In times of computerization and mass consumption, one vital element has long been left behind. So far the customer rather tended to be treated as a trash dump for all those mailings that completely missed his interest, while he actually longed for companies to guess his needs, requirements and wishes and send him personalized offers especially tailored to those. With the beginning of the new century, technological advances and innovations in the field of data mining and data management have already made this dream come true for many customers. This new way of building relationships is called Customer Relationship Management (CRM) and comprises all aspects of interaction a company has with its customers. “It’s a business strategy that aims to understand, anticipate and manage the need’s of a company’s current and potential customers.”1 Along with the fast proliferation of mobile devices, consumer’s behavior has changed considerably. Customers do no longer constraint their activities to one communication channel, but take advantage of new technological opportunities such as mobile commerce. In this fast-moving technological environment creating and intensifying customer loyalty has become indispensable for the business world. This change in consumers’ behavior gave way to the development of mobile CRM solutions enabling companies to serve every customer individually at any time and anywhere and create services and offers specifically corresponding to their needs. With every mobile phone user being able to send and receive short messages, wireless marketing offers great potential in the field of Customer Relationship Management. Nevertheless, if the Short Message Service (SMS) is applied to send offers and advertisements it should be an end-to-end service2. Customers are to be given the opportunity to directly respond to an offer and finish the transaction over their phone. This requires secure mobile payment solutions. Just recently, the German subsidiary of the international Mobile Market Association has been founded in Munich while Hewlett Packard, Lucent, Oracle, Siemens and Sun Microssystems have formed a consortium to standardize mobile payment an foster mobile business.3
Table of Contents
1. Introduction
1.1 Problem statement
1.2 Limitation of research topic
1.3 Research procedure
2. M-Business: “Anywhere Anytime Access”
2.1 Definition of M-Business
2.2 Mobile network technology
2.2.1 GSM
2.2.2 GPRS
2.2.3 HSCSD
2.2.4 UMTS
2.3 Service technology
2.3.1 WAP
2.3.2 Bluetooth
2.3.3 Short Messaging Service (SMS)
2.4 iMode as an alternative to WAP
2.5 Mobile payment solutions
2.5.1 Paybox
2.5.2 Mobilpay
2.5.3 Payitmobile solution
3. Mobile Customer Relationship Management – Key Functions and Definitions
3.1 Definition of Customer Relationship Management
3.2 CRM – A customer-oriented organizational process
3.3 Benefit of CRM
3.3.1 Improvement of image
3.3.2 Improvement of efficiency
3.3.3 Acquisition of new customers
3.3.4 Customer bonding
3.4 Customer Lifetime Value – A means to measure the success of CRM
3.5 CRM in the wireless world
3.6 Fields of application
3.7 Objectives of Mobile Customer Relationship Management
4. M-CRM as a means to increase customer loyalty
4.1 What is the meaning of customer loyalty?
4.2 Mobile Services: What do customers expect?
4.2.1 Survey: “What do you think about Mobile Marketing?”
4.2.2 Analysis
4.2.3 Comment
4.3 The “EMF” principle
4.4 Advantages of M-CRM for the customer and the provider
5. SMS-Advertising under the aspect of Permission Marketing
5.1 Permission Marketing: License to advertise
5.2 SMS: a two-way medium
5.3 Loyalty-based SMS operations
5.3.1 Push services or pull services?
5.3.2 Personalized messaging
5.3.3 Location Based Services
5.3.4 Value adding services
5.4 Worldwide SMS traffic
5.5 SMS Couponing – Example of a mobile business model
6. Future prospects for mobile customer relationships
6.1 Possible future mobile business fields
6.2 Multi-media messaging
6.3 Market forecast
6.4 FAQ’s
7. Conclusion
Objectives & Core Topics
The primary objective of this thesis is to demonstrate how companies can maintain and increase customer loyalty in the wireless world by effectively leveraging Customer Relationship Management (CRM) strategies and mobile applications.
- Integration of mobile technology and CRM systems.
- The importance of permission marketing in wireless communication.
- Analysis of mobile user expectations and service acceptance.
- Strategic implementation of SMS-based marketing and couponing.
- Future prospects and challenges for mobile customer relationships.
