What Does Customer Relationship Marketing (CRM) Mean?
Customer relationship marketing (CRM) is a business process in which client relationships, customer loyalty and brand value are built through marketing strategies and activities. CRM allows businesses to develop long-term relationships with established and new customers while helping streamline corporate performance. CRM incorporates commercial and client-specific strategies via employee training, marketing planning, relationship building and advertising.
Techopedia Explains Customer Relationship Marketing (CRM)
CRM's core strength is an ability to glean insight from customer feedback to create enhanced, solid and focused marketing and brand awareness. Key motivating drivers for the development of more innovative CRM strategies are Web technologies and a sharpened global focus on customer loyalty.
- Provides a way to directly evaluate customer value. For example, a business that is genuinely interested in its customers is rewarded with customer and brand loyalty. Because CRM is mutually advantageous, market share viability advances at a sound pace.
- Provides cross-selling opportunities, where, based on customer approval, a business may pitch proven marketing or brand strategies to more than one client.
Customer relationship marketing should not be confused with "customer relationship management," a related, but unique concept that shares the acronym of CRM.