CRM dimensions Case Study 2022

Introduction
The thriving hospitality industry is one of the foremost industries contributing to the
economy with the initiation of technology. The technology has impacted the growth of the
hospitality industry in the present age. The technology has assisted in reducing costs,
improving operational efficiency and enhancing services along with the customer
experiences. The technology has even contributed to the hotel industry by replacing
expensive human resources with technological labor. The technology has even supported in
reducing labor costs along with avoiding customer service issues. The technology has
improved the hotel industry in the form of internet and marketing, computer systems, and
mobile communication. The technology innovations in hospitality involving CRM (Customer
Relationship Management) have come in a long way. Before the introduction of CRM, the
salespersons used to keep journals to track customer activity along with acknowledging sales
through the handwritten thank you notes. The CRM significantly relies on the concept of
forming a sustainable connection with the customers. CRM is a keystone for enhancing sales
through loyal customers as these are more lucrative than the non-loyal ones.
CRM and hotel industry
CRM is stated in different ways by different people. CRM conveys different meanings to
different individuals contingent on the functioning environment. CRM is a strategic method
enabling companies to make use of the internal resources to a successful relationship with the
customers. It helps in gaining competitive advantage and enhancing the performance of the
organization. The CRM conveys lasting benefits to the companies as a whole. Some
organizations attain more benefits from executing CRM than others. The CRM is benefitting
to the business by producing a lot of information concerning customers. Moreover, service
organizations like hotels construct relationship with the customers through CRM as an
essential feature of production and consumption. The CRM suits to the hotel industry in the
better manner when it is executed effectively and proficiently. Taking CRM into account
offers sufficient information to the hotels regarding customers. This data can be used and
transmuted into useful data about the customers. The hotel industry like any other
commercial segment has to be extremely modest to do good in the organizational atmosphere.
So CRM is of critical significance and can be used to inspire behavioral patterns of the

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regular re-purchase. CRM has important role in retaining customers for a more extended
period. It has become quite clear nowadays that the ambitious aims can only be only attained
by the execution of CRM. The CRM will result in forming effective relationship between the
hotels and their guests (Rahimi 2017, 1390).
The factors like increasing customer-acquisition costs, increasing customer anticipations,
urbane clients, price-conscious travelers, tentative market and low brand loyalty has made
hotels to concentrate on the CRM as a productive method to enable developing and
expanding the customer base. Consequently, it will support increasing profitability and guest
loyalty.
CRM dimensions
The multi-dimensional concept of CRM is comparatively new. Consequently, the choice of
information is also restricted. There are 4 comprehensive behavioral dimensions of CRM like
key customer focus, CRM organizations, knowledge-based and technology-based CRM.
These dimensions are required to work methodically in the organization to guarantee their
enhanced performance. The customer orientation as a part of the CRM dimensions is broader
as compared to crucial customer concentration. The customer-orientation has been identified
as one of the significant dimensions of the CRM. Add on, more researchers have emphasized
the significance of directing investigation on CRM dimensions in the hotel industry (Rahimi
and Kozak 2017, 48). The details regarding CRM dimensions are given below:
CRM orientation
The significant resolution behind customer orientation behavior is to enhance the long-lasting
contentment of the customers and generate customer loyalty. Consequently, it has validated
that good customer-oriented behavior in the business indeed leading to CRM in the hotel
business. CRM is a framework consisting CRM dimensions, marketing competences and
hotel performance. The dimensions make sure an enormously optimistic influence on its
business activities. The customer orientation is considered a vital feature in the effective
execution of the CRM. It has been observed that the hotels necessitate a better consideration
of the customer orientation and its excessive significance to the organizations along with the
performance (Rahimi and Gunlu 2016, 91).
In service organizations like hotels, the delivery of service takes place when there is
collaboration between service suppliers and service encounters. Hence, in order to advance

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service experience, hotel organizations are required to emphasis on customer interaction. The
positive leadership between customer and service provider makes possible to attain customer
orientation. Customer orientation indicates to enhance organizational performance.
Moreover, customer orientation is one of the market valuable bases. The customer orientation
assists administrations in comprehending customers and in conveying a suitable plan to
content customer requirements. On the other side, it has been observed that there is a link
among customer orientation and marketing planning competences. Other than this, the
valuable impact of the customer orientation strategy on the market planning capability has
influenced the successful implementation of the marketing activities. Therefore, even after
the several affirmative influences of the customer orientation on the organizational
performance, it remains a fact that there is quiet a scarcity of fiction about the influence of
customer orientation on the enactment of hotel.
CRM organization
A suitable working environment should be made advanced to improve service personnel to
demeanour customer-oriented behaviors. It can be made possible by offering staff with
contemporary tools and skill, inspirational leadership, customer-satisfaction chasing,
grievances management systems, and a proper recompenses system. According to the
outcome of the preceding compassionate working conditions, the hotels can make sure the
necessitated customer-oriented behaviors of employees. From the incidents taking place, it
has been found that CRM cannot be productive even if the hotels make use of the greatest
radical technology and acclimatize a customer-oriented tactic. The entire team is required to
participate (Palacios-Marques, Guijarro, and Carrilero 2016, 342).
Furthermore, the success of CRM not only necessitates high-tech quality or method but an
active service notion along with the appropriate operation measures. Therefore the
accomplishment of the CRM execution be contingent on the active envelopment of the
workers in the hotels. Consequently, it can be said that CRM companies have to be a vibrant
means by which organizations affect essential variations in the method they form their
authentic commercial measures for personnel, and clienteles (Tian and Wang 2017, 220).
Indeed, all the resources of the organization like policies, culture, marketing competences,
and organization arrangements have to be incorporated to execute CRM effectively and to
enhance organizational performance. The CRM used in the hotel's influence on future
marketing decisions like price, communication, brand differentiation, and distribution. In this