From Ebay to smallest home-operated start-up, e-businesses of all sizes struggle to accurately answer a common question: who are my customers? If you can't answer that question, chances are you're also in dark about following questions. What customer demand trends can I expect in future? How can I improve customer retention? What can I do to build long-term relationships of trust with customers? Knowing answer to these questions can mean difference between long-term growth and profitability and crashing and burning.
Enter eCRM
With proliferation of e-business into just about every consumer market, customers are faced with more options than ever. As a result, they have naturally become increasingly demanding both of products they purchase and customer service they receive. The idea is that, "if company A doesn't meet my expectations, I can always go to companies B thru Z. By merely doing a Google search on your product or service you can quickly discover number of competitors waiting for chance to eat your lunch.
The importance of eCRM is highlighted when you think of fact that e-business' customer 'touch points' are limited and usually virtual. There's seldom any face-to-face contact because company usually doesn't have a physical location, just a web domain.
Because of relatively recent appearance of eCRM on business scene, many people aren't quite sure how to define it. In fact, definition of eCRM varies almost as widely as techniques companies use to manage it. For some people, eCRM may be as simple as pulling data off their order tracking system; they may believe keeping track of who bought what tells them whole story. Other e-businesses with more experience may take a more complex view; metadata, datamining and drilldowns, and CTI can all be seen as vital eCRM tools used to paint a picture of customer.