Customer Relationship Management at Starbucks

The report explores the importance of CRM in maintaining business operations effectively, enhancing customer retention and delight, and understanding loyal schemes. It critically evaluates the loyalty scheme at Starbucks and recommends innovation solutions for customer development. The document also highlights the role of Corporate Social Responsibility (CSR) in engaging customers and promoting business targets.

Task 2

Table of Contents
INTRODUCTION...........................................................................................................................1
1. Evaluate how implemented strategy can enhance customer retention and customer delight. 1
2. Discuss how implemented CSR strategy can enhance customer engagement........................1
3. Critically evaluate loyalty scheme at Starbucks and recommend innovation solution for
customer development................................................................................................................2
CONCLUSION................................................................................................................................2
REFERENCES ...............................................................................................................................3

INTRODUCTION
Customer relationship management (CRM) is widely executed strategy where company
need to manage and maintain customer interactions with their employees in better manner. The
report is based on Starbucks which are using technology for organising, arranging and
synchronise businesses process effectively (Khodakarami and Chan, 2014). CRM assist company
for properly understand the customers views and reviews.
1. Evaluate how implemented strategy can enhance customer retention and customer delight
In Starbucks organisation, there are various strategies which help them in developing and
making effective targets and goals in better manner. This can enhance the customer retention and
customer delight for making proper improvement within an enterprise. Along with this, there are
different strategies which executed for increasing customer retention and customer delight in
proper way. This will enhance the customer relationship management strategies which assist
them in increasing technology up-gradation and update in the company. For retaining customer
they require to execute some steps such as offering discounts and coupons, providing effective
rewards and awards after buying some item of Starbucks, developing appropriate scheduling for
the customers. There are various ways where CRM help in enhancing customer retention are as
follows:
 Target customers with the help of tailor made offers – Each buyer has some different
purchasing pattern which can extract the interaction point that are suitable for engage for
further schemes. Along with this, CRM can collect and gather accurate information in
effective manner (Wang and Feng, 2012).
 Assist in developing loyalty program – Each brand of Starbucks should share their
loyalty to the customers. Whatever information can be collected by using CRM software
which can carry out all different level of customer engagement in better way.
2. Discuss how implemented CSR strategy can enhance customer engagement
There are certain ways through which CSR enhance customer engagement such are as
follows:
 Engaging – Starbucks need to attract large number of customers towards developing
products and services with the help of CSR (Kumar and Reinartz, 2018). Therefore,
people who like more that is different from other need to share post with others.
1

 Transparent – In this, the business can share operation, culture and personality with
their customers so they will became more closure with an organisation that can lead
towards trust and loyalty.
 Different – In current time period, businesses required to compete with rivals in proper
manner. With the assistance of this, they need to implemented CSR strategy which help
in promoting set business targets and goals in effectively. In this, CSR oriented content
are based on customer attention, so this will display the duty and responsibility with
compare to businesses.
3. Critically evaluate loyalty scheme at Starbucks and recommend innovation solution for
customer development
Starbucks has been attributable with alteration of the coffee business. Starbucks rewards
often as one of the best marketing loyalty program in present time period. The company provide
various schemes to their customers at large market place which also help in attracting more
customers towards their services and products (Stone, 2012). Along with this, it can be
recommended that they require to make proper innovation solution which help them in
enhancing customer development strategies or policies effectively. If firm will developing new
unique and innovative product so this will gaining attention of large number of customers and
also increasing customer development towards Starbucks items and services.
CONCLUSION
As per the above report, it can be concluded that Customer relationship management is
focus on updating and upgrading all systems which used for maintaining business operations in
proper way. For implemented effective strategy, it can increasing the customer retention and
delight. CSR strategy can increasing customer engagement and also understand the loyal scheme
of Starbucks.
2

REFERENCES
Books and Journals
Stone, M., 2012. Customer Relationship Management. The Marketing Century: How Marketing
Drives Business and Shapes Society the Chartered Institute of Marketing, pp.115-137.
Kumar, V. and Reinartz, W., 2018. Customer relationship management: Concept, strategy, and
tools.
Khodakarami, F. and Chan, Y.E., 2014. Exploring the role of customer relationship management
(CRM) systems in customer knowledge creation. Information & Management. 51(1).
pp.27-42.
Wang, Y. and Feng, H., 2012. Customer relationship management capabilities: Measurement,
antecedents and consequences. Management Decision. 50(1). pp.115-129.
3