Friday, 23 April 2010

Customer Relationship Management going social?

It could be argued that CRM (Customer Relationship Management) lifted the lid on the potential of all this social networking. Well, if we just imagine how influenced teens are by their peer group, it's not rocket science to extend this idea of strong influence to friends and family. So CRM, which bonded people by brand association and/or buying habits, is not that far from companies trying to influence people bonded by friendship or family ties to buy similar things.

This seems to be a successful advertising formula improving recall by 30% if friends' names are linked to buying a brand. See the article from MyCustomer.com.

You’d imagine that the links between CRM and Social Networking are a bit obvious if I make the link as a non-marketeer! But it is not, it seems. Although Facebook and Twitter have passed the fad stage, traditional CRMers have not bought in to them - as cited in another MyCustomer article.

Watch this space because the social networking sites are still growing more rapidly than any other communication media. But again if we try to learn from the past, the social sites grew for other reasons and may react badly to adverse influence. It has to be handled carefully. Where's the solid research?

Talking of research, Forrester looks at the trends of CRM 2010. They see this year as one where the hype about social media and CRM leads to some pilot projects. Take a look at a summary of other CRM trends at Forrester.

Perhaps you can do your own bit here. Would you be happy to see ads with your friends and family names and faces linked to them? Would it influence you positively?

No comments:

Post a Comment