CUSTOMER RELATIONSHIP MANAGEMENT

In what ways Customer Relationship Management add to the Competitive Position of the Retail Firms? A Study towards a Better Understanding of Customer Relationship in Argos

Table of Contents

Executive Summary1

Chapter 1: Introduction2

Background of the Research2

Background of the Company4

Problem Definition / Statement5

Aims and Objectives5

Research Question6

Chapter 2: Literature Review7

What is customer relationship management (CRM)?7

Trends Contributing To CRM8

The Relationship Between CRM And Marketing9

Chapter 3: Methodology13

Rearch Methodology13

Data Collection Approach14

Limitations of the Research Study15

Data Analysis15

References16

Bibliography19

Appendix - A21

Time Scale21

Executive Summary

Argos is the largest general-goods retailer in the United Kingdom and Republic of Ireland with over 700 stores. Argos is unique amongst major retailers in the U.K. because its primary means of displaying goods to customers is via a catalogue. Customers browse through the Argos catalogue, select items to purchase, pay for the items, and then collect the items from the in-store collection desk or have the item delivered to their home - it is a catalogue merchant.

This paper is based on a proposal for Argos aimed at gaining competitive advantage over its potential competitors in the retail sector in the United Kingdom. There will be some major issues discussed related to the retailing operations at Argos and how the contemporary competitive enviroment has affected the company's standing in the retail market.

The first chapter will focus on why this research is necessary keeping in view Argos background. The second chapter will be based on a coherent literature review related to the topic. The third chapter will focus on the methodology and data collection techniques.

As this is only a proposal, only three chapters are to be included. The time scale will benefit in timely completion of the full dissertation, which will be possible only after the approval of this proposal.

Chapter 1: Introduction

Customer relationship management (CRM) is an organizational approach to business where the most important asset is the consumer. This organizational method, driven by technology, uses software applications to create an intricate system of data, automation, and evaluation to aid companies by improving productivity and enhancing efficiency.

CRM is a term that describes any software application that manages information on a customer for many different uses. The data being managed by CRM systems is entered as customer contact information; it then becomes available for use by sales representatives and by customer service and marketing departments within a company.

Companies use CRM in order to improve business functionality and remain competitive. CRM software helps companies to understand and know their existing customers, as well as find new ones. The systems use a database to store information ranging from customer addresses and telephone numbers to their purchasing behaviors.

Background of the Research

Successful, profitable CRM starts with a customer focused business strategy that is designed to keep customers and prevent the competition gaining them. The imperative to respond to what customers want has emerged as a result of shorter product life cycles, leading to more options for customers, the Internet providing ready access to competitor information for customers and the failure of enterprise resource planning systems to add value for the customer, ...