Session 3 of assignment one

This week we talked about Customer Relationship Management (CRM) as a process and as a software application. Based on the CRM concepts learned, answer the following questions:

1. List the customer data elements generated when a customer interacts with an airline by (a) making a reservation, (b) using frequent flyer miles, and (c) completing a flight. How does information from CRM improve these interactions?

Ans: The following customer data elements may be generated through these interactions:

(a) making a reservation-

name- age and gender- nationality- identification documents
and such numbers- contact number, address and email- diet/meal preference-
credit card or other financial particulars

(b) using frequent flyer miles-

type and name of frequent flyer programme- membership name and/or number- points accumulated in the account (perhaps?)

(c) completing a flight

(does it mean the process from checking in at the counter to
completing the journey?)
- personal particulars already known when the reservation
was made- number and weight of luggages and whether to check-in or hand-carry them-
travel purpose (leisure/business)
- habit to kill time (reading newspaper/magazine,
enjoying in-flight entertainments, sleeping)
- in-flight duty-free shopping

If the airline has the customer record, in the course of making reservation and providing information of frequent flyer programmes, a lot less time and troubles would be incurred.

All the customer is required to do is either to log in an online reservatiog system with a set of username and password, or to contact the travel consultant by identifying him/herself
that most of the personal particulars are already available.

For those frequent or regular customers, the online system / travel consultant should be
able to trace the transaction pattern and predict the customer preferences,
which will further shorten the time required for each interaction and
enhance the customer servicing experience and satisfaction level. I
It is a key to retain a loyal customer base.

2. What are the benefits of integrating the sales, marketing and customer support function using a single software pacakge and a centralized database?

Ans: Having a single software which comprises all sales, marketing and
customer support functions with a centralized database of all such information
generated enables employees of various function to have a full and clear picture
of the over all relationship between the company and every single customer.

It prevents the potential communication lag or break down and other possible
confusions among functions whichs enhance the working efficiency and
customer servicing experience.

Moreover, the data collected through various interactions not only constitues a unique profile of each customer which enhances the individualized service level; the massive database of all customers provide invaluable input for market and consumer behavious analysis,
the result of which is critical for evaluating sales and marketing plans and formulating development directions and future policies.