LOS ASPECTOS EN EL TEMA NATAL
SATURNO EN ASPECTO CON MARTE
The coordination and integrity between different components of CRM have a significant effect on CRM value creation for the organizations; therefore, to be able to investigate the real value generation process of CRM, its different components should be aligned and linked together.
Many researches have been conducted to empirically and theoretically examine the value process of CRM such as its impact on firm performance. We have discussed the concept of 'customer retention' and its importance for firms in the previous chapter and also in the first part of this chapter. In this section, a summary of our literature survey of studies linking CRM to customer retention (as the considered firm performance in this study) is presented. Table 2.1 provides this review. Besides, table 2.2 exhibits the analysis of these studies based on addressed or not addressed important issues from the viewpoint of this research. As it can be noticed, some of these addressed issues are more technology-oriented while others are more strategic. However, to have a broader view, the important issues which have not been addressed in these studies are brought, too.
Table 2.1: Summary of studies linking CRM to customer retention
Table 2.1: (continued)
Winer (2001)
Reference CRM components Mediators Findings Customer retention programs of CRM: - Loyalty programs - Customization - Customer service - Community building - Customer satisfaction - Customer retention
- Each of the loyalty programs, customization, customer service, and community building affects customer satisfaction significantly.
- Customer satisfaction has a great impact on customer retention. - IT knowledge - Inter-firm cooperation - Customer-focusing technology usage - Organizational size
- There is a positive relationship between IT knowledge and customer-focusing technology usage.
- Customer-focusing technology affects customer retention. - The effect of Inter-firm cooperation on performance in large banks is more than small banks.
- The association of organizational size with the relationship between customer-focusing technology and customer relationship outcome (such as customer retention) is negative. Lüneborg and Nielsen (2003) Verhoef (2003) RMIs: - Loyalty programs Direct mailing -
- Customer retention - Commitment has a significant effect on customer retention. - RMIs (Loyalty programs and direct mailing) affect customer retention.
Eng (2004) - Industry attractiveness
- Resource advantage of customer portfolio - Long-term value of customer portfolio
- The correlation between industry attractiveness and resource advantage of customer portfolio is positive and considerable. - There is a weak positive correlation between long term value of customer portfolio and customer retention.
Reinartz et al. (2004) Customer-facing level of CRM process: - Relationship initiation - Relationship maintenance - Relationship termination - CRM technology - Organizational alignment
- Only for initiation and maintenance level CRM process implementation associates better customer retention.
- A CRM-compatible organizational alignment plays the role of moderator between CRM processes and firm performances (such as customer retention).
- Using large CRM technology proportion does not affect customer retention as it is expected.
Wang et al. (2004)
- Customer value - Customer satisfaction
- Customer value (customer's perception) is a determinant of customer satisfaction and customer loyalty.
- There is a positive relationship between customer satisfaction and customer retention.
Roh et al. (2005) - Process fit - Quality of customer information - Efficiency - Customer satisfaction
- Among CRM initiatives, process fit is the only one that has direct effect on performance.
- CRM elements influences efficiency and efficiency has significant impact on customer satisfaction
Table 2.1: (continued) - CRM technology - Top management commitment - CRM orientation - Organizational alignment - Customer heterogeneity - CRM activities Greve and Albers (2006)
- Use of CRM technology affects performance indirectly (including customer retention).
- Top management commitment and customer orientation only affect the retention performance.
- Except customer orientation and top management commitment, all variables affect each of initiation, maintenance, and retention performances directly.
Coltman
(2007)
- Superior CRM capabilities
- Reactive and proactive market orientation
- CRM capability affects customer retention.
- The relationship between CRM capability and customer retention is partially mediated by proactive market orientation, but reactive market orientation does not show a significant mediation impact. Keramati et al. (2009b) CRM resources: - Technological resources - Human resources - Organizational resources
- CRM resources (Technological, human, and organizational resources) positively affect CRM processes.
- The extent of affected CRM processes is directly associated with improved CRM process capabilities.
- There is a positive association between CRM process capabilities and firm performance.
Keramati et al. (2010) - CRM resources - CRM processes - CRM process capabilities - Firm performance (such as customer retention) - Firm performance (including customer retention)
- Technological CRM resources affect organizational performance (such as customer retention) when they are aligned with infrastructural resources.
- Deployment of all CRM resources leads to better customer retention.
- While the integration of organizational resources and capabilities (analytical and operational capability, and information resources) may impact retention process, they are not enough to provide desired firm performance of acquiring new customers and improving relationships with them.
- Implementation of enterprise CRM - Customer retention - Relationship expanding - Organizational resources - Organizational capability for CRM implementation Kim et al. (2010)
- CRM implementation impacts customer retention only if the appropriate company stakeholders support it adequately. - Customer heterogeneity impacts customer retention rate significantly.
- The effect of technological implementations with employee support on performance is significant and positive for both the initiation and the maintenance aspect.
- Customer acquisition - Customer maintenance and retention - Technological implementation of CRM - Organizational implementation of CRM Becker et al. (2009)
Table 2.2: Analysis of studies linking CRM to customer retention
Lüneborg and Nielsen
(2003)
- Measures significant IT related capabilities (for example information analysis skills) from the view of RBV. - Addresses two levels of organizational outcome. The first level which is ―customer-focusing technology usage‖ measures these capabilities as ―market orientation‖ and ―frontline support‖.
