CRM Effectiveness Research Report

This report investigates the effectiveness of Customer Relationship Management (CRM) in strengthening the customer base of Marks & Spencer. It employs a qualitative research methodology using an interpretivist philosophy and an inductive approach. Data was collected through questionnaires distributed to five Marks & Spencer managers and supplemented by secondary sources like books, journals, and online resources. The analysis reveals that Marks & Spencer utilizes CRM effectively, gathering customer information, building relationships, and boosting sales. However, areas for improvement include enhancing the feedback system, improving data tracking, and providing more CRM training. The report concludes that CRM is a valuable tool for strengthening customer bases but requires continuous improvement and adaptation to technological advancements.

Research For Senior
Managers
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................4
Overview......................................................................................................................................4
Rationale of study........................................................................................................................5
Research Aim...............................................................................................................................5
Research Objectives.....................................................................................................................6
Research Questions......................................................................................................................6
RESEARCH METHODOLOGY.....................................................................................................6
Research technique......................................................................................................................6
Research philosophy....................................................................................................................7
Research approach.......................................................................................................................7
Data Collection Method...............................................................................................................7
Accessibility Issues......................................................................................................................8
Ethical issues................................................................................................................................8
Data Analysis Plan.......................................................................................................................9
Research Limitations...................................................................................................................9
IMPLEMENTATION PLAN..........................................................................................................9
INTRODUCTION.........................................................................................................................11
Overview....................................................................................................................................11
RESEARCH METHODOLOGY...................................................................................................12
Research technique....................................................................................................................12
Research philosophy..................................................................................................................12
Research approach.....................................................................................................................12
Data Collection Method.............................................................................................................13
Sampling Method.......................................................................................................................13
Accessibility Issues....................................................................................................................13
Ethical issues..............................................................................................................................13
Data Analysis Plan.....................................................................................................................14
LITERATURE REVIEW..............................................................................................................14
DATA ANALYSIS........................................................................................................................17
RECOMMENDATION AND CONCLUSION.............................................................................23
REFERENCES..............................................................................................................................25
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APPENDIX....................................................................................................................................28
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Topic: “To assess the effectiveness of CRM in strengthening the customer base: A study on
Marks and Spencer”
INTRODUCTION
Overview
Customer relationship management (CRM) is considered as a significant aspect under
diverse managerial activities. It is referred as an essential practice that helps business
organisations to manage relationship with customers in an effective manner. In other aspect,
business entity can easily have regular interaction with clients through use of CRM at the
workplace (Preuss, 2009). Main rationale behind the application of customer relationship
management is to improve the business relationship with customers. It also helps in enhancing
customer retention ratio so that business can have impressive level of success. In addition to this,
CRM also plays a vital role in the formulation of organisational philosophy in order to identify
service user requirements and improve their satisfaction level (Ritchie and Lewis, 2013).
Now days, business firms are also using computerized CRM systems to identify
customer’s needs and acquire strategies that can enhance opportunities for them. Customer
relationship management facilitates in understanding the key requirements of clients so that goals
can be accomplished in an appropriate manner (Kumar, 2010). Customer base is considered as a
team of service users which focuses on the repetitive purchase of products and services in order
to meet their requirements. However, service user base needs to be considered as a significant
factor because it helps in generating more revenue (Buttle, 2009). In this, management of
business entities focuses on market research and analysis of individual experience as it provides
learning about customer behaviour.
Current research proposal will be designed to analyse the effectiveness of CRM in
strengthening the service use base and improving the performance. In addition to this, researcher
will consider CRM activities of Marks and Spencer. It will provide information about concept
and practice of CRM in respect to retail sector (Richards, 2008). Further, it has been identified
that enhanced use of internet has also promoted the application of CRM in the retail sector. Due
to this, it is essential for management to understand the buying behaviour of customers and other
factors that can impact the development (King and Burgess, 2008). It will also assist in gaining
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idea about buying behaviour of Marks and Spencer’s customers so that business can have better
opportunities.
