Establishing high value markets for data-driven customer relationship management systems

Abstract

Purpose Online customer relationship management (CRM) is an important issue for implementing digital marketing of electronic commerce or social commerce. The purpose of this study is to establish valuable markets for discovering customer knowledge from data-driven CRM systems for enhancing growth rates of businesses. Airline or travel agency industries are online businesses in the world. Therefore, the industries in Taiwan will be an empirical case for this study. Design/methodology/approach This research applied a procedure with an applied proposed model for establishing valuable markets from data-driven CRM systems. However, the study used a proposed customer value model (recency, frequency and monetary [RFM]; RFM model-based), the analytic hierarchy process (AHP) procedure and a proposed equation for estimating customer values. Findings For enhancing the data-driven CRM marketing of the industries, in this research, the market of air travelers can be partitioned into eight markets by the proposed model. As well, the markets can be ranked by the AHP procedure. Furthermore, the travelers’ customer values can be estimated by a proposed customer value equation. Originality/value Via the applied proposed procedure, online airlines, travel agencies or other online businesses can implement the research procedure as their data-driven marketing strategy on their online large-scale or Big Data customers’ databases for enhancing sales rates.

Using a data-driven marketing strategy on customer relationship management: an empirical case of urban coffee shops in Taiwan

“…Thus, the levels of FMS model are from 1 to 5 levels; there are a total of 125 levels. To observe the customer values clearly, the research condenses the five levels (from 1-1-1 to 5-5-5) to two levels (Miglautsch, 2002; from L-L-L to H-H-H; L: low value; H: valuable; Chiang, 2012;Chiang, 2019). That is, the levels are from L-L-L to H-H-H.…”

Passenger scoring for free-pass promotion in public transportation

“…In the transportation industry, the RFM and RFM-based models have also been used to determine the values of passengers [36][37][38][39][40][41][42][43][44] (Table 2). The common characteristic of these studies is that all of them consider the "frequency" parameter.…”

“…[0-10], [10][11][12][13][14][15][16][17][18][19][20], [20][21][22][23][24][25][26][27][28][29][30], and [30][31][32][33][34][35][36][37][38][39][40]. The value of k will be defined by the organization, i.e.…”

RFM Ve Uyum Anali̇zi̇ Kullanilarak Müşteri̇ Segmentasyonunun Beli̇rlenmesi̇

“…Müşteri segmentasyonunda uygulanan çeşitli pazarlama stratejileri müşterilerin değerini artırabilir. Şirketler müşterilerin ihtiyaçlarını karşılayarak müşterilerle uzun vadeli ilişkiler kurarlar (Dibb, 1998 (Safari, Safari ve Montazer, 2016;Zalaghi ve Abbasnejad Varzi, 2014;Chiang, 2019 ).…”