If you follow me on Twitter (@drnatalie) you have seen the on going conversation around whether Social CRM and Customer Service actually exists or if it is a fantasy.
Paul Greenberg has put his final stake in the ground on defining what Social CRM means- You can read more on the post that drove a huge discussion.The debate centers around alot of things - whether CRM is a strategy, a process, a technology. At the end of the day, most agree that its an all inclusive way of building relationships with your customers. Bill Band, Vice President and Principle Analyst at Forrester, has written about Social CRM in his ever popular doc CRM 2.0: Fantasy or Reality?
There's a lot of buzz right now surrounding social media, Twitter, Web 2.0 — and whether there is any business value. My gut said there was... but having a Ph. D. in engineering, I knew that hypothesis needed to stand-up to testing. I began talking to customers, the brave souls who have ventured down the social media path, about what they were observing. None had calculated an ROI, but they could share with me their observations — their benefits, their costs and the risks. I looked for trends.
Chip explains why customer service is an important facet of business to improve during the economic downturn, and details specific ways that companies can improve their customer service without breaking the bank to do so.
From my inquiries with customer service professionals, I wanted to get a generalized view of where companies are with respect to implementing the very best of customer service initiatives. It's become pretty clear that most are stuggling with outdated technology, systems that are not integrated together, outdated or no knowledge management technology systems, they haven't deployed proactive chat or ventured down the social media path and are unsure of how to document how much these factors are increasing operational costs, reducing customer lifetime value and lowering sales, revenue and profit margins-- or how to make the business case to show that if these types of things were changed-- that the return would be positive and in many cases, very large.
On the flip side, their organizations are expecting them to provide great customer experience despite these huge handicaps.
In covering Customer Service, I have divided the topic into three aspects:
“Get the Basics Right”
“Understand the Business of Customer Service"
“Plan for the Future of Customer Service.”
I just published a document, “How To Win Funding For Your Customer Service Project." Forrester suggests to standardize the process and template for a business case. We use the discipline Total Economic Impact™ to calculate the ROI for an initiative. I’m hearing from a lot of my clients that in order to get their project approved, they need to justify it.
Today I had an inquiry call from a vendor that wanted to know how best to standardize the business justification process. They are finding that they can’t even get a meeting, or if they do, then one of the first sales objections of their clients is, “What is the ROI of this solution?"
SAP held a carefully orchestrated product launch event for Business Suite 7 in its global marketing headquarters in New York on February 4, 2009. I had the privilege to attend this event, along with a cadre of other industry analysts, investment analysts, press, and industry influencers, as well as key partners and customers. The 2 hour program featured presentations from senior SAP executives, a product demonstration, and a Q&A session that included CIOs from 3 large SAP customers – IBM, Roche and Colgate-Palmolive.