Analytical Customer Relationship Management
Published Online: 15 JAN 2008
Copyright © 2007 by John Wiley & Sons, Inc.
Wiley Encyclopedia of Computer Science and Engineering
How to Cite
Srivastava, J., Vayghan, J. A., Lim, E.-P., Hwang, S.-Y. and Wang, J.-H. 2008. Analytical Customer Relationship Management. Wiley Encyclopedia of Computer Science and Engineering. .
- Published Online: 15 JAN 2008
The Internet has emerged as a low-cost, low-latency, and high-bandwidth customer communication channel. Its interactive nature provides an organization the ability to enter into a close, personalized dialog with individual customers. The simultaneous maturation of data management technologies like data warehousing and data mining have created the ideal environment for making customer relationship management (CRM) a much more systematic effort than it has been in the past. In this article, we describe how data analytics can be used to make various CRM functions like customer segmentation, communication targeting, retention, and loyalty much more effective. We briefly describe the key technologies needed to implement analytical CRM, and the organizational issues that must be carefully handled to make CRM a reality. The goal is to illustrate problems that exist with current CRM efforts, and how using data analytics techniques can address them.
- customer segmentation;
- customer profiles;
- data analytics;
- data warehouse;
- data mining;
- Lines of Business (LOBs)