CRM or Customer Relationship Management has been around for decades. It has traditionally focused on sales activities and pipeline management. CRM has been used by organizations to record and track details about prospective customers as well as interactions with prospects and existing customers. Hence its primary goal was customer data management and most traditional CRM software products have excelled at that. These tools are not only good at managing customer data but also provide reports on historical data to identify most profitable customers, track performance of sales executives, on customer billing and to feed annual performance management systems. Hence, its appeal and use was universal across sales executives, sales managers, customer service representatives, and finance and HR departments. However, with changing business context, traditional CRM products are falling short. This is primarily because of the following trends:
- With the onset of social media, the power has shifted from seller to buyer.
- With commoditization of services and products, (unless your offering really stands out in the crowd) providing
superior customer service and exceeding customer expectations becomes key to survival.
- For the same reason as above, organizations need to engage customers over a longer duration, as well as
upsell and cross-sell.
This has paved the way for CXM, which is next-generation CRM. CXM is the discipline of managing ALL customer experiences across ALL touch points between the customer and service provider over the entire duration of their relationship. In other words, it is the intersection of customer knowledge and customer fulfillment. It moves the focus from pure data management to using the data at the right time and place to deliver superior customer value and thereby accomplish one or more of the key goals – repeat business, increased wallet share, increased customer loyalty or improved customer satisfaction. Pega’s strategic application on Customer Service does exactly this. Its solution has the following components:
- KYC or Know Your Customer – what traditional CRM tools provide
- Dynamic Case Management – a robust BPM solution that drives a case (customer complaint, account opening
or claims First Notice of Loss) from creation to resolution with the optimal use of resources and time.
- Decision Management and Predictive Analytics – Through Pega’s acquisition of Chordiant, it has built a world
- Social Media Management – Pega’s acquisition of Mesh Labs has strengthened its offering in social media
monitoring and sentiment analysis.
- Co-Browsing – Pega’s Customer Service solution has built-in co-browsing technology (through acquisition of Fire Fly) that allows customer service representatives to quickly understand their customer’s issues by viewing their screens in real-time.
- Mobility – Pega has enhanced its capabilities of extending its solutions to mobile platforms through the
acquisition of Antenna Software, a highly rated mobile application platform vendor.