New Profit Opportunities in Dairy to 2008: Industry insights and NPD trends

• Customer Relationship
• Management (CRM)
• Summary
• Introduction
• 21st century attitudes towards banks
• How marketing oriented is your company?
• Benefits of developing relationships
• Relationship marketing versus transactional marketing
• Eight major benefits of developing relationships
• Long-term profitability
• Lower costs
• Repeat customers often cost less to service
• Opportunities for cross-selling
• Defection less likely
• Employee retention
• Family influence
• Satisfied customers provide referrals and may be willing to pay a
• price premium
• A customer retention plan: reducing defectors and boosting retention
• rates
• Measure customer retention
• The crude retention rate
• The weighted retention rate
• Ascertain defection motives
• Price defectors
• Market defectors
• Are all customers the right customer?
• Identifying profitable customers for CRM
• First group of customers to target
• The middle group of buyers
• The final, less profitable, group of customers
• Implementing relationship marketing
• Defining the value proposition
• Case study: First Direct
• Meeting consumers diverse requirements
• Delivering superior value and engaging entire organisation
• Implications for practice
• Demonstrating trustworthiness
• Generalised trust
• System trust
• Personality based trust
• Process based trust
• Who owns the customer?
• Effects of merger activity
• The “customer is king”
• “Everyone owns the customer”
• Sharing information companywide is crucial to widening customer
• ownership
• How to evaluate your company’s success in offering customer satisfaction

Chapter 2 Creating Value for the

• Organisation
• Summary
• Introduction
• Developing a segmented service strategy that aims to deliver increased value
• to the customer and the organisation
• Step 2: Segment the customer base and determine segment value
• Step 3: Identify segments’ service needs
• Step 4: Implement segmented service strategy
• Finalise segment service strategy plan
• Chapter 3 How To Tackle Customer
• Defections
• Summary
• Introduction
• Case study: Abbey
• Defection can be remedied
• Possible reasons for customer defection
• What are the factors that force customers to switch?
• Retaining customers in a competitive business
• Loyalty must start to count for something

Chapter 4 Achieving Customer Satisfaction

• Through Service Quality
• Summary
• Introduction
• Financial services characteristics and their implications for branding and
• relationship management
• Intangibility
• Implications for branding
• Inseparability
• Implications
• Heterogeneity
• Implications
• Perishability
• Implications for branding
• Fiduciary responsibility
• Two-way information flows
• Implications
• Impact of online delivery for service concepts
• Consumer empowerment
• Effective separation of production and consumption
• Service quality
• Example: customer care at the ANZ bank
• ANZ’s ‘Customer Service Charter’
• Researching service quality
• Research objectives
• The most common research objectives in financial services
• Research methods
• Regular customer surveys
• Customer panels
• Transaction analysis
• Mystery customers
• The SERVQUAL methodology
• What to measure
• How to measure
• Internet customer questionnaire

Chapter 5 The Implications of eCommerce for CRM

• Summary
• Introduction
• How should financial firms respond?
• Example: internal marketing at Barclays
• How different companies are approaching eBusiness
• The reluctant approach of a life insurance company
• The integrated approach of a national retail banking operation
• The focus for change in an international insurance company
• The stand-alone Internet bank
• Key factors in developing effective strategies for eCommerce
• The role of senior management
• Capabilities required in a changing environment
• Critical success factors
• The threat of criminal activity on eCommerce
• Ways to help customers protect themselves against fraud

Chapter 6 Avoiding the Pitfalls in CRM

• Summary
• Introduction
• Peril 1: Implementing CRM before creating a customer strategy
• Example: Fidelity Investments
• Peril 2: Rolling out CRM before changing your organisation to match
• Peril 3: Assuming that more CRM technology is better
• Peril 4: Stalking, not wooing customers
• Chapter 7 Appendix
• Example
• Part A

List of Figures

• Figure 1.1: First Direct customer communication preferences
• Figure 2.2: The customer profitability matrix
• Figure 2.3: A framework for developing a segmented service strategy that aims to deliver
• increased value to the customer and the organisation
• Figure 2.4: Market maps
• Figure 2.5: The segment competitor profile of an insurance company
• Figure 3.6: Consumers are more demanding than ever
• Figure 3.7: More consumers plan to switch in the next 12 months
• Figure 3.8: Factors that erode satisfaction and trust
• Figure 4.9: Reasons for customer loyalty
• Figure 5.10: Reasons for customer preference for face-to-face contact
• Figure 5.11: Complex products sell in the branch
• Figure 5.12: Newcastle Building Society’s virtual customer service assistant
• Figure 6.13: The imperatives of CRM
• Figure 6.14: The imperatives of CRM, continued

List of Tables

• Table 1.1: The contrasts between transaction and relationship marketing
• Table 1.2: Customer satisfaction exercise
• Table 2.3: Customer management stage analysis, problems and opportunities
• Table 4.5: A comparison of different online metric collection methods
• Table 7.6: Dimensions of Internet banking service quality
• Table 7.7: Expectations of an excellent online bank, Part A
• Table 7.11: Expectations of an excellent online bank, Part B