Excerpt from the Book
1. Introduction
In times of computerization and mass consumption, one vital element has long been left behind. So far the customer rather tended to be treated as a trash dump for all those mailings that completely missed his interest, while he actually longed for companies to guess his needs, requirements and wishes and send him personalized offers especially tailored to those. With the beginning of the new century, technological advances and innovations in the field of data mining and data management have already made this dream come true for many customers. This new way of building relationships is called Customer Relationship Management (CRM) and comprises all aspects of interaction a company has with its customers. “It’s a business strategy that aims to understand, anticipate and manage the need’s of a company’s current and potential customers.”
Along with the fast proliferation of mobile devices, consumer’s behavior has changed considerably. Customers do no longer constraint their activities to one communication channel, but take advantage of new technological opportunities such as mobile commerce. In this fast-moving technological environment creating and intensifying customer loyalty has become indispensable for the business world. This change in consumers’ behavior gave way to the development of mobile CRM solutions enabling companies to serve every customer individually at any time and anywhere and create services and offers specifically corresponding to their needs.
Summary of Chapters
1. Introduction: Discusses the shift from mass marketing to personalized CRM in the digital age and introduces the growing importance of mobile-based customer interaction.
2. M-Business: “Anywhere Anytime Access”: Explains the technological foundations of mobile business, including network standards like GSM and UMTS, and details mobile payment solutions like Paybox.
3. Mobile Customer Relationship Management – Key Functions and Definitions: Defines CRM as a customer-oriented philosophy and explores its lifecycle, data mining techniques, and the benefits of applying these in a mobile environment.
4. M-CRM as a means to increase customer loyalty: Examines customer expectations through an online survey and introduces the "EMF" (Easier, Faster, More) principle to guide successful mobile service implementation.
5. SMS-Advertising under the aspect of Permission Marketing: Focuses on the strategic use of SMS for marketing, highlighting the necessity of permission-based approaches and success models like SMS couponing.
6. Future prospects for mobile customer relationships: Forecasts the growth of mobile internet use and discusses emerging opportunities like multi-media messaging and yield management.
7. Conclusion: Summarizes the thesis findings, emphasizing that future business success depends on creating long-term, personalized relationships with customers in a mobile-first environment.
Keywords
Mobile Customer Relationship Management, M-CRM, Mobile Business, Customer Loyalty, Permission Marketing, SMS-Advertising, Wireless Marketing, Data Mining, Mobile Payment, Customer Lifetime Value, WAP, UMTS, GPRS, Consumer Behavior, Customer Retention.
Frequently Asked Questions
What is the core focus of this thesis?
This work explores how mobile technology, such as SMS and mobile web services, can be integrated into Customer Relationship Management to enhance customer loyalty and foster sustainable business relationships.
What are the primary themes discussed in the book?
The book covers technological foundations of mobile business, the shift toward customer-centric strategies, the role of permission marketing in wireless advertising, and the strategic measurement of customer value.
What is the main research question of the work?
The research aims to demonstrate how companies can manage to maintain and increase customer loyalty through the deployment of effective CRM solutions in the modern wireless world.
Which scientific methods are utilized?
The author conducts a theoretical analysis based on existing literature and business reports, supplemented by an original empirical online survey targeting 119 individuals to gauge user attitudes toward mobile marketing.
What topics are covered in the main section?
The main section investigates network and service technologies, CRM lifecycles, the "EMF" principle for service convenience, and specific examples of mobile-based advertising and payment models.
How would you characterize the work's primary keywords?
The work is centered around terms like M-CRM, Permission Marketing, Customer Loyalty, and wireless technological infrastructure, reflecting a focus on modern digital marketing strategy.
What is the importance of the "EMF" principle?
The EMF principle (Easier, Faster, More) provides a framework for evaluating if new mobile services provide tangible value to customers, which is crucial for achieving high adoption rates.
Why is permission marketing emphasized for SMS-advertising?
Because mobile devices are highly personal, unsolicited messages are perceived as intrusive. Permission marketing ensures that advertisements are desired, thereby protecting the customer-company trust relationship.
What specific conclusion does the author reach regarding the future of mobile CRM?
The author concludes that while current mobile technology has limitations, the future success of companies will rely heavily on their ability to move beyond profit-based thinking and provide personalized, timely services to customers on the go.
- Citation du texte
- Silke Freitag (Auteur), 2002, Increasing Customer Loyalty via Mobile Customer Relationship Management, Munich, GRIN Verlag, https://www.grin.com/document/185776
