Forrester Research has recently released it’s 2010 perspective on CRM. William Band, the lead analyst, prefaces the report by asking “As the economy recovers, what are the key trends that will drive customer relationship management (CRM) strategies and technology adoption in 2010?”
Here are my own observations on some of Forrester’s 11 key trends:
Trend #1) Companies return to investing in their most important asset — customers: This should never stop but credit to those who realize the importance of this vital asset. By re-orienting the enterprise back to the customer, companies will be able to sense and response to emerging wants and needs in period of tremendous upheaval in the marketplace. Various aspects of the web that affect the way consumers shop for and purchase will translate in to changes across all customer-facing touchpoints of the enterprise and filter back to the supply chain.
Trend #4) Social CRM hype reaches a crescendo, but projects remain in pilot mode: Makes sense as sCRM technology has outpaced the CMO’s ability to absorb and understand the business utility of a wide variety of applications. For example, FourSquare, while it has intriguing possiblities for retailers, is only at the stage where some (mainly coffee shops) are offering discounts on product. Companies, such as Ford Motor Company, have seen promising results with viral campaigns, notably a significant number of pre-orders in the US market for the soon-to-be-launched Fiesta. At the other end of the spectrum, few companies have been able to derive clear benefits from Social Networks such as Facebook, other than having a web presence.
Trend #5) Customer service embraces real-time methods: This is a huge opportunity as it will generate two clear deliverables for the business case – reduce costs of customer service delivery and drive down cycle time to problem resolution. This trend falls in the category of ‘quick hit’ as it takes little effort to set up extension of the customer service function on Twitter and conversation can take place in real time. Additionally, it has the potential to offload contact centre traffic and deliver the added beneft of broadening the customer’s touchpoint options for contacting the enterprise for service/product queries.
Trend #8) Mobile CRM becomes a must-have capability: This may be the jewel in the crown. Not surprisingly, the travel industry has been quick to embrace this technology, as it has been at the forefront of self-serve for some time re. airline check-in kiosk at the airport, via desktop or mobile device. Hilton Hotels, for example, has rolled out mobile apps that enable guests to manage their reservation status remotely, use the GPS function to search for hotels, order special services while en route or check their frequent stay points balance while travelling. I call this “being able to take your brand with you anywhere you go” CRM.
Trend #10) Scrutiny of business cases remains intense: As it should. With some much in front of the CMO these days, the range of possibilities is intensely confusing. I believe that this is one of the main obstacles to adoption, early or otherwise, as too many people advocate one technology solution over another without providing the necessary guidance to client companies. What is needed are clear strategy and process roadmaps with an eye to benefits and outcomes rather than an obsessive (and futile) focus on ROI. Until such time, piloting projects will remain the order of the day rather implementing cross-enterprise processes and technologies that support the business transformation.
Thanks to the Forrester team for prompting this dialogue on CRM.
– Ted Morris, 4ScreensCRM