thomas.wieberneit@aheadcrm.co.nz

Traditional CRM vs. Social CRM – What is the difference?

Just by looking at the terms Customer Relationship Management and Social Customer Relationship Management one can see that they are sharing the same roots; Social CRM is either a limitation to or an enhancement of (traditional) CRM – or is it something entirely different? Let me take a brief view at what CRM and Social CRM are and are not and then come to a conclusion. CRM – Customer Relationship Management – is a business strategy. If you do a brief research on the web you will find many definitions with their own tweaks. What most of them have in common is that they all say that the strategy is about the customer and about how to engage a customer so that the company applying the strategy [unordered_list style=”green-dot”] gets most knowledge about the customer (groups) and is able to action upon this knowledge to maximize the own results (be it market share, revenue, margin, win, …) [/unordered_list] As such a CRM strategy covers all relevant actions to market the right products to customers, sell the products and potentially provide service afterwards. CRM by no means is a technology, although sometimes this is still peoples’ thinking. A CRM application/system or suite enables and supports the business in pursuing its CRM strategy. The software does this by providing the tools to perform the necessary tasks and by providing the data that is necessary to control processes and to take necessary action. Something that is not explicitly said is that one fundamental underlying premise of pursuing a (traditional) CRM strategy is that the business owns and/or governs the communication with the...