Customer Relationship Marketing
Literature Review The Evolving Sales and Marketing Landscape Marketing and
business development professionals are confronting a rapidly different and
changing business landscape. The traditional business model that was once the
standard is now being transformed due to technology drivers that make advanced
marketing and sales capabilities possible. The business model of yesterday
supported mass marketing, mass production, and standardized cookie-cutter
products and services. Enterprises will have fall behind the competition if they
continue to rely and operate on this substandard model. Today, companies are
re-engineering their operations and investing in enhanced IT infrastructures,
which enable them to provide customized, personalized, information-rich products
and services. The new objective for marketers and business developers involves
understanding the needs of their clients and the markets that they serve. This
new focus on providing customer value is redefining business processes.
Professionals, who understand and anticipate this shift, are positioning
themselves ahead of the competition. The Impact of Technology Enabled Business
Processes There is no denying the effect that technology has had on the way we
conduct business. In recent years, technology has begun to play a significantly
larger role in all aspects of business, including sales and marketing. Business
processes must be re-engineered to incorporate a pro-active strategy for using
information and IT to build a competitive advantage over other organizations. In
many instances, the functionality provided by sales and marketing technology
only automates current processes.
Therefore, it is imperative that processes are
clearly defined and well proven. Automating a poorly understood or followed
process usually results in failure. Technology must be used as an enabler to
support an already sound sales and marketing strategy. Beyond automating sales
and marketing capabilities, technology is now designed to provide professionals
with a wealth of information about their company’s clients and the markets that
they serve. Companies are now able to collect data about their customers that
when analyzed and utilized properly, can result in a competitive advantage.
Online shopping is a prime example. If a customer makes a purchase, then the
transaction is completed and revenue is generated. However, if a sales
transaction is not made, the company still collects the shopper’s behavioral
data and stores it in a marketing database. The company then has the opportunity
to segment and analyze this data in order to learn more about that particular
customer shopping habits. An analysis can then be performed to determine why
this person did not make a purchase as well as what can be done differently to
persuade this person to buy their product. The company can now position the four
Ps of marketing: product, price, promotion, and place to better serve this
customer. This process the company has taken unlitmately succeeds in developing
a relationship with the customer. The company now knows more about what the
customers preferences are and how to offer them. Consequently, the customer has
a vested interest in the relationship as well, and is more likely to conduct
business with that company in the future.