Rationale of study
In the present era, most of the international market firms are focusing on the use of
customer relationship management in order to improve their customer base because it facilitates
in building strong relationship with users. Further, various researchers have conducted several
investigations in regard to customer relationship management but they have not mentioned any
comment on its effectiveness in strengthening the client base. Due to this, researcher will focus
on the concern topic (Krasnikov, 2009). Now days, retail sector focuses mostly towards the
application of CRM tools and techniques in order to enhance their reach towards the service
users. It helps businesses to attain better customer base and enhances the overall sales. Main
rationale behind the selection of Marks and Spencer is that it is referred as one of leading retail
organisations in the global market scenario (Ngai, 2009). This organization is continuously
focusing on the adaptation of various CRM techniques that can accomplish its goals and
objectives in a desired manner. It will assist management to analyse the effectiveness of CRM
techniques in strengthening the customer base so that better strategies can be designed to
improve organizational reach among customer's. With this study, actual evidence will be offered
to retail companies about how CRM is meeting the needs of targeted group and how this strategy
can be used for boosting the firm's profitability (Fader, 2009).
Research Aim
Aim: “To assess the effectiveness of CRM in strengthening the customer base: A study on
Marks and Spencer”.
The aim of current study will be to assess the effectiveness of customer relationship
management (CRM) in strengthening the customer base and gain competitive advantage in the
market. It will provide an assistance in understanding the concept of CRM and evaluate the
factors that impact the customer buying behaviour (Chilisa, 2011). It will also provide learning
about customer buying behaviour and its relationship with CRM. In order to meet the aim,
working of Marks and Spencer will be considered as a critical aspect.
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Research Objectives
In order to meet the aim of research, it is essential to focus on research objectives.
Classification of the defined objectives is as follows:
 To analyze the concept and practice of CRM in the retail sector with special reference to
Marks and Spencer.
 To determine the forces that influence relationship with consumer and help in gaining
effective customer base.
 To assess the effectiveness of CRM in meeting the requirement of target market.
 To recommend ways to Marks and Spencer for practicing CRM in more efficient manner
in order to boost the customer base.
Research Questions
 How CRM is being practicing in Marks and Spencer?
 What are the various elements that assist in building relationship with customers and
meet their requirements?
 How buyer behavior can be impacted through CRM tools and techniques?
 What are the methods under CRM practices that can enhance customer base and boost the
sales?
RESEARCH METHODOLOGY
Research technique
In order to conduct research effectively, it is essential for the investigator to consider the
selection of right research technique as a critical step. It is also necessary for the researcher to
ensure that selection of technique is according to the nature of study so that better coordination
among factors can be maintained. In this regard, researcher will focus on qualitative nature of the
study because it will assist in attaining better outcomes (Ackroyd, 2012). Qualitative and
quantitative research techniques are most commonly used methods that helps in accomplishing
objectives of the investigation. In current report, the investigator will consider qualitative
technique for assessing the effectiveness of CRM in strengthening the customer base. It is most
suitable because it provides descriptive information about the subject (Wiersma, 2015). It is also
appropriate as per the nature of the study that will provide understanding about different CRM
practices that are adopted by Marks and Spencer.
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Research philosophy
It is referred as belief and value that investigator holds during the study. It also reflects
the nature of the research and helps in decision making process. There are different types of
research philosophy that can be accessed by the researcher. Such as positivism, realism and
interpretivism (Cobb, 2013). Current investigation will be conducted on the basis of interpretivist
philosophy so that diverse factors of customer buying behaviour can be analysed in order to
design effective CRM practices. In addition to this, the information collection will be
accomplished with an assistance of literature review (Rubin, 2012). Positivism and realism
philosophies are not appropriate for the current research because it will not provide assistance to
the determination of customer's relationship management practice and its effectiveness in the
growth of customer base.
Research approach
Approach is considered as one of significant aspects for the accomplishment of research.
