Slightly more than one-fourth of CRM initiatives meet the project deliverables as defined before implementation begins, which usually means success for those companies, according to a Best Practices LLC study released last week.
“The real value drivers of successful CRM initiatives start with an awareness and appreciation for the softer organizational issues and then employing proven best practices to effectively manage both technology and people,” said Jonathan Tanz, director of research at the Chapel Hill, NC, research and consulting firm.
Companies profiled in the research include Lands' End, AAA, Merrill Lynch, Aventis, Boeing, Raytheon, Corning, Eli Lilly and JD Edwards. The study also gleaned the following information:
· Though 67 percent of senior managers acknowledge customer relationship management as a priority, only 17 percent engaged with customers to better understand how a CRM initiative could benefit them.
· CRM initiatives increase upsell opportunities and customer retention rates but do not improve closing rates.
· An effective tactic to reduce organizational resistance is to create training programs that inform and influence all stakeholders to integrate CRM metrics into their organizational functions.
· When selecting a CRM solution, only 40 percent of organizations incorporate vendor-training capabilities in their decision making.
Melissa Campanelli covers postal news, CRM and database marketing for DM News and DMNews.com. To keep up with the latest developments in these areas, subscribe to our daily and weekly e-mail newsletters by visiting www.dmnews.com/newsletters
