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Customer Relationship Management: Concepts and Technologies

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Customer Relationship Management Third Edition is a much-anticipated update of a bestselling textbook, including substantial revisions to bring its coverage up to date with the very latest in CRM practice. The book introduces the concept of CRM, explains its benefits, how and why it can be used, the technologies that are deployed, and how to implement it, providing you with a guide to every aspect of CRM in your business or your studies. Both theoretically sound and managerially relevant, the book draws on academic and independent research from a wide range of disciplines including IS, HR, project management, finance, strategy and more. Buttle and Maklan, clearly and without jargon, explain how CRM can be used throughout the customer life cycle stages of customer acquisition, retention and development. The book is illustrated liberally with screenshots from CRM software applications and case illustrations of CRM in practice. NEW TO THIS EDITION: Ideal as a core textbook by students on CRM or related courses such as relationship marketing, database marketing or key account management, the book is also essential to industry professionals, managers involved in CRM programs and those pursuing professional qualifications or accreditation in marketing, sales or service management.

426 pages, Hardcover

First published November 1, 2003

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Francis Buttle

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Profile Image for Dmitry.
1,300 reviews103 followers
February 18, 2026
(The English review is placed beneath the Russian one)

Какую бы книгу я не взял на тему CRM я всегда находил в ней утверждение, что CRM это не только выстраивание отношений с клиентами, но это нечто большее. В реальности же в таких книгах говорилось исключительно про самые что ни на есть банальные отношения между продавцом и покупателем. Это в свою очередь означает, что сам термин и само понятие CRM является абсолютно надуманным ведь искусству отношений между покупателем и продавцом сотни, если не тысячи лет. Но не будем уходить настолько далеко в историю и просто скажем, что на эту тему было написано множество книг по маркетингу, когда термина CRM ещё не существовало, что означает, что единственное изменение, которое произошло за этот период, ограничивается новым термином и новым направлением в маркетинге. Точнее, это не новое направление в маркетинге, а старое, которое просто слегка приукрасили, придумав множество новых терминов. Повторю: в реальности книга говорит об отношениях между компанией или отделом маркетинга и клиентом и как максимизировать прибыль на основе этих отношений. В качестве примера можно привести следующую цитату, которая знакома всем тем, кто читал книги по маркетингу изданных задолго до начала XXI века.

One key element of strategic CRM is the customer selection and targeting process: there are some customers for whom a business does more, and some customers for whom it does less.

Анализ прибыльности покупателей не является чем-то новым в маркетинге, ибо о важности этой практики писали маркетологи задолго до наступления XXI века.

In year 1 the company lost 40% of these new customers, but the remaining 60% each generated $50 contribution to profit. If this is discounted at 15%, each retained customer’s profit contribution is $43.48. In year 2, the retention rate rises from 60% to 70%, and each of the remaining customers contribute $70 ($52.93 at discounted rate) to profit. You can see from the right- hand column in Figure 2.5 that it takes nearly five years to recover the costs of acquiring this cohort. The data demonstrate a number of well- established phenomena. First, profit per customer rises over time – for reasons set out earlier in this chapter. Second, customer retention rate rises over time.

То, что лояльные или давно существующие клиенты приносят больше прибыли, чем новые клиенты, тоже давно известно, что так же является причиной обуславливающей инвестиции в маркетинг и в частности инвестиции в укрепление лояльности клиентов. Опять же, это не вопрос CRM, а вопрос маркетинговой деятельности фирмы как таковой.

An important rationale for CRM is that it improves business performance by enhancing customer satisfaction and driving up customer loyalty, as shown in Figure 2.6. There is a compelling logic to the model, which has been dubbed the ‘satisfaction–profit chain’. Satisfaction increases because customer insight allows companies to understand their customers better and to create improved customer value propositions and better customer experiences. As customer satisfaction rises, so does customer intention to repurchase. This in turn influences actual purchasing behavior that has an impact on business performance.
<…>
The Balanced Scorecard is highly adaptable to CRM contexts. Companies need to ask the following questions. What customer outcomes drive our financial performance? What process outcomes drive our customer performance? What learning and growth outcomes drive our process performance? The satisfaction profit chain suggests that the customer outcomes of satisfaction and loyalty are important drivers of business performance.

Опять же, этот тезис о важности лояльности стал очевидным ещё в середине XX века, а возможно даже ранее. И повторю: это не вопрос CRM, а вопрос маркетинга в целом. Можно, конечно, отдельно в маркетинговом плане прописать CRM, но на самом деле это центральный или, вернее, один из центральных вопросов всего маркетинга: довольны ли наши клиенты теми продуктами, которые мы предоставляем, и если нет, то почему (и как этот тренд в таком случаи изменить). Это базис всего маркетинга или даже основы любого бизнеса, а не только темы CRM. И, разумеется, клиенты должны не только быть лояльными, но и прибыльными (для компании).

Not all customers are worth retaining. The prime targets for a company’s customer retention efforts should be those who have greatest strategic value to the company. These are the customers who have high CLV (customer lifetime value), or are otherwise strategically significant as high- volume customers, benchmarks, inspirations or door openers
<…>
These are developing and sacking customers. Customer development aims to increase the value of the customer by cross- selling or up- selling products and services to retained customers. The termination of customer relationships aims to improve the profitability of the customer base by divesting customers who show no signs of ever becoming profitable or strategically significant.