- While investigates the relationship between adoption of CRM and customer performance, it does not address the way of relating this adoption to performance.
- Does not pay attention to CRM processes.
- Many human and organizational aspects are not considered.
Reference Addressed issues Not addressed issues
Eng (2004) - examines the effects of three significant strategic views in attaining customer performance (including customer retention).
- Emphasizes on the scales measuring the specified three constructs.
- The variable of ―competitive characteristics‖ is examined as an important indicator of industrial view.
- It does not directly address CRM and its applications.
Reinartz et al. (2004)
- Specifies and assesses the impacts of attractive three stages of CRM processes at customer-facing level for practitioners.
- evaluates the impact of technological CRM resources on the relationship between CRM processes and organizational outcome (including customer retention). - Measures some company performances such as customer retention.
- Considers industry as a control variable and say that benefits of CRM such as customer retention are approximately the same among different industries.
- Evaluates the relationship between CRM processes and firm outcome (including customer retention) directly. However, it does not address the benefits gained by CRM which improve the customer retention.
Wang et al. (2004) Winer (2001)
- Addresses the relationship between customer satisfaction and customer retention.
- Specifies all the determinants of customer retention and gives them in the form of a comprehensive set of customer retention programs.
- Discusses CRM processes broadly.
- Focuses on suggesting a comprehensive set of customer retention programs; As a result, the significance and priority of each program have gone unnoticed.
- It does not say that which program affects customer retention directly and which program affects it indirectly. - Organizational resources are not addressed enough.
Verhoef (2003)
- Investigates the impact of relationship marketing
instruments (RMIs) and customers‘ relationship perceptions (CRPs) on customer retention.
- Tries to find out whether different variables of RMIs and CRPs affect customer retention.
- Human aspect of CRM especially employees are not addressed.
- Management CRM processes are not considered.
Roh et al. (2005)
- Focuses on behavioral variables of CRM performance and does not mention how they are created and help to retaining existing customers.
- Measures behavioral outcomes of CRM such as emotional value from customer's view and relates them to customer retention.
- The emphasis of the research is on the technological resources of CRM and as it is obvious, the considered efficiency aspects are only from technology perspective, therefore, they are not enough to enhance the customer retention.
- The study does not address the people aspect in CRM programs.
- emphasizes on important aspects of CRM (for example CRM systems and customer information).
- It argues why the CRM system affects profitability and customer retention by considering efficiency aspects of the CRM system.
Table 2.2: (continued)
- Assesses the impact of technological CRM resources on organizational outcome.
- Moreover, it views top management commitment and customer orientation as aspects of CRM.
- It measures CRM performance including customer retention at three stages of CRM processes.
- Evaluates the resource capabilities of CRM based on RBV.
- By considering the four perspectives of the balanced scorecard, it assesses organizational outcome.
- Investigates the mediating effect of conversion feasibility (i.e., the organization's capability in following the specified path when the CRM resource capabilities are built) on the benefits gained by CRM.
- It does not pay enough attention to human resources of CRM. For example it does not consider employee experiences.
- Determines the factors affecting customer retention, but it does not say why these effects happen.
Greve and Albers (2006)
- Since it evaluates the CRM resources too broadly, some of CRM aspects about customer retention (such as efficiency) are not considered.
- CRM processes are not addressed directly. Coltman
(2007)
- Proposes a framework to investigate the relationship between CRM resources, CRM processes and process capabilities, and firm performance based on RBV and process oriented approach.
- Emphasizes on the importance of human and organizational resources of CRM and aligning them to IT and CRM technology.
- Evaluates the effect of all CRM resources on CRM processes.
- Discusses CRM processes and CRM process capabilities on both operational and management processes.
- Customer facing level of CRM process is not discussed directly.
Keramati et al. (2009b)
- This study focuses on the role of CRM resources based on RBV; therefore, it does not pay enough attention to CRM processes.
- Investigates the role of technological, human, and organizational resources of CRM on firm performance including customer retention based on RBV.
- Addresses and discuses the important role of human and organizational CRM resources and concludes that without efficient use of these two resources, investments and large use of IT and CRM technology can not lead to expected performance.
Keramati et al. (2010)
- It does not examine CRM and its applications directly and deeply.
- Considers information resource and analytical capability as the organizational resources and capabilities and talks about the impact of integrating them on customer retention.
- Addresses the technology, process, and people aspects in implementing a successful customer retention strategy. Kim et al.
(2010)
- This research emphasizes on the effect of technological and organizational CRM resources on customer retention, but does not pay enough attention to human CRM resources.
- The capabilities of firm in CRM implementation is discussed enough, but the CRM process capability is not general discussed.
- Investigates what effect firms can expect CRM to have on customer retention and how this effect can be leveraged.
- Presents a conceptual model that tries to find the relationship between organizational and technological resources. Also, the impact of management and employee support on CRM process-related outcome is addressed.
- Measures performance in terms of the initiation, maintenance, and retention of gained by CRM.
Becker et al. (2009)