Lack of Strategy and Defined Benchmarks Mean Poor Customer Relations
According to new research from TowerGroup, poor planning and the inability of many financial institutions to measure results is a major problem for customer relationship management (CRM) programmes. The research report, CRM Metrics and the Myth of Benchmarks: How Smart Banks Measure Success, highlighted that: – Banks often did not set clear definitions for success, and lacked adequate ways of measuring their pre-CRM implementation status. Consequently, banks failed to set realistic goals. – There is little consensus from bankers on which combination of internal and external benchmarks are most appropriate. – Banks are poor at measuring the profitability of their customers.