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Professor. Young-Gul Kim

Meherunnesha Binte Mannan
                                                           Individual Research Project
KAIST Info and Media Management,2011
                                                           August, 2011
meherun@busieness.kaist.ac.kr
   Introduction
   Trend in CRM
   Entrance of SNS in CRM
   Measurement of SNS ROI as CRM tool
   Best and Worst Practice of SNS for CRM
   Conclusion and Recommendations
   Research Objective:
     To learn how the CRM is being changing.
     To find out the impact of SNS on CRM
     To do some successful and blundered case study
   Method:
     Internet articles
     References
 Traditional CRM: To collate customer data
  (profiles, order history etc) and serve to maintain a
  relationship with the customer and the company.
 Recent CRM:
      Analytical CRM: Finding out what contributes to
       customer highest satisfaction.
      Mobile CRM: Cope up with mobile trend and easily
       assessable almost anywhere.
      Integrated approach: marketing, service and sales are
       now working holistically to satisfy the customers.
    Ref: new trends take shape:- http://www.crminfoline.com/crm-articles/crm-trends.htm
   Most recent CRM:
     CRM and internet:                   Customer
         dynamic CRM 2011 is capable of creating
         and maintaining a clear view of customers
         and from first contact through purchase
         and post-sales.




      Outsourcing CRM: Using sales force.
      Midmarket CRM: Licensed CRM applications. For example:
          Salesforce, Microsoft and Goldmine etc.

   Ref: new trends take shape:- http://www.crminfoline.com/crm-articles/crm-trends.htm, image source: google.
1995 -2007                 2007-2012                       2009- 2011                     2010-2012                      2011-2013
The era of social               The era of social              The era of social              The era of social               The era of social
 relationships                   functionality                  colonization                      context                       commerce


    •   Simple                    •   Embed web app                •   Lean on their               •   Opt in to share            •   Work with peers
        profile and                   & widgets on                     peers’ opinions                 their identity                 to define the
        discussion                    their profiles to                to make                         for a more                     next generation
        features to                   make                             decisions                       relevant web                   of products, also
        share with                    experience more                  about products                  experience                     purchase in
        each other                    fun & useful                                                                                    groups




                                                                                 The era of Social CRM (SCRM)



       Ref: CRM adopts SNS ( Social Media - The five-year Forecast, http://www.destinationcrm.com/Articles/CRM-News/Daily-News/Social-Media-The-
        Five-Year-Forecast-53635.aspx) .
   Why Social Media?
           Identify your champions
           Target new stakeholders
           Assess overall sentiment                                                                                           It can improve
           Identify your critics and fend off crises                                                                          customers




                                                                                                                     CRM
           Audit your efforts                                                                                                 acquisition, retenti
                                                                                                                               on, loyalty and
           Study the success stories                                                                                          profitability.
           Identify new program or product opportunities
           Identify donors or lower costs
           Keep tabs on competitors
           Improve your campaigns and programs

             Ref.Guide to monitoring social media conversations - http://www.socialbrite.org/2011/01/10/guide-to-monitoring-social-media/
   Moving from traditional to Social CRM
      Parameters                        Traditional CRM       Social CRM
      Roles                             Customer Service      All employees
                                                              engage
      Function                          Process-centric       Conversation-centric
      Approach                          Contact               Community
                                        management            management
      Channel                           Well-defined          Dynamic and
                                                              evolving
      Value                             Periodic Connection   Sustained customer
                                        with customer         engagement
      Model                             Simple transaction    Complex
                                                              relationships


       Source: Book – Social CRM for Dummies.
   Some statistical data of using SNS as CRM
     In 2010, only 5% of organizations took advantage of SNS to improve service
         processes and 30% of industry shaping enterprises will incorporate social CRM.




   Ref.Merging Social Media with CRM - http://www.resourcenation.com/blog/merging-social-media-with-crm/31915/. Image source: emarket.com
Model for how to use SNS



    Four areas must be addressed:
    Monitoring of social media
    platforms
    Content generation and
    distribution
    Centralized data storage
    Cross-department
    collaboration




     Ref..Social Networking and CRM- http://www.marketingtechblog.com/social-media-marketing/free-ebook-moving-to-social-crm/
    By using different software and programs, SNS ROI
         can be measured/analyzed and applied to business.
                    Threadsy: To collect and unify the emails from social networks.


