So, as we move in depth, what could be the possible reason for these acquisitions? According to the market experts, the technology expenditure in the coming five years is expected to be driven and pushed by chief marketing officers in comparison to the chief information officers. Although, this projection is still not supported by all but it is predicted that the CMOs will be focusing on CRM tools as compared to social media integration.
This prediction brings relief for businesses that do not have humungous technology budgets. MNCs that are considered as the early adopters of social CRM are also pushing the smaller firms with few resources to adopt this technology to strengthen their productivity levels.
It is believed that the traditional CRM (telephone, mail and email communications from organization to client) has not been of much help for businesses. Most companies have used it to with the aim to lower their costs and raising their profitability at the same time. The clients have bagged custom offers, product recommendations, on time solving of problems and also other rewards of data sharing.
Most companies have time and again poorly executed CRM programs and it impacted their profit margins. Many at times, clients would claim that CRM stands for customer relationship manipulation as many firms would print clients’ names on a postcard with the aim to fool them that it is specifically meant for them.
Many at times, one would feel that CRM stands for customer relationship minimization. Although, it has proved helpful in lowering the cost of a firm, but it is being done on the back of clients who are pushed to navigate their way through a series of options
Many at times, CRM also refers to the concept of customer relationship mechanization. It has been found that CRM refers to cold, hard client relationship monetization. For instance, if a client goes for a loan service, a credit company will be sending out mailers from the varied divisions. Companies need to understand that good clients want to be valued, not just cashed in blindly.
It is time that companies are able to understand that client relationships are developed and created just on the basis of details but are rather built on trust. And relationships are mostly reciprocal in nature. When one party just stresses on getting information, trust gets comprised. One of the major problems with traditional CRM is that it forces people to be treated as mere data as compared to individuals.