Customer Relationship Management and Customer Loyalty Report

This report investigates the impact of Customer Relationship Management (CRM) on customer loyalty within the Jordanian telecommunication sector. It explores the relationship between CRM strategies and customer satisfaction, retention, and overall business growth. The study uses secondary data analysis to assess how CRM implementation affects customer interactions, service quality, and loyalty programs. The report examines the competitive landscape of the Jordanian telecom market, including key players like Jordan Telecom (JT), Batelco, Zain Jordan (ZJ), and Virgin Mobile. It also discusses the evolution of CRM in the industry, the adoption of technological innovations, and the impact of competition on customer behavior. The findings suggest a direct correlation between effective CRM practices and increased customer loyalty, emphasizing the importance of strategies such as service level agreements, reduced operating costs, and enhanced customer satisfaction for sustained business success.

Running Head: IMPACT OF CRM ON CUSTOMER LOYALTY 0
Impact of CRM on Customer Loyalty
Report
Student name

IMPACT OF CRM ON CUSTOMER LOYALTY 1
Abstract
Customer relationship management (CRM) refers to the approach of increasing
interaction with potential as well as existing customers. It leads in providing information
about the history of the company with the consumers because of enhancing the relationship
with other business. This supports the industry to focus on retaining customers and leads in
development of the industry. The aim of the study is to understand the “Impact of customer
relationship management on customer loyalty in the Jordanian telecommunication sector-
Qualitative study”. The data collection is done through secondary method by gathering
opinions and findings of different authors. From the analysis it is revealed that there is direct
relationship between CRM and customer satisfaction because of increase the capability of the
company to manage the overall structure, activities. In Jordan telecom industry increase
interaction with the customers and provide services in timely manner according to their
demands. Further it also results in managing the important data and orders of the customers in
the telecommunication sector of Jordan.

IMPACT OF CRM ON CUSTOMER LOYALTY 2
Contents
Introduction................................................................................................................................3
Research objective.....................................................................................................................3
Literature Review.......................................................................................................................3
The study conceptual framework and hypotheses formulation..................................................4
The main hypothesis..............................................................................................................5
Impact of Customer Relationship Management on Customer Loyalty in the Jordanian
Telecommunication Sector.........................................................................................................7
Service Level Agreement (SLA) strategies:..........................................................................8
Reduced operating costs:....................................................................................................9
Enhanced productivity:......................................................................................................9
Improved customer satisfaction:........................................................................................9
Lower risk of customer defection:.....................................................................................9
Implementation of Telecom Cost Management (TCM) service............................................9
Contract management.......................................................................................................10
Invoice processing............................................................................................................10
Telecom bill audit............................................................................................................10
Telecom inventory...........................................................................................................10
Telecom order management.............................................................................................10
Price optimization............................................................................................................10
Information management.................................................................................................11
Outsourced TCM..............................................................................................................11
Network optimization services.........................................................................................11
Research Gap...........................................................................................................................11
Research methodology.............................................................................................................11
Findings and Discussion..........................................................................................................12
Conclusion................................................................................................................................13
Recommendations....................................................................................................................13
References................................................................................................................................15

