Are CRM and Customer Service Strangers to Each Other?

CRM will continue to be an unsatisfying investment to executives until it enlarges its focus to include customer service and support. Merging analytics and the customer loyalty paradigm into the sales force automation model disguises the fact that enterprise culture doesn’t really understand customer service, and remains tightly focused on top-line revenues that derive from the actual sale.

“Customers are asking for technologies to enable them to accomplish four things: quickly understand a customer’s intentions in contacting the contact center; locate the information that pertains to the service request; analyze the best “next step” to take with the customer; and capture an opportunity or lead where appropriate. To this end, analytics and business rule engines will play a more significant role in this process, and collaboration technologies will be essential to connect employees and customers as part of the service experience.” – Service and Support Leader Corner

But customer loyalty offers can only work with customers who stay with you in the first place, and customer retention itself follows from genuine service and support. Despite some rhetoric, the CRM development industry as a whole remains locked in its focus on SFA and analytics, and the Forgotten Space of customer service and support continues to fall outside of development plans.

“Companies give lip service to the issue and say they want to improve customer service, but budgets for training and salaries remain static,” – Five Tips To Optimize New Service-Rep CRM Training

The market remains fragmented, with differing degrees of service and support capabilities offered from the major CRM vendors. Siebel has in recent years been the strongest in this area, appearing top in Gartner’s Magic Quadrant report covering CRM customer service and support suite vendors. Amdocs also figured as a strong competitor, with the drawback that the company targets the telecommunications vertical.

”’There’s more of a fragmentation in the marketplace,’ said Michael Maoz, distinguished analyst with Gartner and author of the report. ‘The idea that there’s a customer service and support suite, that hasn’t panned out. It’s too complex an issue the way a business achieves customer service excellence. We’re not seeing any one vendor or any one vendor type able to create a full suite.’” – Gartner ranks customer service software

Owners of Amdocs Clarify owners, who by and large are neglected outside the telco space, can make great gains in service and support with Dovetail CRM, which is developed specifically to enhance the Clarify install overall. Dovetail supplies replacement applications for all the Amdocs products, leaving only the database core, with which all Dovetail apps seamlessly interact.

The greatest sea change in CRM development is the shift in the call center from cost center to profit center, and the concurrent technological challenge to rewire the enterprise to customer-centricity. Corporate culture remains the hardest thing to change, and focus on top line revenues forces customer-centricity into a front-office model, rather than a whole-company service approach.

“Customers expect a seamless experience, one that reaches across channels, whether they contact a company first via the Web or online, they want to be able to continue that process in the other channel. Additionally, “secret” service is enabling this process, acting as an unseen person in the communication loop aiding the experience, whether it’s through proactive chat when someone abandons an online shopping cart or a premier customer struggling with the IVR. Service avoidance is also emerging as customers are turning to communities of their peers to help solve problems.” – Social networks forcing customer service change

Analysts and experts continue to lecture the enterprise in the nature of customer service, and the nature of the customer. Companies learn slowly, and even though it is well demonstrated that scrimping on customer care backfires, in the end, as we suggest often, it may be the saturation of the enterprise in collaboration systems that changes the culture into one of truly caring for customers.

Published Tuesday, May 08, 2007 4:19 PM
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