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CRM is customer relationship management. It will be used in all industries and companies that are related to customer and database. It is a combination of applications, a database and a set of processes that can inherit all interactions that managing customers.
Basically, CRM manages all interactions with customers within four phases of the customer lifecycle, they are marketing, customer acquisition, relationship management, and loss/churn. A successful hotel CRM must try to fulfil customer centric. That means both the CRM vendors need to claim to use their products to make the organization customer centric. When the hotel fulfils the four-phase of the customer lifecycle. They are also asked to try to offer customer-centric services. Try to bring customers more unique and local services, then there will be more possible to attract more high-value customers and it will have chances to transfer those low-value customers to high-value customers.
The main advantage that the hotel uses CRM is that because of its CRMs feature that each contact and transaction with the customers can be recorded in the CRM database. For the hotel industry, timeliness is always the most important part of customer management. The whole process from reservation online to check-in need timeliness. The shorter the time to go through the check-in formalities, the better the customer experience.
Another advantage can the hotel industry use can gain from CRM is that CRM can raise efficiencies and keeping the customer updated. CRM systems are famous for one feature that they can bring about automation and eliminating non-core tasks immediately. Automation can further help to bring a faster, better and wiser help, the marketing, promotion and adverting decisions and actions can also be enhanced to a wiser way. For consumers, they face too many choices when they need to book a hotel. So, an accurate consumer-type positioning and an appropriate time push can help hotels make more profits.
One of the potential uses of CRM in the hotel industry in the future is the association with the cloud. With cloud service, the hotel can improve profitability by focusing on those most profitable customers and dealing with unprofitable customers in a more cost-effective way. There is always room for improvement, even with years of accumulated experience. Over time, customer needs change and technology will make it easier to find out more about customers and make sure that this data can be used by everyone in a company.
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