IMPACT OF CRM ON CUSTOMER LOYALTY 3
Introduction
From the last two decades, telecommunication sector has adopted advance
technologies and systems for managing their business functions especially customer’s
relationship. This report will discuss about the different impact on Customer Relationship
Management (CRM) on the Customer Loyalty (CL) in the Jordanian telecommunication
sector. Besides, many customers are loyal for a firm, which makes a good relationship for
long time. Thus, it is necessary to provide loyalty rewards to them. This report will analyze
various factors of CRM on the CL, which is necessary for business growth as well. Moreover,
this report will provide qualitative study on the telecommunication sector of Jordan (Zahay,
Peltier, & Krishen, 2012). In addition, telecommunication sector has highly affected after
number of competitors in the industry. They have provided various benefits to their
customers for attracting them. Most of the things can be used for improving the performance
of employees and firm, which has affected productivity of a firm as well. Besides, most of the
firms have created specific processes to manage customers relationship, which is an
important part of a business (Stein & Smith, 2009). In case of telecommunication sector of
Jordan, customers have shifted their mobile service operators. Thus, it is necessary for
business growth and success of a firm. The main key player in the telecommunication
industry are Jordan Telecom (JT), Batelco, Zain Jordan (ZJ), and virgin mobile.
Research objective
The main objective of the study is to investigate the influence of customer
relationship management on the satisfaction level of the consumers. The present study will be
focusing on the telecommunication sector of Jordan.
Literature Review
In the Jordanian telecommunication market, most of the telecom service providers
facing huge level of competition. Moreover, it is a common thing in the business, but it can
be reduced using various approaches as well. There are many changes in the basic
functionality of a business to improve productivity. Most of the businesses have faced high
level of competition because of changes in the technologies as well. However, completion
level is high because of different reasons including, market changes, technical changes,
demands, and many others. In addition, Information and Communication Technology (ICT)
services have affected telecom sector of Jordan (Noor, 2013).

IMPACT OF CRM ON CUSTOMER LOYALTY 4
In addition, CRM has used for managing all the things in a business. Moreover, it is
the best way to improve the basic processes of an industry. Telcom sector has affected from
the various changes in the ICT services. Most of the firms have adopted technological
innovations for managing internal and external processes. There are many changes in the
business processes of telecom sector (Al-Weshah & Al-Manasrah, 2019).
Mahawrah, Shehabat, & Abu-Shanab revealed that there is direct impact of the CRM
on the customer loyalty it is because the data collection was done in the telecommunication
industry of Jordan (Mahawrah, Shehabat, & Abu-Shanab, 2016). The data collection was
done through adopting the survey from the telecom companies. The analysis revealed that
CRM leads in improving the quality of services it is because of understanding the needs and
requirements of the customers in efficient manner. The study also revealed that it also leads
in increasing the relationships with the customers and meet the needs and demands of the
customer according to the expectations. However, in comparison to this the study also
revealed that CRM improve the loyalty among the customers because of providing various
programs which includes discount programs, card programs and loyalty programs (Salah,
Yusof, & Mohamed, 2019). This leads in providing various benefits to the telecom industry
in Jordan. From the analysis, it is revealed that it support the companies in telecom industry
to collect the important data about the customers. It is because through this information it
increases the capability of the companies of telecom industry to use that data while dealing
with the customers.
Shriedeh also revealed that CRM also help the customers to collect the information so
that valuable decisions about the customers are made and this strategy assist the telecom
industry of Jordan to make customer special (Shriedeh, 2019). Further, it is estimated that it
leads in increasing the communication and relations with the customers. The study revealed
that CRM leads in retaining the majority of customers because of organizing the retention
programs which reduces the cost and expenditure of the companies of telecom sector.
Researchers also describes that it leads in increasing the profitability and growth of telecom
sector in Jordan.
The study conceptual framework and hypotheses formulation
There are basic processes in the telecom industry, which is necesaory for managing all
the processes. A conceptual framework has used for analyzing telecom industry of Jordan.

