Models explaining CRM implementation

1. - Prof. Rohita Dwivedi

2. The IDIC model was developed by Peppers & Rogers and
the model suggests that companies should take four actions
in order to build closer one-to-one relationships with
customers:
•Identify who your customers are and build a deep
understanding of them;
•Differentiate your customers to identify which customers
have most value now and which offer most for the future;
•Interact with customers to ensure that you understand
customer expectations and their relationships with other
suppliers or brands;
Customize the offer and communications to ensure that the
expectations of customers are met.
1. The IDIC Model.

4. Francis Buttle’s 2004 model has an end goal represented by enhanced
customer profitability that can be attained by :
•primary stages represented by customer portfolio analysis, customer
intimacy, network development (SCOPE), value proposition development ,
and managing the customer lifecycle;
•supporting conditions of leadership and culture, data and IT, people, and
processes to enable CRM strategy to function effectively and efficiently
2. CRM Value Chain Model.

5. CRM Value Chain Model.
• Strategically Significant Customers(SSC)
– High LTV Customers
– Benchmarks
– Inspirations
– Cost Magnets

6. The QCi model (shown in figure) is also a product of a consultancy firm as IDIC is. The model’s
authors (Hewson et at, 2002) prefer to describe their model as a customer management model,
omitting the word ‘relationship’. At the heart of the model they depict a series of activities that
companies need to perform in order to acquire and retain customers. The model features people
performing processes and using technology to assist in those activities.
3. The QCI Model.

7. The fourth comprehensive model was developed by Adrian Payne in 2006. This model
clearly identifies five core processes in CRM: the strategy development process, the
value creation process, the multichannel integration process, the performance
assessment process and the information management process. The first two represent
strategic CRM; the multichannel integration process represents operational CRM; the
information management process is analytical CRM.
4. Payne’s Five-Process Model.

8. 5. The Dasai et at/ Conceptual Model
The conceptual framework was developed by Dasai el al (2007) in which
consideration is driven towards competitive CRM performance from both
internal and external perspectives. The dynamic capability for CRM is the key
source for competitive CRM performance considering the rapidly changing
nature of the business environment today which erodes the values of existing
competencies

9. 6. The Forrester Model
The Forrester CRM model 2008 is grouped into four types such as: Strategy; Process,
Technology; and People. The model produced results in the findings on over hundreds of
companies using CRM as strategically, thorough analysis of over number of vendors’
solutions providers and also with discussion with about numerous consultants. For firms
willing to kick-start their CRM programs or for those that are finding it tough to get best
out of their CRM programs after it has been launched. Also, the performance scorecard
highlights the criteria used by companies to measure the overall performance using CRM.

10. The final comprehensive CRM model comes from Gartner Inc. the leading IT
research and advisory company that employs some 1200 research analysts and
consultants in 75 countries, and has a significant place in CRM research.
7. The Gartner Competency Model.

11. 8. Gartner’s CRM Maturity Model

12. Enterprise CRM suites (revenues > $1 billion/year and/or >
1,000 employees):
- full range of functionalities;
- can scale to serve large user populations;
- offer support for multiple languages and countries.
Almost of the leading players offers hosted and SaaS
deployment options.
CRM Suites

13. Midmarket CRM suites (SMB market - revenues < $1 billion/year
and/or < 1,000 employees):
- offer a breadth of CRM functionalities ( have more limited
capabilities in specific areas);
- simpler to use than solutions built for the enterprise market.
- variety of deployment options (on premise license, hosted, and
SaaS).
CRM Suites

14. CRM specialty tools solutions with specialty capabilities
(enterprise + midmarket) such as: marketing automation,
sales force automation (SFA), customer service, partner
channel management and collaboration, customer
analytics, and customer data management.
CRM Suites