CRM systems: Necessary, but not sufficient. REAP the benefits of customer management
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- Starkey, M. & Woodcock, N. J Database Mark Cust Strategy Manag (2002) 9: 267. doi:10.1057/palgrave.jdm.3240008
Research shows that there is a good correlation between customer management (CM) performance and business performance. Expenditure on customer relationship management (CRM) information technology (IT) systems has increased over the years, however many CRM systems fail to deliver the desired objectives. Actual CM performance measured using CMAT™ (Customer Management Assessment Tool) is, however, disappointing and companies may be destroying rather than creating economic value. Investment in REAP (Retention, Efficiency, Acquisition and Penetration) measures can provide a four to one return on investment for well-managed programmes.