                           Myweboo: To organize your info streams


                                                                                                                                Types of software
                                 Hootsuite: To integrate all you platforms                                                     application depends
                                                                                                                                on the objectives

                                      Fast: For teams of social marketers


                                             TweetDeck: Connect with your contacts.
       Ref.Top 10 social media dashboard tools - http://www.socialbrite.org/2010/11/09/top-10-social-media-dashboard-tools/
   Best
     Comcast Cares – customer service through twitter.
         ▪ Founded in 1969, Comcast is the nation’s leading provider of
           entertainment, information and communications products and
           services. Twitter address: @ComcastCares.
         ▪ It deals the unhappy customer publicly in twitter to offer help.
         ▪ It changed their critics to raving fan by using twitter as their CRM.
         ▪ Comcast has handled more than 21,000 customer service requests
           (official tickets) through social media
         ▪ Lessons:
              ▪ It is sufficient to let customers know – you are there to help; let them take the
                next step.
              ▪ Listen first, then engage if it makes sense.
   Ref.http://socialmediatoday.com/index.php?q=SMC/39127, http://mashable.com/2009/03/08/social-media-blunders/
   Worst
     Sony BMG – copy protection scandal
      ▪ Sony placed copy protection (XCP) on its CDs to prevent
        pirating. But XCP software created new vulnerabilities on
        computers that malware could exploit.
      ▪ Mark Russinovich wrote this story in a blog and Sony tried to
        stonewall bloggers instead of being upfront.
      ▪ As a consequence, Sony lost millions in lawsuits.
      ▪ Lessons:
              ▪ Do not try to fight against user behavior using ill-advised malware.
              ▪ Be upfront about mistakes.


   Ref.http://socialmediatoday.com/index.php?q=SMC/39127, http://mashable.com/2009/03/08/social-media-blunders/
 CRM + Social Networking = Customer Satisfaction
  (which is the purpose to serve the customers).
 The best SCRM application is the one you will use with
  your know how.
 Regardless the type of business (B2B or B2C), to apply
  SCRM, it is important to know your specific objectives.
 Immediately after starting SCRM, it is necessary to co-
  align your activities with your objectives.


"How you gather, manage and use information will determine whether you win or lose."
                                    -Bill Gates
For further inquiry, please contact me at meherun@business.kaist.ac.kr

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Social CRM: How SNS Improves Customer Relationships

