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Author/Division Customer Relationship Management-- A Winning Customer Strategy Seminar presentation April 2004 Agenda What is CRM in your mind? CRM is a customer- and value-based management approach to increase the company value Customer Relationship Management differs from classical marketing in many ways CRM creates lasting strategic competitive advantages Marketing-Mix are core elements of customer relationshipstrategy The three main application areas of CRM There are quite a few obstacles to effectively apply CRM Different industries have different demand on CRM program Empirical results confirm the main objective for pursuing a CRM strategy is to increase customer loyalty CRM application examples Example: Mobile Operator applies CRM levers in each customer life cycle stage For consumer goods companies, channel partners as well as consumers are both their customers Consumer goods companies should apply different CRM strategy and actions to different customer types Case Studies Case Study Exercises– San Fabian Supply Company Brief Introduction Case exercise Key takeaways Case Study Exercises– Solo Mobile Phone Company Case background* Solo is a European mobile phone company whose product are all GSM mobile phones. It is among the top three largest mobile phone manufacturer in the world. Solo has entered China market in 1995 and performed quite well in China before year 2000. It is the third largest player on China market, only after the global mobile giant AA and BB. Solo enjoys good reputation of high quality and business people targeted design. It had quite sound customer base in China and its brand awareness is high. The Chinese mobile phone market is the fastest growing mobile phone market Trendy, Fashionable and Multi-function mobile phones become the mainstream in competition No one had expected the fast growth of local mobile manufacturers Channel structure is changing, which give Solo new challenges Solo is under heavy pressure of losing market sh