5 Limitations of our research: 1. Our sample size was composed of only 20 customers which is extremely small sample to represent entire population of customers who visit in these two retail stores. 2. No demographical or psychographic differences was considered before choosing the customers for interview purpose.9
3. many of the policies which were not in force due to smaller market potential their description is also been provided by managers.
CHAPTERCRM POLICY OF RELIANCE MARTCRM policy of reliance mart can be divided into four major parts, namely; 1) Customer loyalty 2) Customer retention 3) Customer communication1