  • 1. Professor. Young-Gul Kim Meherunnesha Binte Mannan Individual Research Project KAIST Info and Media Management,2011 August, 2011 meherun@busieness.kaist.ac.kr
  • 2. Introduction  Trend in CRM  Entrance of SNS in CRM  Measurement of SNS ROI as CRM tool  Best and Worst Practice of SNS for CRM  Conclusion and Recommendations
  • 3. Research Objective:  To learn how the CRM is being changing.  To find out the impact of SNS on CRM  To do some successful and blundered case study  Method:  Internet articles  References
  • 4.  Traditional CRM: To collate customer data (profiles, order history etc) and serve to maintain a relationship with the customer and the company.  Recent CRM:  Analytical CRM: Finding out what contributes to customer highest satisfaction.  Mobile CRM: Cope up with mobile trend and easily assessable almost anywhere.  Integrated approach: marketing, service and sales are now working holistically to satisfy the customers.  Ref: new trends take shape:- http://www.crminfoline.com/crm-articles/crm-trends.htm
  • 5. Most recent CRM:  CRM and internet: Customer dynamic CRM 2011 is capable of creating and maintaining a clear view of customers and from first contact through purchase and post-sales.  Outsourcing CRM: Using sales force.  Midmarket CRM: Licensed CRM applications. For example: Salesforce, Microsoft and Goldmine etc.  Ref: new trends take shape:- http://www.crminfoline.com/crm-articles/crm-trends.htm, image source: google.
  • 6. 1995 -2007 2007-2012 2009- 2011 2010-2012 2011-2013 The era of social The era of social The era of social The era of social The era of social relationships functionality colonization context commerce • Simple • Embed web app • Lean on their • Opt in to share • Work with peers profile and & widgets on peers’ opinions their identity to define the discussion their profiles to to make for a more next generation features to make decisions relevant web of products, also share with experience more about products experience purchase in each other fun & useful groups The era of Social CRM (SCRM)  Ref: CRM adopts SNS ( Social Media - The five-year Forecast, http://www.destinationcrm.com/Articles/CRM-News/Daily-News/Social-Media-The- Five-Year-Forecast-53635.aspx) .
  • 7. Why Social Media?  Identify your champions  Target new stakeholders  Assess overall sentiment It can improve  Identify your critics and fend off crises customers CRM  Audit your efforts acquisition, retenti on, loyalty and  Study the success stories profitability.  Identify new program or product opportunities  Identify donors or lower costs  Keep tabs on competitors  Improve your campaigns and programs  Ref.Guide to monitoring social media conversations - http://www.socialbrite.org/2011/01/10/guide-to-monitoring-social-media/
  • 8. Moving from traditional to Social CRM Parameters Traditional CRM Social CRM Roles Customer Service All employees engage Function Process-centric Conversation-centric Approach Contact Community management management Channel Well-defined Dynamic and evolving Value Periodic Connection Sustained customer with customer engagement Model Simple transaction Complex relationships Source: Book – Social CRM for Dummies.
  • 9. Some statistical data of using SNS as CRM  In 2010, only 5% of organizations took advantage of SNS to improve service processes and 30% of industry shaping enterprises will incorporate social CRM.  Ref.Merging Social Media with CRM - http://www.resourcenation.com/blog/merging-social-media-with-crm/31915/. Image source: emarket.com
  • 10. Model for how to use SNS Four areas must be addressed: Monitoring of social media platforms Content generation and distribution Centralized data storage Cross-department collaboration  Ref..Social Networking and CRM- http://www.marketingtechblog.com/social-media-marketing/free-ebook-moving-to-social-crm/
  • 11. By using different software and programs, SNS ROI can be measured/analyzed and applied to business. Threadsy: To collect and unify the emails from social networks. Myweboo: To organize your info streams Types of software Hootsuite: To integrate all you platforms application depends on the objectives Fast: For teams of social marketers TweetDeck: Connect with your contacts.  Ref.Top 10 social media dashboard tools - http://www.socialbrite.org/2010/11/09/top-10-social-media-dashboard-tools/
  • 12. Best  Comcast Cares – customer service through twitter. ▪ Founded in 1969, Comcast is the nation’s leading provider of entertainment, information and communications products and services. Twitter address: @ComcastCares. ▪ It deals the unhappy customer publicly in twitter to offer help. ▪ It changed their critics to raving fan by using twitter as their CRM. ▪ Comcast has handled more than 21,000 customer service requests (official tickets) through social media ▪ Lessons: ▪ It is sufficient to let customers know – you are there to help; let them take the next step. ▪ Listen first, then engage if it makes sense.  Ref.http://socialmediatoday.com/index.php?q=SMC/39127, http://mashable.com/2009/03/08/social-media-blunders/
  • 13. Worst  Sony BMG – copy protection scandal ▪ Sony placed copy protection (XCP) on its CDs to prevent pirating. But XCP software created new vulnerabilities on computers that malware could exploit. ▪ Mark Russinovich wrote this story in a blog and Sony tried to stonewall bloggers instead of being upfront. ▪ As a consequence, Sony lost millions in lawsuits. ▪ Lessons: ▪ Do not try to fight against user behavior using ill-advised malware. ▪ Be upfront about mistakes.  Ref.http://socialmediatoday.com/index.php?q=SMC/39127, http://mashable.com/2009/03/08/social-media-blunders/
  • 14.  CRM + Social Networking = Customer Satisfaction (which is the purpose to serve the customers).  The best SCRM application is the one you will use with your know how.  Regardless the type of business (B2B or B2C), to apply SCRM, it is important to know your specific objectives.  Immediately after starting SCRM, it is necessary to co- align your activities with your objectives. "How you gather, manage and use information will determine whether you win or lose." -Bill Gates
  • 15. For further inquiry, please contact me at meherun@business.kaist.ac.kr