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Topic/Date
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Learning
Objectives
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Assignment
Questions
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Class
1
Course Introduction
Wednesday, August 25
Handouts:
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Introduction
to the course To
understand the importance and value of building relationships
to the firm and to the customer.
-------------------
To
understand the environmental changes that lead to CRM
adoption.
|
Fournier, Susan,
Susan Dobscha and David G. Mick (1998): “Preventing the
Premature Death of Relationship Marketing,” Harvard
Business Review, (January-February), 42-51. (READINGS
BOOK)
-------------------
Lannon
and Kotler (2003) "The Decline of Marketing:
From Four Ps to One P", World Advertising Research
Center, (Winter).
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What
are the benefits/downsides of building strong customer relationships (to
the firms and to customers)?
-------------------
Why
are so many firms disillusioned with CRM?
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Class
2/3
Strategic
CRM in B-to-C
Wednesday, September 1
Handouts:
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What
is Marketing-Driven CRM?
-------------------
What
are the building blocks of a Marketing-Driven CRM strategy?
-------------------
Conceptualizing
CRM Implementation.
-------------------
CRM
- tactics vs. strategy.
How
can CRM create strategic competitive advantage?
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Case
Study:
Customer Relationship Management at Capital One (UK)
(Insead
04/2003 5016)
Readings:
Sunday
Times (2001), "The 50 Best Companies to Work For."
p. 5.
-------------------
Day,
George (2001), "Capabilities for Forging Customer Relationships"
MSI Report
No. 00-118.
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How
would you define CRM briefly and succinctly?
-------------------
If
it is to become more than a concept, CRM needs to be translated
into specific activities and processes. Based on the case,
what are key CRM activities and processes of Capital One?
Do they differ between lifecycle stages of a customer?
-------------------
What
can be learned from the Capital One case that could be applied
to other industries? It
is often claimed that CRM can create competitive advantage.
Does CRM create competitive advantage for Capital One? If
so, how?
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Class
4
CRM Implementation in B-to-B (I)
Monday,
September 6
Handouts:
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Implementation of CRM in a
B-to-B context.
-------------------
Managing the implications with respect to customer
segmentation, sales-force, marketing, IT, and back office.
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Case
Study:
Deutsch Post WorldNet
(case study presented in class) Readings:
Cannon and
Narayandas (2000), "Relationship Marketing and Key Account
Management", in Handbook of Relationship Marketing, Eds: Sheth
and Parvatiyar.
SAGE Publications
|
Identify
the current shortcomings in cross-divisional customer
management - where do you see organizational
inefficiencies and room for process improvement? -------------------
Is the
potential for cross-selling and integrated offerings
significant? How can these potentials be estimated?
-------------------
Define
a vision of cross-divisional cooperation - how could the
DPWN organization look like in five years' time? Which key
processes need to be integrated across the Divisions?
Describe a possible development path.
-------------------
What
are the barriers to increased cooperation between the
Divisions? How can these be overcome? Which measures to
support the change management process can you think of?
-------------------
Develop
cross-divisional sales support tools - which pragmatic,
IT-based tools can be used to improve cross-divisional
cooperation? Think about cross-divisional information
exchange regarding products, customers and sales leads?
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Class
5
Customer
Loyalty and Loyalty Programs
Wednesday,
September 8
Handouts:
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What is customer loyalty?
-------------------
When is relationship marketing
applicable?
-------------------
How
is relationship marketing implemented in B-to-C
organizations?
-------------------
When
and how do loyalty programs work? |
Case study:
Independer.com
(INSEAD 03/2001-4908) Readings:
Oliver,
Richard L. (1999) “Whence Loyalty.” Journal of
Marketing, 63, Special Issue, p.33-44. (READINGS BOOK) |
Hilhorst
and van Embden have to take a strategic decision that will
shape their company. Which loyalty scheme would you
recommend them taking for Independer? Why? |
|
Class
6
Guest
Speaker:
Carson Booth
Director, IT
Starwood Hotels Europe
Monday, September 13
Handouts:
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Class
7
Building Lasting Relationships Through Service Offerings
Wednesday, September 15
Handouts:
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Explore how product-based
companies can engage in long-term relationships with
customer through the offering of new services.
-------------------
Develop an understanding of
the conditions under which a service-focused strategy
works. |
Case study:
The Nespresso Story (IMD)
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What is Nespresso?
-------------------
What are the challenges
facing Pronk, the new head of Nespresso?
-------------------
What marketing plan of
action do you recommend for growing Nespresso's turnover to
the corporate target of Sfr 1 bn? |
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Class
8
CRM in Fast Moving Consumer Goods
Monday,
September 20
Handouts:
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Analyse and propose an
effective CRM program for fast moving consumer goods?
-------------------
Explore how CRM can add
differentiation to existing category managment practises. |
Case study:
From Category Management to
Customer Relationship Management: The Case of Henkel.
(the case will be distributed in class)
Readings:
Kalms & Mullahy (2002), "Retail:
Customer Demands Intensify the Pressure for CRM", in The
Ultimate CRM Handbook, Ed. John Freeland, McGraw Hill. |
What is Henkel's homecare
category position currently in the market? How has
channel power evolved?
-------------------
What is the current status of
category management practices (within Henkel and within
retailing industry)?
-------------------
How should CRM in the fast
moving consumer goods industry be conceptualized? Is
Henkel on the right track?
-------------------
Which recommendation would you
give to Franz Speer on his decision to embark on the CRM
pilot. Should he go for it and if yes, alone or with Dm. (also,
think about the economic perspective and be ready to
defend this).
