Customer Relationship Management:
The Broadway Cafe has five traditional lines of business: (1) coffee sales; (2) music sales; (3) food sales; (4) retail sales; and (5) promotional sales such as coffee-of-the-month. Your current IT infrastructure is pieced together with various systems and applications. Currently, you have a difficult time with CRM because your systems are not integrated. You cannot determine vital information such as which customers are ordering coffee and not food or music and not coffee. For example, the three details that the customer Diego Quintos (1) ordered four cappuccinos, (2) three CDs, and (3) two coffee-of-the-month gift coupons, are discrete facts housed in separate systems. You hope that by using CRM technology to integrate your data, the next time Diego purchases a cup of coffee a sales associate could ask him how he is enjoying his CDs, or if his friends liked the coffee-of-the-month gifts.
You are excited about the possibility of taking advantage of customer segmentation and CRM strategies to help increase business. You want to use CRM technologies to improve service and personalization at each customer touch point. Using a data warehousing tool, important customer information can be accessed from all of your systems – either daily, weekly, monthly, or once or twice per year. Analyze the sample data in the CRM_AYK.xls file (Available in Additional materials) for the following:
1. Currently, the quality of the data within the above disparate systems is low. Identify problems with the current data and develop a report discussing the importance of high quality information and how low quality information can affect the cafe’s business.
2. Review the data and give examples displaying the kind of information the Broadway Cafe could use to gain a better understanding of its customers. Include the types of data quality issues the company can anticipate and the strategies it can use to help avoid such issues.
3. Determine who are the cafe’s best customers, and provide examples of the types of marketing campaigns the cafe should offer these valuable customers.