Answer To: Page 1 of 2 11 Assessment Type Case Study Report Assessment Number Assessment Weighting 3 Group 30%...
Dilpreet answered on Sep 17 2021
Running Head: Case Study Report 1
Case Study Report 14
CASE STUDY REPORT: SUCCESS OF AMAZON BASED ON CRM SYSTEMS
Table of Contents
Introduction 3
About Amazon 3
Customer Relationship Management System 4
Customer Relationship Management System at Amazon 4
Uses of CRM at Amazon 5
Benefits of CRM System Used by Amazon 9
Use of CRM to Achieve Business Objectives 11
Conclusion 13
References 14
Introduction
As competition in the business environment continues to increase, businesses operating in different industries focus on gaining an edge over the other established players in the market primarily by focusing on the satisfaction of the customers. Therefore, customer relationship management (CRM) has become a central information system in most of the organisations. CRM can be broadly understood as the combination of business strategies, processes and softwares that assist in building strong and long-term relationships between the business organisations and their customers. These CRM systems have been assisting businesses to store customer data and track customer interactions and also allows to share this information as and when necessary. CRM has been assisting businesses to manage relationships with customers and therefore, help businesses to grow. Through this report, the role and importance of CRM in the success of Amazon has been discussed. The report shall also describe the opportunities Amazon has managed to grab and the advantages this information system has brought to this e-commerce giant.
About Amazon
Amazon is a multinational technology-based company of the American origin with its headquarters in Seattle, Washington. The company has turned out to be a major player in the e-commerce industry and also focuses on cloud computing, digital streaming and artificial intelligence. As an organisation, Amazon is primarily guided by four principles namely, customer obsession, passion for invention, commitment to achieve operational excellence and thinking for the future. Amazon is one of the companies, which focus on satisfaction of the customers and building strong relations with the customers rather than focusing on their competitors (Amazon, 2020). Amazon has been on a path of innovation and continual improvement to have a positive impact on its customers. Amazon has been focusing tremendously on coming with new inventions that can satisfy the customers in the best possible manner. Amazon has been providing its customers with services and products like Amazon.com, Amazon Web Services, Prime Video, Amazon Music, Fire tablets and TV, Alexa, Echo and Kindle e-readers and books.
Customer Relationship Management System
In simple words, CRM can be described as strategies, tools, techniques and technology used by different business organisations for the purpose of attracting and retaining the customers through better services and interaction models. According to Buttle and Maklan (2019), the CRM systems and softwares that have been deployed by a number of business organisations to have smoother interactions with their customers and improve the efficiency of the operations associated with the customers to maximise the overall profits of the business. CRM systems are capable of gaining the information from multiple data channels. CRM systems are capable of storing detailed information of the customers such as their overall purchase history, personal information stored by the customers and the purchasing behaviour patterns of the customers.
Customer Relationship Management System at Amazon
Amazon is not only a rich company and ranks among the top companies of the globe, but is also one of the most customer-centric companies, whose operations are oriented primarily towards the satisfaction of the customers. In order to gain the loyalty of the customers and gain customer satisfaction, Amazon has been making use of Customer Relationship Management Systems. CRM systems at Amazon have been working in a system to collect some valuable information from the customers (Wang, Cavusoglu & Deng, 2016). CRM systems used by Amazon collects all personal information of the customers such as their credit card records, order records, profile, transaction records, their purchase history and many more such personal details and are stored in the database.
Further, the order processing system takes care of the transaction record with the help of secured transaction methods and then delivers these instructions to the delivery to the delivery system, which must then execute the shipments. The CRM systems deployed by Amazon are also capable of collecting customer information through customer feedback, interest of customers in different products and services, wish list of the customers and product reviews being provided by the customers. These systems have been further assisting Amazon to communicate with their customers through e-mail, message systems or through order information systems (Smith & Linden, 2017). The CRM systems at Amazon have been assisting this e-commerce giant to come up with a successful integration of customer sales, services and communication.
Amazon has been making use of CRM systems that have ample tracking features capable of recording the customer interactions that have been taking place over the internet or online facilities. In addition to this, as opined by Catania (2016), CRM systems have been automating several routine processes of the business and has been assisting mangers by providing them with tools that allow for the tracking and measuring of the performance and productivity of Amazon. These systems have been enabling the managers to analyse satisfaction levels of the customers and has also been assisting them to determine the scope of improvement through the feedbacks being gathered by the customers. CRM system has been helping the managerial staff of Amazon to come up with better action plans that can push the sales to its full potential.
Uses of CRM at Amazon
Amazon has been making use of CRM system to manage and synchronise business communication and information. Company has been making intelligent use of the CRM systems foundation of the success that Amazon enjoys in the recent times. Amazon has its own CRM software that has been tailored carefully to meet the requirements of the kind of services being provided by Amazon to its customers. CRM systems is an essential part of this organisation as it has been assisting Amazon to provide a customised on-site experience to its customers based on their personal information or the activities that have taken place in the past. CRM has...