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CRM System and Customer Satisfaction

   

Added on  2023-01-06

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Knowledge Exchange Project
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Contents
INTRODUCTION...........................................................................................................................1
Business case...............................................................................................................................1
LITERATURE REVIEW................................................................................................................2
Theme 1: CRM system improve customer satisfaction...............................................................2
PROJECT OBJECTIVES................................................................................................................5
PROJECT METHODOLOGY........................................................................................................5
PROJECT PLANNING AND RESOURCING 950........................................................................7
PROJECT RESULTS AND FINDINGS.......................................................................................12
REFLECTION...............................................................................................................................22
REFERENCES..............................................................................................................................24
APPENDIX....................................................................................................................................25
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INTRODUCTION
Overview of issue
In present times, it has been found that there is decline in customer satisfaction of Aldi.
Also, sales and profit of company is reduced as customer complaints are not being solved.
Besides that, it has been identified that there is rise in complaints of customer regarding poor
quality of products, delay in delivery of products, poor service quality, etc. (Sigala, 2018).
Moreover, customers are also complaining about customer care staff that their issues or problems
are not being solved. Hence, they are not satisfied with after sales services being provided to
sales but also in maintaining strong relation with customers. With that it focusses on retaining of
customers for long time. Thus, project objective is to maintain customer relation by solving their
complaints and fulfilling needs.
Business case
The business case is that CRM will benefit in many ways to Aldi. It is necessary to install
CRM to enhance customer satisfaction. For that CRM is installed. The project will be useful in
solving all queries and issues faced by customers. It gives real time data about customer needs so
on basis of that it is fulfilled (Santouridis, and Veraki, 2017). Then, accordingly profile of
customers is prepared and they are targeted on basis of it. However, there are certain risk as well
which can occur in implementation of CRM system. First is project may get fail due to lack of
funds. It might happen that organization is not having sufficient funds. Along with it, major risk
is technical failure. In CRM there might be error or defect in software or application installed in
it. Hence, CRM may not work in effective way by which customer services are not provided
properly. Also, it may result in poor quality of services. Alongside, Aldi may not be able to
manage and handle CRM.
Project cost benefit analysis
In all project it is required to do cost benefit analysis as it is process through which
decision, methods, system, etc. are analysed. With that it enables in determining value for
intangible. It is built on finding out benefit of taking an action and costs. Hence, at last it will be
determined whether project is feasible or not for Aldi. Here, it has been found that implementing
of CRM system will be feasible as cost of retaining of customers will reduce. Moreover, the
CRM system is valuable as there is minimum consequence of it (Guha, Harrigan, and Soutar,
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2018). In addition, there are several benefit of system. It will enhance customer satisfaction and
provide high quality customer services. The cost requires to maintain data of customer will
decrease. Project will reduce marketing cost as customer are easily retained through it.
LITERATURE REVIEW
Theme 1: CRM system improve customer satisfaction
As elucidated by Anshari, and et.al., (2019) CRM consist of various features which helps in
maintaining relationship with customers. Basically, organisation implement this system to build
relation and retain customer for long term. By that they are able to gain competitive advantage in
market. Alongside, customer issues are solved easily from it. Besides, system gather data and
info of customer interest, taste, preference, etc. by which it becomes easy to provide products
and services to them. This is useful in improving customer satisfaction and retention. It focus on
enhancing customer experience. Apart from it, CRM help in keeping in them. Due to it, company
is not able to retain them. There is decrease in customer base as well. Furthermore, it has led to
creating negative impact on Aldi brand image and reputation in market as customer are
complaining about poor quality of services. Thus, it has highly impacted in negative way on
organization image. Besides, it is found that the data and info is not being managed in effective
way by employees of Aldi. Alongside, data is not stored in segregated and proper way due to
which customer needs are not fulfilled. Thus, these are issues that is being faced by Aldi. Aldi is
a retail super market chain that operate at global level in 20 countries. It was founded by Karl
and Theo in 1946. It’s headquarter is in Essen, Germany. Usually, they provide various grocery
and household products. This is a private firm and there are over 11, 235 stores of company in
different countries such as UK, US, Germany, etc.
Thus, it requires an effective CRM system to be implemented to solve all issues. This
will enable in storing of customer data and info in proper way. Also, firm will remain engage
