— Pia Bihlmaier 2013/05/12 23:01
What is Analytical CRM ?
Analytical Customer Relationship Management (CRM) is one component of the customer relationship management approach.
Analytical CRM comprises the analysis and systematic evaluation of customer data using business intelligence functions. The aim is to filter out the key facts from gathered information and gain customer knowledge. Analytical CRM allows customer satisfaction to be measured, for example, or trends among customers to move to other suppliers to be detected. Knowledge of customers' behavior can also be used specifically for communication and addressing customers in operational CRM, such as in campaign management.
The classification of Analytical CRM
Usually CRM is classified into four different components1):
There are also new components of CRM which are increasingly used:
Goal of Analytical CRM
Primary goal of analytical CRM is to develop, support and enhance the work and decision making capability of an organization by determining strong patterns and predictions in customer data and information which are gathered from different operational CRM systems.
Key features of Analytical CRM
Seizing all the relevant and essential information of customers from various channels and sources and collaboratively integrating and inheriting all this data into a central repository knowledge base with a overall organization view.
Determining, developing and analyzing inclusive set of rules and analytical methods to scale and optimize relationship with customers by analyzing and resolving all the questions which are suitable for business.
Implementing or deploying the results to enhance the efficiency of CRM system and processes, improve relationship and interaction with customers and the actual business planning with customers.
Combine and integrate the values of customers with strategic business management of organization and value of stakeholders
Advantages of Analytical CRM
Leads in making more profitable customer base by providing high value services.
Helps in retaining profitable customers through sophisticated analysis and making new customers that are clones of best of the customers
Helps in addressing individual customer’s needs and efficiently improving the relationships with new and existing customers.
Improves customer satisfaction and loyalty.
Customer Analytics- This is the base analytic used to analyze customer knowledge base. It provides a better view of customer behavior and by modeling, assessing customer values and assessing customer’s portfolio or profiles and creates an exact understanding of all the customers.
Marketing Analytics- This helps discovering new market opportunities and seeks their potential values. It also helps in managing marketing strategies and scale and plan marketing performance at district, regional and national levels. Marketing analytics also focus on campaign management and planning, product analysis and branding.
Sales Analytics- Sales analytic provides essential environment to plan, simulate and predict sales volumes and profits by constantly analyzing organizational sales behavior. It helps in pipelining all the selling opportunities in an efficient way by indulging and improving the sales cycle.
Service Analytics- Analytical CRM has major role in enhancing the services which answering all the questions regarding customer satisfaction, quality and cost of products, complaint management etc. It even helps in improving and optimizing the services by sophistically analyzing the service revenue and cost.
Channel Analytics- This type of analysis helps to determine the customer behavior on channel preferences, like web channel, personal interaction, telephone channel etc. This information is efficiently integrated in customers’ knowledge base so that they can be contacted accordingly.