CRM Basics

Types of CRM and How to Choose The Right One

There are three types of CRMs that always surface when discussing what is needed for particular applications. When taking a closer look at how the three overlap, it should be noted that they are more like components of a CRM that typically comprise an enterprise system. Depending on what your business model is, you may require varying degrees of each to achieve your goals/objectives.

Operational CRM:

Operational CRM comprises the business processes and technologies that can help improve the efficiency and accuracy of day-to-day customer facing operations.

Operational CRM systems involve following major automation modules:

  • Enterprise Marketing automation facilitating:
    • Campaign management
    • Event-based marketing
    • Cluster customer segmentation
    • Individual customer segmentation
  • Salesforce Automation tracking the sales process:
    • Lead generation
    • Lead qualification
    • Needs identification
    • Specifications development
    • Opportunity management
  • Customer Service and Support via contact center, call center, web portal, email, Etc.:
    • Service requests
    • Product returns
    • Customer complaints
    • Enquiries

Analytical CRM:

Analytical CRM blends analysis of customer data collected in the Operational CRM and data collected from external sources to discover behavioral patterns to improve business decisions. This includes accessing systems such as Big Data, Business intelligence, reporting, etc.  Analytical CRM involves the following kinds of analytics: customer analytics, marketing analytics, sales analytics, service analytics and channel analytics.

Some applications of Analytical CRM are:

  • Financial forecasting
  • Price optimization
  • Customer satisfaction evaluation & growth
  • Product development
  • Risk management
  • Sales coverage optimization
  • Cross selling and upselling
  • Customer Retention


Collaborative CRM:

Collaborative customer relationship management focuses on leveraging interaction with customers through customer touch points/channels for enhancing customer service.  It uses the output of Analytical CRM to enhance the customers’ ability to interact in a self-service environment.

Some applications of Collaborative CRM are:

  • Online services for enhancement of convenience and cost reduction
  • Effective communication through various channels including automated phone, email and internet
  • Profiling customer information during customer interaction
  • Social CRM
  • Mobile CRM
You Might Also Like…