It is essential for the researcher to initiate and ensure that selection is done as per the nature of
study. Inductive and deductive approaches are the most commonly used by researchers in order
to have efficient accomplishment of research objectives (Sehdev, 2011). It is a tool that
incorporates diverse factors of the research and its objectives. In the current study, inductive
approach will be considered by the researcher for data collection. It will assist in the
development of theory that can provide effective outcomes from the research (Corbin, 2014). It
is beneficial for data gathering and understand CRM practices in context of Marks and Spencer.
Along with this, customer base can also be analysed through proper selection of approach. On
contrary, deductive approach is also suitable for the investigation because it focuses on the
hypothetical aspects for attaining better results.
Data Collection Method
It is significant for the researcher to ensure that data collection activities are
accomplished in desired form so that efficient results can be attained. Primary and secondary
data collection methods will be referred for completion of the study. In regard to primary data
collection the researcher will adopt questionnaire technique (Berg, 2014). It will assist in
gathering responses from participants and interpret final outcomes in appropriate manner. On the
other side, the secondary data collection activities will be performed through accessing diverse
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secondary sources (Cooper, 2006). Classification of secondary sources can be as books, journals,
e-books and other literature contents drafted by different authors.
Sampling Method
It is considered as a method that provides a support to accomplishment of data collection
method. Primary data gathering requires a sampling so that information can be collected in
effective manner. Current report will focus on random sampling method in order to gather data
(García-Celay and León, 2007). Employees of Marks and Spencer will be participants in the
method because it will assist in effective evaluation of CRM practices. Moreover, the sampling
for current research will be 5 managers of Marks and Spencer. It will assist in assessing the
effectiveness of CRM in strengthening the customer base (Bertrand and Fransoo, 2012).
Accessibility Issues
As per the structured study, the effective accomplishment of the research investigation
demands a proper accessibility of the data. It also provides an assistance to the data collection so
that better outcomes can be attained. In addition to this, it is significant for researcher to make
sure that the data collection is completed as per standards of validity and reliability. Investigator
will consider activities that ensure about sources and accomplish objectives effectively. It will
also render optimistic results from the study (Preuss, 2009). Primary data collection will be
performed with an assistance of the managers of Marks and Spencer. Proper evidence will be
provided in respect to information collected from secondary sources. Validity and reliability of
information will achieve objectives in appropriate manner. Moreover, the accessibility to the
managers of Marks and Spencer is not easy because it requires permission from top level
management (Ritchie and Lewis, 2013).
Ethical issues
In order to accomplish objectives of the investigation, it is also necessary for the
researcher to ensure about ethical considerations. Any kind of ethical avoidance may influence
the overall outcome of the research. In this respect, the researcher will ensure that the proper
information about nature and purpose will be provided to the participants (Kumar, 2010).
Moreover, the issue of plagiarism will also be considered as critical factor so that ethical
standards can be maintained in appropriate manner. In addition to this, the personal information
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about the participants will be not be disclosed and responses provided by them will not be
accessed without their permission (Buttle, 2009).
Data Analysis Plan
As per the structured study of the several research aspects, it is necessary for the
investigator to ensure that the data analysis plan is properly designed. In current research, the
investigator will focus on data collection through primary and secondary methods. It is beneficial
to accomplish the objectives of the investigation in accurate manner (Richards, 2008). Moreover
the data assessment method will have consideration of the qualitative aspects. In order to have
effective execution and evaluation of the data, researcher will focus on thematic technique. With
an assistance of this technique, the information can be interpreted in diverse forms such as
themes, graphs, tables and charts (King and Burgess, 2008).
Research Limitations
There are few limitations in the study that can create a barrier for the researcher in
accomplishment of the objectives. One of key limitation with the study is that there is low
availability of the literature statements available on the topic which may create issue for the
researcher. Another key limitation with the study is that participants has not provided responses
in easy manner (Krasnikov, 2009). Moreover, the effective assessment of the information also
demands high volume of cost and time.
