answers crm - It cost five to ten times more to obtain a...

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It cost five to ten times more to obtain a new customer than it does to keep an existing one. Briefly explain this statement. Because attracting new customers requires new databases, new marketing plans and other expensive factors, where you have to invest in to attract new customers. With the existing customers you’ve already done this and you only need to keep them satisfied. What is the main difference between offensive marketing and defensive marketing? Offensive marketing is focused on the attraction of new customers where defensive marketing is keeping the existing customers and put your focus on that part. What is the core element of CRM? CRM is the process of creating a long term and mutual relationship between the company and the profitable customers through the integration of people, process and technology List and explain the 4 main causes of CRM failure Bad database Poor IT When there is the implementation of CRM demand a total change of the company culture and structure When the CRM strategy is not compatible with the overall company business strategy. What is the relationship between trust and commitment? Give an example Commitment is a durable desire to maintain a valued relationship. And trust is a basic condition necessary in order for a relationship to grow. So basically you need trust before you want to commit yourself. An example could be if a customer likes to continue with the same supplier when he already proved himself trustworthy with good products. What should you know about a customer in order to be capable of and desirous of developing a long
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This note was uploaded on 05/22/2011 for the course IBMS 123 taught by Professor Heart during the Spring '11 term at De Haagse Hogeschool.

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answers crm - It cost five to ten times more to obtain a...

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