IMPACT OF CRM ON CUSTOMER LOYALTY 5
The main hypothesis
H0: There is no huge impact of CRM on the Jordanian Telecommunication sector
H1: there is no effect of system quality on telecom industry on Jordan
H2: there is no impact of customer information quality in the telecom industry of Jordan
H3: there is no effect of system usage in the telecom industry of Jordan
Moreover, basic processes can be prevented using ICT services. Enterprise Resource
Planning (ERP) systems have used for managing different types of business processes of a
telecom sector including CRM, SCM, ERP, SIS, and many others (Lipiäinen, 2015). There
are many benefits of CRM systems in managing various things including customers loyalty
as well. There are many changes in the CRM program based on the customers loyalty.
Customers loyalty is the best to improve the relationship (Al-Zoubi, 2013). Therefore, it is
necessary to manage loyalty programs for strong bonding for long terms. Besides, consumers
have shifted from one vendor to another because of better services and products.Jordan
Telecom (JT), Batelco, Zain Jordan (ZJ), and virgin mobile have focused on their services in
the improvement. Telecommunication sector has based on various processes. There are many
changes in the various processes, which are helpful in the basic processes. However, basic
services can be improved using loyalty programs. Most of the vendors have used internal and
external processes in between there are many changes for improving all the things (Khare,
2010).
Besides, telecom sector has faced a huge level of competition in the market, which is
a good reason to improve CRM and CL programs (Alnassar, 2014). Jordanian telecom sector
has adopted CRM systems for managing all the processes of their businesses as well.
However, basic processes can improve using CRM, and CL programs. There are many
benefits of emotional intelligence (EM) that are used for managing all the things in the
present era (Alnidawy, 2015). Therefore, EM has applied in the telecom market for managing
subscribers for long terms. It will be beneficial for the companies as well as subscribers.
From the last two decades, millennials have adopted telecom sector as well. However, many
processes can be used for improving all the processes. Besides, customers loyalty can be
increased using all the CRM as well (Azzam, 2014). Jordan Telecom (JT) has used new
approaches for attracting subscribers for different services including 4G services and internet
services. It will be beneficial for subscribers and other people.

IMPACT OF CRM ON CUSTOMER LOYALTY 6
Moreover, telecom sector has faced various issues in the management in the
customers loyalty. In addition, there are many changes in the subscriber’s loyalty because of
many things. Most of the people have used telecom services for various purposes. Personal
life is based on the telecom sector because of communication is easier with it between people.
Economy of Jordan has increased because of many different reasons. Ethics can be used for
managing all the things including CL as well. In addition, most of the clients have used good
services for their communication. However, some clients need cost-effective services as well.
Thus, it is complex process to manage cost of services (Alshawi, Missi, & Irani, 2011).
The outlet up of the telecom quarter to competition is an important leap forward for
the entire Jordan economic system, in addition to the telecom region itself.
Telecommunications have turn out to be crucial for the conduct of any business, and plenty of
sports in personal lifestyles as nicely. It isnot always only a region, however a key part of the
infrastructure supporting the cutting-edge kingdom (Awwad, 2012). The pass also brings
Jordan in the direction of completely adopting all of the necessities to turn out to be an
evolved us of a, and its loose market principles which might be very a whole lot a part of
Jordan’s goals, it's also predicted that other sectors will follow them (Al-Qeed, Yousef
ALsadi, & Al-Azzam, 2017).
There are many changes in internal payment services that makes change in the
services. Over a long time, Zain has finished an excellent process of supplying an excessive
well known of offerings to the Jordan. thanks to its business subject, its desires have no fear
of the impending competition across the board, even though it is very possibly to discover
that exact participant imparting particular specializations will challenge it on pricing and the
way the offerings are bundled (Alhawari, 2014).
While looking on the reality of the matter and after the assertion of the second one
operator we find that the competition had only began. Zain knew that from other experiences
around the sector that it's miles ordinary that around 30% of the consumer will switch to the
competitor in 3 years’ time and needed to do something to reduce that as a whole lot as
viable. Many other vendors have used competitive strategies as well, such as Jordan Telecom
(JT), Batelco, virgin mobile, and more. As every viable purchaser is now a Zain client, extra
client recognition technique should be evolved to obtain the required end result which is CL
(Alshura, 2018).