IMPLEMENTATION PLAN
ACTIVITY/WEEK 1 2 3 4 5 6 7 8 9 10 11 12
Formation of proposal for research study
Access to literature sources
Designing of objectives
Assessment of secondary information
Selection of research approach
Writing of research methodology
Drafting of literature review
Secondary data collection
Designing of the questionnaire
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Allocation of various aspects related to the study
Management of research activities
Collection of primary data
Access to primary sources
Assessment of gathered information
Selection of remaining chapters
Draft findings chapter
Submission and feedback
Revision of the drafted document
Printing and binding
Final submission to tutor
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INTRODUCTION
Overview
Customer relationship management (CRM) is one of most significant aspect that is
considered by business firms in order to build strong relationship with the customers. It plays key
role in effective management of activities that can assist in having interaction with customers on
daily basis. It is also beneficial for the improvement in customer base (Ngai, 2009). On the other
side, the customer base is referred as term that reflects the ratio of loyal customers. In other
aspect, it is essential for researcher to focus on customer base improvement for sustainable
development of the organization. Market research activities provides detailed information about
customer behaviour (Fader, 2009).
Researcher has conducted an investigation to analyse the effectiveness of CRM in
strengthening the service use base and improving the performance. Marks and Spencer is
referred as an organization to understand the concept of CRM (Chilisa, 2011). It has provided an
information about the CRM practices that are adopted by retail sector for improvement in
customer base. It has also provided an evaluation of factors that impact buying behaviour of
customers. With an assistance of the current study the buying behaviour of Marks and Spencer’s
customers has also been analysed by the researcher which is advantageous for the organisation
(Ackroyd, 2012).
Rationale of study
Current report is focused towards aspects that evaluates the effectiveness of the CRM in
strengthening the customer base. Researcher has selected the concern topic because the previous
investigations does not provide information about CRM effectiveness in regard to customer base
improvement. Rationale behind selection of the Marks and Spencer is increased ratio of CRM
practices among retail sector (Wiersma, 2015). Final outcomes of the research will assist
businesses to improve customer base and enhances the overall sales. Marks and Spencer is
considered as one of leading retail organizations in the market that also creates suitability for the
selection. Continuous focus over CRM techniques is also one of key reason behind the selection
of the organisation (Cobb, 2013).
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RESEARCH METHODOLOGY
Research technique
There are various types of research techniques such as qualitative, quantitative etc.
Further, qualitative techniques techniques are those which is primarily a exploratory research
because it is used to gain an understanding of an underlying reasons and opinions. Moreover, it
helps in gaining insight into the problem for potential quantitative research (Rubin, 2012). On the
other hand, quantitative techniques are those which is utilized for quantifying the problem by
generating numerical data which can be transformed into statistics. In the present research on
Marks and Spencer, qualitative technique has been used by the researcher (Sehdev, 2011). This
is justified on the grounds that qualitative data has assisted the researcher in obtaining
information about behaviour of customers, their needs and desires. This has further helped in
assessing the effectiveness of CRM systems thereby attaining the aim of the research.
Research philosophy
There are various research philosophy used by the researcher in order to accomplish their
aim. One is positivism and other is interpretivism. In our present study, interpretivism
philosophy has been employed because this philosophy helps in doing the human study and also
the study about what people do, what kind of issues they faces and how do they deal with them
(Corbin, 2014). Therefore, this kind of philosophy have assisted the researcher in accomplishing
the aim of the research study. Moreover, the interpretivism avoids rigid structural frameworks
and helps in studying the concept from all aspect. Therefore, researcher have identified the
effectiveness of CRM in creating the customer base in Marks and Spencer (Berg, 2014).
Research approach
Research approaches fall under two categories that are inductive and deductive. Inductive
approach is one which works as a broader generalizations and theories based on the specific
observation. On the contrary, deductive method is one which works from more general to the
more specific content which is normally called as top-down approach (Jiang, and Rosenbloom,
2015). In the present study, inductive research approach have been utilized because the
researcher has focused on the specific observation that is CRM effectiveness and then it moved
towards the generalizations that is creation of customer base (Rubin, 2012). The inductive
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