Data Analytics- One of the Key Drivers for CRM?
In order to be more effective and gain competitive edge in the fast evolving markets it is said that the organizations need to understand more and more about the customers and use the insights to talk, engage and interact with their customers more often and more meaningfully in new and innovative ways such as the blogs, twitters and social networking sites etc.
Data analytics and business intelligence are perceived to be the key drivers of the way CRM would shape in the coming few years.
More and more companies are going after the fact that extracting more data about their customers, to understand more about their behavioral patterns is going to be a key factor in maintaining relations and gaining customers in future.
However I feel that there is another side to this. Take an example of a visit to a restaurant. Say I order my favorite dishes. My activities and preferences are all a part of the data base the restaurant must be maintaining. Next time when I visit the same restaurant they would produce the menu which they know as part of their data analysis, is to my liking and interest.
As a customer I might like it and am impressed that they have taken so much of care to ensure that things are as per my tastes. However it is even possible that as an individual I might not like and feel happy about the same. As a person I have my privacy and personal choices which I might not like anyone to follow or keep a track of. Getting reminders and wishes on birthdays and anniversaries might be some thing to rejoice for one and might not be encouraged by some one else.
It is very important to understand that we have N number of people with N number of behavioral patterns. Also the behaviours or likings of a person at a given point of time might not be constant throughout. Any unnecessary and un warranted intrusion in privacy might be something that might have negative impacts.
Getting phone calls/ messages/ mails etc for latest offers and best deals might actually drive the customer in the opposite direction. As a customer I might be very personal and recluse by nature and any marketing tantrums might just turn me off.
It is important to understand that going by trends and following the blind race is not always good. Data analytics and gaining customer might work for quite a few but that might not always be established as a rule. It is important to remember that human nature is the most complex thing to understand. The psychology and behavior is largely diversified and might largely vary. It is difficult to classify and draw conclusions and in many situations that might even turn disastrous