IMPACT OF CRM ON CUSTOMER LOYALTY 7
Most of the giant telecom industry service providers have used CRM systems for
managing all the things in a proper manner, which is suitable for the subscribers and
company as well. However, telecom sector has adopted different types of program to manage
customers relationship. Loyalty programs have created a good source of income as well.
There are many benefits of CL programs to subscribers (Azila & NoorNeeraj, 2011).
Customers have used best services in low prices. However, there are many things to
manage using CL programs.There are many reasons for changing vendors for telecom
services including bad quality of network, high prices, lack of technology, customer
satisfaction, and many others (Lipiäinen, 2015).
Telecom companies strive for durable success via constructing lengthy and strong
courting with their customers. Meet clients' expectancies are a tough task for Jordanian
Telecom agencies; Jordanian market is characterized as an enormously aggressive and
controlled quarter. consequently, it's far fairly required that Telecom agencies reevaluate the
extent of service quality, which supplied to clients and understand the crucial provider
exceptional factors that maximum impact customer loyalty to perform more benefits and
large returns (Lipiäinen, 2015). This complex image wishes ongoing studies by way of the
telecom sector to achieve quantitative outcomes as an output, such results is expected to
clarify the actual photo of the Jordanian Telecom marketplace and need to result in the
correct decisions. primarily based on the hassle declaration the high objectives of this look at
are: to research the provider fine effects on purchaser Loyalty in Jordanian Telecom region
(Alnassar, 2014).
Most of the processes can be used for managing all the things. In addition, Jordan
market has focused on the customer satisfaction as well. It will be beneficial for both
subscribers and vendors. In addition, there are various changes in the basic processes of a
firm, which can be used for managing all the things as well (Lipiäinen, 2015).
Impact of Customer Relationship Management on Customer
Loyalty in the Jordanian Telecommunication Sector
Through the organization installed or the internet available asset control software
customers may get admission to, evaluate and alter a complete, up to date inventory database
of all strains and structures. Attributes are coded to each line, subscription or carrier, along
with fee allocation facts, departmental and place records, fee posting quantity, chargeback
statistics and wealthy asset facts which include brand, type, version, serial wide variety and

IMPACT OF CRM ON CUSTOMER LOYALTY 8
so on. all through the invoice auditing procedure, the stock database holds the billing details.
The technique guarantees that you are billed only for active lines, systems and carrier
agreements and in compliance with the preliminary order specs (Al-Qeed, Yousef ALsadi, &
Al-Azzam, 2017).
Service Level Agreement (SLA) strategies:
An SLA is a proper negotiated agreement between two events. it's miles a settlement
that exists between customers and their
service company, or between provider companies. Its information the commonplace
information approximately offerings, priorities, duties, guarantees, etc. with the primary
motive to agree on the extent of carrier. as an example, it may specify the degrees of
availability, serviceability, performance, operation or different attributes of the service like
billing or even consequences within the case of violation of the SLA. In our case, Zain have
to offer this settlement to clients with touchy needs for the offerings consisting of banks.
Source: (Azzam, 2014)
Besides, Zain should make sure that this provider could be up to extra than ninety 9.9
% percentage of the time and if any issues encountered, the preservation crew of Zain must
restore the provider within 2 hours or face consequences (Alnassar, 2014).
In addition, there are main three things, which are as:

IMPACT OF CRM ON CUSTOMER LOYALTY 9
Reduced operating costs:
It is necessary to monitor end-to-end performance, which has affected cost of the
services. Most of the people have used different types of issues and challenges have faced by
the telecom industry. Most of the things can be changed for reducing cost of the services as
well (Alnidawy, 2015).
Enhanced productivity:
The companies should use different approaches for enhanced productivity as well. In
addition, there are many things to improve using Six Sigma techniques. It will improve the
tangible quality of services. Most of the vendors have used granular systems for improving
productivity (Lipiäinen, 2015). Productivity can be improved using various techniques. In
addition, virgin mobile has provided new services to provide better outcomes as well. There
are some specific module for manging all the things.
Improved customer satisfaction:
Customer satisfaction is a huge factor to improve the business profit. It can be better
using KPIs and other processes. Most of the customers have satisfied because of offers and
discount as well. Identification is necessary to manage all the processes that can be used for
managing all the processes (Azzam, 2014). CRM system can use for managing all the
processes. Most of the processes can be used for improvement in the customer services. In
addition, best part is that all the processes can be used for managing different things as well.
Lower risk of customer defection:
Customer defection is a huge issue in the telecom industry. Most of the people have used
different types of processes that can be improved the quality of services. In addition, it is the
best business impact to reduce customer defection (Alhawari, 2014). Retention of customers
is necesaory in the telecom industry, as a small amount has added in the profit of the
companies as well. There are some basic examples in which telecom vendors have used
improvement of basic services (Azzam, 2014).
Implementation of Telecom Cost Management (TCM) service
It is an important factor that manage Tleads CM services of a telecom services. In
addition, TCM service can use for various things. Most of the services has connected with
the cost. Thus, cost reduction is necessary for balancing in the different things, which has
built a new relationship.