-------------------
If Henkel were to make a
strong commitment to Dm with CRM, how should Henkel manage
its relationship with Dm going forward? |
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Class
9
Intro to Customer profitability analysis
Wednesday, September 22
Handouts:
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Introduction
to some basic analytic concepts in the context of CRM and
customer base analysis.
-------------------
Using
SPSS for customer profitability analysis.
|
Mulhern, Francis (1999), Customer Profitability Analysis: Measurement,
Concentration, and Research Directions. Journal of Interactive
Marketing. 13 (Winter), 25-40. (READINGS BOOK)
-------------------
Pallant,
Julie F. „SPSS Survival Manual: a Step by Step Guide to
Data Analysis Using SPSS for Windows” [on reserve in
Doriot library] |
Go
through SPSS tutorial, an option available in SPSS.
-------------------
Skim
through readings.
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Class
10
Customer Profitability
Analysis II
Friday, September 24
Handouts:
|
Learn
how simple analytic techniques can be used to address various
CRM challenges.
-------------------
Demonstrate
extent and causes of variation in customer profitability
and the challenges and benefits associated with calculating
customer level profitability.
-------------------
Using
SPSS for customer profitability analysis.
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Case study:
Pilgrim Bank (A)
(HBS 9-602-104)
SPSS
File
TXT
File
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How
does Pilgrim Bank make money from their customers? How much
variation in profitability is observed across customers
and how could Pilgrim best deal with this variability?
-------------------
Based
on the information contained in the sample of customers for 1999,
how confident can Green be that the information is similar
to that in the population of Pilgrim Bank's customers?
-------------------
Does
customer profitability differ as a function of being
online or offline? Is the difference meaningful?
What is the role of demographics?
-------------------
Can
cause and effect be established between online usage and
customer profitability?
-------------------
Assignment:
Submit
written answers for Pilgrim (A) case at the beginning of
class (group assignment).
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Class
11
Customer Profitability analysis III
Monday,
September 27
Handouts:
|
Learn
how simple analytic techniques can be used to address various
CRM challenges.
-------------------
Demonstrate
how to make predictions of future customer profitability.
-------------------
Using
SPSS for customer profitability analysis.
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Case
Study:
Pilgrim Bank (B)
(HBS 9-602-095)
SPSS File
TXT File
-------------------
Pilgrim Bank (C)
(HBS 9-603-103)
SPSS File
TXT File
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How
well is the use of online banking in 1999 associated with customer
profitability in 2000? Does knowing the demographics of a
customer in 1999 help to predict?
-------------------
How
well is the use of online banking in 1999 associated with customer
retention in 2000? Does
knowing the demographics of a customer in 1999 help to
predict?
-------------------
Make
a prediction about individual customer's future retention.
Explain how the results from the estimated retention
equation (logistic regression) can be used for prediction
and explain the issues that come up.
Assignment:
Submit
written answers for Pilgrim (B) case at the beginning of class
(group assignment).
-------------------
Optional:
(C) case
Does
the use of electonic billpay affect customer profitability?
-------------------
Does
the use of electronic billpay affect customer retention
rates.
-------------------
What
can you learn about the stickiness of online banking and
electronic billpay? |
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Class
12
The Satisfaction-Profit Chain
Wednesday, September 29
Handouts:
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How
do customer satisfaction and customer loyalty lead to better
firm performance?
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Case Study:
ISS: Developing a Breakthrough Service Strategy (IMD, M 592)
Readings:
Reinartz, Werner J, and V. Kumar (2000), "On the
Profitability of Long-life Customers in a Noncontractual
Setting: An Empirical Investigation and Implications for
Marketing," Journal of Marketing, 64(Oct), 17-35.
(READINGS BOOK)
-------------------
Reichheld Frederick and W. Earl Sasser (1990), "Zero Defections:
Quality comes to Service." Harvard Business Review.
Sept-Oct.
-------------------
Hochmann,
Mark (1999) Customer-Satisfaction Measurements: An Answer
to Yesterday's Problem? HBR
-------------------
Kamakura,
Wagner A., Vikas Mittal, Fernando De Rosa, and Jose Afonso
Mazzo (2002), "Assessing the Service-Profit Chain,"
Marketing Science, 21 (Summer), 294-317. (READINGS BOOK)
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What
are the strengths and weaknesses of ISS's customer satisfaction
system?
-------------------
Which
advice would you give to Martin Christensen? What is the
strategic direction in which he should take the Customer
Satisfaction program? Why?
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Class 13
Constructing Your Own Satisfaction-Profit Chain
Monday, October 4
Handouts:
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To
apply the satisfaction-profit chain into one’s own
organizational environment.
-------------------
To
understand whether and how the input measure can and
should be constructed.
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Selected
sections from Johnson and Gustafsson “Improving Customer
Satisfaction, Loyalty and Profit”.
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Think
about your previous employer and develop how this
organization could implement (measure and manage) the
satisfaction-profit chain.
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Class
14:
Allocating Resources to Customers
Wednesday, October 6
Customer Value Calculator
Handouts:
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To
demonstrate individual-level customer resource allocation
-------------------
To
illustrate the benefits of resource allocation based on
expected customer value |
Case
Study:
Freeport Studio
(HBS N9-501-021)
Readings:
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Evaluate the strategy development process for the launch
of the new catalog, Freeport Studio
-------------------
What can the
company learn from the customer and market feedback about
its execution, creative strategy and the circulation
strategy?
-------------------
Formulate a new strategy that lives up to LLBean’s
expectation and break-even in the next twelve months.
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Class
15/16:
Final class:
Group Presentations
Friday, October 8
Handouts:
Group Presentations:
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-
Group
presentations
-
Course
wrap-up
-
Course
evaluation
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