with its customers. In this way they remain loyal and satisfied.
Project background and business case
In order to solve issue of rise in customer complaints and solve them a project has been
undertaken by Aldi (Talón-Ballestero, and et.al., 2018). The project is to design and implement a
centralized CRM system. The system will store data of customers in segregated manner.
Moreover, it will help in solving customer complaints easily by determining their needs. Also, a
strong relationship will be built through CRM. So, overall sales process will streamline that
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result in improving quality of customer service as well as quality. Here, a strategy is developed
that focus on managing customer’s info and relationship. With that profitability of firm will
enhance as well. The project will not only help in increasing
touch with customers. This results in converting customers to loyal one. The info included in
it is of wide range. For example- past history, preference, purchase, address, name, etc. hence,
segmentation is done to target audience on basis of their needs. Other than this, right message is
send to right people. It gives insight about opinion, views, of customer by which it is easy to
keep them happy. Hence, personal relationship is developed through which their needs are
fulfilled. Thus, their needs are easily fulfilled by providing right product.
In accordance with Chatterjee, Ghosh and Chaudhuri, (2020) customer relationship
management software assists company in manage their interaction with current and potential
customers. It assists organisation in becoming more efficient. By installing this system Aldi can
be able to retain consumers and also they will be able to analyse their needs as well as demands.
This system can assist organisation in enhancing consumer satisfaction. It helps in driving sales
growth and profit. The consumer experience can be enhanced and also it can assist in building
future of company. It has been analysed that if the CRM system assists in enhancing consumer
experience by providing them with what they want. It has also been analysed that CRM system
can assist Aldi in maintaining effective relationship with consumers. By this firm can be able to
grow and also by this they will be able to achieve set target as well as objectives.
In the opinion of Pohludka and Štverková, (2019) It can be used for enhancing relationship
with clients. The company will be able to store consumer’s data and by this they will be able to
grow. They can be able to increase consumer engagement. It has been analysed that CRM can
benefit the business in number of ways. In this the organisation can be able to send automated
emails to their consumers. This will assist Aldi in increasing their brand value as well as image.
They can be able to reposition brand because of this. It has also been evaluated that CRM can
assist organisation in enhancing their profit as well as revenue. This will assist them in enhancing
satisfaction level of consumers. Company will be able to retain workers. It has also been
analysed that by making use of Customer relationship management system, Aldi will be able to
attract consumers as these will be able to know about needs and demands of consumers. It has
also been analysed that CRM assists form in making better and effective communication. This
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can assist them in making better relationship which is really necessary for growth of company. It
can also support in increasing productivity as well as operational efficiency.
As stated by FreeCell, Hedman and Carlsson, (2017) CRM can assist in making decision.
Aldi can be able to make fast decisions by making use of the CRM system. Firm can be able to
grow and achieve their set target and objectives. Sending messages that are personalized will
help build a connection with the customers and add to their positive experience with your
company. It will assist in keep the experience of person updated. It has also been analysed that
this can assist organisation in growing. Brand reputation and consumer loyalty can be created by
making use of this CRM software. It can assist firm in growing and also because of this firm will
be able to achieve objectives. The system will store data of customers in segregated manner.
Moreover, it will help in solving customer complaints easily by determining their needs. Also, a
strong relationship will be built through CRM. It has been analysed that organisation capacity
can be increased by making use of this software system.
But as ( critiqued by CRM always does not help in effective decision making. This is
because customer needs vary with trends. Thus, products are not designed accordingly. Besides,
it require huge funds to maintain CRM system. So, lack of resources may affect on efficiency of
CRM. Moreover, regular updating of CRM can led to failure. The data and info may not be
secured. In addition, for using advance technology it require to hire experience HR. this results in
rise in cost. There is need to provide effective training as well to HR to operate and handle CRM.
It can assist them in making decision. It is necessary to install CRM to enhance customer
satisfaction. The software is useful in solving queries of the customers. By making use of this
software company will be able to store their consumer data. Thus, assisting them in designing the
products and services according to it. Installation of this software is really necessary for
consumer satisfaction. Aldi will be able to increase their profit as well as revenue. CRM system
assists in finding potential new customers. It also allows company in analysing their needs and
demands. This assists in making better connections with consumers which is necessary. It has
also been analysed that needs and Reponses of consumers are attached with their expectation.
The poor service of organisation can be enhanced because of making use of this system. It can
assist in increasing profit as well as revenue. It can also assist in achieving set target as well as
objectives. The operational efficiency of firm can be increased because of this. The growth of
organisation can be increased (Girchenko, Ovsiannikova and Girchenko, 2017). Consumer
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