IMPACT OF CRM ON CUSTOMER LOYALTY 10
Contract management
Telecom invoices are used for various purposes, which are helpful in the compliance
of various things including different types of services. Moreover, it can be used for
compliance of various things, such as rates, level of commitment of service, and terms. Most
of the things have affected rates of services. Those things can be considered for managing
different types of processes (Awwad, 2012).
Invoice processing
All the invoices have generated form a system in a form of electronic data. Thus, it
can be analyzed for managing various things, such as cost allocation, locations, and
chargeback using help of payment platform.
Telecom bill audit
Audit can be used for finding errors and other issues in the company as well. It is the
best way to analyses call details record of a vendor for analytical analysis of data and
information. It can be beneficial for managing subscription and rental services as well.
Telecom inventory
Inventory systems provide many benefits in the management of customers
satisfaction. Most of the processes can be used for improvement of various locations. In
addition, inventory system has included most of the processes, such as model, serial number,
brand and other information (Khare, 2010). In addition, inventory system can be used for
providing better services in the market. Besides, most of the processes have provided benefits
to the subscribers as well.
Telecom order management
Most of the ordered have recorded automatically in the systems as well. In addition,
basic services can be managed using different types of processes. In addition, order can be
tracked by the customers as well. It can be shared with the customers as well.
Price optimization
TCM service can be used for price optimization as well. However, optimization is
necessary for managing all the things including call rates, subscription of services, and many
more. It will be more beneficial for improving various processes. There are many changes in
the basic processes of a firm. Besides, many reports have created for improving business
processes (Noor, 2013).

IMPACT OF CRM ON CUSTOMER LOYALTY 11
Information management
TCM service is useful for all the service providers for managing their customers
personal data and information including financial and personal information. Data analytics
can be better for managing all the things including all the processes. Most processes can be
used for managing administrative processes. Operational processes can be managed using all
the things (Awwad, 2012).
Outsourced TCM
The company can use outsourced services for managing all the things including all the
processes. Most of the processes have used for managing all the processes. It will be more
beneficial for the companies as well.
Network optimization services
Network can be optimized using various approach, such as basic equipment,
technology, and many others. In addition, network monitoring system has used for managing
all the processes. Network is the base of the whole service that can be improved using differ
types of services. Most of the services can be managed using different types of services as
well (Azila & NoorNeeraj, 2011).
Furthermore, most of the processes can be used for improving performance and
productivity as well. It is the best way to provide better services to customers in different
ways. There is some specific issues and challenges in telecom industry, which can be used for
improvement. There are some improvement in the basic services as well.
Research Gap
From the above it is investigate that majority of the studies focuses on describing the
relationship between CRM and customer loyalty in the telecom sector of Jordan. Therefore, it
is revealed that CRM leads in increasing the customer’s satisfaction, provides high quality
services as well as support the telecom sector of Jordan to make effective decisions.
Researchers only reveal the influence of CRM on the loyalty and satisfaction of customers
but do not provide much information regarding the degree of impact it has on the customer
satisfaction in the Jordanian telecommunication sector.
Research methodology
It is the procedure which describes the system and methods which researchers can use
to achieve the objective of the study. The present research focuses on understanding the
“Impact of customer relationship management on customer loyalty in the Jordanian