Impact of The e-CRM on consumer loyalty in the British internet based
companiesCase of the e-retailers
Presented by: Edmond T. Compaore , Mohammed El Yakooby and Oussama Boumia .Supervised by: Miss Bouchra Kachoub
Outline
• Introduction • Background of the e-commerce/the e-retailing
in the UK.• Consumers decisions-making process online• Users and the most common set of product
sold online .• Key Factors determinig the consumer loyalty• Model -correlation between e-CRM ,loyalty and
price sentivity.• Views on e-CRM• Best practices for e- retailers• Conclusion.
Introduction
• Our purpose is to identify in which extent the e-CRM can enhance consumer loyalty and what are the best practices for e-retailers in the UK
Background of the e-commerce / the e-retailing in the UK.
• An increasingly number of internet based businesses
• A Revenue worth more than £1.8 Billions a year But Hides A troubling reality • Important number of business online failures
• Difficulty to meet the consumers expecattions
Consumers decisions-making process online
• intelligence phase = problem recognition and
information search
• Design = Evaluation product
• choice = purchase evaluation and
purchase
• Review phase = post-Evaluation
The most common set of product sold online and their users
• Rental of Books by Students.• Purchased of books by professionals of education
and adults and less by Students• CDs and DVDs by young people.• Console Games by adolescents • The Male gender users more than
female gender one.
Key factors determinig the consumer loyalty
• Security and trust
• Service-Quality attributes(speed and convenience)
• Product prices sensitivity
• Information provision.
• Profitability of the product or service
Model -correlation between e-CRM, loyalty and price sentivity.
e-Retailere-CRMEffort
Customer Perceived
e-CRM
Price Sensitivity
CustomerLoyalty
Figure 1 : Research model-linkage between e-CRM, loyalty and price sensitivity. Liz , David and Robert (2003).
Views on the e-CRM• Kalakota and Robinson (2001) stated that “Electronic consumer
relationship management arises from the consolidation of the traditional CRM with the e-business application market place”.
• « The lack of the organizational cooperation and coordination are the major obstacles to the e-CRM initiative » (Daniel, 2001).
• The e-CRM faces some problems in term of generating positive consumer attitude like consumer satisfaction.( Steven and Gary, 2002).
• A clear understanding of Consumer decision making process and the factor influcing his/her behaviour .
Implementation of the results in the e-CRM strategy
1 Best practices for e-Retailers
2 Best practices for e-Retailers
An effective and efficient management of their websites
through
increasing the speed of home
page loading
multiple languages Options
search engines
Speed transaction completion
offering multiple payment options
displaying security policies
more conspicuo
usly
Nabil, Murli and Rose (2003, pp.146-155)
Conclusion
The internet based retailers business should have a an efficient and efficient e-CRM strategy In order to:
have a better understanding of their customers Create and maintain a two-way relationships
Enhance consumer loyalty
References• Lee, L. K., David, G. and Robert, M., 2003. How e-CRM can enhance customer
loyalty. Marketing Intelligence & Planning. 21(4), pp.239-248.
• Nabil, T., Murli, R. and Rose, S., 2003.The state of online retailing. Internet Research. 13(3). pp.146-155.
• Peter, J.D., Isaac, W.W. and Robert, A. D., 2003. A Comparison of Online and Offline Consumer Brand Loyalty. Marketing Science. 22(4), pp.461-476.
• Rajiv, K., Sarv, D. and Adam, M., 2004. Understanding Determinants of Online Consumer Satisfaction: A Decision Process Perspective. Journal of Management Information Systems. 21(1).pp.115-135.
• Steven, A. T. and Gary, L.H., 2002. The impact of loyalty with e-CRM with software and e-services. International Journal of service Industry Management. 13(5), pp.452-472.