Human Nature

"People like doing business with people they like and trust"

This is a very true statement and seems to be written in human DNA.
In the past, many CRM solutions did not consider this simple fact at all and focused on collecting customer data and make them available in many different forms and at any place. With the right strategy, this can help build fruitful customer relations and create an environment of trust and cooperation. But a pure CRM installation is not the guarantee of success!

Sales reps appreciate a tool that delivers data of the customer but they are not keen on entering a lot of data into an application that is not helpful for them to win deals or generate leads. Social applications connected to such an application can help improve leveraging the social intelligence that improve these flaws. Additionally the Web 2.0 applications can improve the communication with the customer and build a better relationship from which both sides profit.

But again, tools or applications is only one side of the medal. It it necessary to back that up with a bullet proof and well thought through CRM 2.0 strategy. Software can only help building and maintaining relationships better and more effective, they can not replace real people talking to real people - people they trust...

CRM 1.0 vs. CRM 2.0

• Starts with a (ready developed) product
  
• Strong Focus on SFA
  
• Gathers information about the customer
  
• Where is the Customer Relation?
  
• Where is the value (+experience) for customers?
  
• Process focused (Inside-Out view)

• Provide content to engage consumers in a conversation
  
• Collaborate on products and services
  
• Listen to users and customers
  
• The consumer engagement will lead to loyal customers
  
• This will create a Meaningful Customer Relationship that brings value to both sides!

Technorati Tags: CRM 2.0, process flow, loyal customers, meaningful customer relationship

Viral Marketing and CRM 2.0

Viral Marketing (did I mention that I don't really like that term?) can be a powerful marketing tool, especially if the budget is somewhat limited...

...but...

this shot can easily backfire!

Candians PCWorld has put together a list with 'viral' marketing campaigns that really did not deliver the expected result.


What about risks in CRM 2.0 using social networks?

Similar to Viral Marketing, CRM 2.0 utilizes social networks to gather information about the customer and establish a ralation - ideally making customers loyal to the brand or product.
What happens if the engagement in social networks fail or even show negative results (i.e. consumers run away or make fun of the products)?

A very important part of a CRM 2.0 strategy must be a management of the engagement in social networks that allows to intervene if thing start running out of the rudder. As high as the gains of CRM 2.0 can be, as high are the risks.
This shows the importance of a well defined CRM 2.0 strategy that does not blindly engage customers and use the nice&new Web 2.0 world, but create a concept that will bring real value to consumers and make them loyal to brand or products.

Technorati Tags: CRM 2.0, Strategy, social networks, risks