I am often asked what trends I see for data warehousing and CRM. While there are quite a number of them, in this first column of 2001, I list a few that will undoubtedly receive serious attention this year ­ the ones related to preparing and expanding data warehouses to support CRM. If your company is following a strategy of competitive advantage through customer relationships, you will want to be sure your CRM-ready data warehouse is enabled to support all activities.

A CRM-ready data warehouse is an architecture for data delivery in support of the strategy of customer intimacy ­ the most effective way of competing in business today. It enables the management of improved overall customer satisfaction and the ability to segment customers and treat them as individuals rather than as part of a collective group. We've all heard that it costs 10 times as much to acquire a new customer as it does to keep an existing customer, but it is not good enough to stop there. It's going to cost 100 times more to reacquire a customer similar to your best customer, and it will be cheaper to let some existing customers go than to keep them. The bridge to making this work is customer segmentation supported by a CRM-Ready data warehouse.

Register or login for access to this item and much more

All Information Management content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access