Спустя 100 страниц, учебник повторяет и повторяет прописные истины. С моей точки зрения, для этого не нужно писать отдельные учебник и для понимания этого существует такая отличная книга как «Жалоба как подарок», а так же литература по маркетингу, которая говорит о важности концентрации только на тех клиентах, которые приносят наибольшую прибыль. Об этом же говорит принцип Парето 80/20, который так же упоминается в любом учебнике по классическому маркетингу.

Вторая половина книги посвящена компьютерному софту, но, во-первых, описание получилось сложным и скучным, а во-вторых, компьютерные программы подвержены быстрому устареванию, из-за чего такая информация очень быстро становится не актуальной. В третьих, разные компании используют разный компьютерный софт и то, что используют крупные международные корпорации недоступно для малого и среднего бизнеса.



No matter what book I picked up on the subject of CRM, I always found the assertion that CRM is not just about building relationships with customers, but something more. In reality, however, such books talked exclusively about the most banal relationship between seller and buyer. This, in turn, means that the term and concept of CRM itself is completely artificial, since the art of relations between buyer and seller is hundreds, if not thousands, of years old. But let's not go so far back in history and just say that many marketing books were written on this topic when the term CRM did not yet exist, which means that the only change that has occurred during this period is limited to a new term and a new direction in marketing. More precisely, this is not a new direction in marketing, but an old one that has simply been slightly embellished with the invention of many new terms. Let me repeat: in reality, the book talks about the relationship between a company or marketing department and a customer, and how to maximize profits based on that relationship. As an example, consider the following quote, which will be familiar to anyone who has read marketing books published long before the beginning of the 21st century.

One key element of strategic CRM is the customer selection and targeting process: there are some customers for whom a business does more, and some customers for whom it does less.

Analyzing customer profitability is not a new concept in marketing, as marketers wrote about the importance of this practice long before the dawn of the 21st century.

In year 1 the company lost 40% of these new customers, but the remaining 60% each generated $50 contribution to profit. If this is discounted at 15%, each retained customer’s profit contribution is $43.48. In year 2, the retention rate rises from 60% to 70%, and each of the remaining customers contribute $70 ($52.93 at discounted rate) to profit. You can see from the right- hand column in Figure 2.5 that it takes nearly five years to recover the costs of acquiring this cohort. The data demonstrate a number of well- established phenomena. First, profit per customer rises over time – for reasons set out earlier in this chapter. Second, customer retention rate rises over time.

It has long been known that loyal or long-standing customers bring in more profit than new customers, which is also a reason for investing in marketing and, in particular, in strengthening customer loyalty. Again, this is not a question of CRM, but a question of the company's marketing activities as such.

An important rationale for CRM is that it improves business performance by enhancing customer satisfaction and driving up customer loyalty, as shown in Figure 2.6. There is a compelling logic to the model, which has been dubbed the ‘satisfaction–profit chain’. Satisfaction increases because customer insight allows companies to understand their customers better and to create improved customer value propositions and better customer experiences. As customer satisfaction rises, so does customer intention to repurchase. This in turn influences actual purchasing behavior that has an impact on business performance.
<…>
The Balanced Scorecard is highly adaptable to CRM contexts. Companies need to ask the following questions. What customer outcomes drive our financial performance? What process outcomes drive our customer performance? What learning and growth outcomes drive our process performance? The satisfaction profit chain suggests that the customer outcomes of satisfaction and loyalty are important drivers of business performance.


Again, this thesis about the importance of loyalty became obvious in the mid-20th century, and possibly even earlier. And I repeat: this is not a question of CRM, but a question of marketing in general. Of course, you can write CRM separately in your marketing plan, but in reality, it is a central, or rather one of the central issues of all marketing: are our customers satisfied with the products we provide, and if not, why (and how to change this trend in such cases). This is the basis of all marketing, or even the foundation of any business, not just CRM. And, of course, customers should not only be loyal, but also profitable (for the company).

Not all customers are worth retaining. The prime targets for a company’s customer retention efforts should be those who have greatest strategic value to the company. These are the customers who have high CLV (customer lifetime value), or are otherwise strategically significant as high- volume customers, benchmarks, inspirations or door openers
<…>
These are developing and sacking customers. Customer development aims to increase the value of the customer by cross- selling or up- selling products and services to retained customers. The termination of customer relationships aims to improve the profitability of the customer base by divesting customers who show no signs of ever becoming profitable or strategically significant.


After 100 pages, the textbook repeats and reiterates obvious truths. From my point of view, there is no need to write a separate textbook for this, and to understand this, there is an excellent book called “A Complaint Is a Gift: Using Customer Feedback as a Strategic Tool,” as well as marketing literature that talks about the importance of focusing only on those customers who bring the most profit. The same is said by the Pareto 80/20 principle, which is also mentioned in any textbook on classical marketing.

The second half of the book is devoted to computer software, but, firstly, the description turned out to be complicated and boring, and secondly, computer programs are subject to rapid obsolescence, which means that such information quickly becomes outdated. Thirdly, different companies use different computer software, and what large international corporations use is not available to small and medium-sized businesses.
Profile Image for Seb.
113 reviews
August 19, 2024
Il libro offre concetti chiave preziosi, ma la sua complessità rende la lettura difficile e la comprensione degli argomenti talvolta confusa. Sebbene alcuni punti siano rilevanti, il testo si rivela complicato e non facilmente accessibile.
Profile Image for Kristen Head.
2 reviews
April 13, 2024
This textbook had some good key points. However, for me it was a hard read that made some topics confusing and not easily understood.
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