Social Relationship Management

by David Tiderius

IT-applications are used to manage customer relationships and provide services – so called Social CRM.

Strengthened emotional barriers by differentiation with services – leads to increased profitability and loyalty.

Companies that use these medias to connect to customers and build relationships is likely to positively influence their revenues.

Introduction 1/2

Customer engagement leads to valuable collaborations – co-creation for further differentiation (customer centricity).

E.g. see “My Starbucks Idea”

Co-creation influence Customer Lifetime Value (CLV)by increased sales and enhanced competitive advantages.

Introduction 2/2

Theoretical model of modern CRM

Results from case study

H1: Social CRM and Brand Equity 1/3Step1: Medium-high knowledge about company´s width and depth of services.

Step 2. PROVED: Satisfying service in Facebook can increase loyalty and future revenue.

H1: Social CRM and Brand Equity 2/3Step 3: Perception of “Secure” choice and personal affection towards company.

Step 4: Customers perceive to have relations to company(Medium to Strong).

H1: Social CRM and Brand Equity 3/3

Step 4: Customers activities have little impact on relationships

strength (comments and page-visits).

The emphasize lies primarily on company increased customer

centricity.

H2: Social CRM and customer relationships

• PROVED: High service on Facebook can increase customer

relationships

– Strengthened customer relationships will lead to higher

loyalty.

Contributions 1/2• Social medias can be useful for Brand Equity and customer

relationships.

Can increase revenue, loyalty and are suitable channels for

companies to use for relationship management.

Moment-of-truth very important!

• Hence, these medias reach more than just existing customers!

Social Relationship Management also convert prospects

Contributions 2/2 - SRM -

Tiderius Gemini (tiderius.com)

tiderius.com for more information

David Tiderius